Tuesday 5 March 2019

Brexit Briefings to DUP MP Jan & Feb 2019

Having written originally to Emma Little Pengelly, the DUP MP for South Belfast on 5 December ahead of the "meaningful vote" about the Brexit Withdrawal Agreement, I wrote to her on 30 January and again on 18 February raising questions about the impact of exit from the EU.  
Whereas the December message received a reply within 90 minutes, neither of these two follow-up messages has received a reply to date (5 March 2019).

This is the text of the 30 January message:-


Dear Mrs Pengelly

Arising from last night's "victory" in the House of Commons and the new mandate given to the PM after her volte-face, I have two important questions for you, if I may please.
We conversed early last month about Brexit matters.

Given today's comments by the Brexit Secretary of State Stephen Barclay that he does not have a proposal for "the alternative arrangement" to the backstop at the UK/EU land border, I would like to know what proposals the DUP has to offer in supply and/or in confidence to the PM.
You will have heard the Independent Member for North Down tell the PM that "alternative arrangement" is nebulous.
If the PM reopens the Withdrawal Deal with no alternative operable plan to posit, her visit could be without realistic purpose.
In chiding the PM previously for wasting time, your party leader and party members were noticeably trenchant both in tone and in substance with their criticism; from which it follows that the DUP would be equally critical if she were to waste time all over again.

In interviews last month, your party leader was emphatic in advising voters that the DUP has a backstop alternative which would satisfy the requirements of HM Government's policy to retain a frictionless seamless invisible land border between the EU and the United Kingdom.
How you can reconcile this objective with the Brexit pledge to take back control of the UK's land (and other borders) remains mysterious.


Secondly, in last night's Commons debate, the DUP Westminster leader presumed to speak for people from all sides in Northern Ireland when he expressed unsourced opposition to excoriating criticism from the SNP leader about the tearing up of the Good Friday Agreement. 
Given that Northern Ireland voted by a clear majority to remain in the EU based on empirical evidence, that four of our five parties campaigned to remain, can you advise me of the basis of your party leader's mandate to pontificate on everybody's behalf.

Lest you are unaware, many people are genuinely concerned about Westminster's capacity to act in the public interest, the growing chances of No Deal, the impacts on our economy (not least agriculture and agri-foods) and politics, unintended consequences and the future of "our precious union." 


In the absence of a reply, I wrote again to her on 18 February expanding on the final paragraph above.  This more recent message draws on further evidence and analyses of Brexit and its impacts published in the first half of February.  

On the date of sending her this new message, there were 39 days until Brexit Day (29 March).  To underline the importance of empirical evidence, all sources used are referenced in footnotes with links at the foot of the message.


This below is my 18 February briefing to Mrs Pengelly MP. 

Dear Mrs Pengelly


When I wrote to you on 5 December, you did me the honour of a detailed reply within two hours.  To supplement my subsequent message three weeks ago, I write again in the light of recent evidence.


At the end of January, the CBI quantified adverse impacts from a no-deal Brexit for the UK and also for Northern Ireland. This month began similarly, with the UK head of Danske Bank warning of dire consequences that a no deal will cause for Northern Ireland.[i]

These predictions from CBI experts and Northern Ireland’s biggest bank are not isolated examples. They amplify the statistical reports and analyses from HM Treasury and the Bank of England published in November.  
This month heralds more authoritative warnings.
On Feb 3 Richard Harrington, Minister for Business in the Government that receives DUP support, wrote that[ii]:-

manufacturers are stockpiling at the fastest rate for 27 years – tying up capital that could otherwise be used for research, training or investment. Manufacturers are being forced to ship orders for delivery after Brexit day without knowing what paperwork to use or what tariffs might be payable. And our retailers are warning of food shortages and price rises. It’s little wonder that the Institute of Directors reports that a third of businesses are preparing to move some or all of their work to the EU, and that the Society of Motor Manufacturers and Traders tells us that investment in the automotive sector has slumped by 47%, while car production is at its lowest for five years....
“..however bracing the prospect of instant liberation from the EU may feel in abstract, that sentiment won’t last long when confronted with the economic, legal and practical reality. In the chaos that followed no deal, voters would turn on the Tory party, and rightly so.  A no-deal Brexit would undermine all our efforts. It would entrench this country’s social and economic divisions, not heal them. And it would turn a crisis into a catastrophe.”

