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Brexit: MPs to vote on leaving the EU with no deal – Politics live Brexit: No-deal tariff plan would be 'sledgehammer' for economy, says CBI – Politics live
(32 minutes later)
Boris Johnson tells MPs that MPs will be debating the “very good” Malthouse compromise amendment last night.
Heading to table a #MalthouseCompromise Plan B amendment with @DamianGreen, @NickyMorgan01 and @Simonhartmp, supported by @Jacob_Rees_Mogg, @NigelDoddsDUP and Iain Duncan Smith pic.twitter.com/LzMbozTinJ
More about the #MalthouseCompromise may be found here:https://t.co/8Fbrf9YRPz pic.twitter.com/FuauVkj2fJ
Boris Johnson, the Brexiter former foreign secretary, is holding an LBC phone-in.
Nick Ferrari, the presenter, reads out a quote from Johnson saying it would be easy to negotiate new trade deals.
Johnson says he does not regret this. But only a handful of deals, to rollover the benefits of exiting EU trade deals, have been agreed, Ferrari says.
Johnson claims there is still time to get a better deal from the EU. He says the EU always agrees deals at the last moment. Or the horses change in the final furlong, as he puts it.
Rees-Mogg says the most likely thing now is the UK leaving on 29 March without a deal.
But he says people who want to delay Brexit, like Yvette Cooper and Dominic Grieve, want to stop it entirely.
And that’s it. His LBC interview is over.
Good morning. I’m Andrew Sparrow, picking up from Matthew Weaver.
Jacob Rees-Mogg, the Tory Brexiter and chair of the European Reseach Group, the powerful caucus representing up to 80 or so Conservatives pushing for a harder Brexit, is on LBC now.
Q: Some people are saying Britain has lost its Brexit. Is that right?
Rees-Mogg says he does not accept that. If he did, he would not have voted against the deal last night. He says parliament has already voted to leave the EU.
What MPs voted for last night was opinion, he says. The article 50 legislation and the EU Withdrawal Act were law. They are in a different category.
Q: So if MPs vote for an extension, it will not necessarily happen?
That’s right, says Rees-Mogg. He says it is up to the EU to offer an extension.
Q: What do you expect to happen now?
Rees-Mogg says he expects the motion ruling out no deal to go through. But it does not really change anything, because it is not law.
Rees-Mogg says voting to rule out no deal won’t have legal force.
Steve Baker, deputy chairman of the European Research Group, claimed Brexiters were “all really yearning to be able to vote for” Theresa May’s deal last night.
But he claimed Attorney General Geoffrey Cox’s verdict that the risk of staying in the backstop remained unchanged meant they had to reject it.
“That final paragraph of his advice showing we would not have a lawful mechanism to exit the backstop, really blew up all prospect of us being able to vote for the deal,” he told Today.
Asked what should happen now, Baker said: “We have tabled an amendment related to the Malthouse B compromise. That means you throw three safety nets around exiting without a withdrawal agreement. The first is that you continue to offer plan A, which is that if we had alternative arrangements on the Irish backstop, we would approve the withdrawal agreement. The second is that we would offer to buy the implementation period for the financial settlement in the withdrawal agreement, so they get about £10bn a year and we all get a transition arrangement. And the third is that we take advantage of a wide-range of standstill agreements and arrangements ... and notify that trade preference to the WTO to exit smoothy.”
Nick Boles dismissed the idea as “basically a no deal exit.” He added the EU has made clear that it would not accept such options. “It is incredibly important for all of us to stick to things that actually can be deliver and not to try to come up with new schemes that which simply won’t fly,” Boles said.
Boles said parliament should use any extension to article 50 to “start voting on compromises”.
He added: “We have not been given the chance ever, by this prime minister, to debate and vote on alternative compromises. We need to start doing that next week so the EU sees that we are actually making progress, that we are gripping reality not fantasy.”
Boles said the prime minister was entitled to try to get her deal through. But he added: “What she is not entitled to do is prevent the rest of us from seeing if there are alternatives compromises that could attract the support of a majority.”
David Cameron has urged his successor to abandon her deal and search of “other alternatives” on Brexit.David Cameron has urged his successor to abandon her deal and search of “other alternatives” on Brexit.
Speaking to reporters outside his house, he said: “Obviously what needs to happen next is to rule out no deal, that would be a disaster for our country and to seek an extension and I’m sure that’s what’s going to happen next.” Speaking to reporters outside his house, he said:
He added: “What happened last night is that some people who have always wanted Brexit have voted against it again. And this is exasperating for the prime minister and I think she should feel free to look at other alternatives for partnership deals, and the like, in order to solve this problem, because you can’t go on with a situation where people who want Brexit keep voting against it.” Obviously what needs to happen next is to rule out no deal, that would be a disaster for our country and to seek an extension and I’m sure that’s what’s going to happen next.
