John Redwood's Diary
Incisive and topical campaigns and commentary on today's issues and tomorrow's problems. Promoted by John Redwood 152 Grosvenor Road SW1V 3JL

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Strategic thinking for defence

As the UK moves on from substantial military interventions in the Middle East we need a new statement of why we have armed forces and how we wish to use them. Past Secretaries of State for defence have tended to be preoccupied with day to day battles over budgets, with defence reviews that have been budget exercises in the main, and until recently with a series of difficult interventions in Middle Eastern wars alongside our allies. They have not set out clearly what our longer term aims as a country are and how well trained and equipped forces can help us achieve them. It would be a good task for the relatively new Secretary of State to set out what our forces should be and what they can do in the years ahead.

We need to look to history to see what we have needed in the past. The UK has been an active and engaged country with interests around the world. We have used our forces to back up our trade and diplomacy. We have stood in recent years for democracy, freedom and self determination of peoples, intervening against aggressors in places like Kuwait and the Falklands.

Today we do not see any threat of invasion and are enjoying a peace which has been long and enduring with our nearest neighbours.Over the longer haul we have stood against any single dominant military power emerging on the continent, where such a dominant power proceeds by conquest and eclipses liberties and self determination for smaller countries. This has required substantial forces to overcome Spanish aggression in the sixteenth century, French aggression in the eighteenth and nineteenth centuries and German aggression in the twentieth. We had to defeat a seaborne armada that got close to our coasts in 1588 from Spain, had to defeat the combined Spanish and French fleets at Trafalgar to prevent their seizing the channel to allow an invasion to cross the narrow seas, and had to win the battle of Britain in the air in 1940 to avoid a German invasion. Defence of the home base mainly required seapower, boosted by airpower in 1940. Control of the Channel was a successful first line of defence in each case. Only once since 1066 have we been successfully invaded. This was in 1688 by the Dutch when much of the British establishment welcomed the invading force and accepted William and Mary’s claim to the throne.

The first duty of our defence forces must be to prevent invasion of our home islands, Fortunately we live in an age when a planned invasion from a nearby continental European country looks impossible. This should not, however, lead to complacency as history has taught us that a threat can emerge swiftly and needs countering and in a mobile age can come from further afield.

History also shows us that the UK has in the past intervened in large wars with land forces. Here our experiences have been more mixed and often marred by bitter and large loss. Usually government commits the country to a war which our available forces cannot possibly win as they are too small. During the war there has to be a massive investment in personnel and weaponry to scale the forces to the task in hand. In 1914 a small highly professional army was committed to the continent ill prepared for contemporary trench and machine gun warfare, only to lose a large proportion of the force. The next four years were spent recruiting a massive citizens army and training it to modern realities to go on to win with our allies. After the US joined in 1917 the mass killing stalemate at last started to move in the direction of an Allies win. In 1939 again a small professional force was committed to the continent, only to be forced into rapid and dangerous retreat, losing much of its equipment and requiring the miracle evacuation of Dunkirk to save most of the people. Thereafter a larger army was recruited and the continent successfully retaken once the US and other forces joined the cause. We should learn from this experience that we need enormous flexibility of supply and recruitment should a national emergency arise.

The second duty of our forces is to be available to handle any national emergency where they can assist the civil power. Great Britain has a long tradition of not wanting a standing army, and resisting interference from the military in politics. Today we have a very professional army that keeps to its clearly understood constitutional role, and is available and willing to help in flood relief or disaster response if needed. As the armed forces have heavy lift helicopters, other military vehicles, and fit and well trained personnel available it makes sense in extreme conditions to ask them support the civilian services that normally handle these matters.

The third duty of our forces is to be available for intervention abroad. If a dependent territory or ally needs military help, or if we need to contribute to a UN mission as members of the Security Council, we need to have flexible and responsive forces that can be taken to a trouble spot or war promptly and effectively. To do this we need the ability to project force by air and sea, and the capacity to lift troops and equipment quickly to where they are needed. This requires carrier groups of ships, air cover and air attack capacity, and heavy lift to take batallions and their vehicles and equipment over long distances.

