Friday 27 April 2018

Week in Review: Don't trust anyone who is confident on Brexit

"Exploring the unknown requires tolerating uncertainty" - Brian Greene
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This morning's release of GDP figures served as a reminder of how fraught with chaos the Brexit process can be. The economy has slowed to a virtual standstill in the first three months of the year, performing far worse than Bank of England expectations.
 
Supporters of leaving the EU are trying to insist that any Brexit effect is in the past, but the argument is increasingly unconvincing, especially if you look at the distinction between construction and exports. Exports have performed quite well, due to a lower pound and a booming global economy, while construction, which takes place at home amid a perpetual lack of certainty, has performed very badly.
 
As we get into the Brexit endgame, the economy remains highly volatile. So far it has not performed so badly that it would fundamentally rejig the political assessments taking place in Westminster, but that may change in the months ahead, especially if there is any contraction.
 
It's a sign of how politically uncertain things are that many political journalists spent yesterday's Commons debate on the customs union watching carefully for individual Tory MPs to make critical arguments. With no party in overall control, Brexit votes are all knife-edge votes, with so much depending on the extent of Corbyn's support for the government and Tory moderates resistance to it.
 
It made for revealing viewing. Some Tory MPs who had not previously been expected to rebel against the government seemed to express hesitation, or even anger, at the direction of travel. Ed Vaizey, for instance, who previously had kept his nose dry, said: "If it is in the interests of our economy to be in a customs union, it should be able to do so without being accused of betraying Brexit."
 
Those Tory rebels who had previously stood against their party with reluctance now appeared livid and resolute. "We are behaving in the most extraordinary and blinded fashion as we blunder around ignoring the reality," the usually cautious Dominic Grieves said. "Unless we start injecting a note of realism into what we're doing [May] will fail, this House will fail and our country will be failed."
 
If you watched the Tory opposition yesterday you could just about see the numbers for the government to be defeated on the customs union amendment coming back from the Lords next month. But what then? The wording is pretty open, really just amounting to a minister needing to report back to parliament on efforts to establish a customs union. Will No.10 try to wriggle through it somehow, perhaps by rebranding their customs partnership? Or will that customs partnership idea - which is quite insane even on the most sympathetic possible reading - have already been killed off by hard Brexiters?
Will May even have to step down as a result of the vote? It is far from impossible. Or might she accept the vote, announce that the UK will stay in the customs union, and then be unseated by the hard Brexit advance guard in her party? Or perhaps the hard Brexiter rump will accept even this indignity as a price to pay for securing the ultimate aim of leaving the EU, and allow her to stay in place? Nothing is clear.
 
Remainers are prone to sudden emotional swings. They spend months in despair about the direction of travel and then suddenly engage in excessive optimism. But it's still hard to see how defeating the government on the customs union leads to change on the single market, let alone any notion of staying in the EU. After all, a Commons majority on the issue rests on the fact Corbyn adopted it as policy, thereby uniting the parliamentary Labour party with the exception, perhaps, of  Kate Hoey, Frank Field and John Mann. Without that formal leadership support, it's not clear a vote can be won on the single market. And there is precious little sign Corbyn will shift on that issue. Even Keir Starmer doesn't seem up for it.
 
Meanwhile, Brexit supporters - and the much wider group of political commentators who've generally presumed it's a done deal - are showing their own form of excessive certainty. Quite how anyone has any confidence whatsoever about what is going on is remarkable and a tribute to unyielding optimism of the political class that they happen to be right about everything.
 
Most outcomes hinge on the motion on the withdrawal treaty which David Davis will present to the Commons this autumn. He confirmed this week that it would be open to amendments, something his department had previously tried to avoid. That alone fundamentally changes everything, opening up a possible legal mechanism for a referendum on the final terms.. That idea is currently quite unfashionable in Westminster, but it may become more popular on all sides as a least-bad option when the stark reality of the deal presents itself.
 
If there was a referendum, would there be three options - Remain, Deal Brexit and No-Deal Brexit? Or would there be two - Remain and Deal Brexit, or alternately Deal Brexit and No-Deal Brexit? These options would all make a huge difference to the outcome and the level of support another referendum could receive. The struggle to set the question would be as important as the answer.
 
Amendments also make it more likely the government can get it passed, because it allows for greater flexibility in handling objections. A little sugar coating, when it comes down to tight votes like this, may well prove crucial.
 
But even with amendments, the motion will have a hard time in the Commons given Labour will struggle to support it. If it was rejected, what happens then? Would the EU accept an extension to the Article 50 timetable? That requires consent from all 27 remaining member states. If they did accept it, would they be prepared to go back to the negotiating table? Would Britain crash out without a deal? Or would it lead to Remain?
 
The variables are extensive beyond belief. And yet somehow people still talk about this process as if it was a done deal, or as if it cannot ever happen, or like any given outcome is certain to pass. They are all wrong on every side. It is a period of chaos and unpredictability which there is no precedent for in recent British political history. It is fundamentally and irreducibly unpredictable. All you can really do is stare in horror at the uncertainty of it all. Anyone who seems confident is usually just expressing their own aspirations.
 
If you're a campaigner, there is a kind of reassurance to the chaos. No matter how confidently the people on the other side tell you to give up, they can be safely ignored. All eventualities are still perfectly viable.