What happened last night is that some people who have always wanted Brexit have voted against it again. And this is exasperating for the prime minister and I think she should feel free to look at other alternatives for partnership deals, and the like, in order to solve this problem, because you can’t go on with a situation where people who want Brexit keep voting against it.
Rebecca Long-Bailey, the shadow business secretary, has called for parliament to reach a consensus deal on leaving the EU.Rebecca Long-Bailey, the shadow business secretary, has called for parliament to reach a consensus deal on leaving the EU.
Speaking to the Today programme she called on the prime minister to give MPs a free vote on all of the options out of the current impasse. She said: “There are very very common areas between Labour’s position and the position that has been set out by a number of Tory MPs ... to having a customs union deal and a strong single market deal.” Speaking to the Today programme she called on the prime minister to give MPs a free vote on all of the options out of the current impasse. She said:
She also appeared to play down the option of a second referendum. Long-Bailey said: “We haven’t ruled out a people’s vote, but our priority is securing a deal, but we also stated that we would keep all options on the table to avoid a damaging Tory Brexit and a no-deal Brexit.” There are very very common areas between Labour’s position and the position that has been set out by a number of Tory MPs ... to having a customs union deal and a strong single market deal.
She also appeared to play down the option of a second referendum. Long-Bailey said:
We haven’t ruled out a people’s vote, but our priority is securing a deal, but we also stated that we would keep all options on the table to avoid a damaging Tory Brexit and a no-deal Brexit.
She added:She added:
“We need to move the prime minister’s red lines towards a deal that would secure a parliamentary majority. First we need to rule out no deal. Secondly we need to look at the extension of article 50 for a short period of time in order to give us the opportunity to renegotiate a deal. We need to move the prime minister’s red lines towards a deal that would secure a parliamentary majority. First we need to rule out no deal. Secondly we need to look at the extension of article 50 for a short period of time in order to give us the opportunity to renegotiate a deal.
“I’m sure that there will be a number of amendments put forward in the next few days outlining the direction of travel that parliament should take, because it is clear that the prime minister is not capable at this time of trying to find that consensus.” I’m sure that there will be a number of amendments put forward in the next few days outlining the direction of travel that parliament should take, because it is clear that the prime minister is not capable at this time of trying to find that consensus.
Asked about another vote of no confidence in the government, Long-Bailey said: “Of course it is something that we may consider in the future, but our priority at the moment is looking at ruling out no deal, making sure that we get that extension and we use it wisely to renegotiate the deal going forward.” Asked about another vote of no confidence in the government, Long-Bailey said:
Of course it is something that we may consider in the future, but our priority at the moment is looking at ruling out no deal, making sure that we get that extension and we use it wisely to renegotiate the deal going forward.
Tariffs will be slashed to zero on 87% of imports to the UK as part of a temporary no-deal plan to prevent a £9bn price shock to business and consumers, the government has announced today.Tariffs will be slashed to zero on 87% of imports to the UK as part of a temporary no-deal plan to prevent a £9bn price shock to business and consumers, the government has announced today.
But tariffs will apply to certain goods including beef, lamb, pork, poultry and some dairy products to “support farmers and producers who have historically been protected through high EU tariffs”.But tariffs will apply to certain goods including beef, lamb, pork, poultry and some dairy products to “support farmers and producers who have historically been protected through high EU tariffs”.
MPs will be voting later on Wednesday to reject a no-deal Brexit after a humiliating 149-vote defeat for Theresa May’s deal in the Commons on Tuesday.MPs will be voting later on Wednesday to reject a no-deal Brexit after a humiliating 149-vote defeat for Theresa May’s deal in the Commons on Tuesday.
The government described today’s announcement as a “modest liberalisation” of tariffs designed to minimise disruption to business and price shock in the supermarkets.The government described today’s announcement as a “modest liberalisation” of tariffs designed to minimise disruption to business and price shock in the supermarkets.
Government to slash tariffs to zero in case of no-deal BrexitGovernment to slash tariffs to zero in case of no-deal Brexit
Responding to the tariff regime, CBI director-general Carolyn Fairbairn told Today:Responding to the tariff regime, CBI director-general Carolyn Fairbairn told Today:
“This tells us everything that is wrong with a no-deal scenario. This tells us everything that is wrong with a no-deal scenario.