Exiting the EU – some factual background to where we now are

If nothing else is approved by Parliament we will leave the EU on 29 March 2019 with no Withdrawal Agreement or Future Partnership Agreement. If the government does wish to sign such Agreements it will need primary legislation to endorse them and to provide the large sums of money to pay for them . Those of you who want Brexit and are very critical of what has happened should study this carefully, as it shows a lot has been achieved to complete all the legal processes for exit next March. The present rows are about whether effective exit should be delayed and whether we should re-enter parts of the EU that otherwise we will simply leave next year. All the spin based on Project Fear Mark 2 gets in the way of a clear understanding of how we leave the EU, and what Parliament has so far decided.

EXITING THE EUROPEAN UNION

Referendum 23 June 2016 17.4 million vote to leave the EU, 16.1m vote to remain in EU
Told by government in a letter to all households that voters would decide and Parliament would carry out the decision.

16 March 2017 Royal assent to EU(Notification of Withdrawal) Act
Gained 3rd reading in Commons by 494 votes to 122
Given 3rd reading in Lords unopposed
This fulfils all international and EU law requirements to leave on 29 March 2019, with or without additional Agreements.

6 June 2017 UK General election. 83.3% vote for parties promising to implement Brexit
7.4% vote Lib Dem and 3% vote SNP pledging second referendum on terms of exit

EU Withdrawal Act royal assent 26 June 2018
Passed 3rd reading in Commons 324-295
Given 3rd reading in Lords unopposed
This means that from the date specified in the Act, 29 March 2019, the UK ceases to be a member of the EU and the jurisdiction of the EU and its Court ceases in the UK. All current EU law at that date becomes good UK law, subject to any future amendment or repeal the UK may wish to undertake.

Taxation (Cross border trade) Bill passes Commons July 2018
Amended to prevent UK levying customs for EU or other foreign country unless they levy customs for us on a reciprocal basis. Amended to require primary legislation before re entering EU customs union. Amended to prevent UK staying in EU VAT system. This is now in its Lords stages, but as it is a Tax/money Bill they cannot block the will of the Commons.

Currently in negotiation are

Draft Withdrawal Agreement containing a 21 month Transitional period, additional UK financial contributions after March 2019, reassurances to citizens living in each other’s territory

A possible political Agreement about good intentions to negotiate an Association Agreement between UK and EU governing a future partnership. This could include a free trade agreement, a defence and security partnership, data sharing, criminal justice co-operation and much else. Thea UK insists on linkage between the two possible Agreements. Both sides say nothing is agreed until everything is agreed. Both sides need Parliamentary approval.

The so called Chequers compromise is the current UK offer to the EU over the future partnership. The EU has stated it cannot agree the idea of partial membership of the single market, nor the proposals on common customs and tariffs between UK and EU.

The EU has in the past implied that a Canada style free trade deal with fewer tariffs and more service provision than the EU Canada Agreement is on offer, but only for Great Britain. There remains a substantial disagreement between various parties on the issue of the Northern Ireland/Republic of Ireland border. The UK refuses to split the treatment of Northern Ireland from the rest of the UK, which is important to the DUP members of the Coalition in particular.

The Lib Dems stake out the undemocratic extreme

“Demand better” says the boomerang Lib Dem slogan. That’s good advice when the Lib Dems come round with their proposal to block the wishes of the people and try to overturn the results of the 2016 referendum. Standing on a clear ticket for delay, watering down of Brexit and even a second referendum on terms, they slumped to just 7.4% of the vote in the 2017 election. They had not found the moderate middle, the friendly centre of gravity of the UK electorate as they claim. Their views were far from democratic, as they railed against the decision of the UK voters in 2016. Nor were they very liberal, as they dreamt up another Manifesto of regulations, higher taxes and exhortations to all of us to change the way we live our lives.

