Brexit deal ‘could dilute the rights of UK workers’
BORIS Johnson’s Brexit deal could dilute workers’ rights, early analysis has warned.
The Institute for Public Policy Research (IPPR) think-tank published its take on the deal, with authors saying it leaves workers’ rights and environmental protections at risk of erosion and will slow economic recovery.
However, the Prime Minister said it was not the case that workers’ rights or environmental standards would be watered down.
He said in an interview: “All that’s really saying is the UK won’t immediately send children up chimneys or pour raw sewage all over its beaches.
“We’re not going to regress, and you’d expect that.”
He said that Chancellor Rishi Sunak was “doing a big exercise” on business taxes and regulation alongside a “great Government effort” for new plans for after the transition period ends on December 31.
The IPPR report, which was published just three days after the deal was agreed, explained that the bar for proof of breaches of the “level playing field” to safeguard the issues is so high that it will rarely be enforced.
Marley Morris, an IPPR director focusing on trade and EU relations, warned that the commitment in
the deal not to decrease current standards in an attempt to gain an unfair competitive advantage is “considerably weaker than expected” and sets “a very high bar for proof”.
“Given it is notoriously difficult to prove that any lowering of protections affects trade or investment, the deal is unlikely to prevent the UK Government from weakening Eu-derived labour and environmental policies if it so chooses,” his report said.
He added: “This leaves protections for workers, climate and the environment at serious risk of being eroded.”
The think-tank report also said that, with the UK having “watered down” the level playing field requirements to secure “only limited benefits in market access”, there will be a blow to trade.
There will likely be disruption, including at the border, in the short-term, while barriers to trading with the UK’S biggest partner will “likely lead to slower growth and a more prolonged economic recovery” from the coronavirus pandemic, the analysis says.
Mr Morris added: “This thin deal is better than no deal at all, but still creates major trade barriers with our closest neighbour, which will inhibit growth and slow the economic recovery.”
A UK Government spokeswoman said ministers are “fully committed” to upholding the “high standards” agreed in the trade deal, while the Prime Minister denied there would be a regression.
Mr Johnson said the trade deal secures “access for solicitors, barristers” and a “good deal for digital”.
He admitted it “perhaps does not go as far as we would like” on financial services.
Banks, insurers and other financial firms based in Britain will not be granted automatic access to EU markets. Instead, they will have to be deemed by Brussels to be governed by rules as robust as those within the bloc.
Mr Johnson said Chancellor Rishi Sunak is “doing a big exercise” on business taxes and regulation.
Mr Sunak said the Brexit deal
“can represent an enormously unifying moment for our country and bring people together after the divisions of the past few years”.
The Chancellor added: “Now that we have left the European Union we can do things a bit differently and we’re embarking on that journey; for example, examining how we make the City of London the most attractive place to list new companies anywhere in the world.”
The SNP has said the deal is a “disaster” for Scotland, with the party’s MPS promising to vote against it when it comes before the Commons this week.
MPS are expected to be recalled to Parliament on Wednesday to vote on the measures, with Labour agreeing to support the deal and the Libdems likely to vote against.
SNP Westminster leader Ian Blackford said: “This is a very bad deal for Scotland, which will terminate our membership of the EU, rip us out of the world’s largest single market and customs union, end our freedom of movement rights, and impose mountains of red tape, added costs and barriers to trade for Scottish businesses. The blame lies squarely with the Tory Government.
“By the UK Government’s own admission, staying in the EU is the best possible deal. Analysis shows the hard Tory Brexit Boris Johnson wants to impose could cut Scotland’s GDP by around 6.1%, costing more than £9 billion, or the equivalent of £1,600 for every person. This hammer-blow to the economy is devastating and unnecessary.”
However, Scottish Secretary Alister Jack said people north of the Border would expect their MPS to support the plans agreed with the EU.
He said: “As Parliament prepares to vote on the deal this week, I urge all Scottish MPS to give it their wholehearted support.
“Outside the EU, the UK can sign our own trade deals around the world, bringing new opportunities for exporters and some of Scotland’ most famous products.”
He said farmers would benefit from the deal by avoiding tariffs, as would fishermen from the increase in the share of catch they can get. He continued: “We are regaining control of our waters, we are restoring our status as an independent coastal state and, even during the five-year adjustment period, there will be a big overall increase in our share of the catch in our waters.
“The deal is good news for Scotland and I believe it is now time to move on from the Brexit debate and join forces in embracing our exciting future. Whether Leaver or Remainer in 2016, we need to come together to make the most of our new opportunities.
“The people of Scotland will expect their MPS to do the right thing on Wednesday and vote for the deal. They will not easily forgive those who reject this Free Trade Agreement or throw their weight behind a no-deal Brexit.”
The Scottish Parliament will be recalled on Wednesday in a hybrid session at 2pm to allow MSPS to discuss the Brexit deal.
The deal is good news for Scotland and I believe it is now time to move on from the Brexit debate