trade

The Brexit Plan

Hello readers! After a week away, it’s time to refresh ourselves of events this last fortnight…

 

Of course Brexit dominates the headlines once more as the government announced a possibility of the UK retaining links with EU. The government has said it will end the “direct jurisdiction” of the European Court of Justice (ECJ) in UK cases after Brexit, although the influence of the court will not be curbed altogether. In a paper published last Wednesday  a set of alternative models were proposed for settling legal disputes with the EU that would replace the current role of the ECJ, offering Theresa May greater room for manoeuvre in Brexit negotiations than her previous commitment to leaving the ECJ outright. In January, May pledged in her Lancaster House speech:

“We will take back control of our laws and bring an end to the jurisdiction of the [ECJ] in Britain. Leaving the European Union will mean that our laws will be made in Westminster… and those laws will be interpreted by judges not in Luxembourg but in courts across this country.”

 

Justice Minister Dominic Raab has stated the resulting divergence of case law between the EU and the UK would require the UK to keep “half an eye” on ECJ rulings, and for the EU to do the same in return. 

The plans came after the Home Office had mistakenly sent around 100 letters to EU citizens living in the UK, telling them they are liable for “detention” if they do not leave the country. There have been calls for Home Secretary Amber Rudd to apologise to those affected and reimburse any legal costs incurred.

With such mistakes, it is no wonder why those against Brexit hold doubts over the lack of influence from EU courts, particularly in cases affecting human rights where UK laws.

 

As the third round of Brexit negotiations continued in Brussels this week, European Commission President Jean-Claude Juncker  said none of the papers published by the British government setting out its Brexit plans are “satisfactory” and that a vast number of issues remain unsettled. Speaking to a conference of EU ambassadors, Juncker accused the UK of being “hesitant in showing all its cards” and of failing to offer solutions to the issues of the Northern Irish border and the rights of EU citizens living in the UK. He also reiterated that no trade negotiations will take place until these questions are resolved.

One of the said issues which is yet to be resolved is the lack of agreement between UK and EU officials on the amount to be paid by the UK as a so-called “divorce bill”, which could total as much as 1bn (£92bn). The constant lack of progress makes us wonder whether Brexit will be achieved by the target of March 2019!

As the latest round of negotiations stalled, International Trade Secretary Liam Fox has said Britain must not allow itself to be blackmailed over its Brexit settlement bill in order to start trade talks. Without an agreed figure, the EU will not allow talks about Britain’s future trade relationship with the bloc to begin. Fox’s warning came after the EU’s chief negotiator Michel Barnier said there has been no “decisive progress” on the terms of Britain’s exit and accused the UK of demanding the “impossible”.

 

Meanwhile, The Labour Party announced its own plans for Brexit with some senior Tories fearing it may gain support from their own MPs. The announcement, made by the party’s Shadow Brexit Secretary, Keir Starmer, details the party’s continued support for membership of the single market as it bids to present itself as the party in favour of ‘soft Brexit’ (Scroll down for a quick breakdown of soft/hard Brexit).

Labour’s policy shift aims to establish a clear dividing line with the Tories on Brexit for the first time.  So what are these new plans?

  • Labour will support full participation in the single market and customs union during a lengthy “transitional period” that it believes could last between two and four years after the day of departure
  • Under a Labour government the UK would continue to abide by the EU’s free movement rules, accept the jurisdiction of the European court of justice on trade and economic issues, and pay into the EU budget for a period of years after Brexit
  • Permanent long-term membership of the single market and customs union would only be considered if a Labour government could by then have persuaded the rest of the EU to agree to a special deal on immigration and changes to freedom of movement rules.

Pro-EU Tory MPs, who also support remaining in the single market, will be put under intense pressure by Labour to fall in behind its position and rebel against their own party. If significant numbers were to do so, Theresa May’s already shaky grip on power would be seriously threatened. For these Tory MPs, they would have to decide between adhering to party lines or committing to their own positions as instructed by their constituents.

Now for a quick breakdown of soft/hard Brexit….


Soft Brexit
: –

This approach would leave the UK’s relationship with the EU as close as possible to the existing arrangements, and is preferred by many Remainers.

The UK would no longer be a member of the EU and would not have a seat on the European Council. It would lose its MEPs and its European Commissioner. But, it would keep unfettered access to the European single market.

Goods and services would be traded with the remaining EU states on a tariff-free basis and financial firms would keep their “passporting” rights to sell services and operate branches in the EU. Britain would remain within the EU’s customs union, meaning that exports would not be subject to border checks.

National models for this sort of deal include Norway, Iceland and Liechtenstein, which are not members of the EU but have access to the single market by being part of the European Economic Area.

 

Hard Brexit: –

Favoured by pro-Brexiteers, a hard Brexit arrangement would likely see the UK give up full access to the single market and full access of the customs union along with the EU.

It would prioritise giving Britain full control over its borders, making new trade deals and applying laws within its own territory.

Initially, this would mean the UK would likely fall back on World Trade Organisation (WTO) rules for trade with its former EU partners.

 

Also This week, Kezia Dugdale, leader of Scottish Labour resigned from her role with immediate effect. Writing to the chair of the party, Dugdale said she believed her party needed a new leader with ‘fresh drive’. Her full resignation letter can be viewed here.

 

Whilst one leader quits, Theresa May has insisted that she will lead the Conservative Party into the 2022 General Election contradicting reports she planned to stand down in 2019 when Britain leaves the EU. Speaking to reporters on Thursday, May said she wants to look beyond Brexit negotiations and hopes to tackle “long-term” issues within the UK, such as “social justice”. he Prime Minister made the comments as she arrived in Japan for a visit intended to boost diplomatic ties and lay the ground for a potential post-Brexit trade deal between the nations. Taking into account the continued riffs amongst Conservative ranks, May’s announcement risks reigniting anger among Tory MPs, many of whom have been dissatisfied with May since the party unexpectedly lost its majority in June’s vote. However, it also comes as many within the party and beyond feel there isn’t anyone at the moment who could be a real contender against May.

Can May’s leadership withstand all the trouble and strife that comes with Brexit and the internal backlash from her own party? It wasn’t long ago even her own ex-colleague, George Osborne, had called her a “dead woman walking” so how confident is the Prime Minister in her leadership? Only time will tell.

