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Brexit round-up – 01/11/19

Welcome to this, our latest Brexit round-up. Each week we provide a succinct round-up of the latest news surrounding the Brexit process, so you can keep abreast of the issues which are likely to affect your organisation.

Labour confirms second referendum plan at campaign launch

Jeremy Corbyn has used Labour’s election campaign launch to confirm plans for a second referendum as he pledged to “sort” Brexit within six months. “It really isn’t that complicated,” he said of the task, as he outlined how his party would renegotiate a deal with the EU and then put it back to the people, with the option of Remain.

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‘£70bn hit to UK by 2029’ under PMs Brexit deal

A National Institute of Economic and Social Research (NIESR) study shows the UK will be £70bn worse off under Boris Johnson’s deal than if it had remained in the EU. NIESR commented that although approval of the PMs deal “would reduce the risk of a disorderly outcome” it would ultimately “eliminate the possibility of a closer trading relationship with the EU.” The study concluded that GDP would be 3.5% lower in 10 years’ time under the deal, meaning the economy would be slightly worse off than under Theresa May’s deal in 2018. The Treasury has responded stating it plans on a ‘more ambitious’ agreement with the EU, announcing they are “aiming to negotiate a comprehensive free trade agreement with the European Union, which is more ambitious than the standard free trade deal which NIESR has based its findings on.”

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Amber Rudd announces she will stand down as MP

Former Home Secretary, Amber Rudd, has announced she will not stand at the December general election. She and 21 of her colleagues lost the Tory whip when backing a plan to take control of the Commons timetable to pass legislation blocking no-deal. Ms Rudd has defended her actions at the time, commenting “I felt I made the right steps at those critical points and I am pleased that the Prime Minister has now restored the whip to some of those colleagues.” Despite the PMs actions, the former Home Secretary said “I will be leaving the House of Commons on perfectly good terms with the Prime Minister and I want him to succeed.”

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12 December general election gets MPs’ approval

By a margin of 438 votes to 20, the House of Commons approved legislation for the first December election since 1923. The decision comes after MPs backed Boris Johnson’s call for an election to break the Brexit deadlock which has overshadowed the PMs few months of leadership. The Prime Minister has said that the UK must be “given a choice” over the future of Brexit and ultimately the country. Following Tuesday’s vote, the PM has readmitted 10 of the 21 Conservative MPs he removed from the party over Brexit rebelling, allowing them to stand as Conservative candidates.. Whilst 127 Labour MPs, including the Labour leader, supported the election, some Labour MPs have misgivings over its timing, commenting that only another referendum can settle the Brexit split. The Liberal Democrats and the SNP gave their support for an election, viewing it as the best opportunity of stopping Brexit.

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EU approves second Brexit extension

The EU announced its approval of a new Brexit extension, for a full three months until 31 January 2020. The EU has attached extra wording to the extension, reiterating that this is a “flextension” with the view that the UK will not need to stay in the EU for the full three months. This opens the door to leave as soon as Parliament and the European Parliament have ratified the new Brexit deal. The European leaders took their time making the decision on the extension, France originally expressed deep oppositions to the three-month extension. President Emmanuel Macron had previously agreed with Boris Johnson that a shorter, extension would focus MPs on the newly negotiated Brexit deal. The EU has since expressed concern that come January, the possibility of another Brexit extension could arise.

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If you have any questions about any of the issues which are raised, or would like to discuss your own organisation’s options in the lead-up to Brexit, please do not hesitate to get in touch.

 

Please note that this briefing is designed to be informative, not advisory and represents our understanding of English law and practice as at the date indicated. We would always recommend that you should seek specific guidance on any particular legal issue.

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