It’s a crowded space, this search for the so called moderate centre ground. It is defined as going back to Brussels, saying we are sorry for ever thinking of leaving, and accepting the full swathe of laws, taxes, budgets and common policies that characterise the modern EU. What ever is either moderate or democratic about such an agenda? How is it democratic for more and more laws to be made behind closed doors, drafted by officials we cannot sack or make accountable, and approved by Ministers from 27 countries under pressure not to rock the boat? What is liberal about the austerity policies of the EU’s budget controls, requiring higher taxes, lower spending and lower deficits from countries mired in unemployment in the south and west of the EU? How is the EU’s policy of helping pay for Turkey’s heavily defended borders with the Middle East moderate? What is green about the fishing discard policy or the dash for diesel and the reliance on coal for power by Germany? Why does everything proposed by the EU get through without a whisper of criticism? When will they apologise for the huge damage the Exchange Rate Mechanism did to the livelihoods and businesses of many in the UK, or for the revenge the Euro crisis visited on Cyprus, Greece, Ireland and Spain?

The outgoing Leader of the Lib Dems cannot make up his mind exactly when he will leave his job. Maybe he should hold a party referendum on the topic. Nor does he have any confidence in his fellow MPs, saying that they need to open up the contest for a new Leader to people not in Parliament. I guess as he believes laws should be made in Brussels and more control pass to the EU there is a kind of logic to not bothering whether a party leader can argue, question and vote on what we do here at home in our own legislature. It is a further sign of his insouciance towards UK democracy. Into this private debate with a few voters has intruded Tony Blair. A man who did well out of leading the Labour party, he has gone as far as he dare to say his own party under new leadership cannot win an election, and maybe Labour members like him should look around for a new party. Perhaps he has in mind a Social Democrat pro EU break away from Labour, rather like in the 1980s. They would doubtless need to join up with the Lib Dems.

Others looking at this crowded postage stamp of a political position include the hard line group of pro EU Labour MPs who call themselves moderates and who spend most of their time disagreeing with the electors when they are not disagreeing with their own Leader over most things. All of them suffer from the same underlying problem. There has never been a large market for a pro EU party in the UK. When John Stevens set up the pro Euro Conservatives it gained just 1.4% of the vote in the European elections. It peaked at under 4% in the Kensington and Chelsea by election to Parliament and was disbanded owing to a lack of voter support shortly afterwards. I doubt there would be much of a market on the left for a pro EU Labour party that made its peace with the Establishment on a number of issues where Corbyn is more radical. The pro EU Social Democrats never won new seats in a General Election. The Lib Dem result last time should be a warning to them all that trying to stop Brexit gets you to a very poor third place.

What they seek is no moderate centre they can capture. Supporting a new sell out to the EU is far from being a moderate position to adopt.

Spending priorities

The government is conducting a spending review, to come up with 3 year spending plans from 2019-2020 until 2021-2. They have already announced substantial increases for the NHS budget and are currently consulting on what other changes should be made.

It is important that priority areas like the NHS, schools and social care receive increases to meet demand and costs. It is also important that action is taken to offset some of these increases through spending changes elsewhere, to avoid tax rate rises and to keep borrowing to low levels.

Leaving the EU without signing the Withdrawal Agreement would be a good start to the spending review, giving the government the best part of £39bn over two years to allocate to other priorities. Cancelling HS2 would also free considerable sums of capital, allowing spending on increasing rail capacity substantially to the Midlands and the North by investing in smart signalling and leaving money over for other purposes. If the government does not wish to revisit HS2, it could at least examine how to improve the efficiency and effectiveness of Network Rail spending and borrowing which remain at high levels.