 

Other things you may have missed…

Councils have been ordered to reduce the number of people remaining in hospital beds when fit for discharge by as much as 70%, or face a withdrawal of social care funding. Councils responsible for delivering social care have received a letter from the Department of Health warning funding could be slashed in the 2018 Spring Budget for areas with continued high rates of so-called “bed-blocking”, which saw patients in England experience 177,000 days worth of delays in April this year. Council leaders have described the targets as “virtually undeliverable” and warn that withholding funding will only increase pressures on care services, whilst Labour’s Shadow Minister for Social Care, Barbara Keeley, has accused the government of an “overly simplistic and ill-judged” response to the situation.

 

Net migration to the UK in the last 12 months to end of March 2017 is down 81,000 to 246,000, with the net migration of EU citizens having fallen by 51,000 to its lowest level for three years, according to figures released by the Office for National Statistics (ONS). A spokesperson for the ONS has said the data – which shows a spike in departures of citizens from the central and eastern European countries that joined the EU in 2004 – may indicate Brexit is now a factor in people’s decision to move into or out of the UK. 

The figures follow years of heated debate over immigration – a key issue in last year’s referendum – and the Conservative Party’s 2010 promise to reduce net migration to the ‘tens of thousands’ .

 

On the topic of immigration, this week Prime Minister Theresa May faced calls to apologise for the five-year-long Home Office crackdown on non-EU students overstaying their visa, as official figures revealed that just 4,600 a year remain in the UK after their visa expires. Previous estimates cited by the Home Office had put the number at 100,000.

Liberal Democrat leader Vince Cable, who described the Home Office figures as “distorted and wrong”, has joined a chorus of politicians and think tanks calling for students to be exempt from migration statistics, a move the Prime Minister has repeatedly rejected. It is argued the focus on overstaying students has been a waste of government resources and has led the Home Office to downplay the economic importance of higher education. Home Secretary Amber Rudd has announced an expert review into international students’ contribution to the economy.

 

The Department for Business, Energy and Industrial Strategy launched its plans to force all publicly listed UK companies to reveal the pay ratio between their chief executive and their average British worker from next June. Under further proposals aimed at improving workers’ representation in the boardroom, firms must assign a director to represent employees or create an employee council to help advise the business.

However, the new corporate governance code will operate on a “comply or explain” basis, allowing companies to opt out of the measures if they can offer a justification – contrary to a pledge made by the Prime Minister during last year’s Conservative leadership contest. This perceived watering-down has triggered condemnation from Labour, the Liberal Democrats and trade union leaders, who have branded the plan a “feeble proposal”.

 

Former Conservative Cabinet Minister Iain Duncan Smith has voiced opposition to government proposals to cut support for marriage and relationship counselling. Writing in an article for the Conservative Home website, Duncan Smith revealed officials have been instructed to draw up plans to scrap £10m of public funding for relationship counselling – a move he has condemned as a “retrograde step” that would worsen the “damaging effects of family breakdown”. He also argues the cuts would have an adverse effect on the economy, as the cost of family breakdown has been estimated to be £48bn a year.

 

The Conservative Party announced its new campaign ‘Activate‘, the right wing equivalent to ‘Momentum’. The grassroots campaign launched by affiliated Conservatives aims to “engage young people with conservatism”. It has close links with senior party activists, and is chaired by former Tory campaign manager Gary Markwell, a councillor in West Sussex. A Conservative spokesman said Activate was “not officially linked to the Conservatives and it receives no party funding”. The group’s constitution says it will be independent from the party, though all members are expected to be members of the main party. Although it has not officially launced, it has already received backlash on social media and mocked by those on the left.

What do you think, will you be joining Activate? Or are you more of a ‘stick to the party, not affiliated groups’ kind of person?

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May returns – but for how long?

This week, Prime Minister Theresa May returned from her holidays and was immediately thrown back into a wind of turmoil; she was criticised for her response to Trump’s comments to the violence in Charlottesville, Virginia, causing many to question May’s subservience to President Trump.  May appeared to criticise Donald Trump for his comments about last weekend’s violent far-right rallies in Charlottesville, saying there is “no equivalence” between fascists and their opponents. Her remarks came a day after Trump said left-wing counter-protesters at the white supremacist demonstrations were equally to blame for violent clashes, in which one woman died.

 

With Theresa May now back from her summer holidays, she’ll also have to confront the in-party disputes which surfaced to the public eye before the parliamentary recess.

Speaking of party disputes and possible leadership elections…

Some of you regular readers may recall in my post ‘Government in Mayhem‘, I discussed the issue of Europe and the divide its causing within the Conservative Party, leading to speculation of who will contest the leadership to replace Theresa May. One of those possible contenders was Jacob Rees-Mogg, MP for North East Somerset, but this week the backbench MP with a reputation as a traditionalist,  dismissed reports he could be the next Tory party leader. Speaking to BBC Radio 4, Rees-Mogg said he ““wouldn’t put any money on it” , attributing the rumours to a lack of “pressing UK political news” during Parliament’s August recess. His comments came after two newspapers ran separately sourced stories over the weekend claiming the North East Somerset MP is considering launching a challenge to Theresa May, while a poll of Conservative members last week put him in second place behind Brexit Secretary David Davis.

However, Rees-Mogg has declined to rule out standing in a future leadership contest, which is widely expected to occur before the next General Election due to discontent among Conservatives over May’s performance in June’s vote. Could time be running out for Theresa May?

 

As the inquiry into the fire at Grenfell Tower gets underway, details were released about the scope of the inquiry which will begin this Monday. The probe, which is being led by former Court of Appeal judge Sir Martin Moore-Bick, will evaluate the actions of Kensington and Chelsea council in response to the blaze, which killed at least 80 people, as well as the adequacy of fire regulations and the tower’s recent refurbishment. However, it will not consider broader issues relating to social housing policy, a decision in which many survivors and activists have rallied against.

May said she was “determined that the broader questions raised by this fire, including around social housing, are not left unanswered”.

The government says it wants all those affected by the disaster to participate in the investigation, but some survivors have previously threatened to boycott the probe if it does not broach issues such as social housing, which they believe contributed to the blaze.

