Bill Cash opens the EU Scrutiny Committee with a comment on the "very fragile consent" that has been given for the operation of the NI protocol, and @DavidGHFrost's msg to EU to "stop point scoring" and "build a relationship fit for the future". A powerful start - stay w/ us 1/
.@DavidGHFrost says he has 4 priorities: 1. Responsible for managing overall relationship & implementation of TCA 2. Responsible for implementing effective conduct w/ EU and member states 3. Third country trade issues & finding solutions there 4. The opportunities of Brexit 2/
Our relationship w/ EU will "be a bit bumpy for a long time," says @DavidGHFrost. One of his biggest responsibilities will be to identify things that we can do differently that'll "make the biggest difference to our economic success". He should engage with @UKTradeBusiness 3/
"I have a role in making sure that what we put before Parliament is genuinely reforming, genuinely consistent with deregulation and the spirit of Brexit and goes forward on that basis." @DavidGHFrost not assuaging any fears about divergence there. 4/
.@DavidGHFrost says he's "looking at financial services regulations" but no details on what regulation could look like. This is what's so frustrating for industry. We need to know what deregulation will look like, not that we're "off on a journey that will bring huge benefits" 5/
Now @DavidGHFrost cites deregulation and divergence from the EU and connects it with the speed of the vaccine rollout. Not as direct as what we've heard before but still pushing the same old lies - that our vaccine rollout has been possible due to Brexit. 6/
"We have some of the best standard setters in the world," says @DavidGHFrost - so deregulation doesn't mean diverging down.
The TCA provides for regulatory cooperation between the UK & EU - Frost says this makes the EU both a partner and a competitor on regulatory standards. 7/
A large body of EU regulation still applies to NI due to the protocol. How can we diverge if such a large part of the UK is still subject to EU regulations?
There is a risk that large gaps in regulation open up between GB & NI says @DavidGHFrost. That's a massive problem. 8/
He talks abt "pragmatic solutions" to GB-NI issues but no indication of how this'll actually work. @DavidGHFrost says he's talking to Commission & "trying to find solutions" but discussions "not hugely productive" - ofc political will isn't there due to recent rhetoric! 9/
Survey by British Chambers of Commerce found 49% of those that exported were finding it hard to adapt to the changes. Make UK survey found 51% of members said delays meant increased costs. 1 in 5 had lost out on future orders. Any response to business groups, @DavidGHFrost? 10/
"I've never denied many firms faced difficulties at the start of the year" says @DavidGHFrost citing overall trade figures, says they're now "above average" compared to 2020.
Maybe he should listen to the next @UKTradeBusiness session on the 27th & hear directly from SMEs. 11/
Comparisons between UK-EU exports and exports to places like Egypt and Southeast Asia are blatantly ridiculous. Because it's just as financially viable for firms to export to ASIA as it is for them to send it 20.7 miles across the Channel to France. 🙄 12/
Exports of fish to the EU definitely had "some teething problems," admits @DavidGHFrost. Says practical issues "like groupage" are "beginning to be dealt with" and many disruptions "have been overcome."
That's not what we've heard from businesses on the ground. 13/
"We don't choose gunboat diplomacy" says @DavidGHFrost but he "likes to think" the peaceful resolution with France and Jersey was "in part" down to our naval presence. ☠️ Lord help us. 14/
"One area we'd like to do bilateral agreements in is around returns for asylum seekers," says @DavidGHFrost - which we know has gone nowhere (and which proposals have been roundly criticised by the UN no less). No success on other bilateral agreements we're hearing. 15/
You have to "be persuasive, present things in win-win ways" says @DavidGHFrost on diplomacy now we're a third country. When we were a big MS we had to be listened to. Things have changed.
Unlikely our current govt is ready to face the reality of our diminished influence. 16/
There are well-precedented arrangements around equivalence on veterinary standards says @DavidGHFrost but EU has rejected. We heard from @UKTradeBusiness equivalence is abt trust. EU doesn't trust UK not to diverge ⬇️ largely due to political tension & rhetoric from this govt 17/
This is the counterpoint to @DavidGHFrost's blaming of the EU on not agreeing equivalence on veterinary standards 👇 18/
Shellfish is a good example of where the EU rule makes certain exports impossible, says @DavidGHFrost. Blames EU for not being pragmatic / shifting goalposts. Really? 19/ politicshome.com/news/article/s…
Anything that undermines GFA is a significant problem for us & shd be for the EU says @DavidGHFrost. Biz & a good proportion of population is concerned abt the border & where this might lead. There's a degree of 'unsettledness' he says & blames EU vaccine row for part of it 20/
David Jones questions @DavidGHFrost calling the NI Protocol unsustainable. Is there a time limit on it?
