The British people’s historic vote to leave the EU – the largest democratic result ever in our country – is not something to be feared.

It wasn’t a vote to leave Europe or to pursue an isolationist future. It was a vote for us to become a strong, independent nation once again – a country that is not afraid of standing on its own two feet.

The British people recognise, as I do, that around 90 per cent of global economic growth will come from outside the EU in the years ahead, and that the EU now accounts for less than half of our overall trade. Over 90% of all trade travels by sea – and we are inextricably linked to this global network. As we leave the EU, the one thing which remains fixed is our geography. We will remain, as we always have been, an island maritime nation, outward-facing and trading across the globe. British goods and services are recognised as the best in the world and sought after by global customers. This will not change.

So we must look beyond the shores of our European continent and be prepared to walk away from negotiations if the deal offered by the EU does not deliver a real Brexit – and be unafraid of doing so. We only need to be ready to trade under World Trade Organisation (WTO) rules: international laws that regulate the trading relationships of 164 member states and around 98% of global trade.

We will be leaving on 29th March next year and only a good deal for the UK should be agreed to. Otherwise we will be insulting the democratic request given to Parliament.

It is starting to be more than a little boring to have to listen to the almost daily ritual of doom, gloom and scaremongering. We are told there will be border chaos, food and medicine shortages, hikes in prices, states of emergency, gridlocked motorways, catastrophe – even an end to peace in Northern Ireland and civil unrest.

Beyond the Westminster village, and certainly at the top of England in my constituency, 350 miles from London, people listen to all this with incredulity. Last week’s Budget implemented our-tax cutting manifesto promises early, lifting more of the lowest paid out of tax altogether. It announced an unexpected tax windfall that we’ve been able to spend on our vital public services. UK salary growth has now risen to 3.1%, the fastest growth in wages in almost a decade, employment levels are at their highest since the 1970s and we’re growing steadily as an economy. Our future has never looked brighter.

Voters comprehensively rejected establishment scare stories during the 2016 referendum debate – and it turns out that they were absolutely right to do so. Let’s not bore and patronise them further; let’s get to the heart of how beyond March 2019 should look.

My long-held view is that we can deliver a great future trading relationship – and more – after our departure from the EU club, by agreeing a mutually beneficial trade deal for the whole of the UK, similar to Canada’s. This arrangement would allow us to boost our global competitiveness and innovation, as well as help the world’s poorest countries by enhancing trade and investment opportunities that contribute to the economic growth of their less-developed economies.

This isn’t a “hard” or “extreme” version of Brexit. This would be, as Canada’s Prime Minister, Justin Trudeau, said of his free trade deal, about creating “good, well-paying jobs”, putting “food on the table for families”, helping to “grow and strengthen our communities” and ensuring that each generation is “better off” and has a “higher standard of living, than the one that preceded it”. Why would this sort of deal be so bad for us?

If the EU doesn’t want to negotiate this sort of free trade deal with us immediately, we won’t crash out of the EU over some invisible cliff edge. Far from it: there are protections in place for the UK under international law under a set of terms overseen by the World Trade Organisation. The US, China and India are among the EU’s biggest trading partners – and they do not have a trade deal with the EU. They trade on WTO terms.

No deal would be better than a bad deal because being tied into EU regulations without a voice would only mean their controlling our future success by anti-competitive actions.

Under WTO rules – putting the bluff, bluster and meaningless threats aside – the EU won’t be allowed to discriminate against UK businesses. It won’t be able to set tariffs on our goods that are higher than those they impose on other countries; and it will be forbidden from using other regulations or standards (non-tariff barriers) to discriminate against our goods and services.

Arbitrary health and safety inspections at borders would not be lawful and the WTO’s new “Trade Facilitation Agreement” would require the EU to maintain borders, which are as frictionless as possible, using all the modern technologies at its disposal.

The WTO has taken great strides in promoting global trade since its inception in 1995. And at its roots lie values we all share: an end to discrimination, more openness and transparency, increased competition, discouraging unfair practices, protecting the environment and ensuring less developed countries have extra time to adjust to WTO provisions.

We need to be having our own voice at the WTO, speaking up for the interests of British consumers and businesses. We don’t need the European Commission to do this for us.

