politicalbetting.com » Blog Archive » PB Video Analysis: Brexit – What Does “No Deal”Actually Mean?

The UK is due to leave the EU on March 29th 2019. With Mrs May’s Chequers deal rejected by the Commons, and no obvious alternative on the table, leaving the EU with No Deal and previous little preparation is looking increasingly likely.
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Nothing too terrorising in it, perhaps a bit bumpy but in every ones interest to fix.
Am I correct in thinking HMG would have an extra 40bn though, does no deal = no divorce bill?
Certainly we would have clarity, and Credit would mean Brexit. We would have reinvented Napoleon 's Continental system.
Interesting as always, the cheesy jokes make me giggle as well.
Doesn't seem like a complete disaster which is good, might be enough to finish off an unpopular government come the next election though.
Some of the consequences would depend on how vindictive/unhelpful the EU and its member states, and other major non-EU countries, behave towards the UK post Brexit. I would expect France/Germany/Spain and the Eurocrats to be particularly nasty/difficult, as would other aggressive self-centred countries such as the USA and China.
However, for Brexit to mean Brexit rather than BINO, it does mean cutting any jurisdiction by the EU/ECHR/ECJ over the UK, with perhaps a few exceptions such as medicines regulations as was conceded last night. Many of the issues that you raise could be overcome by a deal with the EU along WTO lines. However, is this now impossible because of the foolish NI backstop conceded by TM last December? In my opinion, the solution to the latter issue is a 32-county Eire, but that would be over the DUP's dead body so is currently a non-runner.
Though it's probably in no country's interest to reintroduce restrictive practices I'd be surprised if over time certtain places dont. Quite simply it's a competitive business and the UK punches way above its weight and various other countries would like a chunk of it.
Yet, equally, most political commentators argue it was the seminal event that damaged credibility in Conservative economic competence for years thereafter.
My own recollection is that the really bad news was concentrated into days, not weeks - but there was undoubtedly a media mood of crisis for that period, enough to catch most people's attention. It was during LibDem Conference, as I recall, whose debates were forced off the front pages of every newspaper (;).
No deal Brexit will surely be worse, given that the medium and possibly long run outcomes are likely to be negative as well.
As Paul Krugman wrote in a brief NY Times piece on why we need "a" even if not "the" customs union, the problem is cross-border trade friction not tariffs.
https://www.nytimes.com/2018/07/10/opinion/brexit-meets-gravity.html
Likewise, the potential for a reduced transatlantic market share for British Airways causes no concern for a worker on a zero hours contract concerned about increased competition in the labour market.
That’s without considering the behaviour of the EU side.
Will watch the video when rather more awake.
Mr. Matt, it's very unfair to refer to Grieve, Soubry, Wollaston et al. as the 'Taliban'. I hope you reconsider adding to the toxic atmosphere of politics right now.
https://fta.co.uk/media/press-releases/2018/june/brexit-britain-on-the-road-to-nowhere-says-fta
“ But the real show stopper is that, under European law, unless an agreement is reached, there will only be 103 international haulage Permits to cover the 300,000 journeys made by British trucks to Europe each year. The logistics industry is being asked to decide who would get a Permit to Drive if there are not enough to go around – in effect, being asked to destroy the businesses of its international haulage members.”
The ramifications of no-deal will be enormous.
The solution is to withdraw the offer of the backstop and simply commit to no hard border if ROI does the same. Then the EU can choose between Deal or No Deal.
Of course life will go on, it will just go on elsewhere. I think he video is too complacent. U.K. has been intertwined with the EU economy for 40 years. It will take as long to detach. Meanwhile, Brexit acts as a massive tax on the economy.
Also doesn’t talk to the politics.
Brexit was a Pandora’s Box. Once opened, it’s driven politics in increasingly extreme directions and is estranging us from allies in a very uncertain world.
A planned WTO Brexit could have occurred with such positive attitude, but that would have to have been the destination from the beginning. A Transition period to such a position would probably still have been nessecary.
THERESA: Permission to speak candidly, sir?
TSE: Granted.
THERESA: I don't believe this was a fair test of my Prime Ministerial abilities.
TSE: And why not?
THERESA: Because ...there was no way to win.
TSE: A no-deal situation is a possibility every PM may face. Has that never occurred to you?
THERESA: No sir. It has not.
TSE: How we deal with Brexit is at least as important as how we deal with life, wouldn't you say?
THERESA: As I indicated, Admiral, that thought had not occurred to me.
TSE: Well, now you have something new to think about. Carry on.
Jeremy Corbyn will next month surpass Michael Foot’s duration (just under three years) as Leader of the Labour Party.
No mention of cheese, either...
https://www.theguardian.com/politics/2018/jul/18/dairy-products-may-become-luxuries-after-uk-leaves-eu
One thing I'm curious about, what falls under the category 'mechanical machinery' ?
https://www.statista.com/statistics/281807/largest-export-commodities-of-the-united-kingdom-uk/
Leclerc is shorter odds than Alonso (1.5 to 1.53) to finish in the points. Quite astounding.
Anyway, no bets catch my eye.
The LSE research, commissioned by the company behind Lurpak......
If the UK crashes out of the EU with no deal and defaults to World Trading Organisation rules, prices will almost certainly rise as dairy products, along with meat, attract high tariffs.
A milk product with a fat content of 3% to 6% has a tariff of 74%, while fresh mozzarella is rated at 41% and unripened cheese at 68%.
https://www.theguardian.com/politics/2018/jul/18/dairy-products-may-become-luxuries-after-uk-leaves-eu?CMP=Share_iOSApp_Other
There is a good deal of difference between a planned No Deal Brexit and an unplanned one though.
I did consider backing Red Bull for the win, but it's rather down to luck, most likely.