The government should also review its spending on Overseas Aid. More of the budget should be allocated to the first year costs of migrants coming to the UK, as the rules allow. More should be used to construct the ships we need to provide humanitarian aid and support in disaster torn areas. This would relieve those budgets. This Parliament would not want to repeal the 0.7% Aid target so it is important to look at how it is spent.

Where budgets are being increased the government needs to ensure that the extra money is being routed into improving the volume and quality of service being provided. The departments need to bid for the extra money with costed plans for improvement. In the case of social care the money needs to go into more provision for social care support for individuals in their own homes, and into providing more good quality care home places. In the NHS there needs to be an expansion of capacity for the GP service and for the hospital service, to cut waiting times and to make the NHS more accessible to users.

What would your priorities be, both for more spending, and for reductions?

Illegal occupation of land

There have been a number of cases recently of people seeking to occupy land against the wishes of the landowner, where there are no suitable facilities for overnight and longer stays.

Parliament has legislated to give powers to landowners and the police to ban illegal occupations, but some Councils are concerned that these powers are not strong enough. I have taken this matter up with Government Ministers and will let readers see their reply.

The powers are under the Criminal Justice and Public Order Act 1994, Section 61. I have requested the authorities to use the powers available which they have done successfully in some cases. The police can take action in specified circumstances against trespassers. At issue is what should the police have to establish before moving against illegal occupation?

Where is the UK’s tariff schedule for March 30 2019?

I am writing to Liam Fox at the Department for International Trade to ask to see the UK’s proposed tariff schedules for trading with the world after March 29 2019, assuming we leave without an agreement with the EU. I will say:

I welcome the government’s determination to complete preparations for leaving the EU without an agreement and to share the details with the public and Parliament in good time. I am sure you and your department will be pleased to set out the terms on which the UK will trade with the world once we have left, and to get on with negotiating new free trade agreements with the many countries in the world which would like one with us, as well as with the EU assuming they too wish to share the ideas of their Canada free trade agreement more widely.

One of the most important statements that the UK is open for business and ready for life outside the EU will be the publication of our schedule of tariffs or trading terms for when we have left. It would be good to know the proposals as soon as possible, as business could start to exploit the advantages of a better schedule as soon as it knows what the UK’s intentions are. I assume you do not intend to simply copy the full EU tariff schedule we currently have to use for non EU trade, but would wish to set out a tariff schedule tailor made for the UK’s needs.

Once we are out the EU then of course if we continue to impose tariffs on the rest of the world we will have to impose the same tariffs on the EU. I would like to know your thinking on how we might modify their schedule, especially in the following ways.

Would we remove all low tariffs on the grounds that costs of collection hardly make them worthwhile? This could simplify business life for many.
Would we remove high agricultural tariffs from food we cannot produce for ourselves, to give consumers a better deal? Why, for example, would we want to keep tariffs on citrus fruit after we have left?
Would we adjust agricultural tariffs on products we can produce here to a lower average level than the current high level imposed on non EU product, when EU product has to face the same tariff level? Is there an optimum tariff level on products like beef and pork which would still offer good protection for UK farmers, but would cut the cost of non EU imports? Much of the competitive threat to UK farmers currently comes from no tariff product from the continent.
Would we remove all tariffs from components needed in the supply chain for the manufacture of complex goods in the UK?

Setting our own schedule gives us great scope to get rid of tariffs which hurt the UK consumer which are designed to help continental business more than us, and gives us scope to concentrate remaining tariffs in areas of UK farming and industry that need some protection as they adjust to the new global approach the UK will be taking.

I look forward to seeing the publication of your proposals. These could be good for UK trade and our economy. They are likely to result in import substitution in areas like farming.

EU and UK laws – what a different approach to framing them

Over our years in the EU growing volumes of legislation have been passed by the EU. Some of it is directly acting through EU Regulations requiring no UK Parliamentary endorsement. Much of it is embodied in Directives, which require the UK Parliament to pass a UK law to achieve the stated aims and reproduce the detailed proposals in the Directive. Some of these measures have replaced good UK laws, and reflect a general wish to have high standards of employment law or environmental regulation. Some have been meddlesome and damaging, as with the fishing regulations. I do not wish today to go into the balance of good and bad law that came from the EU. I fully accept that some EU law is good law we want anyway and all of it after we have left becomes UK law to ensure immediate continuity. I want instead to examine the very different approach legislators have adopted to these two types of law.