The WTO option is an entirely acceptable, workable alternative to a free trade deal as we leave the EU and Roberto Azevedo, the Director General of the WTO, has said that he is looking forward to having the UK back as an independent champion of free trade.

The UK is strong enough to walk away from these negotiations. Future generations won’t forgive us if we agree a bad deal with the EU that means we have not left the controls of others over our decisions.

There is no cliff-edge, just a stepping-stone to the future that our extraordinary democratic voice shouted at us – let us become, once again, a self-governing, free-trading nation.

The post Trade with the EU on WTO terms would be better than being a Brussels rule-taker appeared first on BrexitCentral.

The Chequers Plan has to be withdrawn if we are to achieve a meaningful Brexit. Discussions between the EU and UK about allowing an extension to the transition period in return for dropping the unnecessary Irish backstop are only of relevance if it means a Canada-style deal can then go ahead – it should not be a precursor to accepting a Chequers-based agreement.

The reason for this is simple: in a new report published today by Global Britain we show the Chequers Plan is the Single Market by another name – and remaining in it (rather than accessing it) would be damaging to British economic interests.

The key myth propagated in favour of the Single Market is that it is central to UK prosperity. It is not. Our report demonstrates that the UK trades well with the world but poorly with the EU. This is odd as the UK has no special trade arrangements with the US, China or Australia yet runs a small trade surplus with the rest of the world, but a very large deficit with the very region with which we have a customs union – the EU.

For example, our report exposes the contradiction that the UK enjoys a trade surplus with the US – arguably the most competitive market in the world – without having a trade deal, but suffers a huge trade deficit of £96bn with the EU where Single Market membership is the equivalent of a trade deal.

Due to its bureaucratic approach, the EU is in structural decline. It has underperformed every other region in the world for a generation. This is not a coincidence as other advanced economies including the US, Canada and Australia have powered ahead. It is the institutional arrangements of the EU – and the single currency in particular – that have resulted in rapid economic decline and socially unacceptable levels of unemployment in much of the EU.

The EU’s trend towards centralised regulation undermines competition and increases regulatory burden. Within the Single Market framework provided by adoption of a common rule book, the UK would continue to be beholden to needless regulation and legal creep as EU lawyers interpret a definition of EU competence well beyond merely trading standards and into to many other areas of national life.

The EU has also failed to sign global free trade deals with many of the world’s most important partners including the US, China and Australia. Inside the EU, the UK cannot strike its own deals with the many much faster growing nations. Because the EU is a diverse group of 28 nations, agreement is highly problematic and cumbersome, hence the failure to reach agreement. Outside the EU, the UK can much more readily strike free trade deals.

It is now apparent from comments from the US, China, Australia, India and others that far from being ’at the back of the queue’, other countries are very keen to strike mutually beneficial free trade deals with the UK. This will allow the UK to rebuild its historic mission of encouraging global free trade that has gone off track over the last 40 years as the UK has surrendered its trade policy, so unsuccessfully, to the EU.

It is also a myth that the UK needs to be part of the Single Market to trade with it. This is clearly not the case. All nations have access, outside a tiny number under sanction (North Korea and Syria for example) so long as they comply with local regulations. One does not need to join China to trade with it any more than one needs to join the EU.

It is clearly in the EU’s interests to agree a zero tariff deal with the UK – such as a Canada-style agreement. There are many reasons for this but the primary one is simply because the EU sells more to the UK than the UK sells to the EU. It would be nonsensical to undermine its own trade particularly at a time when EU growth is so weak.

If, however, the EU refuses to do so within a reasonable timeframe, the UK should leave the EU without a formal agreement on 29th March 2019, relying on WTO rules and striking free trade deals with our global partners. This outcome would be far better than what the Chequers Plan offers because the UK would otherwise be saddled with no say on Single Market regulation.

To remain under the jurisdiction of the common rule book, effectively still under EU jurisdiction, having left the EU, is a Remain option that delivers a sovereignty illusion – with no say, low growth and a high regulatory burden that would lock in perpetual trade deficits. That is why Chequers must be chucked and a Canada-style deal for the whole UK used as the template for a new relationship.

The post The EU is in structural decline – which is why we must not remain tied to its Single Market appeared first on BrexitCentral.




Recommended news

© 2018 Brexit and Ireland - All Rights Reserved. Individual site feeds info belong to individual site holders.

Follow us: