Wolfgang Münchau Wolfgang Münchau

The Swiss-style Brexit delusion

(Credit: Getty Images)

Rotation is the clearest sign of intellectual muddle. When Britain left the EU, some leave supporters thought they could negotiate a bespoke agreement that would give them all the benefits of membership but none of the obligations. Then it was the Swiss model. Remember Chequers? It was the beginning of the end of Theresa May. The deal she finally negotiated would have kept the UK in the single market and the customs union for several years. The deal that was finally adopted comes under the moniker of Canada: a classic free trade deal.

Now the government is contemplating a rotation back to the Swiss model. After a predictable outcry following the reports in the Sunday Times, this has now been denied. The Tory party is back fighting its old divisions over Europe – through leaks for now. 

The endless debate about the Swiss model reveals the sheer hopelessness of the current endeavour

What this story is telling us is that Brexit is dying, by neglect. The situation was best described over the weekend by Andrew Neil, who wrote this:

‘The Government was supposed to create a post-Brexit low-tax, low-regulation, free-wheeling economic environment which would unleash homegrown entrepreneurs and turn Britain into a beacon for foreign investment, with enterprising business folk flooding to our shores. After Thursday, that is not going to happen

The only, minor, disagreement with that statement is that the death of Brexit happened earlier. When people inside the British government talk about the Swiss model, they are basically seeking the best of both worlds: a menu choice the EU is not offering. The only available alternative is the undoing of Brexit itself. This means that the UK will eventually rejoin the customs union and/or the single market, with the full obligations this would entail.

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