 

Another Brexit update…

Brexit Secretary David Davis has said a temporary customs arrangement with the EU would be “in both sides’ interest” but that any such transition period should not exceed two years, with a deadline of the 2022 General Election as the “absolute maximum”. The customs union allows goods to travel across the EU free of tariffs and checks. Remaining part of this system would restrict Britain’s ability to sign independent trade deals with non-EU countries, as the customs union imposes a common tariff on goods outside of the bloc. However, ministers say staying in the union for a few years post-Brexit would “enable business to continue as usual” until a new agreement is introduced.

For the post-Brexit customs system, the government intends to seek an “innovative and untested approach” that could mean no customs checks at UK-EU borders. However, Guy Verhofstadt, head negotiator for the European Parliament, has described the idea of “invisible borders” as a “fantasy”.

 

The government has also set out its proposals for the Northern Irish border after Brexit, which it hopes will avoid the need for a ‘hard’ border with customs posts for fear of reigniting conflict between nationalists and unionists in the region. When Brexit talks resume in two weeks, UK officials will ask the EU to grant exemptions for all Northern Irish small traders and farmers from customs and food safety checks. In return, the UK would introduce rules to achieve “regulatory equivalence” with the EU, eliminating the need for inspections of live animals and other goods. Brexit Secretary David Davis has said the land border must be “as seamless as possible” to preserve peace in Northern Ireland.
Commentators however, have raised concerns EU economic migrants could travel through the Republic of Ireland to gain access to the UK, but the government argues it could limit the impact of such undocumented immigration through tighter work permit checks in Britain.

 

Other things you may have missed…

Environment Secretary Michael Gove has launched plans to fit every slaughterhouse in the UK with CCTV as part of an initiative to monitor animal welfare and enforce anti-cruelty laws. Under the proposals, vets will have unrestricted access to the footage, which must be installed in all areas where live animals are present. The government also plans to raise standards for farm animals and domestic pets by updating animal welfare codes, with the first review set to cover chickens bred for meat.

 
Shadow Equalities Minister Sarah Champion has quit the Labour front bench following a backlash against an article published in The Sun on Friday, in which the Rotherham MP wrote, “Britain has a problem with British Pakistani men raping and exploiting white girls”. Champion initially tried to distance herself from the article, but resigned yesterday after expressing concern the controversy would “distract from the crucial issues around child protection”. Her article was written in response to the conviction of 17 men – some of whom were Bangladeshi, Pakistani and Indian – who were found guilty of raping young girls as part of a sexual grooming network in Newcastle.

 
The sound of Big Ben will be no more…well at least until 2021 to allow for essential repair works to take place. The clock’s famous chimes will sound for a final time at midday on Monday 21st August before being disconnected, but will continue to ring for special occasions such as New Year’s Eve and Remembrance Sunday. Guess we’ll just have to play videos of the chimes until the repair work is complete eh!

 

MPs will return to their duties in the Commons on 5th September 2017.

Brexit – no going back?

As Kim Jong Un and Donald Trump exchange words of ‘fire and fire fury’ whilst the world subsequently prepares for WWIII, Brexit continues to dominate UK politics.
It’s no secret that the Conservatives are heavily divided over Brexit and the direction in which negotiations should take, which is why the latest Brexit update may not bring remainers or leavers any comfort.

 

Former diplomat, Simon Fraser, has warned the UK’s negotiations with the EU about leaving the bloc have not begun well due to disagreement amongst ministers over the type of deal they should be seeking. (Tell us something we didn’t already know!)

Fraser, who served as the Foreign Office’s most senior civil servant up until 2015, has called on the Conservative government to put set out a clearer position as the team responsible for handling Brexit negotiations haven’t “put much on the table” so far.
You only have to remember the picture of Brexit Secretary David Davis’ lack of paperwork during the start of negotiations to know not much thought is being given to the exit process. Fraser’s comments come amid reports that Downing is preparing to publish a series of ‘position papers’ in the coming week which will detail its proposals for the Northern Irish border and future customs agreements with the EU.

Ahead of that report being published, Chancellor of the Exchequer, Phillip Hammond and International Trade Secretary, Liam Fox have released a joint statement confirming there will be a fixed transitional period after Britain leaves the EU. In their article published for The Telegraph, they did not clearly state the length of time for which this transitional period will last but did declare Britain will not stay in the union by the “backdoor” and will completely leave the single market and the customs union once Brexit is finalised and completed in 2019.

“We are both clear that during this [transitional] period the UK will be outside the single market and outside the customs union and will be a ‘third-country’ not party to EU treaties”

They said the UK’s borders “must continue to operate smoothly”, that goods bought on the internet “must still cross borders”, and “businesses must still be able to supply their customers across the EU” in the weeks and months after Brexit.

Sourced from: http://www.bbc.co.uk/news/uk-politics-40914604

The joint article by the two ministers is being seen as a sign of unity on the Brexit issue – you will recall several posts on the in-fighting between Fox and Hammond regarding Brexit. Of course, for Prime Minister Theresa May who called for unity at the start of the summer recess this is important not only for her leadership but for the ease of Brexit negotiations in Brussels. However, criticism from the Liberal Democrats notes that this only demonstrates Mr Hammond being brought “back in line” with the government’s “hard Brexit program”. Tom Brake, the foreign affair’s spokesman for the Lib Dems also added:

“What we don’t know from this letter is exactly how this is going to work. It’s also not clear how long the transition period is going to be.”

Despite the attempt at showing public unity, there is no hiding from the deep divisions that still lie within the party, with many ministers disagreeing over key issues such as immigration and trade. This is addressed by SNP MP Stephen Gethins who stated there is “no masking the fact there are deep divisions within cabinet over Brexit – and still no apparent plan almost 14 months on from the vote”.

Criticism also came from Labour MP, Ben Bradshaw, who said leaving the single market and the customs union would be a “dreadful mistake for the future of our economy, for jobs and prosperity in Britain”.

What exactly are the implications of leaving the single market and the customs union?

