‘Let’s embrace opportunities’

THE former governor of the Bank of England yesterday called for Britain to embrace the ‘opportunities of Brexit’ and quit the single market.

Declaring the country should be more ‘self-confident’ about leaving the EU, Mervyn King said it was a golden chance to strike new trade deals.

He said it was futile to ‘pretend’ it was right to stay in the single market when quitting would provide ‘many opportunities’.

The crossbench peer suggested Britain might be better off leaving the customs union too, as staying might constrain ministers’ ability to forge trade deals.

He also said having more powers to control immigration after Brexit ‘can’t be negotiable’. Lord King’s remarks will be interpreted as his support for a so-called ‘hard Brexit’.

In an interview on Radio 4’s Today, the 68-year-old said: ‘It’s not a bed of roses … but equally it is not the end of the world and there are some real opportunities that arise.

‘I think we should look at it in a much more self-confident way than either side is approaching it at present.

‘Being out of what is a pretty unsuccessful EU…gives us opportunities as well as obviously great political difficulties.’

Calling for Theresa May to outline immigration policy ‘sooner rather than later’, he rejected the notion Britain might have to allow freedom of movement to keep single market access.

‘I think the result of the referendum made it pretty clear that people wanted our ability to control immigration … it can’t be negotiable,’ Lord King said.

Chancellor Philip Hammond has given hope to Europhiles by suggesting Britain might continue to contribute to EU coffers, to keep access to the single market. But Lord King suggested a ‘soft Brexit’ would hamper Britain’s ability to boost trade.

The peer dismissed following Norway’s model as non-EU members of the single market – which would allow free access for businesses but would probably mean accepting free movement.

He added: ‘I don’t think it makes sense for us to pretend we should remain in the single market and I think there are real question marks about whether it makes sense for us to remain in the customs union.

‘Clearly if we do that we cannot make our own trade deals with other countries.’

John Longworth, ex-head of the British Chambers of Commerce, said Lord King was right to point out the ‘very bright economic future available to us’.