Brexit

It is not usual for the Governor of the Bank of England to ask permission to make a statement about a completely unrelated issue when giving evidence on inflation to the Treasury Select Committee. So we knew it was serious when Andrew Bailey yesterday told us his concerns about Brussels trying to force banks to relocate their euro clearing from London to the EU.  It is not a surprise that the EU wants to do this – France has been pushing for this for years before Brexit, leading to it losing a case to the UK at the European Court of Justice – but what is concerning is the desperate

Boris Johnson’s political recovery in the last couple of months has been nothing short of remarkable. Not that he was ever down and out, of course, but having got a Brexit deal that both Farage and Starmer backed, followed by the success of the vaccine rollout, the Prime Minister once again looks unassailable.  As for the Labour leader, things look much less rosy. But what hasn’t been said in the criticism of Starmer is that what has mostly caused the leader of the opposition’s dip is not his own incompetence but the Prime Minister’s recent good form. This has made me realise something about Boris: he bears a lot of comparison with one former prime

There have always been those on the European side who believe that for the EU project to succeed, Brexit must fail and must be seen to fail. So it is a problem that the first major act of Brexit Britain — going its own way to obtain and approve vaccines — appears to have been a success. For this reason, EU leaders must cast doubt on the achievement. As I say in the magazine this week, look at how Clément Beaune, Macron’s Europe Minister, went out of his way to tweet out his criticisms of the UK approach. (To be fair, there is a Brexiteer version of this hostile sentiment.

Boris Johnson has made his Brexit negotiator David Frost a full member of the Cabinet and the UK chair of both the partnership council, which manages the UK/EU trade deal, and the joint committee, which handles the Northern Ireland protocol. Frost’s appointment is a recognition that someone is needed at the heart of government to handle the EU relationship – that it can’t be treated as simply a Foreign Office matter, and that it needs to be a full-time job (Michael Gove had previously been the UK chair of these committees). The challenge for Frost will be to get out of the negotiations mindset. The withdrawal negotiations and the trade

It was meant to be a special relationship. After the tumultuous Trump years, President Biden was planning to reset relations with the European Union, Inherently liberal, rules-based, and engaged with climate change, it would be a natural ally, and far more so than a UK still tainted by Brexit. The Biden team were no doubt looking forward to working closely with officials in Brussels, Paris, and Berlin to repair the damage of the last four years and put the world on a more rational course.  But hold on. It is not going according to plan. There are already reports that the White House is growing increasingly frustrated with the EU.

The announcement of the Brexit deal at the end of 2020 alleviated concerns over food supplies to the relief of many, not least the government. But while it is clear that food will continue to appear on shop shelves, what has been less clear, however, is how we want to feed ourselves now that we are no longer confined by European Union membership. It has been three years since Michael Gove brought Henry Dimbleby into the Department of Environment, Food and Rural Affairs (Defra) to work on food policy. His report in July 2020 urged action on food poverty. But it was sidelined until footballer Marcus Rashford said the same

Ursula von der Leyen now admits that she overreacted in the EU’s vaccine row with the UK. She has spoken of her ‘regret’ that Article 16 of the Northern Ireland border protocol was triggered by the European Commission in a Friday night fit of pique at the end of last month. But there is a sense in Brussels that the British are still trying to exploit her misstep. This claim is not entirely baseless. The UK is getting increasingly worried about the protocol, and clearly does see a chance to push for concessions now that the Commission has surrendered the moral high ground. The Northern Ireland protocol was agreed by

As non-apology apologies go, it was right up there with the best of them. Speaking to MEPs today, the president of the European Commission Ursula von der Leyen accepted that some ‘mistakes had been made’ in the procurement of vaccines against Covid-19.  Apparently the Commission had been a little too late authorising some of the shots, it had been a tad too optimistic about production, and not everything had gone according to plan. But, heck, these things happen, she went on to argue. And perhaps most crucially of all, the alternative would have been far, far worse.  ‘I can’t even imagine if a few big players had rushed to it

Since the outrage caused last Friday, when the European Union looked set to undermine the Northern Ireland protocol less than one month after the Brexit deal came into force, there has been little apology from those in charge. This is not terribly surprising: European Commission President Ursula von der Leyen has a reputation for passing the buck whenever possible. It’s also thought that last week’s mistakes are particularly hard for the EU to grapple with: desperate to prove Brexit was a mistake, it has been difficult for Brussels to watch Britain’s reputation for handling the Covid crisis change so quickly for the better. Yesterday we got a hint of acknowledgement

The bankers would all move to Frankfurt. The hedge funds would all decamp to Zurich. The asset managers would be off to Paris and Dublin, and the lawyers, accountants and consultants would swiftly follow them.  For much of the last four years since the UK voted to leave the European Union, it has been assumed across most of the continent that one of the big prizes of Brexit would be repatriating the lucrative financial services industry out of the City of London to a series of European centres. Indeed, Paris was confidently expecting to boom on the back of all the business that would hop on the first Eurostar to

The next Northern Ireland assembly election must take place by 5 May next year. The MLAs voted in then will decide whether or not to continue the Northern Ireland protocol, which requires the UK authorities to apply EU rules on various goods entering Northern Ireland. If a majority voted against (that is all that would be needed as the petition of concern, which requires a higher threshold, would not apply), then the protocol would fall. At the moment, it looks very unlikely that the election will result in an anti-protocol majority. But it would clearly be bad for stability in Northern Ireland if the campaign turned into an attempt by Unionists to rally

Valdis Dombrovskis could probably do without his moment in the limelight. His spell as prime minister of Latvia, a country with a population of 1.9 million, was largely successful, at least until the collapse of a supermarket roof in 2014 brought his coalition to an early end.  Shunted off to Brussels, he worked quietly as commission vice-president for the euro and social dialogue– nope, I don’t know what the heck that means either – before being promoted to the slightly more important trade portfolio last year. Now it turns out he is responsible for what is rapidly turning into the biggest policy catastrophe in Europe since the Second World War,