Frost responds we have a responsibility to avoid further deterioration in the current situation. "I'd like to feel we'd be making progress w/ the EU before 12 July." 21/
For medicines there's currently a grace period through to the end of the year - ahead of that moment UK is negotiating long-term solutions w/ the EU that are 'pragmatic and proportionate'. Mentions MHRA lung cancer drug new usage & says this isn't covered by grace period. 22/
"We're not doing dynamic alignment or making any sort of commitment to align with EU rules" on SPS, says @DavidGHFrost, but says we still operate on the same SPS rules we had when we were in the EU & no "significant" plans to diverge in "immediate" future. Hmmm. 23/
Stephen Kinnock back on SPS checks and obstruction on flow of goods GB-NI. Would UK govt commit to a temporary arrangement on SPS in the interests of pragmatism and stop the blame game that's going on?
No, says @DavidGHFrost - "but it's not ideological". 24/
"We only want what every other country in the world has, which is control over our food and veterinary standards" says @DavidGHFrost. But standards are increasingly matched worldwide w/ the Global Food Safety Initiative.
Hard to see how this isn't an "ideological" standpoint 25/
.@DavidGHFrost commits to appearing in front of the committee every 3 months in his closing statement, and commits to more transparency with the committee to enable better scrutiny. We'll see. /ENDS
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"There is an absolutely ferocious row going on in Whitehall over the Australia deal with real pressure to get it resolved by the end of this week. Gove and Eustice are on one side, Truss and Frost on the other.” @pmdfoster👇 - we're going in. 🧵 1/ ft.com/content/8c5f7a…
The government estimates that a free trade agreement with Australia would be worth an additional 0.01-0.02 per cent of GDP over 15 years — or £200m-£500m more than 2018 levels.
So, a tiddler of a trade deal. But it's a must-have if the UK wants to join the CPTPP. 2/
Truss wants a 'zero tariff, zero quota' deal with Australia. A lot has been made of working with "our kinsmen down under" (most recently by pro-Brexit Daniel Hannan 👇).
But it gets thorny when we look at regulations. 3/
The OBR has today confirmed Brexit will cause both a short-term and long-term drop in UK GDP, with the Government's Trade & Cooperation Agreement set to cause a 0.5 per cent short-term hit to GDP and a 4 per cent reduction in productivity in the longer term. 2/
"This paper-thin Brexit deal has already dealt a thousand cuts to UK exporters," says @pimlicat. "In the first month of Brexit, our pork exports to the EU were down 70 per cent, chocolate was down 68 per cent and beer 62 per cent on January 2020 levels." 3/
A THREAD: The war of rhetoric between UK and EU cannot be deescalated while dismissing their complaint as sour grapes over Brexit. It creates a narrative that the UK cannot influence, by declaring fatalistically the EU already decided to 'punish us'. It's also not true. ~AA 1/7
Of course there is an equitable solution to be found but both parties have to look for it. And a precondition to finding it is the ability to see their grievance from their point of view - a skill for which our gov't (and much of our press) has shown little aptitude. ~AA 2/7
This is how it looks to EU leaders: they're battling a variant third wave, for which they see the UK as partly responsible, while our gov't wastes no opportunity to provoke them, humiliate them in front of their electorates, and gloat about its own vaccination programme. ~AA 3/7
This morning’s @DCMSCommons committee evidence session on touring musicians and EU arrangements for them post-Brexit - a thread 🧵:
“I think we’re already seeing damage to individuals. We’re also hearing that some of the touring bodies that are based in the UK are facing immediate insolvency. We have about 4 months, until the festival season, to tackle this issue” - @DeborahAnnetts@CommonsDCMS
2/ “If you’re at an early stage in your career then you’re going to find [touring] problematic. If you’re the Foo Fighters you won’t have a problem” @CommonsDCMS
"We have ended up with a trading regime that has become complex, costly, slow, prone to break down at its best, and at worst that the door to the EU markets has been closed altogether for some food exporters across Scotland and the UK." - @scotfoodjames at @CommonsScotAffs 1/
"Unfortunately it's a very predictable outcome of trying to test a multibillion pound new trading system in realtime during a global pandemic. We pleaded for a grace period and that plea fell on deaf ears." @scotfoodjames 2/
"Trade is not flowing smoothly and it hasn't done for 5 weeks now. One business I spoke to said that it feels as though Britain has made history and become the first country to impose economic sanctions on itself." @scotfoodjames 3/