  • Leaving the European Economic Area (EEA): –
    those in favour of remaining in the single market argue the UK government should try to negotiate staying inside the EEA, retaining friction-free trade not only in goods but also in services, upon which the bulk of our economy is based. However, the political price to be paid for such access is correspondingly high, and counters the objectives of pro-Brexiteers. In the EEA, Britain would be obliged to keep the four freedoms, including the free movement of people, (so no regaining control of our borders), align its regulatory regime with the EU’s (so no regaining sovereignty) & follow European Court of Justice (ECJ) rulings and still pay into the EU budget.
  • Transitional customs union agreement: – 
    Other countries such as Turkey have a separate customs union agreement with the EU. If we were to have a similar agreement, the EU’s 27 members would set the common tariffs and Britain would have no say in how they were set. We would be unable to enter into any separate bilateral free trade agreement. We would be obliged to align our regulatory regime with the EU in all areas covered by the union, without any say in the rules we had to adopt. And we would be bound by the case law of the ECJ, even though we would have no power to bring a case to the court.
  • Trade: –
    If the EU were to negotiate an agreement with the US that was in the union’s best interests but against our own, our markets would be obliged to accept American produce with no guarantee of reciprocal access for our own goods into the US.

 

With so much to consider, there’s no wonder why Brussels are keen to get on with the negotiation process in such a short space of time.

According to to David Davis, the publication of the papers outlining the government’s aims for Brexit will mark “an important next step” towards delivering the referendum vote to leave the EU.

We just have to wait and see.

Other things you may have missed…

International Development Secretary Priti Patel announced the UK will contribute £100m to the global fight against polio in an effort to eradicate the disease by 2020. The money will fund the immunisation of 45m children annually for the next three years.

The last case of polio in Nigeria was in July 2016, so it could potentially be declared polio-free in 2019, but there will need to be three years without a single case to prove it has been eradicated. In her announcement, Patel highlighted: “The world is closer than it ever has been to eradicating polio for good, but as long as just one case exists in the world, children everywhere are still at risk. Now it is time for others to step up, follow Britain’s lead and make polio history.”

 

Plans to overhaul data protection laws could see Britons granted powers enabling them to ask for their personal data or information (i.e. Social media posts) to be deleted from in the internet. The proposals included in the new Data Protection Bill could see companies receive fines of £17m or 4% of their global turnover – whichever is higher – if they refuse to comply with users’ requests to delete their personal information. The proposed legislation was outlined by Digital Ministers, Matt Hancock, yesterday but will not be published in full until early September.

The Data Protection Bill is designed to bring the UK in line with the EU’s forthcoming General Data Protection Regulations (GDPR), to ensure data will continue to flow freely between the UK and the European Union after Brexit. Under the union’s data rules, personal information can only be transferred to non-member states where an adequate level of protection is guaranteed.

Just goes to show Brexit it more than just about immigration and trade. With so much legislation that needs to be transferred from EU to UK law, can Brexit really be achieved by 2019 or is there scope for a reversal? Pleasing all sides, both remainers and leavers is not going to be an easy task; although the outlook of the UK once Brexit is achieved is still uncertain, one thing that is certain is many people will be left unsatisfied and displeased with life after Brexit.

A renewed (post-Brexit) ‘special relationship’?

Last week Parliamentarians commenced their summer break, and with a ‘zombie government’ in procession, not much is going in the world of British politics. But even so there are still several issues which continue to be scrutinised and debated, the major one being (you guessed it) BREXIT!

Brexit negotiations commenced in Brussels a few weeks ago now and as expected not much has been agreed but there is indeed much that needs to be compromised on. As Britain looks to seek trade deals outside of the European Union, it seems Britain will rely heavily on it’s ‘special relationship’ with the US, now more than ever.

UK/US Special Relationship: derived from Winston Churchill’s 1946 ‘Iron Curtain Speech’, the term describes the political, diplomatic, cultural, economic, military and historical relations between the United Kingdom and the United States.

As talks continue, politicians and commentators alike have been trying to hazard a guess as to what trade deals may be made with other countries and how quickly those deals would be able to come to pass. Undoubtedly because of the UK/US special relationship, trade with America would be top of the list. But what exactly would we be trading with them? One thing that has dominated the headlines this week is chlorinated chicken. *cringe*
Earlier this week, International Trade Secretary Liam Fox said any trade deal with the US would ‘have to include agriculture’ which sparked fears for the arrival of imported US chicken washed in chlorinated water and hormone-fed beef. Contradicting Fox’s statement, Environment Secretary Michael Gove stated we should not allow chlorinated chicken to be imported or the UK.

“No. I made it perfectly clear, and this is something on which all members of the Government are agreed. We are not going to dilute our high food-safety standards or our high environmental standards in pursuit of any trade deal. Our position when Margaret Thatcher was Prime Minister, and our position now, is to be a leader in environmental standards”

During his appearance on BBC Newsnight, Fox seemed to stand by his position in re-aligning Britain’s relationship with the US, saying there is “no health issue” with chlorine washed chicken and that concerns “lies around some of the secondary issues of animal welfare and it’s perfectly reasonable for people to raise that but it will come much further down the road.”

 

The House of Lords EU Energy and Environment Sub-Committee warned that animal welfare standards could be undermined if post-Brexit trade deals left UK farmers competing against less-regulated foreign rivals. They warned that imports from lower-welfare countries could “undermine the sustainability of the industry or incentivise a race to the bottom for welfare standards – contrary to the wishes of the UK industry”.

What this demonstrates is that Brexit is more than just about the economy and immigration; it will have a life-changing impact on every single Briton and will be reflected even in the food we buy and the meals we eat. In a world where many are becoming health conscious (you only have to watch Netflix’s ‘What the Health‘ and rethink your whole diet!), how can we look after ourselves and how can we ensure the food we eat doesn’t have a long-term impact on our health? As we all know, chlorine is more widely used in swimming pools to keep them free of bacteria that can be used to harm us, but there is a BIG difference between swimming in it and ingesting it.

And it’s not only chicken we should be worried about – there are now fears from politicians in Scotland that sub-standard whisky could be imported if the UK strikes a trade deal with the US after Brexit.

The Scotch whisky industry is worth £4bn to Scotland and it is protected from sub-standard products by an EU definition of whisky – but this will change after our European divorce. Politicians in Scotland have thus written to the UK Government, asking for a legal definition of the spirit to be enshrined into law.