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On Apr 24, 2018 1:26 PM 
Since reports emerged on Sunday that Downing Street is prepared to give way on membership of the customs union, leading Brexiters have been mounting a fierce rearguard defence on radio and TV stations. The amount of disinformation is quite extraordinary. It seems they struggle to open their mouth without misleading their audience.
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Rudd tries to quarantine Windrush scandal



On Apr 23, 2018 4:51 PM 
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Canada is not enough: If you want Brexit to work, you need to stay in the single market




On Apr 26, 2018 8:40 AM
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Millicent Fawcett: Courage calls to courage everywhere




On Apr 24, 2018 8:55 AM
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No.10's threat of a no-confidence vote on the customs union is constitutional nonsense




On Apr 23, 2018 9:40 AM
The morning's main domestic political story was that Theresa May intended to make next month's Commons vote on customs union membership a "confidence issue". Downing Street then got the jitters and started putting out a weaker line. But the threat to potential Tory rebels is clear: vote for a customs union and you're voting to topple the government.
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Friday 20 April 2018

Week in Review: Crunch-point is coming for the customs union

"When you are insane, you are busy being insane - all the time" - Sylvia Plath
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The government is caught in a four-way pincer movement on the customs union, each part of which gains confidence from the resilience of the others. This week has seen all of them impinge on No.10's plans. Generally, it is emotionally unwise to be an optimistic critic of Brexit, but it feels as if we may now be reaching a crunch point on the issue. It's perfectly possible that the government is forced to back down.

The first part of the pincer movement is the Lords. This week peers voted for an amendment supporting continued membership of the customs union. It wasn't close. It went 348 to 225, a majority of 123. Every living former Cabinet secretary in the Lords voted against the government. 

The amendment wouldn't force the government to stay in the customs union - it just demands a minister updates parliament in October on what it is doing to secure that aim. That made it broad enough to not seem particularly threatening. But the amendment forced a vote in the Commons and strengthened the resolve of those Tories who might be prepared to rebel against the government.

Downing Street is expected to try to hold that vote off until late May, in an attempt to reduce the potential for blue-on-blue combat until after the local elections. But it has been ambushed by the Commons Liaison Committee, which is made up of the Chairs of influential select committees. It decided to hold a backbench debate on the topic of 'customs and borders' next week. 

It demanded that the government "include as an objective in negotiations on the future relationship between the United Kingdom and the European Union the establishment of an effective customs union between the two territories". There would be a substantive vote at the end of the debate which would not have any immediate impact in law but would make it increasingly difficult for the government to continue on its current course.

The motion has cross party support. Labour now supports customs union membership as formal party policy, as do all other opposition parties apart from the DUP, whose own Brexit policy is deranged and unintelligible. Everything hinges on whether there are enough Tory moderates to support them. Conservative Nicky Morgan is backing it, as is Dominic Grieves, Bob Neill, and Sarah Wollaston. There will be others. This is part two of the pincer movement.

Part three is in Brussels, where Britain's lead in Brexit negotiations, Oliver Robbins, was having a dreadful time. One of the consequences of leaving the customs union and single market is a border in Ireland. The UK has a two-fold plan to avoid that. The first idea is to tag all items coming to the UK as to whether they are going to end up in the EU or not and then send on any customs differential. It is insane. The second is to set up as-yet unspecified technological solutions to erase the need for a border. It is impossible.

This was made clear to Robbins by Michel Barnier's number two, Sabine Weyand, over what the Telegraph described as a "systematic annihilation" of the plans. It's back to the drawing board. Except that drawing board has a trap underneath it, in the form of the backstop solution agreed to by the British government in previous rounds of negotiation. If their pie-in-the-sky solutions don't work, Northern Ireland must regularly align with the Republic of Ireland. That includes a customs union and something greater still - probably more akin to single market membership.

The fourth part of the pincer movement comes from the public, who, contrary to the standard 'will of the people' mantra bellowed out by the harder edges of Leave, seem singularly unimpressed with any Brexit proposal on offer. Polling by think tank Global Future this week showed they roughly align with the general public in their disdain for all models, from Norway, to Canada, to WTO.

It's not like there is a great public clamour for a movement to stay in the customs union. Realistically, most voters only have a hazy impression of what it is. But it is absurd to think that there is any public push to leave it either, whether that's from Leavers or the general public. Much as hard Brexiters have tried to associate their project with the votes of a very disparate group of voters, they have failed. They are struggling to use the 2016 referendum as cover for their broader political project. Increasingly, there is no 'will of the people' to fall back on. They keep citing it, but it becomes less convincing - and sounds more desperate - each time.

The old problem remains: if Theresa May backs down on a customs union, she faces rebellion from hard Brexiters in her own party. Her trade secretary, Liam Fox, would suddenly find there is no legal basis for his job and would presumably quit, or simply vanish by virtue of operational requirement. That would create a dangerous bruised ego on the backbenches. The presumption is also that the Jacob Rees-Moggs of the world would rebel and unseat her. 

But who knows? Maybe that isn't true. The prize they yearn for so dearly - exiting the EU - is within sight. Maybe that alone would keep them on board as the manner in which it is done is chiselled away, leaving just the facade and none of the substance.

That is a judgement May might be about to make, because the range of forces amassed against her customs union plan look very formidable indeed.

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On Apr 16, 2018 1:43 PM
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On Apr 18, 2018 8:04 AM
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Windrush Kids: No justice & no peace in immigration debate



On Apr 16, 2018 8:45 AM
Over the last few weeks one story after another has revealed how Caribbean immigrants to the UK in the 50s and 60s are suddenly being asked to prove their right to be here. 
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What's actually going on with the BBC and Brexit bias?



On Apr 16, 2018 9:16 AM
The last few months have seen a bad-tempered debate kick off between the BBC and many figures who would usually be first up to defend it. Remainer Lord Adonis has been taking potshots at the corporation on a daily basis. Former Newsnight host James O'Brien wrote a piece warning it to avoid false balance. 
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