Tag: EU-Propaganda

Brexit-Watch: Monday 29 June 2020

Brussels still hankers after British fish

Note: this article was originally published at The Conservative Woman on Saturday 27 June 2020

Choosing four recent Brexit-relevant media articles which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.

NB: (£) denotes article behind paywall

 

Frost outlines the areas he won’t sacrifice as he faces BarnierDaily Express

It’s reassuring that our chief Brexit negotiator David Frost is again insisting that, on three specific policy areas which can be grouped under the generic heading of sovereignty – the law, the courts, and fishing – there can and will be no concessions to Brussels.  As always, however, the devil is in the details.

In the context of the article, ‘the law’ means the ‘level playing field’ issue under which Brussels, for its own self-serving protectionist reasons, wants Britain to guarantee to maintain a business-regulatory regime equivalent to the EU’s.  Needless to say, the UK’s Continuity-Remainer big-business lobby has latched on to this and is pushing it, although thankfully with apparently limited success.

An independent legal regime and judicial system is a key manifestation of sovereignty.  Yet the EU has continued to try and bind the post-Brexit UK as closely as possible within the pan-EU corpus juris and thus keep domestic business-regulation germane to our EU exports under the jurisdiction of the integration-biased European Court of Justice.  Again, Frost’s repeated refusal to give ground on this is welcome.

The fishing issue is dealt with below, but the potential fly in the ointment in all this is Johnson’s increasing personal participation in the talks. His making disadvantageous concessions just for the sake of a deal, either out of his habitual distaste for fine detail or a desire to appease opponents of No-Deal purely for domestic political reasons, can’t be ruled out.  Hopefully, though, even he realises his stock has fallen so low because of his Government’s mis-handling of the COVID19 outbreak that he can’t afford to be seen to botch Brexit by fudge as well.

 

Britain still top dog in Europe for financial services investment – City A.M.

Well, that wasn’t in the anti-Brexit fanatics’ Project Fear script, was it?  Britain remaining the European country most attractive for foreign direct investment (FDI), suffering the least decline in inward FDI of all European countries in 2019, and beating the rest of Europe as the most attractive destination for financial services FDI post-COVID19 by a margin of 40% to a mere 8%. 

It isn’t hard to see why. Firstly, there’s the EU’s inherent ideological commitment to imposing regulatory harmonisation rather than accepting regulatory equivalence, and the fact that London is already pre-eminent in financial services, which tends to create a clustering effect.  Secondly, as I’ve previously pointed out, there’s the EU’s intention to introduce a disastrous pan-EU Financial Transactions Tax, already tried by Sweden but abandoned because of its innate flaws, distortions and disincentives. Why would any financial services business pick Europe over London?  

 

Recovery: we must embrace this opportunity for systemic trade renewalGlobal Vision

Major exporter Alastair MacMillan is undoubtedly in saying that the urgent need for recovery from the self-inflicted damage caused by the Johnson Government’s panicked shutdown of the economy requires trading flexibility and innovation, not an extension of the Brexit transition period.

In fact, extending the transition period would not merely be unproductive but counter-productive. As our own economy struggles to recover, we would continue to be liable, both for current EU contributions and any additional ones the EU demanded as part of its own COVID19 recovery package, without any input into determining either their scale or qualification criteria.

That the EU much dislikes Britain now negotiating its own trade deals as an independent country, and is institutionally incapable of thinking innovatively on matters such as tariff definitions, is glaringly evident. We should be actively resisting any such obstructionism, and pushing for maximum flexibility at every stage.

 

The EU is attempting to capsize post-Brexit fishingGet Britain Out

There appears to be an attempt by Brussels to effectively retain control over access to UK territorial waters, under the spurious guise of conservation of a species whose rising numbers no longer merit it to anything like its previous extent.  Considering the degree to which the EU’s fishing industry is dependent on such access, this looks like a blatant subterfuge, and should be dismissed out of hand.

The scale of leverage Britain enjoys over that dependence is such that it’s being suggested it should be partly traded away in return for major EU concessions on ‘rules of origin’ trade rules. Given that the EU has a history of either accepting concessions while offering non-equivalent ones in return, or of demanding even more, that too should be approached warily.  Time and time again Brussels has shown that it is neither honest broker nor reliable interlocutor.

Rightly or wrongly, fishing and the sovereignty of its national territorial waters are symbolic issues, by which Johnson will be judged whether he has either succeeded in extricating Britain from the authoritarian, rapacious maw of the EU or capitulated to it, however disingenuously the surrender would be spun.  We would be unwise to bet against the latter outcome.

 

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Brexit-Watch: Saturday 09 May 2020

Note: this article was originally published at The Conservative Woman on Thursday 07 May 2020

Choosing five recent key Brexit-relevant story headlines which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.

NB: (£) denotes article behind paywall

 

UK bans PPE exports to countries outside the EU, unless on humanitarian grounds – Daily Telegraph (£)

The ban is, reportedly, solely because of rule drawn up in Brussels.  So, disregarding the fact that the EU is increasingly in no position to control what its member-states do anyway, after so many of them have by-passed it in unilaterally taking anti-COVID19 action at individual nation-state level, it sheds an interesting light on Brussels’ much-trumpeted ‘European values’ that ‘humanitarian grounds’ are apparently enough to justify an exemption from its ban on PPE exports outside the EU, while Italy’s earlier requests for face marks and medical gear were met with a stony silence.

Far from being ‘left with no choice’, the UK government could, and should, be ignoring it.  After all, France and Germany ignore EU rules on state aid with impunity, so what sanctions could the EU bring to bear against a UK which did the same?  Become intransigent in trade talks?  It already is, and always has been.  Abandon those talks and end the Brexit Transition early?  Bring it on.

Inasmuch as it applies to Britain, this particular Brussels ban feels more symbolic than real. Ever since the 2016 EU Referendum, Brussels has tried to limit, if not veto outright, Britain’s ability to strike non-EU trade deals until it was entirely outside the bloc, and this latest development should be seen as a mere continuation of that process. 

 

Brussels’ ‘Level Playing Field’: A Strategy of EntanglementBriefings for Britain

Despite the Continuity-Remainer claim, that conceding an ongoing close alignment with EU regulations is only a reasonable condition for getting a trade deal, this approach has long been regarded as just a backdoor means of keeping Britain entangled in the EU.

