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Brexit: May to chair cabinet amid pressure for Chequers rethink Brexit: No 10 says cabinet 'fully behind' PM's plan
(35 minutes later)
The cabinet remains fully behind Theresa May's Brexit policy in the face of growing calls within her party to change direction, No 10 has insisted.The cabinet remains fully behind Theresa May's Brexit policy in the face of growing calls within her party to change direction, No 10 has insisted.
The prime minister is sticking by her Chequers plan for future co-operation despite European leaders attacking it.The prime minister is sticking by her Chequers plan for future co-operation despite European leaders attacking it.
She met senior ministers as pressure grows on her to ditch it in favour of a Canada-style trade accord.She met senior ministers as pressure grows on her to ditch it in favour of a Canada-style trade accord.
Meanwhile, ministers have warned of the risk of disruption to flights in the event of the UK leaving without a deal.Meanwhile, ministers have warned of the risk of disruption to flights in the event of the UK leaving without a deal.
The Department for Exiting The European Union said that if the UK leaves without a deal on 29 March 2019, existing EU-related aviation agreements would cease to apply and UK airlines operating flights to the continent and EU airlines flying to the UK would need to seek licences on a country-by-country basis.The Department for Exiting The European Union said that if the UK leaves without a deal on 29 March 2019, existing EU-related aviation agreements would cease to apply and UK airlines operating flights to the continent and EU airlines flying to the UK would need to seek licences on a country-by-country basis.
It said this could be achieved through a basic reciprocal agreement, adding it would not be in either side's interest to restrict the choice of destinations.It said this could be achieved through a basic reciprocal agreement, adding it would not be in either side's interest to restrict the choice of destinations.
But, as it published the latest batch of 25 no-deal contingency papers, it warned if "such permissions are not granted, there could be disruption to some flights". But, as it published the latest batch of 24 no-deal contingency papers, it warned if "such permissions are not granted, there could be disruption to some flights".
The two sides are seeking to negotiate the terms of exit as well as an outline agreement on future co-operation, over the next month or so.The two sides are seeking to negotiate the terms of exit as well as an outline agreement on future co-operation, over the next month or so.
But the talks hit the rocks on Thursday when EU leaders dismissed the basis of the PM's plan - a free trade zone and common rule book for goods with greater divergence for services - as "unworkable".But the talks hit the rocks on Thursday when EU leaders dismissed the basis of the PM's plan - a free trade zone and common rule book for goods with greater divergence for services - as "unworkable".
The prime minister hit back, accusing the EU of showing the UK a lack of respect and of failing to come up with alternative proposals to minimise disruption to trade and avoid the return to to checks at the Irish border.The prime minister hit back, accusing the EU of showing the UK a lack of respect and of failing to come up with alternative proposals to minimise disruption to trade and avoid the return to to checks at the Irish border.
At a cabinet meeting this lunchtime, Mrs May defended her strategy in the face of what was expected to be calls for her to keep the option of a Canada-style arrangement on the table as talks enter a crucial phase. At a cabinet meeting this lunchtime, Mrs May defended her strategy following calls from leading Brexiteers in her party to keep the option of a Canada-style arrangement on the table as talks enter a crucial phase.
Canada's deal with the EU, signed in 2016, removes the vast majority of customs duties on EU exports to Canada and Canadian exports to the EU.Canada's deal with the EU, signed in 2016, removes the vast majority of customs duties on EU exports to Canada and Canadian exports to the EU.
Speaking on Saturday, Mr Hunt said the PM's plans "work better" than any alternative because they provide a solution to avoiding a hard border on the island of Ireland but he was "not dismissing anything". Former foreign secretary Boris Johnson said proposals put forward by the Institute for Economic Affairs on Monday showed there was an alternative to ending up as a vassal state with "colony status" through the Chequers route.
Leading Tory Brexiteers such as Boris Johnson and Mr Rees-Mogg are backing the Canada option, saying it is acceptable to the EU and will be approved by Parliament.
Mr Johnson said proposals put forward by the Institute for Economic Affairs on Monday showed there was an alternative to ending up as a vassal state with "colony status" through the Chequers route.
The IEA, a free market think-tank, said Mrs May should change tack and pursue an advanced free trade agreement with the EU, with full reciprocal market access, no tariffs in goods including agriculture and maximum recognition of regulatory standards.The IEA, a free market think-tank, said Mrs May should change tack and pursue an advanced free trade agreement with the EU, with full reciprocal market access, no tariffs in goods including agriculture and maximum recognition of regulatory standards.
It said new customs processes had to be put in place that could handle a potential five-fold increase in declarations after Brexit, using enhanced technology and information sharing to separate the movement of goods from the processing of forms for as many traders as possible.It said new customs processes had to be put in place that could handle a potential five-fold increase in declarations after Brexit, using enhanced technology and information sharing to separate the movement of goods from the processing of forms for as many traders as possible.
What is the so-called Canada option?What is the so-called Canada option?
Concerns over the Irish border could be "solved", the IEA argued, by bespoke technical solutions, including trusted trader schemes and streamlined procedures for small businesses.Concerns over the Irish border could be "solved", the IEA argued, by bespoke technical solutions, including trusted trader schemes and streamlined procedures for small businesses.
Mr Johnson said the IEA blueprint would allow the UK to "do a big free trade agreement with the EU but also to do free trade deals around the world" while Jacob Rees-Mogg said it could win the backing of the EU, Parliament and also "public opinion".Mr Johnson said the IEA blueprint would allow the UK to "do a big free trade agreement with the EU but also to do free trade deals around the world" while Jacob Rees-Mogg said it could win the backing of the EU, Parliament and also "public opinion".
But former education secretary Nicky Morgan, who favours closer links with the EU after Brexit, said a Canada-style deal would take years to negotiate and might not give the kind of access its supporters hoped for.But former education secretary Nicky Morgan, who favours closer links with the EU after Brexit, said a Canada-style deal would take years to negotiate and might not give the kind of access its supporters hoped for.
Mrs Morgan told Conservative Home that the fallback option was for the UK to rejoin the European Free Trade Association, the so-called Norway option which would give the UK preferential market access although it would be required to accept EU rules, including on freedom of movement.Mrs Morgan told Conservative Home that the fallback option was for the UK to rejoin the European Free Trade Association, the so-called Norway option which would give the UK preferential market access although it would be required to accept EU rules, including on freedom of movement.
"If we make a conscious decision to opt for Norway now we would leave the EU - thus honouring the 2016 referendum result - and, more particularly, leave the EU's political institutions," she wrote. Brexit Secretary Dominic Raab said the cabinet had had a "good, healthy discussion" and ministers would continue to press the EU on some of the criticisms it had made.
"It would be a return to the common market principles that Margaret Thatcher advocated when the UK led the creation of the Single Market." "Of course we respect different views across the board but we're not going to suddenly throw up our hands in despair because we've had a bump in the road in these negotiations," he said.
The government has now published 77 technical notices designed to prepare business and inform the public about what could happen in the "unlikely" event of the UK leaving without a deal.The government has now published 77 technical notices designed to prepare business and inform the public about what could happen in the "unlikely" event of the UK leaving without a deal.
Brexit Secretary Dominic Raab said while they showed there might be a "risk of disruption", it also demonstrated the UK was well-prepared to "make a success" out of Brexit whatever happened. Mr Raab said while they showed there might be a "risk of disruption", it also demonstrated the UK was well-prepared to "make a success" out of Brexit whatever happened.