Hammond ‘contempt’ for Fox will wreck truce
Ministers’ rapprochement over Brexit predicted to fail because of Chancellor’s ‘superior’ attitude
THE Brexit truce between Philip Hammond and Liam Fox will “inevitably fall apart” because the Chancellor holds the International Trade Secretary in “contempt”, a Tory minister has claimed.
Mr Hammond and Dr Fox appeared to settle their differences with a joint article in The Sunday Telegraph saying Britain will completely leave the Single Market and Customs Union after Brexit in 2019.
However, fellow ministers expressed scepticism and Eurosceptic Conservative MPS suggested that Mr Hammond had been forced to “row back” by Theresa May. The claim was strongly denied by Downing Street sources. One Tory minister told The Daily Telegraph: “I don’t believe it. Hammond does not have a high regard for Fox, he holds him in contempt. He’s very superior. Inevitably this truce will fall apart.”
However a Whitehall official insisted that they are united. “I’ve seen them work very closely together, they both take their responsibilities seriously, I believe they do have a strong working relationship.”
After a summer of bitter Cabinet infighting, the Chancellor of the Exchequer and Dr Fox, the International Trade Secretary, appeared to bury the hatchet with a joint pledge that there will be a fixed transition period after leaving the EU.
In an article written for The Sunday
Telegraph, the ministers – representing the Remain and Leave wings of the Conservative Party – say this will be “time limited” and designed to avoid a “cliff edge” that could damage British business.
Although they do not say how long this period will last, it will not represent an attempt to stay in the EU indefinitely, they say.
However critics pointed out that there are still likely to be significant disagreements over the scale of the divorce bill and the length of the transition period.
Nigel Farage, the former Ukip leader, said: “Nothing new here. No mention of time, cost or immigration. Just about party unity and not the country as usual.
“We voted to Leave the EU, not for a transition period after two years of talks. Government weak.” It comes after Mr Hammond came under fire from Cabinet colleagues after he suggested in the Prime Minister’s absence on holiday that he wanted Britain to be able to trade freely with the EU for four years after Brexit.
Dr Fox then hit back days later saying that any transition period would have to end before the next general election, which is due to take place in 2022.
It was also claimed that Dr Fox and Boris Johnson, the Foreign Secretary, had been kept out of the loop on plans to allow EU citizens to continue to come to the UK after Brexit, which forced Number 10 to make clear that freedom of movement will end in March 2019.
David Jones, a former Brexit minister, said: “It has got all the hallmarks of No 10 having had a serious conversation with Philip Hammond.
“Hammond has rowed back significantly from the position he stated three weeks ago – he is accepting we are leaving both the Customs Union and Single Market.
“The only thing that remains an issue is exactly how long this transition period will be. It’s a fairly clear assertion of authority by the Prime Minister.”
The claims of Cabinet splits emerged as David Miliband, a former Labour foreign secretary, called for a second referendum on Brexit and described it as an “act of unparalleled economic self-harm”.