“What we are hearing is the biggest change in terms of trade this country has faced since the mid-19th century being imposed on this country with no consultation with business, no time to prepare. What we are hearing is the biggest change in terms of trade this country has faced since the mid-19th century being imposed on this country with no consultation with business, no time to prepare.
“This is no way to run a country. What we potentially are going to see is this imposition of new terms of trade at the same time as business is blocked out of its closest trading partner. This is a sledgehammer for our economy.” This is no way to run a country. What we potentially are going to see is this imposition of new terms of trade at the same time as business is blocked out of its closest trading partner. This is a sledgehammer for our economy.
On the new tariff regime, Barclay told Today it was a “modest liberalisation” of trade.On the new tariff regime, Barclay told Today it was a “modest liberalisation” of trade.
“This is a modest liberalisation, it is a temporary measure, this is for a short term while we engage with business and see what the real-term consequences are,” he said.“This is a modest liberalisation, it is a temporary measure, this is for a short term while we engage with business and see what the real-term consequences are,” he said.
The Guardian’s Lisa O’Carroll tweets the details of the new tariffs:The Guardian’s Lisa O’Carroll tweets the details of the new tariffs:
The Tariff Rates just revealed by government pic.twitter.com/11KWXVoUsUThe Tariff Rates just revealed by government pic.twitter.com/11KWXVoUsU
So for clarification - no checks on Irish border in no deal and tariff regime will not apply on goods crossing Irish border. But tariffs would have to be paid on certain goods going from Ireland/EU to U.K. Govt says there will be no checks down Irish Sea, hence smuggling opps.So for clarification - no checks on Irish border in no deal and tariff regime will not apply on goods crossing Irish border. But tariffs would have to be paid on certain goods going from Ireland/EU to U.K. Govt says there will be no checks down Irish Sea, hence smuggling opps.
Steve Barclay (or ‘Steve Brexit’ as John Humphrys called him) is still promoting Theresa May’s withdrawal agreement despite the two crushing Commons defeats.Steve Barclay (or ‘Steve Brexit’ as John Humphrys called him) is still promoting Theresa May’s withdrawal agreement despite the two crushing Commons defeats.
“The best way of getting Brexit delivered was the vote put before the House last night,” he said. “The best way of getting Brexit delivered was the vote put before the House last night,” the Brexit secretary said.
Citing a point made by Ken Clarke, Barclay added: “Whatever deal you have you have to have the withdrawal agreement. The EU has been clear on that. And there is nothing in the withdrawal agreement that the Labour party in principle disagrees with.”Citing a point made by Ken Clarke, Barclay added: “Whatever deal you have you have to have the withdrawal agreement. The EU has been clear on that. And there is nothing in the withdrawal agreement that the Labour party in principle disagrees with.”
His comments suggest the government has not ruled out a third vote on the withdrawal agreement.His comments suggest the government has not ruled out a third vote on the withdrawal agreement.
Alun Cairns, the Wales secretary, is making similar hints according to Sky News.Alun Cairns, the Wales secretary, is making similar hints according to Sky News.
As we reported on @skynews last night. Alun Cairns telling me in an interview after the defeat; “I don't think this is the end of the deal necessarily” https://t.co/amlRiVQRICAs we reported on @skynews last night. Alun Cairns telling me in an interview after the defeat; “I don't think this is the end of the deal necessarily” https://t.co/amlRiVQRIC
Angela Merkel has said that securing EU leaders’ agreement on a Brexit delay up until the end of June will be “easy”, according to senior diplomatic sources.Angela Merkel has said that securing EU leaders’ agreement on a Brexit delay up until the end of June will be “easy”, according to senior diplomatic sources.
Attitudes in some of the EU’s capitals towards a possible extension of article 50 have recently hardened, with diplomats complaining that London had been “lazy” and taken a positive decision for granted.Attitudes in some of the EU’s capitals towards a possible extension of article 50 have recently hardened, with diplomats complaining that London had been “lazy” and taken a positive decision for granted.
But the German chancellor let it be known at the recent EU-Arab summit in Sharm el-Sheikh that Berlin will not stand in the way, sources have disclosed to the Guardian.But the German chancellor let it be known at the recent EU-Arab summit in Sharm el-Sheikh that Berlin will not stand in the way, sources have disclosed to the Guardian.
Angela Merkel 'said it would be easy to get EU to extend article 50'Angela Merkel 'said it would be easy to get EU to extend article 50'
Brexit secretary, Steve Barclay, has been put up to face the media today. The Brexit secretary, Stephen Barclay, has been put up to face the media today.
