The government should not be drawn into discussion of free movement by our EU neighbours. The referendum was quite clear. We wish to take back control of our borders. Vote Leave expressly ruled out the Norway option or EEA membership, mainly because of the need to accept free movement.
The way to control numbers will be through a work permit system with quotas for skilled and qualified people we need, adapted to our economic and social needs. There is no need to stop people coming here as visitors or to invest and set up businesses if they have their own means of support. The controls should be on admission to benefits and through employers who will need to ensure the individual from the EU has a work permit, just as they have to for people from outside the EU today.
This method of taking back control also avoids difficult issues on the Irish border, allowing free access as today.
The only issues the UK needs negotiate relate to the basis for continued trade and business links. We should propose no change, but be ready to respond if they do wish to erect barriers in the way of their trade with us.