Scottish economy secretary Keith Brown said: “Aside from being a key part of Scottish culture and identity, our whisky industry supports around 20,000 jobs. The US made clear in the Transatlantic Trade and Investment Partnership discussions that they would support a relaxation of the definition of whisky, which would open the market up to a number of products which do not currently meet that standard”.

It seems where Brexit is concerned, NOTHING is safe…

 

Conservative Party divisions continue…

…and at the heart of those divisions is, you guessed it, BREXIT.

Immigration Minister Brandon Lewis announced freedom of movement between Britain and the European Union will end as soon as the UK withdraws from the bloc in March 2019. In response, Home Secretary Amber Rudd commented:

“We are applying our own rules on who we want to come to the UK.”

Liam Fox, a hard-line brexiteer has said keeping free movement after Brexit would not keep in line with the EU Referendum result of last June. However, Phillip Hammond has said free movement wouldn’t necessarily be curtailed straight after Brexit, reiterating the need for a transitional period and recommending that new trade deals and regulated movement of peoples isn’t done immediately after leaving the union.

It was only last week there were a few leaks made by cabinet ministers in regards to remarks made by the Chancellor, again sparked from divisions over Brexit so this week to see again another fisticuffs only demonstrates the deep emotions over the issue and proves just how difficult this divorce process will be, not just with our European counterparts but on home soil.

Ministers have been particularly vocal over the post-Brexit transitional period and how that should look like. Pro-Brexiteers in visage the free movement of people will and should be different on the day after we leave the EU in comparison to the day before. These comments come from Mr Fox (he seems at odds with everybody this week eh!) who dismissed the idea that there is a broad consensus n Cabinet that free movement would end in name only for three years after Brexit, as part of a transition deal with the European Union.

Critics such as newly elected leader of the Liberal Democrats Vince Cable, has expressed to the media that the latest schism “reveals a deep, unbridgeable chasm between the Brexit fundamentalist and the pragmatists. Businesses which might have hoped that Philip Hammond had pulled the Government back from a commitment to a catastrophic cliff edge, crashing out of the EU, have been misled. There is no Cabinet consensus for moderation. And the rumours of Boris Johnson being about to resign fuel the uncertainty”.

The Chancellor has said there would be a registration system in place for people coming to work in the UK after Brexit.

Meanwhile, the Luxembourg PM Xavier Bettel has warned that Britain could have to pay a Brexit divorce bill of up to £54bn.

“It is now time for the European Union to make an analogy with the famous quote of Mrs Thatcher, ‘We want our money back'”

Downing Street expects to reveal plans for a new immigration system later this year, to be in place by the time the UK leaves the EU. Amber Rudd has also commissioned a “detailed assessment” of the costs and benefits of EU migrants, as well as the possible impact of reduced EU migration. Whilst the Confederation of British Industry (CBI) has hailed the report as a “sensible first step”, whilst critics have said the study, which is to be published just six months before Brexit, will come a year too late.

 

So much for enjoying the start of summer and listening to May’s call for “strength and unity” eh!

 

Other things you may have missed…

History was made this week as Brenda Hale became the first female president of the Supreme Court. Also another female judge, Lady Justice Black, became the second woman appointed to Britain’s highest court. Hale, a champion of diversity in the judiciary who joined the Supreme Court in 2009, has previously said, “Excellence is important but so is diversity of expertise”, and in 2015 warned the Supreme Court should be ashamed if it does not become more representative of the population. Her appointment is historically important as the Supreme Court has over the years been criticised for it’s lack of female representation in being primarily dominated by men. Hale’s new role shines a light on women being able to sit as judges in the UK’s highest court but we mustn’t sit idly – there is still long way to go in terms of wider representation, for instance appointment of judges from widespread ethnic minorities. Commenting on the announcement, the Bar Council said Hale’s appointment will “serve as an encouragement to all”.

 

Communities Secretary Sajid Javid has announced plans to ban developers from selling newly built houses as leaseholds to protect homeowners from extortionate fees. Properties in the UK are either sold as freeholds or leaseholds, and those who buy leaseholds must pay fees to a freeholder, who owns the ground the house is built on. These fees – including service charges and ground rents – can increase by vast amounts every year, leaving homeowners paying thousands of pounds on top of their own mortgage payments. Under the proposals, ground rent would be significantly reduced and leaseholds on new builds banned. The planned proposal could prove to help the growing housing crisis in the UK, particularly in London, also giving first time buyers an opportunity to buy a property without the added hassle and cost.

With the way Brexit negotiations are going, we all could do with some good news!

 

Leaders of the world unite!

Last week, world leaders from across the globe attended the G20 Summit in Hamburg. But what exactly is ‘G20’ and why was the summit held? G20 stands for ‘Group of Twenty’ and is an international forum that bring together the world’s leading and emerging economies. The G20 accounts for 85% of the world’s GDP* (Gross Domestic Product) and 2/3 of its population.

GDP: the total value of goods produced and services provided in a country during one year.

The G20 meets to seek co-operation on  economic issues facing major and emerging economies. The Group of Twenty is comprised of 19 countries, including the European Union. The countries are:

  •  Australia
  • Argentina
  • Brazil
  • Canada
  • China
  • France
  • Germany
  • India
  • Indonesia
  • Italy
  • Japan
  • Mexico
  • Russia
  • Saudi Arabia
  • South Africa
  • South Korea
  • Turkey
  • UK
  • USA
Image result for g20 2017

G20 Leaders at the 2017 summit in Hamburg, Germany

The Summit tends to meet once a year with this year’s event taking place in Hamburg, Germany. President Donald Trump met Russian President Vladimir Putin for the first time last Friday, after which Putin claimed the US President accepts his denials of Russian meddling in last year’s presidential election. Now with all the accusations and mounting evidence of Trump’s link to Russia, do we really believe the Russian and US leaders met for THE first time during the G20 summit? Either way, they did seem to get on pretty well…

UK Prime Minister Theresa May also held a meeting with Trump, who has subsequently said he expects a post-Brexit trade deal with the UK to be completed “very, very quickly”. Contrary to what Trump may believe, trade deals take a considerable amount of time to negotiate, regardless of any special relationships with foreign nations. May clarified that discussions were not about details of an actual trade arrangement but were rather more an opportunity to signal that she is looking beyond the EU for future economic relationships.