Just how un-separated from Brussels control that would leave the UK is revealed in this concise but comprehensive briefing note from the former Head of International Trade Policy at the Department of Trade and Industry.  Far from being restricted to trade,  it would cover a swathe of policy areas, from employment law, to mandatory pooling of pension funds, to domestic tax rates.

Writing recently for Global Vision, former Vote Leave campaign director Daniel Hodson suggested that, such are the repeated failures of understanding on the part of the EU machine and its UK Establishment cheerleaders that just one more Brussels negotiating blunder could see Transition end, on schedule, with a clean, WTO-based, Brexit.  The briefing note on how enmeshed in Brussels’ red-tape signing up to the so-called ‘level playing field’ would leave us can only heighten the advantages of that WTO clean-break option. 

 

Firms in EU tax havens cannot be denied Covid bailoutsEU Observer

Considering how vehemently the EU rails against even those so-called ‘tax havens’ – or more accurately, ‘competitively low-taxed international financial centres’ – lying within its own borders, it has so far sadly proved impossible for your humble scribe to stifle a certain degree of schadenfreude on reading this.

At one level, it provides a good example of the perverse contradictions inherent in much of the EU’s attachment to one-size-fits-all regulation: in this case where the free movement of capital comes up against the prohibition (frequently and openly flouted by individual member-states’ national governments) on state-aid.

At a second, it shows why Merkel’s latest initiative, for a Financial Transactions (‘Tobin’) Tax as part of a drive for accelerated pan-EU fiscal harmonisation during Germany’s tenure of the rotating EU Council presidency, is almost certainly doomed to fail, even discounting the innate flaws of the tax itself, which Sweden tried, only to abandon it.

 

UK-US trade talks begin, as COVID19 casts its shadowGlobal Britain

And not before time, either.  Given that Frost and Barnier, after recovering from their own initial bouts of COVID19, were able to resume and continue UK-EU trade-talks via video-link, it remains something of a mystery why the UK-US negotiations on a post-Brexit trade deal were ever curtailed at all.

The resumption of UK-US trade talks  is essential for two principal reasons.  First, the USA is Britain’s largest trading partner in terms of export sales, despite the disingenuous practice of anti-Brexiteers trying to pretend otherwise by recording the EU as if it were one country by aggregating our exports to its 27 members.

Secondly, for as long as the UK-EU talks last, it is crucial to demonstrate clearly to Brussels that Britain considers itself an independent sovereign nation with the power to conclude trade deals with whomsoever it chooses across the globe, notwithstanding the EU’s attempt to restrict it in doing so until wholly outside its influence.

 

Northern Ireland tensions threaten to derail long-term EU-UK dealFinancial Times (£)

On the face of it, just why the staunchly pro-EU and anti-Brexit FT should choose now to revive the spectre of Northern Ireland’s status, once Britain has wholly left the EU, potentially wrecking the UK-EU negotiations isn’t immediately apparent.  Until, that is, one remembers that the EU last week not only repeated its demand to retain an official post-Brexit presence in the Province, but also launched what was seen in some quarters as an attempted power grab over the Province’s fishing industry.

The FT appears to assume that the prospect of Britain exiting Transition without an agreement is unthinkable.  But, as other links cited elsewhere in this article suggest, the likelihood of a satisfactory deal is receding, due primarily to Brussels’ inflexibility and intransigence, while the prospect of a clean-break WTO exit from Transition is growing.

Note, incidentally, the FT‘s description of Northern Ireland as ‘British-ruled‘’, as if it was merely the temporarily occupied territory of another country, instead of that part of the United Kingdom of Great Britain and Northern Ireland sovereign territory which chose to remain so rather than follow the rest of the island of Ireland in seceding from what was formerly the United Kingdom of Great Britain and Ireland.  Is the Continuity-Remainer FT now so anti-Brexit and pro-EU as to embrace irredentist Irish Nationalist Republicanism, even though the Republic’s claim to sovereignty over the Six Counties was dropped as part of the Good Friday Agreement?

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Brexit-Watch: Thursday 23 April 2020

Note: this article was originally published at The Conservative Woman on Tuesday 21 April 2020

Choosing five recent key Brexit-relevant story headlines which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.

(NB: (£) denotes article behind paywall.)

 

Frost and Barnier agree UK-EU FTA TimetableGuido Fawkes

Far from acquiescing to the persistent, disingenuous pleas of the Continuity-Remain lobby for the suspension of negotiations with Brussels and the deferment of Brexit via an extension to the Transition period, the Number 10 team appears to be both ramping them up and tightening the schedule.  Perhaps it was lucky that our chief negotiator had his brush with coronavirus early on during the outbreak, rather than now.

It’s also maybe no coincidence that this happened during the week that the PM’s top adviser/chief of staff Dominic Cummings returned to Downing Street after his own bout of COVID-19, and almost immediately upped the pressure on Brussels by not only categorically ruling out an extension but also gearing up preparations for a No Deal Brexit on 31 December.

 

Government rejects IMF advice to extend Brexit transition periodTelegraph (£)

We will not ask to extend the transition period, and if the EU asks, we will say no.’

How gratifying it was to read such an unequivocal response from Number 10 to the unsolicited ‘advice’ of the same IMF which, in 2016 when headed by the Christine Lagarde now spooking the financial markets by failing as head of the ECB to deal adequately with the burgeoning euro crisis, participated enthusiastically in George Osborne’s anti-Brexit Project Fear, and endorsed his Treasury’s wildly inaccurate forecasts of the economic Armageddon which it claimed would surely ensue from merely a vote to leave.

The IMF has no formal relationship to the EU, and certainly has no, in effect, locus standi in UK-EU negotiations.  In addition, the present incumbent, Bulgaria’s Kristalina Georgieva, being a former both Eurocrat and Vice-President of the unelected EU Commission presided over by the invariably well-refreshed Jean-Claude Juncker might suggest that its ‘advice’ was not entirely impartial, and had more to do with pro-Brussels politicking than a concern for trade uncertainty.