EY, the business consultancy, warns that Northern Ireland could slide into recession with the loss of 11,400 jobs in 2020 alone as a result of a no-deal Brexit[iii]. Its Economic Eye report predicts a fall in sterling leading to higher prices.  It adds that in the event of a trade deal being reached between the UK and the EU

“.. growth in the United Kingdom as a whole and in Northern Ireland will still be outpaced by the Republic.  The Republic’s growth for 2018 is tipped at 8.3%, though the rate will be more than halved to 3.9% this year, and 3.2% in 2020.  NI economic growth for 2018 is estimated at 1.5% — slightly better than UK growth of 1.4% — but will slow to 0.9% and 1.2% in 2019 and 2020 respectively.”

On the occasion of 50 days to go until the UK’s exit from the EU the Bank of England reported on the UK economy’s growth prospects.[iv] Its Governor spoke about the sharp fall in business investment in the “fog of Brexit.”  The Bank is further reducing its already low growth forecast. 

The Office of National Statistics[v] endorses the Bank’s warnings with new data demonstrating that adverse economic impacts are already happening even before Brexit happens.  In the final three months of 2018, production of cars steel products and construction fell sharply. The UK’s GDP shrank by 0.4% in December.

Brexiteers have previously dismissed the empirical evidence from the Bank and also from HM Treasury as “project fear.”  Your party’s Brexit spokesman has been criticised[vi] for leading the DUP to promote a no-deal Brexit.  The comments were made by a former chairman of South Belfast DUP.  There are also reports[vii] that 20 Conservative members of the Cabinet will resign from the party in the event of no deal. 

And yet, in a constituency where 68% of the electors voted Remain, your Westminster leader asserts that no deal is better than a bad deal.[viii] This claim is flabbergasting and ironic.  A party which has built its reputation since inception on bellicose public speaking has taken to warning opponents to “dial down” their language.  Where is his evidence to support the rhetoric; does your party have experts or special advisors who know more than HM Treasury, the CBI, the Bank of England, and the ONS combined?

It’s one thing to dismiss facts summarily.  Rebuttal with robust counter evidence is something entirely different.  I repeat my question: What facts sources and analysis does the DUP have as a basis for its antagonistic campaign against membership of the EU?

Your 5 December reply presented as a fact that the UK is the world’s 5th largest economy based on GDP.  Reference to latest data reveals that it now lies in seventh place, being overtaken both by India and France.  The recent warnings from the Bank of England and ONS corroborate the factors causing the UK’s slide in rankings.

The former editor of the Belfast Telegraph describes the prospect of a no-deal Brexit[ix] as 

“Utter madness.... an economic and social disaster....the DUP has been its own worst enemy enthused over leaving the EU with little apparent influence over the Withdrawal Agreement nor a viable plan to ensure an open border on this island...”

Your electors did not vote for Brexit, they want you to represent their interests, and they welcome the 20 years of openness that has replaced the hard border. That old regimen incorporated, inter alia, customs checks whose existence has, rather curiously, been denied by your party leader.  

Should you share that perverse opinion, you might care to brief yourself with the evidence-based experience of a prominent British/Irish business leader.  She spells out[x] clearly the dangers of glib policy to have the insurance policy ejected.  She articulates the overwhelming advantages of insuring against the return of hard borders. 

Brexiteers in England and Wales have a mandate to take back control of borders.  Your electors, however, those of us in South Belfast and across Northern Ireland as a whole, oppose land borders between us and the EU on this island.  Not just that, we vigorously reject any attempt to establish maritime borders down the North Sea and between the UK and Continental Europe.  Does the DUP seriously think that such measures will benefit trade and our precious union? 