By the end of the summit, it was more G19 than G20 after the world leaders recognised Trump’s decision, in a joint statement, for the US to withdraw from the Paris climate change agreement.  The Paris climate change agreement, known at the ‘communique’ commits nearly 200 countries to taking measures to reduce global warming. Breaking with tradition, a separate paragraph on the US’s stance on the Paris climate agreement and fossil fuels was added. Germany Chancellor Angela Merkel said she “deplored” the decision by the US to withdraw from the Paris climate change agreement, but said that all other nations agree Paris climate accord is “irreversible”.

 

Conservative re-launch?

Back in Britain, it’s been a year since Theresa May took on the premiership from David Cameron after the Brexit result last June and to commemorate the occasion, the Prime Minister has sought the opinions of other UK political parties on how to tackle issues such as Brexit, terrorism and social care.

 

In her speech above, she calls for her political opponents to “contribute, not just criticise”. Is Theresa May showing she cannot cope? Well the Labour Party seem to think so, saying it shows the Theresa May and her party have run out of ideas. The speech came amid rumours some Conservatives are plotting to oust May as party leader, although ministers loyal to the Prime Minister have dismissed the claims as “gossip”.
During Wednesday’s PMQs, Emily Thornberry, Shadow Foreign Secretary also picked up on May’s weakening power, showing Damian Green some sass and savagery as they both stood at the dispatch box whilst Jeremy Corbyn and Theresa May welcomed the King and Queen of Spain during their state visit.

 

Brexit update

The UK government has published its central piece of Brexit legislation, the ‘Great’ Repeal Bill which will end supremacy of EU law in Britain. It will annul the 1972 European Communities Act (ECA), which currently gives EU law instant effect in the UK and prevent a legal “black hole” existing after Brexit. The aim for this legislation to is to convert all EU requirements into British law as soon as the UK exits the union.

However, Theresa May could face a constitutional crisis as the Scottish and Welsh governments have said they will not give their consent to the legislation. The bill is intended to “maximise continuity” on the day of the UK’s departure. It would see all existing EU laws converted into domestic law, allowing the government to decide which rules and regulations it wants to keep after Brexit. It is hoped this would give confidence to businesses, workers and consumers as any unexpected changes on the day of Brexit would be minimised. The bill contains a series of delegated powers and ‘Henry VIII clauses*‘ which means ministers will be able to make new laws without putting it to a vote in Parliament. Shock. Horror. Not only does this give ministers the potential to abolish some pretty important rights protected under EU law such as right to equal treatment and maximum working hours for workers, it arguably undermines democracy. There are limits as to when the Henry VIII clause can be applied – if a minister deems there is an urgent matter then no vote need take place – but as the two year Brexit window whizzes by, what wouldn’t count as urgent? Surely all political parties should be given a say, not least because they happen to represent a considerable number of people who partook in the EU referendum? And besides, who wants a one-party state?

Henry VIII clauses: enables primary legislation to be amended or repealed by subordinate legislation with or without further parliamentary scrutiny. Such provisions are known as Henry VIII clauses, so named from the Statute of Proclamations 1539 which gave King Henry VIII power to legislate by proclamation.

Hours after the bill was published, the Scottish and Welsh leaders, Nicola Sturgeon and Carwyn Jones, issued a joint statement dismissing the legislation as a “power grab” by Westminster that attacks “the founding principles of devolution” and said they would not consent to it without substantial redrafting. Should Holyrood and the Welsh assembly withhold their legislative consent, the government could press on with the bill in its current form but the move may threaten a constitutional crisis by undermining the authority of the devolved governments.

In a further challenge to the government, Labour has said its MPs will not vote in favour of the bill, with Shadow Brexit Secretary Keir Starmer setting out five concessions the government must make to win Labour support, including protection of workers’ rights and environmental standards.

 

Also in Parliament…

Prime Minister Theresa May ordered an investigation into intimidation and abuse suffered by parliamentary candidates during the General Election campaign. The announcement came as an unprecedented debate was held in the House of Commons on the issue, during which MPs provided first hand accounts of anti-Semitic attacks, racist abuse, slashed tyres and death threats. Ahead of the debate, Conservative and Labour  MPs traded blows over who is to blame for the increase in abuse, with Tory MP Simon Hart accusing pro-Corbyn group Momentum of giving “implicit consent” to attacks on Conservative candidates, while Labour said the Tories put “vitriolic personal attacks” at the heart of their campaign.

Of course, these attacks on members of Parliament date further back to just recent elections as pointed out by Diane Abbot MP.

 

The All-Party Parliamentary Group Against Anti-Semitism called for new laws and tougher discipline by parties, with a report by the group finding women and ethnic minority candidates are particularly at risk.
The growth of new media has not helped and in a world where we are taught to be more tolerant, how much of this rings true? It’s no secret Britain is a diverse and multi-cultural, multi-ethnic country so why then do our representatives get so much hate and stick? Some have blamed Brexit for the surge in hate crimes but what about incidents prior to the referendum? The general idea of Britain is that it is (c)onservative in its beliefs and traditions, so is very patriotic, believes in a small state with minimal intervention, protection of private property and upholds law and order. But what does this have to do with the hate and abuse MPs receive? Well it may have to do with right wing extremists who are hostile to immigration, particularly with the recent terrorist attacks that have taken place across the globe. Add into the mix the lingering misogyny amongst these groups and you will see women, particularly ethnic minority women are more likely to face the full force of these abuse and racist attacks. The rise in social media over the years exemplifies the situation and only makes it easier for these anonymous trolls to spout such spite. The difficulty in tracking down these perpetrators is that very often they are anonymous and so cannot be easily reported but perhaps this is up to social mediums to use their resources to shut down accounts?

Labour MP Paula Sheriff highlights “It is not about a particular party or particular faction. It is about the degradation of political discourse online.”

Another thing to consider would be how the mainstream media (news channels, newspapers etc) reports such incidents rather than amplifying it as the Sun Newspaper has done very often.

The Committee on Standards in Public Life will look at the nature of the problem of intimidation, considering the current protections and measures in place for parliamentary candidates, reporting back to the Prime Minister.

