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14 February 2018

Uniting for a Great Brexit: Foreign Secretary's speech


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Foreign Secretary Boris Johnson set out the path for an "outward-facing, liberal and global Britain" following the UK exit from the EU.


The Brexit economic opportunity

[...]

We would be mad to go through this process of extrication from the EU, and not to take advantage of the economic freedoms it will bring.

We will stop paying huge sums to the EU every year and as the PM herself has said, this will leave us with more to spend on our domestic priorities, including, yes, the NHS.

We will be able to take back control of our borders – not because I am hostile to immigrants or immigration. Far from it. We need talented people to come and make their lives in this country – doctors, scientists, the coders and programmers who are so crucial to Britain’s booming tech economy.

It was my proudest boast as Mayor of London that we had 400,000 French men and women in the British capital – high-earning and high-spending types – while only about 20,000 UK nationals went the other way and were living in Paris. And we must stay that way, we must remain a magnet for ambition and drive.

But we also need to ask ourselves some hard questions about the impact of 20 years of uncontrolled immigration by low-skilled, low-wage workers – and what many see as the consequent suppression of wages and failure to invest properly in the skills of indigenous young people.

We do not want to haul up the drawbridge; and we certainly don’t want to minimise the wonderful contribution they have made and certainly don’t want to deter the international students who make such a vital contribution to our HE economy, with 155,000 Chinese students alone.

But we want to exercise control; and if we are going to move from a low-wage, low-productivity economy to a high-wage, high productivity economy – as we must – then Brexit gives us back at least one of the levers we need.

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And the contrast in this country is very striking with some of the other countries and the Schengen countries, where no such control is possible, and where the far right is alas on the rise.

And as the PM has repeatedly said, we must take back control of our laws. And it would obviously be absurd, as Theresa May said in her Lancaster Houseand Florence speeches – which now have the lapidary status of the codes of Hammurabi or Moses – it would be absurd if we were obliged to obey laws over which we have no say and no vote.

As the PM said at Lancaster House remaining within the single market “would to all intents and purposes mean not leaving the EU at all.”

The British people should not have new laws affecting their everyday lives imposed from abroad, when they have no power to elect or remove those who make those laws. And there is no need for us to find ourselves in any such position.

To those who worry about coming out of the customs union or the single market – please bear in mind that the economic benefits of membership are nothing like as conspicuous or irrefutable as is sometimes claimed.

In the last few years there have been plenty of non-EU countries who have seen far more rapid growth in their exports to the EU than we have – even though we pay a handsome membership fee, as I have mentioned many times.

In spite of being outside the stockade, the US has been able to increase its exports twice as fast. I think there are 36 countries around the world that have done better than us in exporting into the EU, even though they are not members.

And for those of us within the stockade, the cost of EU regulation was estimated at 4% of GDP by Peter Mandelson and 7% by Gordon Brown. Authorities which for the purposes of this argument I do not propose to dispute.

It is only by taking back control of our laws that UK firms and entrepreneurs will have the freedom to innovate, without the risk of having to comply with some directive devised by Brussels, at the urgings of some lobby group, with the specific aim of holding back a UK competitor. That would be intolerable, undemocratic, and would make it all but impossible for us to do serious free trade deals.

It is only by taking back control of our regulatory framework and our tariff schedules that we can do these deals, and exploit the changes in the world economy.

It is a striking fact that our exports to the EU have grown by only 10% since 2010, while our sales to the US are up 41%, to China 60%, to Saudi Arabia 41, New Zealand 40, Japan 60, South Korea 100%. Those figures reflect the broader story that the lion’s share of the growth is taking place outside the EU, and especially in the Asia-Pacific region.

In a world that demands flexibility and agility, we should be thinking not of EU standards but of global standards, and a regulatory framework to suit the particular needs of the UK, a country that already exports a higher share of its GDP outside the EU than any other EU country.

We already boast an amazing economy, diverse and very different from rest of EU. We are the nation that has moved highest and furthest up the value chain of the 21st century economy.

We are a nation of inventors, designers, scientists, architects, lawyers, insurers, water slide testers – I met one in my constituency, toblerone cabinet makers – all the toblerone cabinets in Saudi Arabian airports are made in Uxbridge I am glad to tell you. There are some sectors, such as AI or bulk data where we really excel, we are streets ahead and in the future we may want to do things differently.