Does it really believe that turning the UK’s back on its nearest neighbours makes business sense or that we can replace lost European trade by making deals in remote places with repressive regimes?  Suspicions are growing about China’s influence (companies like Huawei); and arms sales promoted by the UK Government to Saudi Arabia are responsible for famine in the Yemen.

I asked you last month to explain what, if any alternative, your party is proposing to replace the backstop.  Our regional newspaper has published an account[xi] from an academic, an expert in Unionism.  He indicates that there are different opinions within the DUP about which backstop option to back. 

One reason for the spectacular failure of the UK’s Government to agree on the terms of its divorce from the EU is the fact that HM Parliament is riven with divisions over what Brexit means.  And now it seems that the DUP is divided on the crunch issue of the UK/EU backstop.  Is it any wonder that Europe’s leaders are exasperated with a Government which cannot command consent in its own Parliament?  Because it was the UK (not the EU) which initiated the divorce that your party wants your Westminster leader’s description of the EU as intransigent defies logic.

An important legal issue raised in the referendum campaign was the European Arrest Warrant.  A central Brexit campaign demand was that the UK cease all dealings with the European Court of Justice.  Since 2004 the Arrest Warrant has been effective in combating international crime such as terrorism and drug trafficking. Labour’s Keir Starmer (former DPP) articulated the argument as a reason to Remain in the EU.  Now evidence is emerging of police concerns in the UK[xii] for national security post-Brexit.

Your party’s chief criterion for an acceptable Brexit is the maintenance of the union of Great Britain and Northern Ireland.  And yet, it may be that those endeavours could produce the opposite result.  Influential people in HM Government admit to be reconsidering that precious bond.  Reports from reliable sources[xiii] reveal that three Conservative members of HM Government’s Cabinet have considered the prospect of a peoples vote on Irish unity.   
A recent appraisal of David Cameron’s legacy[xiv] says that he 

“will always be the man who wrecked the country in a clumsy attempt to save his party.  At worst a bad Brexit could break not just the economy but the union - giving Scotland new reasons to seek independence, even pushing Northern Irish voters towards unification with the south – and the political party system, if both Labour and the Tories are punished by voters for enabling it.....”

However anathematic that prospect would be for the DUP, it is undeniable that both the Conservative and Labour Parties are split to smithereens about Brexit.  There are reports that Conservatives want the ERG (erstwhile allies of the DUP) expelled from the party; and Labour MPs have quit the party.  Female Remain MPs in both parties are receiving police protection as a result of intimidation by “far right activists[xv]” with The Times speculating about the demise of the current 2-party system.

The Kingdom wherein I have lived and worked over decades is anything but united thanks to Brexit and its advocates to the detriment of social cohesion.  The political spectacle of its smallest “nation” is particularly unedifying.  In a massive change of philosophy from eras when its once powerful Unionist administrations long told us to abide by majority rule, that principle is now being betrayed by “Democratic Unionists” - ignoring the will of its own majority which is to Remain in the EU. 

And its second party abrogates responsibility with absence that, arguably, suits its bigger rival.  What to do with the two dominant parties? They pose as incompatible on the regional stage, combining to make governance appear unviable despite the best efforts of the UK, Ireland, the USA and the EU; and, worst of all, both of which disenfranchise its electors on the larger stage.

This is not the United Kingdom that people have tolerated and worked conscientiously to make it a better place. You need to know that many are frightened of what your party and its friends in Westminster are doing without empirical justification and with no regard for its consequences.

The opportunity beckons for you to support your constituents 69% of whom voted to retain our EU membership. You would have further justification to do so by referring to a wealth of evidence (see references below) which demonstrates that any Brexit and especially no deal will contradict national and international interests. 