Even if this were not the case, the IMF itself is much diminished and discredited; it has been ever since its own watchdog revealed in 2016 the extent to which its management had played down the structural flaws and unemployment effects of the Euro because of its ideological commitment to the EU Project, and allowed European Union insiders to exploit the Fund’s resources to rescue their own deficient currency union and banking system.

 

A Brexit TutorialBriefings for Britain

Amid the demands for an extension of the Brexit Transition period from unreconciled Remainers/Rejoiners shamelessly seizing on the coronavirus outbreak as an excuse to at least defer, but preferably halt, Britain’s full and final exit from the EU, comes a timely reminder of why the millions of people who voted for it, but whose opinions are under-represented in the political, media, cultural, business and academic environments where EU-philes cluster, did so.

Despite the vote for Brexit having been dismissed by its opponents as a somehow democratically illegitimate expression of insular ignorance and prejudice, the serious psephological and sociological analysis that now exists shows it to have been the predictable consequence of major social and political changes, occurring over a long period, which disproportionately benefited a minority metropolitan elite and managerial overclass.

As the political beneficiary of the ballot-box revolt against that overclass, the current government should be aware that to accede to its current demands to halt Brexit would be the first step on the road to political defeat.

 

Europe apologises to Italy: von der LeyenAnsa English edition

When sorrows come, they come not single spies, but in battalions.

With –

  1. the UK’s resolve that, come what may, there will be no extended Transition period showing that Brexit is not going according to Brussels’ preferred script;
  1. the EU’s centralised authority in pieces as its member countries’ governments unilaterally decide their individual coronavirus response policies to protect their citizens at nation-state level without even consulting it; and
  1. the Eurozone facing imminent crisis as its more fiscally-precarious economies struggle to cope with the effects of their COVID-19 lockdowns,

von der Leyen could well have contemplated the inherent truth of Claudius’ words in Shakespeare’s Hamlet as she felt the need to apologise in the EU Parliament for its cavalier treatment of Italy during the early stages of the outbreak.

Yet her patently untrue, arguably even semi-deluded, assertion that ‘Europe has become the world’s beating heart of solidarity‘ suggested that, even in the present circumstances, a supranationalist, integrationist pan-Europeanism still dominates her Commission’s thinking.  Britain should not hesitate to emphasise to the Brussels negotiators that concluding a fast-track trade agreement with us will let the EU cross off Brexit as a subject and concentrate on addressing its internal troubles.

 

Four reasons why leaving the EU will help us recover from the lockdown quickerTelegraph (£)

The UK Government’s lockdown is deliberately inducing a severe recession; but already some of the support for small businesses announced by the Chancellor in his package of measures is reportedly being prevented by EU rules on state aid from reaching their intended beneficiaries, needlessly exacerbating their difficulties.  Furthermore, for as long as we remain in Transition, we remain subject to EU single-market regulations, when we might conceivably want to eliminate tariffs to counter a rise in food prices caused by falling production.

As if those factors weren’t enough, if Transition is extended, we remain liable for continuing financial contributions to the EU as a matter of routine, before any additional contribution to an EU bailout of the struggling economies on its southern fringe, as well as a rescue of the Eurozone itself.  If we are to have the least worst option of a V-shaped recovery from the coronavirus pandemic, we can ill afford to be committing funds to an institution trying to make it as difficult as possible for us to complete our exit and to disadvantage us in the process.  There is every reason, not to delay our final departure, but to accelerate it.

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Brexit-Watch: Tuesday 14 April 2020

Note: article originally published at The Conservative Woman on Tuesday 14 April 2020

Choosing four recent key Brexit-relevant story headlines which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.

(NB: (£) denotes article behind paywall.)

 

Brexit breakthrough: How Boris Johnson will force Brussels to agree brilliant trade dealDaily Express, 12th April

Well, maybe.  But even when Johnson is eventually discharged from hospital, he is likely to be hors de combat for at least a month in post-recovery convalescence after his attack of coronavirus. In his absence, his de facto stand-in Dominic Raab, albeit for understandable quasi-constitutional reasons, would probably be reluctant to adopt such a hard line with the Brussels negotiators, justified though it would be.

On the other hand, we’re only just approaching the peak of the coronavirus epidemic, so Johnson may well be back in the saddle by the time they resume in earnest with political involvement, although they wisely continue at negotiator level, despite cynical calls from Continuity-Remainers to call them off using COVID-19 as an excuse.

 

The UK has a winning hand: let’s not be bluffed out of playing itCapX, 9th April

The authors correctly make the point that, in contrast to the long-trailed Remainer mantra that ‘the City of London needs to be in the EU’s regulatory framework in order to prosper‘, the boot is now effectively on the other foot, exacerbated by the Eurozone crisis and Germany’s refusal to mutualise EU debt, in defiance of the logic of the Euro’s creation, of which Germany was such an enthusiastic advocate.

With the Brexit-extension lobby currently vocal, it remains a mystery why this advantage is apparently being neither leveraged nor even publicised in response.  That advantage would be maximised if the UK-EU talks were held in parallel with the UK-USA talks, but the latter have just officially been postponed indefinitely.

Clearly, the hiatus in leadership and diversion of Cabinet attention to COVID-19 is a factor in both being allowed to happen; but equally, one can’t discount the possibility of the malign influence of Cabinet Secretary Sit Mark ‘Huawei’ Sedwill.  In a reprise of the worst aspects of Theresa May’s disastrous premiership, Britain possesses a good hand of cards, but is simply refusing to play them. 

 

The coronavirus crisis could blow the EU apartThe Times (£), 9th April

The Eurozone crisis, long simmering on the back burner, is on the verge of boiling over, as Germany resolutely refuses to countenance the fiscal transfers to financially weaker regions of the Eurozone quasi-polity which the currency’s economic logic always demanded, but which political imperatives always precluded.

As author Iain Martin observes, Germany in particular wants for itself all the national, competitive, advantages of the one-size-fits-all Euro, but not the obligations, inherent in a multi-state currency bloc, to support its weaker members.  With the precarious Southern Europe economies, especially Italy, likely to go over the edge from the horrendous direct costs and lost output caused by their own COVID-19 outbreaks, the already dysfunctional European banking system, overhung with debt, might not be far behind.

