Daily Mirror (Northern Ireland)
Secret no-deal Brexit plans revealed: Start making cuts
Treasury minister’s blunder exposes confidential policy
PHILIP Hammond has warned the Government may be forced to make cuts if there is a no-deal Brexit.
And the Chancellor has admitted Whitehall departments would have to dramatically “refocus” their priorities.
Mr Hammond spoke after Treasury minister John Glen was photographed, behind Environment Secretary Michael Gove, with a private Treasury paper. This stated departments would have to rely on “reprioritisation” as a first resort to cover such a withdrawal.
The document talked of “rail access to the EU” and whether Brits could fly to and from Europe.
It also stated the Government’s no-deal planning has been codenamed Operation Yellowhammer.
It showed additionally that the Government’s Civil Contingencies Secretariat held a two-day workshop last week to formulate plans.
The paper said departments should be raising funds to cover “Yellowhammer costs” for 2019/20 through their own spending teams as well as bids to the Treasury. And it stated: “Their first call should be internal reprioritisation.”
In last year’s Budget, Mr Hammond announced £3billion for Brexit prepara- tions and said he would allocate further sums. Remainer Labour MP Ben Bradshaw, a supporter of the People’s Vote campaign, said: “We now know the Government is preparing for Brexit in the way they would catastrophes like flooding or a disease outbreak.
“It will be already-stretched budgets in vital areas that will be forced to bear the cost of this Government’s total failure to deal with Brexit.”
The £3billion war chest was meant for 2018/19 and 2019/20 but Mr Hammond admitted the Treasury is now looking ahead to longer-term pressures on resources.
Asked about Yellowhammer – a randomly generated name – the Chancellor said: “Departments have the funding for no-deal planning. What we’re beginning to discuss now is part of long-term contingency planning. In no-deal circumstances, we would have to refocus Government priorities.”
Theresa May’s spokesman said the PM had made clear all Brexit scenarios were being prepared for and “nobody has been told to cut front-line spending”.