May’s Brexit plans in disarray

Two of Prime Minister’s most senior ministers refuse to back radical policy to cut EU migration

THERESA MAY’S Brexit plans were in chaos last night as two of her most senior ministers distanced themselves from leaked immigration policies amid a backlash from Brussels and business leaders.

Amber Rudd, the Home Secretary, and Damian Green, the First Secretary of State, both have misgivings about radical plans to curb migration, which include a two-year maximum stay for low-skilled workers, whose overall numbers could also be capped. Ms Rudd has “reservations” about the migration blueprint even though it was drawn up by officials in her own de- partment, and may favour lighter touch regulations that make it easier for businesses to hire EU workers.

Mr Green, who is one of Mrs May’s most trusted advisers, has hinted the Government could row back on the proposals – which have proved popular with Brexiteers – because he is concerned at the effect they will have on EU withdrawal negotiations.

The migration plans were described as “toxic” in Brussels, where Michel Barnier, the EU’S chief Brexit negotiator, has suggested Britain now has no chance of a “bespoke” transition deal. Mr Barnier has told colleagues the UK will have to “photocopy” the agreement that Norway has with the EU.

Writing in today’s Daily Telegraph, Nick Timothy, Mrs May’s former chief of staff, says that Britain “must be prepared for a ‘no deal’ scenario” because “hardliners in Brussels, Paris and Berlin might prevail in their pursuit of a punishment deal that Britain cannot accept”.

And there was embarrassment yesterday for Mrs May when the leaders of some FTSE 100 companies disclosed that they had refused a request from Downing Street to sign a letter backing the Government’s position on Brexit.

The battle for Brexit enters a new phase today when MPS begin debating the EU (Withdrawal) Bill, also known as the Repeal Bill, which Labour will oppose when it is put to a vote next week. Mrs May will today appeal to MPS from all parties to “help get the best Brexit for Britain” by voting for “the single most important step we can take to prevent a cliff-edge for people and businesses, because it provides legal certainty”.

But as well as facing opposition from Labour, Mrs May faces turmoil within her own party and in Brussels over Brexit plans for immigration.

A Home Office document leaked on Tuesday contained proposals for a cap on low-skilled workers and three-year to five-year work permits for highly skilled EU migrants. It also called for fingerprinting and criminal records checks for foreign workers.

One minister told The Daily Telegraph that Ms Rudd “has reservations about it” and wanted to wait for the findings of a Migration Advisory Committee report next year – which may recommend less strict rules on foreign workers – to enable government policy to “ensure continuity for business”. Another source said Ms Rudd was “absolutely committed to reducing net migration to sustainable levels and delivering what people voted for at the referendum”.

Damian Green, the de facto deputy prime minister, has told friends that ministers will have to do “some smoothing over” with Brussels, where the proposals in the document met with hostility.

One source said Mr Green believed that the leaked paper had not “committed us to things we can’t resile from, it is not that exact”.

In Brussels the Britain-first migration plans provoked fury and were described as “simply toxic” by an influential group of Liberal MEPS who said it would poison ongoing negotiations on citizens’ rights, while Sandro

Gozi, an Italian minister, said the plans “wouldn’t help at all” in reaching a trade deal if they became government policy. The Daily Telegraph has also learnt that Mr Barnier was left “incensed” by last week’s ill-tempered round of Brexit negotiations and has told officials that British hopes of negotiating a “bespoke” transition deal had been “killed off ” by the British attitude.

A senior EU diplomatic source with knowledge of Mr Barnier’s feedback to EU capitals said: “The Brits have passed the threshold when anything ‘bespoke’ is possible.” Instead, Mr Barnier has suggested that Britain will have to settle for the “off the shelf ” transition deal that David Davis, the Brexit Secretary, has said he will reject. In today’s Telegraph, Nick Timothy says that he be- lieves both sides will ultimately come to a compromise because it is in both their interests to reach an “ambitious agreement”. But, he warns: “It is of course possible that the negotiations will fail.”

Last night it was reported that the European Commission is due to publish five papers focusing on Brexit divorce issues, including one placing the responsibility on Britain to solve the problem of the Irish border.

The document reportedly reveals Mr Barnier will call on the UK to work out “solutions” that avoid the creation of a hard border and guarantee peace in Ireland. Another calls for more than 3,300 food and drink products to be protected from British copycats.