He is asked on the Today programme how he’ll vote in the no deal vote. He dodges and says he’ll wait to see what the amendments are. But faced with a choice between no deal and no Brexit, Barclay says he’d favour no deal.He is asked on the Today programme how he’ll vote in the no deal vote. He dodges and says he’ll wait to see what the amendments are. But faced with a choice between no deal and no Brexit, Barclay says he’d favour no deal.
Britain will slash tariffs on a range of imports from outside the European Union if MPs vote to leave without a deal, PA reports. Stephen Barclay says he would prefer no deal to no Brexit.
But some products coming from the remaining 27 EU member states which are currently imported free of tariffs will now face levies for the first time.
Ministers said that, overall, the changes would represent a “modest liberalisation” of the UK’s tariff regime.
Under a unilateral temporary scheme announced by the government, 87% of all imports to the UK by value would be eligible for zero-tariff access - up from 80% at present - while many other goods will be subject to a lower rate than currently applied under EU rules.
In special arrangements for Northern Ireland, the UK’s temporary import tariffs will not apply to EU goods crossing the border from the Republic.
There might still be ways that Brexit can go badly; unexplored dead ends and byways of failure. But the road to success is now closed. Parliament’s second verdict on Theresa May’s deal is slightly less crushing than the first one in January. But a defeat by 149 votes, just weeks before Britain is due to leave the EU, indicates not only the last evacuation of any authority from the prime minister but a profound crisis in the project that is the only purpose of her government. She had one job, and she cannot do it. Vital questions about the future will now be settled in a state between despondency and panic. There is no strategy, no guiding intelligence. A plan must be salvaged from the wreckage of a bad idea badly executed.
There was a moment, early today, when May thought she saw a way through. A path was briefly visible to the promised land of orderly Brexit. The prime minister had brought legal clarifications from Strasbourg to embellish her deal. But then the road was barred by Geoffrey Cox. The attorney general judged that the UK might still find itself in the notorious backstop – an EU customs union – with no unilateral means of dissolving the arrangement. Indefinite backstop is a deal-breaker for hardliners.
Cox’s judgment spread disappointment well beyond the circle of noisy Brexit ultras. There is a quieter tranche of MPs whose first preference is that Brexitjust be done with a minimum of trauma. Most aren’t that bothered about the detail. But May’s withdrawal agreement, the only existing mechanism to achieve their goal, is just too toxic after so much high-profile scorn.
Today's business in the House of Commons. pic.twitter.com/dcdqfMi1sO
Yesterday, writing in the Guardian, former Australian prime minister Kevin Rudd warned that expecting the Commonwealth to fill the trade gap left by the EU, was “utter delusion”.
Today, one of Australia’s top business leaders has cautioned that the trade uncertainty caused by Brexit is hurting its trade partners.
James Pearson, chief executive of the Australian Chamber of Commerce and Industry, said the 300,000 businesses it represents were “exposed quite heavily” to export and import markets and the UK was a “significant” trading partner.
“[MPs] need to resolve the issues as soon as practical so that we can get on with building and strengthening further the United Kingdom-Australia trade and investment relationship,” he told the Press Association.
“It’s got a long history, it’s a very strong and profitable one and a beneficial one for the people and businesses of both countries, so we are looking forward to doing that once this uncertainty is resolved.”
Political correspondent Peter Walker, has this excellent guide to what happens next.
What happens next?
As promised in advance by Theresa May, the next step will be motions on successive days to see first if MPs want to rule out a no-deal departure and then, if they do, whether they wish to extend article 50 and delay the Brexit process. The Conservatives will have a free vote on no deal. May stressed that Wednesday’s vote would not rule out no deal for ever – just for now. And if MPs decline to rule out no deal, she said, it will become official government policy.
What does this mean for Theresa May?
Whatever happens, it’s not good news. Badly losing two Commons votes on your government’s flagship policy is unprecedented for a modern prime minister, and in any other political era would herald their imminent eviction from Downing Street. There had been speculation that May could even resign if she lost again. While she has not, she is badly weakened, and the challenges will surely come. For now, MPs’ focus is on seeking to shape Brexit, and few would probably want to immediately take on her onerous task. But – as with everything in this matter – events could move very quickly.
How long could Brexit be delayed?
That depends, not least on whether MPs support this. May is adamant that if there is a pause it should be brief and not one that would require the UK to take part in the upcoming European elections, taking place in 10 weeks’ time. But any Commons motion on extending article 50 will be amendable, and parliament might take another view.
Could May seek a softer Brexit?
Seemingly not, at least not yet. After the vote her spokesman reiterated the prime minister’s opposition to any Brexit deal that involves a customs union. Meanwhile the EU has indicated that it has no appetite for further talks.