 

Other things you may have missed…

Labour MPs have begun their inquiry into diversity in the cultural sector in an aim to boost working class representation in the arts. The panel was chaired by Labour MP Gloria de Peiro who said there was a “definite glass ceiling when it comes to the acting profession” and cited research by the London School of Economics that showed only 10% of actors said they came from a working class background and from the Sutton Trust that showed 42% of Bafta winners went to fee-paying schools.

The panel was also made up of Deborah Williams, executive director, Creative Diversity Network; Lee Mason, a drama commissioner at Channel 4; John Cannon, a casting director at BBC Studios; Cassie Chadderton, head of UK Theatre; David Mercatali, the chair of Stage Directors UK Diversity Working party; and Labour MP Tracy Brabin. Williams, who created the diversity standard for the BFI and is now overseeing Project Diamond, the biggest project monitoring diversity across all areas of British broadcasting, said perceptions about the TV and theatre roles black actors “can and should play” needed changing.

 

Conservative MP Anne Marie Morris has been suspended from the party after she was recorded using racist language at a meeting of pro-Brexit MPs at central London’s East India Club. Morris, who has represented Newton Abbot in Devon since 2010, is under investigation over the comment, which she has described as “totally unintentional” and has “apologise[d] unreservedly”. Announcing the suspension, Theresa May said she was “shocked” by the “totally unacceptable” language. The suspension of Morris could put more pressure on May’s minority government, which is relying on the support of Democratic Unionist (DUP) MPs after losing a majority in the General Election. ?Such language should never be used, especially by a public figure elected to represent a wide range of people, regardless of their colour or creed, which begs the question as to whether suspension goes far enough. When Ken Livingstone made his comments about Hitler and Zionism, many called for his expulsion so surely Anne Marie Morris should also be given the same treatment and persecution…?

 

Plans for a statue of former Conservative Prime Minister Margaret Thatcher have been blocked by the government over fears it would be vandalised by left-wing activists. A planning application has been submitted to Westminster city council requesting permission for the erection of a 10ft statue depicting Thatcher in a “resolute posture looking towards parliament with a stern gaze”. However, formal objections have been lodged by the Royal Parks Agency and the Department for Digital Culture, Media and Sport. They say that they have not received assurances that the project has the permission of Baroness Thatcher’s family. There are also concerns in Whitehall that it will be repeatedly targeted by protesters. The £300,000 work was commissioned by the Public Memorials Appeal shortly after the former Prime Minister’s death in 2013.

Should there be a statue of Britain’s first female Prime Minister in Parliament Square? Or is it right plans for the statue were blocked given the controversy during her premiership over policy such as poll tax and privatisation of core industries?

“Give our public sector workers a pay rise!”

The big news this week in the world of British Politics has been over the 1% pay cap on public sector workers. If you’re wondering what the heck is a 1% pay cap, take a seat while this blog post gives you the lowdown…

What is the 1% pay cap on public sector workers?

The cap, first introduced by then Chancellor of the Exchequer, George Osborne, in 2013 replaced a two-year pay freeze as part of a wide-ranging austerity package introduced by the coalition government. What this means is many public sector workers since the introduction of the pay cap have not seen a rise in their wages as the cap permits a 1% per cent annual increase in public sector pay. However the wages of those in the private sector has increased ever so slightly in comparison. Take a look at the diagram below…

AVERAGE EARNINGS GROWTH: 

AVERAGE EARNINGS GROWTH: 

Graph depicts percentage changes between the private and public sector. Source: Source: ONS – Annual % changes in three month average regular pay

 

So why all the fuss now? 

In line with recent tragedies in Manchester, Westminster, London Bridge, Finsbury Park and the fire at Grenfell Tower, our emergency services have been praised by politicians and civilians alike. Everyday and especially in dire times, our public servants go above and beyond which is why many politicians have called for their hard efforts to be recognised by lifting the 1% pay cap to ensure all public servants receive a pay rise.

Senior MPs such as Foreign Secretary, Boris Johnson and Environment Secretary, Michael Gove are amongst many Conservative cabinet ministers and backbench MPs  who are calling on Prime Minister Theresa May to consider lifting the 1% pay cap for public sector workers. Although Johnson and Gove did not out-rightly suggest the cap should be lifted for all 5.1m public sector workers, they have encouraged Theresa May to listen to an upcoming report by pay review bodies, which most likely will recommend the government lift the cap when it is published later this month. In the  Conservative Party manifesto, they had committed to keeping the cap until 2020.

The Labour Party  have also called for the cap to be lifted as they proposed an amendment to the Queen’s speech calling for an end to the pay cap, however it was rejected by 323 MPs in a vote in the House of Commons as the DUP voted in line with the Conservative Party as part of their informal coalition. In response to Labour’s defeated amendment, the leader of the Party, Jeremy Corbyn, commented:

“Tonight, the Conservatives had an opportunity to put their money where their mouth is, by ending cuts to our police and fire service and lifting the public sector pay cap.

“Although government ministers said they had learned the lessons of the general election and were listening to voters, it is clear that nothing has changed.

They had the perfect opportunity to walk the walk, but instead they marched through the lobby to show Tory austerity is business as usual.

While the money is there when the Conservatives need it to keep themselves in office, the rest of the country now face more devastating cuts to our emergency and other vital services.

The Conservatives clearly plan to keep working for a privileged few. Only Labour is ready to form a government that will work for the many.”

 

Despite pressures from the two major political parties, No. 10 Downing Street (where Prime Minister Theresa May resides) have confirmed there will be no changes to the pay cap. The Prime Minister’s spokesman has said they are “working through recommendations” from the public sector pay review bodies and would respond to those recommendations “in due course”.

The Institute for Fiscal Studies has estimated that increasing public sector pay in line with the private sector would cost an extra £6.3bn a year. Some might say if Theresa May can find an extra £1.5bn to keep her position as Prime Minister, she could surely offer the same courtesy and allow public sector workers to have some stability through their pay. But hey, it’s not like we don’t have nurses and teachers leaving the profession, seeking employment across the pond and risking the future of our younger generation…

In addition to the 1% annual rise, some NHS staff also get gradual increases in their pay as they progress in their roles.