Of course we will need to comply with EU regulation in so far as we are exporting to the EU. (though we should realise that the single market is not quite the Eden of uniformity that it is cracked up to be: you try becoming a ski instructor in France, not that I have tried myself; and I discovered the other day that we have totally different standards in this country for flame retardant sofas, to say nothing of plugs).

But in a global marketplace, where we are trading in products that hadn’t been conceived even 5 years ago, serving markets that were poverty stricken 20 years ago, it seems extraordinary that the UK should remain lashed to the minute prescriptions of a regional trade bloc comprising only 6% of humanity wonderful as it may be – when it is not possible for us or any EU country to change those rules on our own.

In so far as we turn increasingly to the rest of the world – as we are – then we will be able to do our own thing.

We will be able, if we so choose, to fish our own fish, to ban the traffic in live animals, end payments to some of the richest landowners in Britain while supporting the rural economy; and we will be able to cut VAT on domestic fuel and other products.

We can simplify planning, and speed up public procurement, and perhaps we would then be faster in building the homes young people need; and we might decide that it was indeed absolutely necessary for every environmental impact assessment to monitor 2 life cycles of the snail or to build special swimming pools for newts – not all of which they use in my experience – but it would at least be our decision to do that.

Freed from EU regimes, we will not only be able to spend some of our Brexit bonus on the NHS; but as we develop new stem cell technology – in which this country has long been in the lead – it may be that we will need a new regulatory framework, scrupulous and moral, but not afraid to be different. The same point can be made of innovative financial services instruments, where the FCA already leads the way.

We will decide on laws not according to whether they help to build a united states of Europe, noble goal that that may be, but because we want to create the best platform for the economy to grow and to help people to live their lives

And the crucial thing is that when we are running ourselves – when all these freedoms open before us – we will no longer be able to blame Brussels for our woes, because our problems will be our responsibility and no-one else’s.

And indeed no one should think that Brexit is some economic panacea, any more than it is right to treat it as an economic pandemic. On the contrary, the success of Brexit will depend on what we make of it

And a success is what we will make of it – together.

And that very success will be the best thing for the whole of continental Europe – a powerful adjacent economy buying more Italian cars and German wine than ever before. I never tire of telling you we are the single biggest consumers not just of champagne but of prosecco as well and we want to go on in that role.

And so I say to my remaining Remainer friends – actually quite a numerous brunch – more people voted Brexit than have ever voted for anything in the history of this country.

And I say in all candour that if there were to be a second vote I think it would be another year of turmoil and wrangling and feuding in which the whole country would be the loser. So let’s not go there.

So let’s instead unite about what we all believe in – an outward-looking liberal global future for a confident United Kingdom. Because so much of this is about confidence and self-belief.

We love to run ourselves down – in fact we are Olympic gold medal winners in the sport of national self-deprecation.

And in the current bout of Brexchosis we are missing the truth: that it is our collective job to ensure that when the history books come to be written Brexit will be seen as just the latest way in which the British bucked the trend, took the initiative – and did something that responds to the real needs and opportunities that we face in the world today. That we had the courage to break free from an idea – however noble its origins – that had become outdated, at least for us.

Konrad Adenauer said that every nation had its genius, and that the genius of the British people was for democratic politics. He was right, but perhaps he didn’t go far enough.

Yes, it was the British people who saw that it was not good enough for Kings and princes to have absolute power and who began the tradition of parliamentary democracy in a model that is followed on every continent.

It was also Britain that led the industrial revolution and destroyed slavery and the British people who had the wit to see through the bogus attractions of protectionism and who campaigned for free trade that has become the single biggest engine of prosperity and progress.

And so I say to my constituent – don’t go to Canada, or anywhere else, lovely though Canada is.

This, the UK, is the country that is once again taking the lead in shaping the modern world. And it is our stubborn attachment to running ourselves that will end up making our society fairer and more prosperous.

In its insistence upon democracy, in its openness, its belief in the rights of the individual, in its protection of our legal system; its scepticism about excessive regulation; its potential for devolving power downwards; and in its fundamental refusal to discriminate between all the other peoples of the earth. And in its central distinction between a political loyalty and obedience to the EU institutions, and our eternal love for European culture, and values, and civilisation.

Full speech



© Department for Exiting the European Union


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