What will Labour do next?
While pushing for a second referendum is still among the party’s official demands, in responding to May’s defeat, Jeremy Corbyn spoke mainly about again pushing Labour’s Brexit plan – which involves membership of a customs union, or the idea of a general election. But again, things could change quickly, and those MPs who back a second referendum have not given up on the idea.
Could there be a general election?
That is what some Conservative backbenchers loyal to May were warning would inevitably happen if she lost the latest vote. This is likely to have been intended as an extra warning to would-be Tory rebels, one that went largely unobserved. An election could still happen, but that would involve extending article 50 for longer than the government wants.
What happens now that May's Brexit deal has been defeated again?
The pound rose slightly overnight as traders took the Commons vote as a sign that Brexit is now more likely to be delayed. It is sitting at $1.309 and €1.16.
David de Garis, a director of economics and market at National Australia Bank, told Reuters that he expected today’s no-deal vote to go against the government as well as Thursday’s expected vote to extend the article 50 trigger. That would be “of some comfort to sterling”, he said.
But he added: “It’s still a fast moving environment, with political pressure at understandably extreme levels.”
This graph shows the biggest government defeats in House of Commons. Tuesday night’s comes in fourth; the largest remains Theresa May’s first defeat on her Brexit plan in January.
Theresa May looks downcast on the front pages of most of the papers today, which all focus on the defeat of the Brexit deal in the House of Commons last night. Our full wrap of how the papers covered the news is here.
The Guardian front page, Wednesday 13 March 2019: Another huge defeat for May. And just 16 days until Brexit pic.twitter.com/fM1zuXRsA2
Tomorrow's front page: Brexit delay mayhem #tomorrowspaperstoday https://t.co/9pDVQqfl93 pic.twitter.com/qcjZYOigx6
Wednesday’s FT: “May loses control of Brexit after MPs throw out revamped deal” #bbcpapers #tomorrowspaperstoday (via @AllieHBNews) pic.twitter.com/izXTYvq2HJ
Wednesday’s Daily MAIL: “The House Of Fools” #bbcpapers #tomorrowspaperstoday pic.twitter.com/3R3mq96J6E
Wednesday’s TIMES: “Driven to despair” #bbcpapers #tomorrowspaperstoday pic.twitter.com/aWkg4rEkco
The front page of tomorrow's Daily Telegraph 'May clings on despite a second humiliating defeat' #tomorrowspaperstoday pic.twitter.com/BdOouQqBXI
Tomorrow's front page: Theresa May's rejigged Brexit plan croaked after hardline Tory MP's inflicted another devastating defeat. https://t.co/NSLxFZWNbH pic.twitter.com/0YDHTyak2Q
Wednesday’s i - “Out of control” #bbcpapers #tomorrowspaperstoday pic.twitter.com/BSMvT63Fbg
Here's tomorrow's @Daily_Express front page: - How much more of this can Britain take? #TomorrowsPapersToday pic.twitter.com/Oj6Ou8nb38
'House of fools': what the papers said about May's Brexit defeat
The interactive that allowed you to see how every MP voted on yesterday’s motion seems to have had a bit of a malfunction when embedded in the blog.
I’ve take it down, but if you’d like to search for your (or any) MP, you can do that here. And we will be updating the interactive with the results from all the Brexit votes this week. So, one to bookmark.
How did your MP vote in the March Brexit votes?
Hello early-rising politics-watchers, welcome to our rolling coverage of today’s politics news.
After yesterday’s thumping defeat of Theresa May’s Brexit deal – which was defeated by 149 votes in the Commons – MPs are preparing to vote on another significant Brexit motion today. This time they will vote on whether or not a no-deal Brexit is possible.
Donald Tusk warned that the outcome of last night’s vote made a no-deal Brexit more likely, saying: “On the EU side we have done all that is possible to reach an agreement ... With only 17 days left to 29 March, today’s vote has significantly increased the likelihood of a no-deal Brexit.”
If MPs reject the possibility of a no-deal Brexit, they will vote on the possibility of delaying the UK’s exit from the European Union on Thursday.
Labour has said it will try to force the government to adopt its Brexit stance. After May was defeated, the Labour leader Jeremy Corbyn called for a general election.
It’s going to be another big Brexit day, in another big Brexit week. We’re glad to have you along for the ride.
Get in touch via Twitter, in the comments, or via email – kate.lyons@theguardian.com – if you have questions, thoughts, or witticisms to share. I’ll be gently shepherding the blog along in the early hours before Andrew Sparrow takes over a little later.