Parliament has not been able to consider or amend any Regulation. Opposition parties in the UK have very rarely objected to Directives that have come from Brussels. They have accepted a form of approval which prevents amendment to the draft law. However long and complex the EU Directive is, it is embedded in UK law as a Statutory Instrument using what are known as Henry VIII powers for government to press Parliament to pass something with little debate and no amendment. These powers are normally reserved for the detail needed to implement primary legislation which has been through a long, argumentative process with plenty of scope for amendment in the UK Parliament. In the case of EU law this does not happen, as the enabling Statute is the European Communities Act 1972 which created the most massive Henry VIII power of them all allowing any legislation from the EU to go through as an SI. Opposition parties have also always accepted government advice that they have to pass the relevant SI because it is a requirement of Brussels, backed up by the threat of court action in the ECJ and fines if we do not comply. Parliament has never turned down an EU Directive. Domestic legislation requiring SIs to implement them does sometimes encounter refusal to enact with the government having to take it away and rewrite the SI or abandon the attempt to push it through. The more law we have that comes from the EU, the less Parliament can amend and improve in future. Parliament’s role in updating and improving ourlaw codes has become more and more impeded by the rapid growth of EU competence and law.

Recently the Commons was asked to enact the EU’s General Data Protection legislation, even though this was already a directly acting Regulation, so keen was the civil service to see it fully into effect. I have no problem with the principle that governments and companies holding and handling data should be careful with it and protect people from harm from its theft or inappropriate use. There were already laws in place before the GDPR to do this. Maybe they needed improvement and updating. What I thought was interesting was there was little opposition attempt to amend or criticise the EU approach to this task. Small charities complained that it was very heavy handed, forcing them to spend a lot of money on advice and new systems to carry on holding lists of their supporters and communicating with them when they were not in any way unhappy or threatened. Small businesses were concerned about their marketing lists and often had to spend a lot of money on advice and systems when they had caused no problems before. If these proposals had been a UK government initiative requiring normal primary legislation I am sure the opposition would have put up much more of a fight to try to improve the legislation.

In the endless and repetitious iterations of Project Fear 2 all we hear about is trade and trade deals. We need to remember one of the central tasks the public want us to do. They want us to restore a fully functioning Parliament which properly probes and amends government legislation on all matters before the Parliament including all those that are currently fixed in Brussels and not subject to any decent scrutiny.

Swedish Democrats

The trend on the continent to the destruction of the main centre left and centre right parties continues apace. The Social Democrats and the Christian Democrats in most countries have lost their supremacy as leading parties capable of polling well and even forming majority governments. That is so pre Euro and twentieth century.

Sweden still has a government led by the Social Democrats, though it is a minority administration that needs the good will of a number of opposition parties to allow it to pass a budget and stay in office, even with its coalition partners the Greens making it a larger minority. The latest polls for the forthcoming General Election show a strong spurt in the performance of the Swedish Democrats, a populist anti immigration party. The other parties regard the Swedish Democrats as unacceptable and wish to keep them out of government. Polling at 20% in the latest surveys, the SD remain around 5% below the Social Democrats.

Italy has established a government out of the Lega and Five Star, two challenger parties that did better than the Socialists and Forza, itself a remodelled centre right party to displace the Christian Democrats more than twenty years ago. Spain still has a Socialist led government, but in a minority and needing to do deals with the challenger parties to get anything through.

So what do these new parties want? They want some relaxation of EU budget controls. Several of them want a reduction in migration into the EU and a change of policy towards economic migrants. Many will be happy to stay with the EU but want it substantially reformed, whilst others think the EU is a big part of the problem and openly campaign to quit the Euro or leave the EU altogether.

