‘£135bn boost’ from hard exit

The Guardian - - NATIONAL | BREXIT - Peter Walker

The UK econ­omy could en­joy a postBrexit div­i­dend of £135bn in the five years af­ter leav­ing the EU, ac­cord­ing to Ja­cob Rees-Mogg. At a speech in London the lead­ing pro-Brexit back­bencher lam­basted the “false as­sump­tions” of Philip Ham­mond’s Trea­sury, in­sist­ing that leav­ing the EU would bring a huge eco­nomic ben­e­fit.

The trade depart­ment tweeted a link to an ap­prov­ing ar­ti­cle on ReesMogg’s view but the mes­sage was later deleted. The in­ter­na­tional trade sec­re­tary, Liam Fox, is an ar­dent Brex­iter.

Rees-Mogg (be­low) was in­tro­duc­ing and en­dors­ing an al­ter­na­tive pre-Brexit bud­get, from Econ­o­mists for Free Trade, which said that a hard Brexit would boost the econ­omy by £135bn from 2020 to 2025. He said that this would only hap­pen if the gov­ern­ment pur­sued free trade, less reg­u­la­tion and lower taxes. But this route seemed im­pos­si­ble as the Trea­sury had a “neo-pro­tec­tion­ist ap­proach and in­built bias to­wards a pes­simistic as­sess­ment of Brexit”.

Speak­ing at the event, Prof Patrick Min­ford, whose team com­piled the al­ter­na­tive bud­get, sug­gested a no-deal Brexit would bring a still big­ger boost to the UK in a new era of free trade.

Rees-Mogg said: “I am con­fi­dent the UK’s medium-term fis­cal prospects are much bet­ter than those that at will be re­vealed to you by the Of­fice for Bud­get Re­spon­si­bil­ity’s short-term pro­jec­tions … [which are] based on false as­sump­tions supplied by the Trea­sury.”

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.