Britain will not escape the economic fallout from a Eurozone collapse in any event, but the imminent prospect of one ought to put even farther beyond contemplation the idea of a Brexit extension which could see us on the hook for hundreds of billions in Euro bank-bailouts.

 

Italy’s Conte threatens to derail EU summit over CoronabondsPolitico Europe, 12th April

‘European solidarity’ has always seemed a combination of convenient myth for British Europhiles and comfort blanket for their Continental counterparts, but seldom has it seemed more incongruous. Notwithstanding the Eurozone’s latest purported rescue package, the divisions between the bloc’s Germanic/Scandinavian north and Latin south on the subject of so-called Coronabonds – with France as ever straddling the two – looks intractable.

With the attention of Brussels Eurocrats grabbed more and more by the developing crisis in, or even potential collapse of, the Eurozone, the EU can ill afford the luxury of a lengthy, intransigence-driven negotiation with a Britain prepared to walk away.

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Brexit-Watch: Saturday 04 April 2020

Note: longer version of article originally published at The Conservative Woman on Saturday 04 April 2020

A weekend update on some recent key Brexit-relevant story headlines, choosing five which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.

(NB: (£) denotes article behind paywall.)

 

A Brexit delay could last longer than you thinkSpectator Coffee House

Stephen Daisley summarises what are merely some of the latest instances of – purely coincidentally, obviously – predominantly if not entirely Europhile and anti-Brexit opinion attempting to exploit the current coronavirus outbreak ostensibly just to ‘delay’ Brexit.

However, their argument has one major flaw.  Much COVID-19 modelling predicts that the current outbreak will subside, but only to be succeeded by others of (hopefully) lesser magnitude, in which case the world could then be in periodic coronavirus mitigation mode for a decade.  On that basis, the delayers’ ‘only for as long as it takes for us to deal with the current health crisis‘ mantra is exposed as the sham which, considering its sources, it almost certainly is.

One further point needs making.  With global economic activity depressed anyway by COVID-19, the anti-Brexit lobby’s alarmist argument against leaving without a deal because of the alleged adverse economic impact becomes much weaker. Tory MP John Redwood has, rightly, made the point that the complaints being made about disruption to supply chains relating to exiting the EU on either a Free Trade Agreement or a WTO-reversion No-Deal are already being experienced many times over in response to the virus.

A delay must not, under any circumstances, be allowed to happen; both Johnson & Gove must continue to resist siren calls for an extension to the Transition period from Continuity-Remainers desperate to exploit COVID-19 as an excuse to stop Brexit happening at all.

 

Should the UK stay in Erasmus+? – Briefings for Britain

One of the more risibly desperate attempts at anti-Brexit propaganda, during both the EU Referendum campaign and its aftermath, was the claim that even voting to leave the EU signified Britain’s automatic disqualification from participation in its youth-exchange programme, which has long been open to nationals of non-EU countries.

The details, as distinct from the fact, of that participation, fall to be considered as part of post-Brexit Britain’s future relationship with the bloc, not as part of its withdrawal from it.  Despite the Department for Education’s provisional commitment to a continuation, albeit on condition that it remains in Britain’s interests, a combined BrexitFacts4EU and Campaign for an Independent Britain report finds that the scheme is not meeting most UK students’ needs. Our negotiators should therefore be careful not to make too many concessions in other more vital areas merely to secure continued UK participation.

 

Post-Brexit EU to lose 49 million of its population by 2020Global Britain

Obviously, the precise effects of such a population shift northwards and westwards depend on its demographics, but with the major recipients in the population change being countries with relatively more generous welfare systems, it does not seem unreasonable to expect calls for a greater degree of welfare budgets’ centralisation and pooling at European level to intensify.

As it nears the exit, Britain must ensure that any negotiations with the EU r-27 over future migration rights take account of the likely existence of higher-population countries on  Britain’s doorstep, and also that it both restricts and time-limits any ongoing contributions it might concede as the price of obtaining a trade deal.

 

European law will hold sway for years to come, say senior judgesTimes (£)

A misleading headline from The Times, in that the judges themselves made no mention of ‘for years to come‘, but did warn that the power of the European Court of Justice, as distinct from the UK Supreme Court, to rule over questions of EU law, even in disputes between British companies, would continue until Britain’s final exit, which in legal jurisdiction terms, might not be until after the end of Transition.

It does, however, emphasise the importance of Britain’s EU negotiators not conceding any extension of ECJ jurisdiction after the end of the Transition period, in order for Brexit to re-establish fully the sovereignty of Britain’s legal system. It also stresses, once again, the absolute necessity that Brexit should not be delayed, whether by the deployment of COVID-19 as a transparently specious excuse or for any other reason.

 

Brussels parliamentary group calls on UK to seek Brexit extension Financial Times (£)

An entirely predicable demand for a Brexit ‘delay’ from the ultra-Europhile European People’s Party grouping in EU Parliament – from which, remember, Tory former Prime Minister David Cameron was obliged by backbench and grassroots activist/membership pressure to withdraw Conservative Party MEPs – and equally predictably backed by what the FT coyly describes, without naming them, as ‘senior British government officials’.

With the Eurozone crisis, already serious enough anyway before the devastating impact of coronavirus on the stressed economies of the bloc’s weaker southern members, becoming more grave by the day, it is likely to become the near-exclusive focus of Eurocrats and a considerably greater priority than concluding Britain’s exit agreement. This is merely the latest in a line of transparent attempts by those, both on mainland Europe and in Britain, who for varying disingenuous reasons wish to see Britain’s exit from the EU not happen.  The EPP’s demand should be unceremoniously dismissed. 

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Brexit-Watch: Saturday 14 March 2020

Note: Longer and updated version of the article originally published at The Conservative Woman on Saturday 14 March 2020

A weekend update on some recent key Brexit-relevant story headlines, choosing five which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.  (NB: (£) denotes article behind paywall.)

 

Don’t be surprised if this virus delays BrexitTelegraph (£)

From the moment COVID-19 Coronavirus appeared on the horizon as something likely to cause more than the usual winter virus disruption, its use as an excuse to justify delaying Brexit was probably inevitable. The infection potential of both non-essential travel and face-to-face meetings are the grounds most often cited, but it’s also been suggested that the Brussels negotiators may just unilaterally decide to suspend negotiations anyway. Purely for medical reasons, obviously. . . .

