Alarm over keeping ties with Brussels
PHILIP Hammond triggered alarm over Brexit plans yesterday by suggesting Britain could keep many of its ties to Brussels for at least four years after leaving the EU.
The Chancellor repeated his call for a “transition period” to allow businesses time to adjust to new arrangements following the UK’s departure from the bloc in March 2019.
And he gave a fresh indication of the possible timescale by confirming that the changeover to full independence could take “three or four years or even longer”.
“All these things remain to be negotiated,” said the Cabinet minister, a firm supporter of Remain during last year’s EU referendum.
His remarks provoked calls from Eurosceptic Tory MPs to clarify exactly what aspects of EU membership could be retained for the so-called transition period.
There were fears his plans could mean the UK keeping an open-door to EU migrants longer than expected, continuing with multi-billion payments to Brussels and remaining committed to many EU Single Market regulations.
Concern is growing that senior Tory ministers are deeply divided over the pace and details of the Brexit process. Mr Hammond said it was in the interests of both Britain and the EU that there was an early agreement in the Brexit negotiations to ensure there was no “cliff edge” break when the UK finally quits the bloc.
Asked on BBC Radio 4’s Today programme if transitional arrangements could remain in place for three or four years “or even longer”, Mr Hammond replied: “All these things remain to be negotiated.”
Eurosceptic Tory backbencher Sir William Cash said: “We need to know exactly what the transitional arrangements would be.
“We cannot leave the EU and stay in the Single Market, the Customs Union and the jurisdiction of the European Court of Justice.”
Tory MEP David Campbell Bannerman, of Leave Means Leave, added: “The Chancellor must clarify what he means – it is far too vague.”