Pending replies from her to both of the messages, it's important to keep track of events that have taken place in the interim.  These raise further concerns about her party's stance on Brexit.  
I will set them out in a separate post.

References:-

[i] Belfast Telegraph 1 Feb 2019 https://www.belfasttelegraph.co.uk/news/northern-ireland/bank-warns-nodeal-brexit-biggest-risk-to-northern-ireland-economy-for-generation-37773679.html
[ii] Observer 3 Feb 2019 https://www.theguardian.com/politics/2019/feb/02/brexiters-deal-uk-firms-uncertainty-britain-european-union-business-sector
[iii] Belfast telegraph 5 Feb 2019 https://www.belfasttelegraph.co.uk/business/northern-ireland/over-11000-northern-ireland-jobs-would-go-if-theres-a-no-deal-brexit-ey-forecasts-37782107.html
[iv] BBC News 7 Feb 2019 Bank forecasts worst year for UK since 2009  https://www.bbc.co.uk/news/business-47155537
[v] BBC News 11 Feb 2019 https://www.bbc.co.uk/news/business-47196387
[vi] Belfast Telegraph 13 Feb 2019 https://www.belfasttelegraph.co.uk/news/northern-ireland/dup-member-says-sammy-wilson-should-not-be-allowed-to-dictate-partys-brexit-stance-37812156.html?utm_source=newsletter&utm_medium=email&utm_campaign=BT:DailyNews&hConversionEventId=AQEAAZQF2gAmdjQwMDAwMDE2OC1lNmMwLTUyMDctYTgzMC1jNzE2M2VkMGFiODHaACQwOTBhYTUzNC02NWEzLTQ3YzEtMDAwMC0wMjFlZjNhMGJjYzPaACRjZjg4Mjc5Ny01YjFmLTQxZWYtOGIzYi0xNDJhN2Y4NjFmYWFbZNvgSj_xN3TiGRHSHIHEjSlTIYof5LaEoMTHoitGJw
[vii] ITV News 16 February 2019
[viii] Belfast Telegraph 16 Feb 2019 https://www.belfasttelegraph.co.uk/news/northern-ireland/no-brexit-deal-is-better-than-bad-deal-dup-deputy-leader-tells-conference-37822392.html
[ix] Belfast Telegraph Ed Curran 6 Feb 2019 https://www.belfasttelegraph.co.uk/opinion/news-analysis/ed-curran-still-time-to-save-island-of-ireland-from-utter-madness-of-nodeal-brexit-37786726.html
[x] The Guardian 31 Jan 2019 https://www.theguardian.com/commentisfree/2019/jan/31/ireland-hard-border-brexit-backstop-good-friday-agreement?CMP=share_btn_fb&fbclid=IwAR33JbsA4_to_3ab9kWw6dtKd0IFloCH26ZZIMUsWVeWBScQBgYKKX1pG6g
[xi] Belfast Telegraph 9 Feb 2019 Jon Tonge https://www.belfasttelegraph.co.uk/opinion/news-analysis/jon-tonge-dup-must-be-clear-whether-it-wants-backstop-rewritten-timelimited-or-flatout-rejected-37797643.html
[xii] Irish Times  13 Feb 2019  https://www.irishtimes.com/news/world/uk/no-deal-brexit-may-make-britain-less-safe-british-police-chief-warns-1.3789678
[xiii] BBC News 8 Feb 2019 Brexit: Very Real Chance of Irish Unity Poll if No Deal https://www.bbc.co.uk/news/uk-politics-47170711
[xiv] Observer New Review 10 Feb 2019 Gaby Hinsliff “Seven Weeks Before We leave the EU Has Anybody Seen David Cameron?” https://www.theguardian.com/politics/2019/feb/10/david-cameron-profile-brexit-memoirs-weeks-before-we-leave-eu
[xv] The Times 16 Feb 2019 p 14 Francis Elliott Political Editor “Swastikas are painted on the office of female MP.” Also Leader “Party Poopers” p 31