Both economically and politically, Brexit is the government’s Number One priority after the Coronavirus outbreak, and as the Prime Minister is not conducting them personally, nothing should be allowed to interrupt them. Meetings can continue via video-conferencing from sterile areas.  The texts of drafts of agreements or appendices can be exchanged by email.  If the EU’s negotiators refused to continue with them, then the PM must make it clear that no extension of the Transition Period will be sought, and that Britain will revert to WTO terms in the event that no deal is reached.

Had the Coronavirus outbreak occurred in 2022 or 2023, causing a global downturn one or two years after full-and-final Brexit, would anyone have seriously suggested reversing Brexit and rejoining the EU as a response to it?  Of course not.  Then there’s no reason to defer it now, especially as Britain remains under EU trading and other rules including the Common Fisheries Policy, and also subject to ECJ jurisdiction, until the end of the Transition Period, which the EU itself defines as ‘until at least 31 December 2020 (my italics).

 

Von der Leyen on virus: ‘EU will do whatever is necessary’EU Observer

Which may be: not very much, or not very much that makes a significant difference, anyway. The EU, at least as represented, in Angela Merkel by a lame-duck German politician, in Ursula von der Leyen by a failed German politician, and in Christine Lagarde by a French Eurocrat widely thought to be unsuited to her present ECB role, have by the latter’s admission yet to come together at all, never mind developed a co-ordinated response, let alone sold it to member-states. 

The EU’s institutional sclerosis, along with its lack of a practical either fiscal or monetary policy toolkit commensurate with its supranational pretensions, will almost certainly prevent it coming to either a swift, or especially effective, decision.  So far, for all its resolute declarations, it has dithered but actually done very little.  All that the competition-lawyer-pretending-to-be-central-banker Lagarde managed to do as Head of the ECB was to spook the markets.

The effect of that inaction is already being seen in individual member-states reverting to unilateral decision-making at nation-state level, or in Germany at even regional level.  Nation-state governments are re-asserting themselves and, more importantly, are being seen to respond to their citizens’/voters’ demands in a way that the EU either will not, or more likely institutionally just cannot.  Nation-state borders are back, as their elected governments reimpose them without even bothering to consult Brussels, such is the perceived urgency of protecting their own citizens.

The utility, even the concept, of pan-European supranationalism is being severely tested by Coronavirus.  Anti-democratic supranational technocratic government, open borders and free movement are all now effectively dead, which means the EU in its present form is quite possibly terminally damaged. 

As far as the Brexit negotiations are concerned, this should all strengthen Britain’s hand, and is another reason why the talks should not be allowed to be interrupted or deferred.

 

Macron orders closure of all schools in France and warns he may even shut the country’s borders to control Coronavirus Daily Mail

For the Macron who was once the Davos/Bilderberg globalist oligarchy’s poster-boy for both ‘enlightened’ government by supranational technocracy and wide-open borders, this is an embarrassing climbdown.  However, in the same broadcast as he used to announce it, he also warned against ‘nationalist withdrawal’ as a pitfall to avoid at international level in the fight against the coronavirus pandemic, so policy-wise, he appears to be all over the place.

With Macron preoccupied with trying to reconcile securing the French nation against the Coronavirus outbreak with maintaining his EU-integration credentials, and both against the backdrop of difficult French municipal elections this coming Sunday and the next, his influence as one of the Intransigents on the Brexit negotiations is waning.

 

UK’s antivirus measures disguise radicalisation of Brexit FT (£) 

A slightly hysterical article from the FT‘s Europe Editor, claiming that Brexit is evolving into a project far more ‘extreme’ than even Leave-voters wanted in the 2016 EU Referendum, merely because Britain’s negotiators are concerned to ensure that it achieves visible separation from the EU’s political, regulatory and legal structures.

Barber quotes Britain’s withdrawal from the EU Safety Agency as evidence of this; yet goes on to conflate EU-centralised regulation of air safety standards regulation with ‘pan-European co-operation’, which clearly it is not.  Regulation is not ‘co-operation’.  It is to achieve the latter that we need to escape the former.

Barber then bemoans the UK’s alleged abandonment of Theresa May’s commitment to the so-called ‘level playing field’.  But the EU has made it abundantly plain that it interprets that phrase as UK perpetual alignment with EU rules, despite having no say in them and how they are formulated.  It’s hard to see his article in any other light than a polemic against any kind of Brexit which isn’t in-name-only.  Even after all this time.

          

EU’s demands in negotiations with UK revealed in draft treaty Guardian

The EU appears to have evidently learned very little, and therefore changed very little.  The draft continues to insist on ‘level playing field’ rules for (all) British and EU businesses, and also in regard to state-aid.  It maintains its previous demand for the ability of the European Court of Justice to hand down rulings binding on British Courts, and ongoing regulatory harmonisation with EU laws as they develop in other areas, effectively binding the UK to EU legislation, but with no input into it.

On fishing, it proposes ‘long-term’ (NB duration not specified) agreements on access to British waters but with each side’s percentage allocation also unspecified.  On security and intelligence matters, it requires Britain in effect to guarantee its continuing application of the European Convention on Human Rights, despite its manifest flaws, with data and intelligence sharing to be withdrawn if it does not.

The UK is expected to reject most of this as unacceptable, and rightly so.  The prospect of exiting the Transition Period without any satisfactory deal, therefore, goes up another notch, as does, inevitably, the futility and counter-productiveness of any extension of the Transition Period.

This in turn must prompt the question of whether it is worth Britain persisting in this charade at all, especially if it is to be prolonged on some spurious pretext using the Coronavirus outbreak as a transparent excuse. Better to abandon it now, declare negotiations at an end, prepare for a WTO/No-Deal exit from the Transition Period, and focus our energies on ameliorating the Coronavirus outbreak in this country.

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Brexit-Watch: Saturday 07 March 2020

Note: Longer and updated version of the article originally published at The Conservative Woman earlier today, Saturday 07 March 2020

A weekend update on some recent key Brexit-relevant story headlines, choosing four which, while not necessarily meriting a full-length article, nevertheless warrant two or three paragraphs of comment, rather than merely a couple of lines.  (NB: (£) denotes article behind paywall.)

