Monday 21 November 2022

The new battle for Brexit

Spoiler: its an old problem.

More and more people in business who export are calling for better alignment with the EU and its Single Market (SM) and/or Customs Union (CU).

Alignment reduces the friction in trade and makes it more cost effective.

Which, if you remember is what Brexit was supposed to have done.

Cakey.

An un-named spokesperson inside Number 10 announced that the Government is looking at a "Swiss-style" arrangement with the EU.

What Nigel said six and a half years ago what the UK should go for, but now claims would be (another) ultimate betrayal.

Ho, and indeed, hum.

Both the Express and Mail this morning go to battle for the soul of Brexit. The Express calls it "an absrd idea" while the mail says "don't betray us on Brexit".

Damage to the economy is fine if it is done in the name of Brexit, apparently, but not under any other circumstances.

For what its worth, the EU hates the arrangement it has with the Swiss as it requires constant negotiations.

Sounds familiar?

So would be very reluctant indeed to do the same for what is seen as the untrustworthy UK.

Of course such an agreement would sort out most of the issues with the BG/NI border and with trade between UK and the EU.

But it is politically unacceptable for the ERG and many in the Conservative Party. The PM could probably get support for it from the rump of the party and opposition support, but he could not survive as leader for much longer.

Such a thing will happen, the UK and EU being more aligned. It is the reality. But would require those in power here to be honest, for once, about the reality of our situation. There can be no real growth without trade, there can be no real growth in trade without the EU.

Not much point in commenting more, but until the PM, a PM, is honest, not much will change.

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