As State aid is said to be one of the issues Jeremy Corbyn will be raising to day, here are three key things to bear in mind.
1. The EU has made it clear that retaining State aid control is a red line for even a 🇨🇦 style deal for the U.K. We are too big and too close: EU politicians could not accept any risk of subsidised competition from the UK
2. WTO rules (though they apply only to goods) also prevent subsidisation of eg steel: subsidies mean you will face tariffs on those goods (“countervailing measures”). The EU has a record of vigorous application of countervailing measures.
3. Many EU Member States grant much more State aid per head within existing rules than the U.K. does. And, evidently, State aid rules do not stop our running a Scandinavian-style economy (all Scandinavian countries are bound by these rules).
For details see my written evidence to the @LordsEUCom here. data.parliament.uk/writtenevidenc…