 

Brexit row erupts after Barnier accuses UK of planning to ditch human rights commitmentPolitics Home

In a typically disingenuous combination of red herring and attempt to assert EU extra-territorial jurisdiction over the post-Brexit UK, Barnier has accused the UK of ‘refusing to continue to apply’ the European Convention on Human Rights (ECHR) after full-Brexit. This is arrant nonsense.

The ECHR is the creation of the immediate post-WW2 Council of Europe, is enforced by the Council’s European Court of Human Rights (ECtHR) in Strasbourg, and is separate and distinct from the EU.  The latter is not even a signatory to the Convention, merely requiring new member-states to be signatories, and the EU has no jurisdiction over it.

It’s conceivable however that, once freed of the obligation to be a signatory to the ECHR by virtue of its EU membership, the UK could decide after Brexit to enact its own Bill of Rights (possibly linked to a written Constitution) and, as part of that, withdraw from either the ECHR in full or merely from the jurisdiction of its ECtHR.

As Lawyers for Britain‘s Martin Howe QC explains, there’s a compelling case for such a move.  The Strasbourg human rights court has come to mirror some unsatisfactory features found also in the EU’s own European Court of Justice, principally a tendency to judicial activism rather than interpretation, introduction into European human rights law of concepts not present in the original text, and the predominance of the Continental Codified, rather than English Common Law, legal tradition.

Barnier in effect wants the EU to have the power to direct the democratically elected government of an independent sovereign nation-state on which international treaties and conventions it should or should not sign up to. That is an outrageous demand that deserves to be dismissed out of hand.

 

Paris versus London: the clash of the financial centresJohn Keiger, Briefings for Britain

Having failed, in the immediate aftermath of the 2016 EU Referendum, to persuade many, if any, City-based European banks to move their London operations to Frankfurt or Paris, the French are now coming back, but cloaked in the EU flag, for another attempt.  The possibility that this is sabre-rattling as part of French domestic politics’ general background noise to the upcoming French municipal elections this month, where Macron looks likely to be embarrassed at least, can’t be ruled out.

Despite the European Banking Authority having made the move, London’s sheer size, global reach, expertise, power and capacity for innovation as an international financial centre compared to Paris suggests this will be a futile quest.  Even if this were not a factor, the far more onerous and restrictive, and significantly slower-deciding and less flexible, regulatory regimes covering both financial services and labour markets would surely be a disincentive.

The threat to withhold passporting rights from UK banks doing business in France looks similarly unlikely to succeed.  The French may have introduced this whole issue into the negotiating mix as a giveaway to be traded off in return for getting something else.

 

Negotiating deals with both the EU and the US will be tricky for Britain: but it does have a trump card Shanker Singham, Telegraph (£)

The overriding difference between the two sets of negotiations is this: that while both parties in the UK-US negotiation will focus on economics and trade, both parties in the UK-EU negotiation will not.  For the EU, this deal isn’t about economics and trade, but about politics, in particular, Brussels’ semi-existential political need to try and limit the competitiveness of an ex-member on its north-western doorstep, even at the price of harming its own member-states’ economies. That is bound to maintain, if not incrase, its tendency to intransigence.

Britain taking up its seat at the WTO this week, for the first time as an independent member in nearly 50 years, has sent what ought to be a powerful signal to Brussels that, if it continues to try to insist on setting both our regulatory environment and legal order after Brexit, then we are quite prepared to walk away and go WTO.

 

We must not allow the EU to bind our hands in trade negotiations with other partners Stephen Booth, Conservative Home

In what’s been appropriately described as a ‘multi-dimensional game of chess’, and despite the demands likely to be made on our trade negotiating resources and expertise, for Britain to conclude, or at least substantially conclude, as many overseas trade deals as possible during 2020, in parallel to the trade-talks with the EU, must be an imperative.

In macro terms,  one vital fact should not be overlooked. Time is not on the EU’s side. The Eurozone economy is suffering its slowest growth in 7 years. Internally, its rate of GDP growth continues to decline, while externally, it accounts for an ever-diminishing share of global GDP growth.

EU quarterly real gdp growth 2016-19

EU declining share global GDP growth

Seeing the UK reach trade deals with the parts of the world which are growing, not stagnating, is essential towards disincentivising the EU from continuing to insist on its absolutist level-playing-field on, e.g.,  state aid, environmental and labour standards, an approach which is intended, not so much as to facilitate trade, as to protect its own heavily regulated economies from competition.

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Brexit-Watch: Saturday 29 February 2020

Note: Longer and updated version of the article originally published at The Conservative Woman earlier today, Saturday 29 February 2020

A weekend update on some recent key Brexit-relevant story headlines, choosing four which, while not necessarily meriting a full-length article, nevertheless warrant a paragraph or two of comment, rather than merely a couple of lines.  (NB: (£) denotes article behind paywall.)

 

Dealing with the French: Frost versus Barnier, Bacon versus DescartesRobert Tombs at Briefings for Britain

Few are better qualified than Professor Tombs to expound on the historically different approaches to philosophy and law which govern the respective attitudes of the French and English towards the negotiating of treaties.  The former view the opening text as sacred, to be departed from only minimally, if at all: for the latter, it is merely a starting point from which give-and-take bartering can proceed towards, eventually, a mutually acceptable outcome.

Personally, I find it a curious paradox how, when it comes to the nuts and bolts of trade negotiations, it’s the British who are pragmatic and transactional, while the Brussels Eurocrats are institutional and inflexible: but that, when it comes to the philosophical question of EU membership per se, it’s the Eurocrats who are transactional, emphasising alleged economic advantage, while the British are constitutional, prioritising the principles of sovereignty, democracy and self-government over the risk of temporary economic disruption.

Anyway, to the schism identified by Professor Tombs must be added current domestic politics among the main EU protagonists. In Germany, Merkel’s originally anointed successor as CDU party leader and Chancellor having withdrawn, the contest has now degenerated into an unedifying struggle between two fairly unimpressive male apparatchiks.  In France, an already unpopular Macron faces municipal elections in late March from which he is likely to emerge weakened.

