Anger over May’s plans for future links with EU
THERESA May’s long-awaited plan for Britain’s future relationship with the EU was published yesterday and was met with immediate resistance from Brexiteers in her own party, and condemnation from First Minister Carwyn Jones and Plaid Cymru.
The White Paper puts flesh on the bones of the statement that was agreed at the crunch Cabinet meeting at Chequers last Friday, but came as US President Donald Trump suggested the Prime Minister was taking “a different route” from the kind of Brexit that the UK voted for.
The plan was unveiled amid shambolic scenes in the House of Commons, as Speaker John Bercow suspended proceedings in the middle of a statement by new Brexit Secretary Dominic Raab so MPs could go and get a copy of the White Paper he was announcing.
Mr Raab told MPs the paper set out a vision for “a bold, ambitious and innovative new partnership with the EU, principled and practical, faithful to the referendum”.
But he was greeted by laughter and jeers from some MPs as he told them: “I am confident that a deal is in reach, given the success of the Prime Minister and her negotiating team so far.”
There was no immediate judgment on the White Paper by the EU, whose chief Brexit negotiator, Michel Barnier, said only that he would assess its contents to see if they were “workable and realistic” ahead of negotiations with Mr Raab next week.
The 98-page document sets out a significantly “softer” version of Brexit than desired by more eurosceptic Tories, and prompted the resignation of Boris Johnson and David Davis from Mrs May’s Cabinet earlier this week. Extracts of Mr Davis’ alternative White Paper, published on the ConservativeHome website, show that the former Brexit secretary was planning a “Canada plus plus plus” free trade deal based on mutual recognition of independent systems of regulation.
By contrast, Mrs May’s plan involves the UK accepting a “common rulebook” on trade in goods,
with a treaty commitment to ongoing harmonisation with EU rules.
It envisages the UK entering an Association Agreement with the EU and making continued payments for participation in shared agencies and programmes.
And it states that an independent arbitration panel set up to resolve UK-EU disputes will be able to seek guidance from the European Court of Justice, but only on the interpretation of EU law.
Key elements of Mrs May’s proposals include:
■ A formal institutional framework bringing leaders and ministers from the UK and EU together in a governing body with regular summits;
■ A “robust” independent panel to arbitrate on disputes, so that neither side’s courts have the final say;
■ A free trade area in goods;
■ New arrangements for services, giving each side the freedom to set their own rules;
■ An end to free movement, with new “mobility” rules allowing visafree travel for tourism and temporary work and permitting companies to move talented staff between countries;
■ Continued security co-operation, participation in Europol and a range of EU agencies.
Jacob Rees-Mogg declared that it failed to respect the result of the 2016 referendum.
First Minister Carwyn Jones said: “The UK Government’s White Paper is a significant change of direction which moves away from their red lines towards the negotiating position we set out in January last year. It is a source of regret that the UK Government has, again, had to be dragged kicking and screaming to this sensible approach, but today’s movement must at least receive a cautious welcome.
“However, far too many questions remain unanswered and some proposals – such as a twin track customs systems – appear unworkable. I fail to see why the UK Government choose to pursue such an overly bureaucratic and clumsy approach to trade, when continued participation in the single market and customs union would resolve these issues, protect jobs, trade and investment and provide the certainty and stability business needs.
“I will discuss the EU’s reaction to the proposals with Michel Barnier when I meet with him in Brussels on Monday. I will also take the opportunity to set out where we believe a flexible approach from the EU27 is needed to avoid the catastrophic ‘no deal’ scenario.”
Plaid Cymru MP Jonathan Edwards said: “The UK Government continues to propose to cherry pick certain aspects of EU membership in a way that the EU’s negotiators have made perfectly clear is unacceptable. For two years the EU has repeated that we cannot have our cake and eat it and it is deeply irresponsible for the UK Government to continue to ignore their warnings so close to the deadline.”
Labour MP Chuka Umunna, who supports a second referendum, was not impressed by the White Paper.
He said: “On any measure the Government’s White Paper is totally unworkable and a bad deal for Britain. Not only does it fail to meet the concerns of business, it does nothing to protect workers’ rights, safeguard the environment or protect consumers.
“The British people face a £50bn divorce bill, and people are quickly realising that Brexit will harm business, trade and public services. More and more members of the public know the only way to sort this political mess out is to take back control of the process with a people’s vote on a final Brexit deal.”
By contrast, Business welcomed proposals for a free trade area for goods and additional clarity around issues like mobility for workers.
CBI director general Carolyn Fairbairn said: “Seeking a free trade area for goods and a common rulebook shows the Prime Minister has put pragmatism before politics and should be applauded.”
But she stressed the need for urgent action, adding: “With three months left to go, it is now a race against time.
“The EU must now engage constructively and flexibly, as must politicians from all UK parties. This is a matter of national interest. There’s not a day to lose.”
But there was concern in the business community that Mrs May has ditched a plan for “mutual recognition” of financial regulations, as well as ruling out the “equivalence” scheme which permits access to EU markets by firms from outside the bloc.
The White Paper acknowledged that the new economic and regulatory arrangement for financial services being sought by the UK would not replicate the EU’s passporting regime. Services more generally “will not have current levels of access to each other’s markets”.
Mr Rees-Mogg said the package amounted to “vassalage” for the UK, adding: “There are very few signs of the Prime Minister’s famous red lines.
“It is a pale imitation of the paper prepared by David Davis, a bad deal for Britain.
“It is not something I would vote for nor is it what the British people voted for.”
Tory Brexiteer Sir Bill Cash, who
chairs the Commons European Scrutiny Committee, told the Commons he was “deeply worried” by the prospect that the “common rulebook” would result in the UK being forced to accept European regulations.
Mr Raab assured him there would be a “parliamentary lock” and “proper democratic oversight” of any future EU regulations translating into UK law. The White Paper states that the future framework for the post-Brexit relationship should be settled at the same time as the separate deal on the UK’s withdrawal.
It calls for negotiations to proceed “at pace” with the aim of reaching substantive agreement later this year.
Tim Roache, the general secretary of the GMB union had a scathing assessment of the Government’s plan.
He said: “The customs arrangements Ministers are proposing to put in place in a matter of months rely on technology that doesn’t exist. They are living in a fantasy land if they think this will keep trade afloat.
“All the while, Ministers remain dangerously preoccupied with internal squabbles. It’s not good enough.”