Minister denies European courts will still hold sway

David Davis has rejected suggestions that Britain could find itself under the jurisdiction of the European Court of Justice as part of its new trade deal with the EU.

Tory Europhile Ken Clarke said Britain would have to accept an arbitration mechanism as part of any new trade deal, including a court of law.

Mr Davis insisted that both parties in a trade deal had to agree the means of arbitration, adding Britain was unlikely to go for the European court.

During a statement on Brexit in the Commons, former chancellor Mr Clarke told Mr Davis: “What I don’t understand, when reading the Prime Minister’s statement or listening to him, is which country in the world is going to enter into a trade agreement with this country on the basis that the rules are entirely what the British say they are going to be on any particular day and, if there’s any dispute about the rules, it’s going to be sorted out by the British Government.”

In reply, Mr Davis said: “Of course there will be agreements between us and they will be arbitrated by an organisation which we agree between us – not normally the European Court of Justice.”