The two diametrically different approaches, coupled with more volatile both French and German domestic politics, could well turn the Brexit trade-talks into a dialogue of the deaf.  In which case, the likelihood of Britain deciding that further negotiation is pointless, and walking away to WTO terms, will become even greater.

 

EU’s uneven playing field revealed – Germans, Belgians, Italians, French are the worst offendersFacts4EU

This is about the EU’s restrictions on the power of member-states’ national legislatures on state-aid and competition. Yet despite the insistence by Barnier on ‘red lines’ for a ‘level playing field’ regarding his demand for continuing UK-EU ‘regulatory alignment’ after Brexit, the EU is, as ever, the greatest breaker of the rules it purports to impose on others.

Germany, France, Belgium and Italy all receive favourable state-aid dispensations at between three and four times the rate Britain does. Some ‘level playing field’. . . .  Moreover, identifying where responsibility lies for administering the rules is typically shrouded in bureaucratic obfuscation. It would be futile focusing on this area to the detriment of others in negotiation.

Once again, it’s possible to envisage this issue causing Labour some trouble domestically, especially if the party, though nominally united, has ongoing tensions between the soft-Left faction of presumed winner Starmer and the defeated hard-Left camp grouped around Long-Bailey.  Remember, Corbyn repeatedly appeared torn between his desire as a Remainer to stay within the EU’s ambit and his desire as a socialist to use taxpayers’ money to prop up failing businesses.

 

UK-EU: a question of trustFinancial Times (£)

Briefly, for those unable to breach the paywall, the article references the spat between Britain and the EU on the former’s accusation that the EU resiled from its offer of a Canada-style Free Trade Agreement, and the latter’s accusation that Britain is resiling from a previous agreement not to re-open aspects of Theresa May’s Political declaration. It goes on to regret the end result of the document supposed to guide the negotiations being at the centre of a feud.

It’s hard not to see a combination of naïveté and anti-Brexit EU-philia at work here.  These negotiations were always going to be conducted in an atmosphere of bad faith on the EU’s side.  The reason isn’t hard to discern.  Going back to Professor Tombs’ article, for Britain, these negotiations are transactional: for the EU, on the other hand, they are near-existential.

As the Bruges Group remarked this week. . .   

Indeed.  But that’s also slightly to miss the point.  The EU is conceptually incapable of treating us like any other country.  Alone among other countries who joined it, we have chosen to repudiate and quit their to them noble but to us neo-imperial Project.  For that, in their world-view, we are heretics who must not only be punished for our apostasy but be seen to be punished for it.  If that sounds quasi-religious, it’s because it is.  These negotiations were pre-destined to be acrimonious.

 

The UK and EU Negotiating Mandates ComparedGlobal Vision

It’s clear from this comprehensive, up-to-date summary, including all the developments of the past week, that behind the spin disseminated via the headline/soundbite-wanting media lie some potentially insoluble points of contention.

Fishing is the obvious and arguably also the most difficult one since, despite its relative insignificance economically, it is hugely important politically and even almost symbolically, given its public profile: one can easily see it being the bellwether by which the whole deal is judged.  The UK has rejected both keeping current levels of access for other EU member-states, and sequencing.  It could be the difference between an agreement and WTO.

The so-called level playing field and rules of origin issue, and I think we can expect EU obduracy on financial services, torn as it is between mercantilist envy of the City’s dominance and knowledge of EU firms’ dependence on it. Generally, if the EU refuses to budge on demanding its own legal order be supervening, the UK has made it clear there will be no agreement.  Don’t delete your online WTO guide just yet.

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Brexit-Watch: 22nd February 2020

Note: Longer and updated version of the article originally published at The Conservative Woman earlier today, Saturday 22 February 2020

A weekend update on some recent key Brexit-relevant story headlines, choosing four which, while not necessarily meriting a full-length article, nevertheless warrant a paragraph or two of comment, rather than merely a couple of lines.  (NB: (£) denotes article behind paywall.)

 

The EU’s absurd and ever-changing position reminds us why Britain voted to leaveTelegraph (£)

Global Vision’s Shanker Singham on how, having originally offered Britain a Canada-style free trade deal with add-ons, the EU has backtracked to the extent of demanding a provision which it doesn’t insist on even in its FTAs with China and the USA: namely a guarantee that whenever the EU changed its laws, the UK would follow suit, in perpetuity.  This would in effect subordinate our own trade’s legal architecture to EU state aid rules and ECJ oversight.

Brussels also demands what it calls ‘dynamic regulatory alignment’; meaning in effect that, to secure a FTA, the UK would need to become a rule-taker from Brussels with no say in how those rules were set.  Both moves are perfect examples of the intransigence which caused us to vote to leave in the first place.  But Johnson will need to be watched to ensure there is no backsliding or dilution of our refusal to capitulate to this.

 

The EU isn’t interested in free trade with the UK, just political domination –  Briefings for Britain (formerly Brexit)

An argument whose first premise has been amply borne out this week by Brussels’ attempt to move the goalposts, firstly, by trying to hedge a Canada-style deal about with onerous conditions, in what looks like a naked attempt to hobble Britain’s ability to compete against an over-regulated, sclerotic EU.

Secondly, by Barnier’s ill-tempered refusal of a Canada-style trade deal on transparently spurious grounds of geographical proximity.  And thirdly, by even demanding the return of the Elgin Marbles to Greece as part of any trade deal. 

With the growing presence of nation-state populists in both member-state and European parliaments, making Brussels desperate to make life outside the bloc as difficult as possible for Britain, the argument’s second premise is no less valid.

 

Post-Brexit funding row breaks out in BrusselsTimes (£)

Very much at the forefront of Eurocrats’ minds, in the sense of trying to show the remaining 27 member-states, by its treatment of Britain, just how difficult it will make life outside the bloc for any other country which decided to emulate Britain and leave, taking its contributions with it.  Brexit leaves a €75 billion-sized hole in the next 7-year budget.