The public sector employs millions of people both within central government and local government. This includes:

  • NHS workers (domestic staff, porters, administrators, nurses, doctors etc)
  • Teachers and those who work in education
  • Law enforcement and security
  • Social Services
  • Armed Forces
  • Police
  • Fire Service
  • Justice

And many more…

Shadow health secretary Jonathan Ashworth said the pay review bodies should consider a pay rise for public sector workers in line with the rise in average earnings across the economy.

Other things you may have missed…

Along with Brexit negotiations, the UK government has decided to pull out of the London Fisheries Convention which allows foreign countries to fish in British waters. The Convention was signed in 1964, before the UK joined the EU; withdrawal will take two years. Under the convention, vessels from France, Belgium, Germany, Ireland and the Netherlands are permitted to fish within six and 12 nautical miles off the UK coastline. British vessels will also lose the right to fish in the waters of other nations. Environment Secretary Michael Gove says the withdrawal will let the UK “take back control of our fishing policies”. But Greenpeace UK warned the move alone would not deliver a better future for the UK fishing industry. Looks like the UK really is ‘taking back control’…

 

On the subject of ‘taking back control’…

The government has reportedly dropped its ‘have cake and eat it‘ approach to Brexit, as ongoing negotiations have caused the Department for Exiting the EU (DexEU) to now accept that Britain must choose between privileged market access and political control in Brexit talks with the European Union. This change of thinking within the government represents a clear departure from the early negotiating position set out by the Prime Minister in her Lancaster House speech in January. May suggested that Britain would be able to negotiate a Brexit deal based on full access to the European single market without concessions over immigration and payments to the EU. Civil servants have reportedly since told government officials they face a choice between a deal based on preferential access to the single market but surrendering demands for independent immigration and leaving the ECJ, or a “taking back control” agreement cutting all ties with the EU but with a less favourable trade deal.

 

Pensions minister, Guy Opperman, has been criticised for his suggestion that millions of women under the age of 60 who face cuts to their state pension should take up apprenticeships in order to re-enter employment. His comments were made at a debate in Westminster Hall to discuss the changes to the law which will mean the state pension age will rise from 60 to 66 by 2020, delaying access to pensions for women born in the 1950s. SNP minister, Mhairi Black has campaigned frequently against the change in law and had told MPs if the Conservatives could find £1bn to strike a deal with the DUP, they could afford to give women the pensions they are due. Despite many ministers across the political parties arguing the changes are unfair, Mr Opperman says the government is committed to “life-long learning” and will make no concessions.

 

The German Green party, which had pushed for LGBT rights for decades, finally got their victory after the German parliament voted in favour of legalising same-sex marriage by 393 votes to 226 with four abstentions. As it was a free vote, lawmakers were permitted to vote according to their conscience rather than obeying party lines. The vote which permits LGBT people to marry and adopt was called by Chancellor Angela Merkel’s coalition allies the Social Democrats (SDP). However, Merkel voted against the move. Congrats Germany! 🇧🇪🌈

Who says this blog only comments on British Politics eh! 😉

May-Day! May-Day!

Andrea Leadsom pulled out of the Conservative Leadership race this week, leaving Theresa May as sole contender and the new owner of the keys to No. 10 Downing Street.

It may or may not have come as a shock to some of you, but Leadsom did come under a lot of pressure for her remarks on her suitably as PM last week. But, there are now some disputes (as there always is in politics) over the way in which May has become PM, questioning democracy in Britain. Bear in mind even Conservative members have not had a say in May’s sudden leadership, never mind the electorate. This causes some to question whether we should have an emergency general election to legitimise May’s premiership?

Let’s take a look at Theresa May’s policy record:

 

At least Cameron seems happy.

On Tuesday, Cameron chaired his last Cabinet meeting, with May taking over the reigns after Wednesday’s PMQs.

Labour’s leadership battles continue – with Angela Eagle launching her leadership bid. Unfortunately (or fortunately, depends on your stance) was overshadowed by the Leadsom’s decision to stand down from the Conservative leadership race. Poor Eagle was left in an almost-empty room with journalists fleeing her leadership launch to attend to Leadsom’s front steps as she announced her resignation, thus making Theresa May the Prime Minister-in-waiting.

Oh dear oh dear. What an awkward sight. If things weren’t already awkward for the leadership hopeful, on Tuesday evening, it was announced that Jeremy Corbyn WILL in fact be on the ballot in the Labour leadership contest. Has the #chickencoup failed? Well with thousands of Corbynistas and Labour’s increasing membership (again, Corbynistas perhaps?) it is likely that Mr Corbyn may be elected with an even bigger mandate, a way to show the Blairites within the party that ‘New Labour’ is well and truly dead.

If divisions within the party weren’t prominent before, they sure are now. With Eagle’s constituency office vandalised and Owen Smith also launching his own leadership campaign, it is an understatement to say the party is going through one bumpy ride. The question is, what happens if Corbyn is elected with a much bigger mandate? One alternative scenario is ‘Momentum’ becomes a new party in itself, with Corbyn as its leader and thus rival to Labour centrists. But let’s not speculate eh.

Needless to say, May’s cabinet reshuffle did gain a lot of attention, with Boris Johnson being brought back into the limelight with his appointment as Foreign Secretary. Yes, BoJo is now the man who will represent the UK to the rest of the world. Hm. May’s other cabinet appointments include:

It is important to note the new role of ‘Brexit Secretary’ held by David Davis – the creation of a new department suggests May’s intention to act swiftly in Britain’s negotiations to exit the EU. Mr Davis, a firm brexiteer commented that Article 50 could be triggered as early as next year, allowing the UK “to negotiate free trade deals with the world’s biggest economies could allow the public to see some of the economic benefits of Brexit before the likely date for withdrawal from the EU around the end of 2018”.  If you were hoping for a second referendum, then you’re out of luck i’m afraid.

 What will May’s leadership bring over the next four years (that’s if she lasts that long the way British politics is going!)? Is this the beginning of the end for the Labour Party as its internal woes continue?

After yet another week of speedy politics, sit back, relax and reminisce over Cameron’s legacy as leader of the Conservative Party for 11 years and PM for 6 years. How will you remember him?