You want to know what the sensible response to such a ridiculous assertion by the Granuiad? “Why do we import butter and cheese when we have the largest dairy industry in Europe?”
https://www.youtube.com/watch?v=eSM0QfAQlmc
For food to be delivered from the EU to the UK, it needs to be put on lorries and get through ports. In the event of no deal - regardless of what the UK government legislates - UK lorry drivers lose the ability to drive in the EU. Similarly, ports would collapse on day 1 - just ask the Port of Dover, which has repeatedly warn this. 'We just won't enforce checks!', the Hard Brexiters say. That's irrelevant: the rest of the EU will. They have to, because under WTO rules, the Most Favoured Nation (MFN) status clause in their trade deals with other states would require them to drop such checks on those other nations as well. Do you really think the UK can demand that France drops all food safety checks on Japan, Canada, Australia etc just to accommodate the UK? Not going to happen.
The simple fact is that if we are outside the customs union and single market, the EU *has* to enforce a border, and no such infrastructure currently exists. Even if the UK decides not to enforce the border (which due to MFN clauses/WTO rules means it would have to do the same for a large number of non-EU countries - not exactly 'Taking Back Control'), our ports will jam up and importation of all goods will surely be affected.
The simple fact is that, absent an agreement, by default we fall out of the legal framework that facilitates imports of many critical goods. I'm sure it will be portrayed by Brexiters as 'punishment' from the EU but it's no such thing - it's just that our entire infrastructure for the past decades has been built around being part of that framework, and it simply will not cope if we get a sudden stop.
(And that's just food - don't get me on to the VAT stuff...)
Now I’ve said that, watch for Mercedes nailing the strategy or RB having the fastest car on Sunday!
Indeed, no deal at all (for the withdrawal/transition) would be a very bad thing. I agree with you that many would blame the EU. And, to be fair, they'd have some justification. May has dithered, capitulated and kicked the can endlessly. But the EU has been less than reasonable, seeking to conduct a regulatory annexation of Northern Ireland.
There's a significant risk of no deal at all, which is bad for both sides. In the UK, some would blame the EU, others the Government/Conservatives/political class. However, as with the S/Z situation (whereby some falsely believe 'paralyse' to be British and 'paralyze' to be American, whereas both are correct in British English but the latter is only American so it's led to the wrong conclusion by many that the former is the only correct British spelling), that will lead, at least some, to characterise the divide as siding with the UK against the EU or the other way around.
"Whose side are you on?" could become a strong undercurrent in the political atmosphere. It'd be unsurprising if the EU were accused of economic warfare against the UK (and probably the other way around across the Channel/Irish Sea).
Potentially fertile ground for a new, far right movement to grow. Of course, the far left has already occupied Labour's front bench...
If the lorries can not drive the containers will be put on a ship to the UK. There seems to be lots of people saying "look the Irish have commissioned that big container ship to avoid the land bridge but the brits will not." Look at the expansion of Rotterdam and Port of London.
We are not going to miraculously grow a larger cheese industry overnight.
https://www.mirror.co.uk/news/uk-news/farmers-heartbreak-slow-death-uk-8417230
Potentially the British dairy industry would benefit from steep import tarriffs post Brexit, though of course the consumer would not.
Musk apologises. Even then he seems to focus on the guys 'actions' against Musk. So hes saying his response wasn't justified...but but i get the impression he's still justifying it.
https://www.bbc.co.uk/news/world-asia-44870303
I think Scott was saying that it is not credible that Brandon Lewis made an 'honest mistake' when he voted on two bills despite being paired, and that he knew what he was doing.
I think you may have got t'wrong end o't' stick.
Oh, and as the baby was born at the end of last month, it's not a 'foetus' ...
https://www.bbc.co.uk/news/world-asia-44870303
You can address these issues but they cost money and *take time*. If we crash out without a transition deal now (which, following the ERG amendments, is now my base case - roughly a 60% chance IMHO) there simply isn't time to put this into effect and the short-term impact would be severe.
I think it's pretty clear that an element of the Brexiters (Farage, Johnson) are already laying the groundwork for a stab-in-the-back myth to explain why economic difficulties arising from Brexit are actually the fault of Remain saboteurs, Eurocrats and immigrants. If we do crash out, I expect it to be a dark time for British politics.
I see that:-
1. The government is even more of a mess than it was a few days ago.
2. The ERG are a bunch of total and utter c**ts.
3. The opposition is now officially an institutionally anti-semitic party.
4. The US President is still a malicious moron who is appeasing Russia.
5. The Lib Dems are invisible.
6. The rest of the EU are looking on in wonder and bewilderment at the UK's collective nervous breakdown.
7. From next March - when there will be little fatty food on the shelves - Britain will be able to solve its obesity crisis and, probably, also the problem of an ageing population. To think: a crash-out Brexit could solve obesity, increasing demand by oldies on the NHS and the social care problems all at once!
8. The North West of England - officially the wettest part of the UK - has a hose pipe ban.
Have I missed anything important?
Did the Mogg amendment pass (on no separate customs arrangements for NI)?
You can address these issues but they cost money and *take time*. If we crash out without a transition deal now (which, following the ERG amendments, is now my base case - roughly a 60% chance IMHO) there simply isn't time to put this into effect and the short-term impact would be severe.
The real question is how close to 100% capacity is Eurotunnel? Can it be upgraded or should alternate routes be being planned/built now?
I do wonder if he thinks he's so smart only he can notice he doesn't mean it, or if he doesn't care so long as it's enough to forestall legal action.
I still don’t think there will be No Deal, and the most likely outcome is a Deal not a million miles away from Chequers.
However I have underestimated the effect of ongoing damage to May and Tories of getting to Brexit - any Brexit.
Corbyn as next PM looks better than 50% at the moment, IMO.