The implications for member-states’ internal politics are significant.  Germany’s extra payments are 6 times France’s, and Merkel’s CDU is under electoral pressure from the Eurosceptic AfD.  France’s low-level Gilets Jaunes insurrection each weekend shows no sign of abating, and the Marion Maréchal (Le Pen) led Rassemblement Nationale expects to make big gains in this year’s French municipal elections.  Just to make life more difficult for Macron, the Dutch, with an economy only one-third the size of France’s, are objecting to paying EU contributions 70 per cent higher than France’s.

 

What Keir Starmer would mean for BritainFT (£)

To which headline must of course first be added the caveat: if he becomes Labour leader.  Admittedly, it looks unlikely that he won’t, but Rebecca Long-Bailey has the endorsement of Len McClusky’s Unite Union and, as far as I can establish, no candidate has ever won the Labour leadership without it.

In the short term, Starmer as leader will impact more on Labour’s internal politics than on the course of Britain’s exit.  Johnson has a compliant Parliamentary party with an unassailable majority, so Starmer won’t be forcing any change of policy.  He will however be far more soft-Brexity and even Rejoin-inclined than Corbyn, so could arouse some disquiet among Labour MPs in Brexit-voting seats who narrowly survived December’s massacre and could be the next bricks in Labour’s Red Wall to tumble.

What he will bring to the table, however, is a lawyer’s far greater ability than Corbyn possessed to absorb the fine detail of any agreements, and then subject Johnson to forensic questioning on them.  Boris is a big-picture blusterer, not a details man, so he could well under-perform when put under this kind of pressure.  Coupled with growing resentment at his eco-policies, this could well cause his popularity and approval ratings to dip.  So Starmer could impact internal Tory politics as well.

 

What these four articles taken together show is that the EU is visibly in big trouble on several fronts.  Not mentioned in any of the four above is the mountain of bank debt on the books of the ECB, which potentially limits it from engaging in any further quantitative easing to try and boost currently slowing growth in the sclerotic Eurozone. 

If only our own negotiators would recognise it, and leverage it to drive a harder and more advantageous deal for Britain.  Though if the evident intransigence of the EU is a guide, it surely increases the chance of our eventual exit on WTO terms.

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Is Boris’ Irish Border Backstop Plan Bluff or Breakthough?

Bluff – but bluff by whom, and targeted at whom? There are several possible candidates for both.   

Note: Extract from article first published at The Conservative Woman on Tuesday 15 October 2019  

Those, maybe, are the real questions, because this drama has multiple actors, all of whom have interests and agendas that may be colouring their reactions.

Though Boris has, since last Thursday remained fairly tight-lipped about the details, some kind of, in effect, double customs union, involving keeping Northern Ireland in a de facto, if not de jure, customs union with the Republic, appears to be the basis for this tentative rapprochement.

RoI-NI

But when 85% of Northern Ireland’s exports are to the UK, with only 5% and 3% to the Republic and the EU respectively, it’s hard to see why Northern Ireland would burden itself with onerous EU costs and regulations for such a small proportion of its trade, and risk disruption to the flow of the major part of it.

Which might explain why, as early as last Friday, the DUP’s Nigel Dodds had already rejected the double customs union as ‘unrealistic’, asserting that the Province staying in a full customs union with the UK was non-negotiable, and that for the ongoing ‘tunnel’ talks in Brussels to disregard this pre-condition would be counter-productive.

Presumably, Dodds had already perceived what other commentators have since come round to concluding – that, far from negotiating in good faith, the EU is actually trying to squeeze Northern Ireland into a NI-only backstop, a view which Barnier’s rejection of Johnson’s proposals and demand for more UK concessions does little to dispel.

The technical assessments of Johnson’s proposals are not especially favourable. Anand Menon of The UK in a Changing Europe reckons the long-term economic impacts are negative, and potentially more damaging than the deal negotiated by Theresa May, but the chart below appears to acknowledge that they do give the UK more independence and flexibility. ALR readers are recommended to visit the UKinCE website for themselves and make their own judgement of its pro or anti Brexit stance.

N Ireland May Deal vs Johnson proposals

Theresa May’s former Europe Adviser, Raoul Ruparel of Open Europe, however, is more sanguine. There are some concerns, he says, but they can be managed. ALR readers should visit OE’s website https://openeurope.org.uk and make their own judgement about its pro or anti Brexit stance, too.

As former Northern Ireland Secretary Owen Paterson points out, a double customs union would also potentially be a breach of the Belfast (‘Good Friday’) Agreement, and a violation of the Principle of Consent which was enshrined within it.

We also know, because former Secretary-General to the EU Commission Martin Selmayr was indiscreetly frank about it, that it has long been the EU’s position that relinquishing economic sovereignty of Northern Ireland is the price the UK must be made to pay for leaving the EU. It would be unwise to assume that the reactions of both Brussels and Irish Taoiseach Varadkar, who has shown himself regrettably ready to pander to nationalist Republican revanchism, scrupulously disregard this.

Bluffing about seeing a way forward would certainly be in Boris’ interest, and the Conservative Party’s. The almost exclusive focus of politicians, media and public on the Northern Ireland backstop serves to obscure the suspicion that, ultimately, he will try to get what otherwise is essentially Theresa May’s (non)-‘Withdrawal’ Agreement through the Commons. Its numerous flaws remain as serious as ever they were.

But Boris knows that, if he fails to achieve Brexit by 31st October, the chances of both his own survival and that of his government, are damaged. As political scientist and Professor of Politics at the University of Kent, Matthew Goodwin, points out, the votes which, because of May’s defenestration and Boris ascendancy to Number Ten on a Brexit do-or-die ticket, have come back to the Tories from the Brexit Party after its resounding victory in the European elections, could once again vanish.

Brexit Election Tracker Goodwin mid-Oct 2019

So he has every incentive to play up the chances of a deal after all, and exaggerate its significance, if it can be presented as something which warrants getting a soft-Brexit over the line. The recriminations can come afterwards.

Brussels and Dublin equally have an incentive, to understate  the significance. The EU will be calculating that, by playing hardball, it increases the chances of a Remainer Parliament, which has already passed the Benn Surrender Act, forcing Boris, failing a 31st October Brexit, to seek an Article 50 extension on humiliating terms, probably involving conceding a second referendum.

In short, almost none of the actors in this drama has an incentive to be 100% genuine. Safer, perhaps, to assume that none of them are?

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