The EU needs to think carefully how it responds to these mass movements. So far the Commission seems to think it can just ignore these elections. Even more bizarre is the way traditional parties just accept their fate and do nothing to get back in touch with voters as that would require standing up to the EU.

Chequers explained: the EU is just offering a costly Withdrawal Agreement for now.

There is no chance of the government securing a legally binding agreement that implements all the proposals in the Chequers paper. The EU has made that clear, and the government itself has said it will need to make more compromises. This implies it will give the EU more wins over and above those included in the Chequers draft.

We need to remember what the EU has in mind and what Chequers glosses over in the negotiations to date. The EU wants the UK to sign a Withdrawal Agreement before we leave. This would bind us in to the EU for a further 21 months, require us to pay an estimated £39bn, much of it over the next two years, and would prevent us from exploiting any of the benefits of Brexit in terms of UK legislative change from EU laws, and deny us new trade deals with non EU countries. I have never seen the rationale for such an Agreement from the UK point of view. Delay is particularly frustrating. What could we agree in 21 months that we have been unable to agree in the 33 months from the vote until official exit day? Why is more business uncertainty after March 2019 a good thing, when Remain tell us it is bad thing prior to departure?

The UK government has in mind a Future Comprehensive Partnership. The EU sees this as meaning the UK will have to sign an EU Association Agreement, normally reserved for countries wanting to join the EU to bring them more formally into line with EU legal requirements. No-one thinks there will be a full Association Agreement ready to sign before March 2019 so it would be a promissory note of a possible Agreement. Why would any government wish to sign away so much money in a Withdrawal Agreement when the prize it says it wants will not be properly defined or legally binding at the same time?

Many people including me think an Association Agreement would be a bad idea. It would bind us into the rules of the single market – just for goods under the Chequers model but for the whole thing according to Mr Barnier. The EU would then want budget contributions, powers for the European Court and the rest of their mantra that you have to observe all the rules and pay the bills if you want to remain in the single market.

Understanding this Vote Leave campaigned to leave the single market and customs union as part of leaving the EU. Dressing up belonging as some new Partnership will not wash with Leave voters, and will not wash in its Chequers form with the EU. The one thing many people can unite behind is in ruling out signing the Withdrawal Agreement, as that on its own is very clearly a bad deal.

A new migration policy

Amber Rudd told us there would be a government White Paper on a new migration policy for the UK durng the first winter after the Brexit vote. Iain Duncan Smith did a lot of work on what one could look like and sent it to her. 2 years on from the decision to leave we still await the government’s proposals. We are told they are coming soon. I would like them to be ready for our exit on 29 March 2019, the date the PM has promised again for us to leave in accordance with the legislation now passed.

Iain’s ideas revolve around the current government policy of bringing net migration down to tens of thousands from the quarter of million level that has been common in recent years. That should not cause the PM problems as she has defended this target and repeated it in the 2017 election. He proposes in line with the official Leave campaign that the new policy should not give preference to people from the EU over people from the rest of the world. There should be common criteria for assessing eligibility.

Students coming to study at recognised universities and Colleges should be free to come. Anyone with their own means should be welcome. Anyone with high level qualifications or with skills we are short of should be permitted. Anyone coming to visit, to travel, to be a tourist would of course be welcome.The new controls would operate on anyone coming from the EU as well as elsewhere who wanted to come to look for a job or take up a low paid job, who would need benefit top ups and social housing. The UK would of course continue to offer asylum where appropriate.

We want a policy which is good for the UK economy and fair to all from around the world. We want people who come to settle here to have access to good affordable housing and decently paid employment. We also want that for all those already here and born here, at a time when lower wages have been kept down and when housing in many areas is in short supply. The sooner we have a fair and sensible migration policy, the sooner we can get on top of the housing and pay issues.