Activate no-deal plans NOW: Ministers urge May to activate £2billion Brexit preparations ahead of crunch meeting TOMORROW
- Ministers have warned May on deal plans that ‘we can’t put this off any longer’
- Home Secretary Sajid Javid thought to be among the most hawkish in Cabinet
- The Cabinet meets tomorrow for the latest discussions on no deal planning
- Chancellor Philip Hammond set to unlock another £2billion for existing plans
- So far around £500million has been spent preparing no deal contingencies
Cabinet ministers have warned Theresa May she must finally pump billions of pounds into no deal planning amid a crisis over her deal because ‘we can’t out this off any longer’.
The Prime Minister’s senior ministers will discuss the state of Britain’s contingency plans for the failure of negotiations with Brussels in Downing Street tomorrow.
Chancellor Philip Hammond is set to unlock another £2billion of funding for no deal projects with just 102 days until exit day.
MailOnline understands Home Secretary Sajid Javid is leading a group of ministers urging the PM to activate no-deal plans.
In other developments, rating agency Fitch warned no-deal Brexit would almost certainly mean Britain’s credit rating would be cut again early next year.
Cabinet ministers have warned Theresa May (pictured today in Downing Street) she must finally pump billions of pounds into no deal planning amid a crisis over her deal
MailOnline understands Home Secretary Sajid Javid is leading a group of ministers urging the PM to activate no-deal plans
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One Cabinet source said the government ‘cannot put this off any longer’.
What no deal plans are already in place?
Chancellor Philip Hammond unveiled £3billion for no deal plans at the Budget in Autumn 2017 – all of which is due to have been spent by exit day.
It has been spent on:
- 300 extra frontline officers for Border Force, plus 1000 staff to tackle border issues
- 1,300 extra staff at the Department for Environment Food and Rural Affairs
- Reforms to the Competitions and Markets Authority to ensure it can also act as the UK State Aid regulator
- Drawing up more than 100 no deal ‘notice’ advising different sectors how to prepare for possible problems, including at the border
- Replacing regulatory agreements currently dependent on the EU with UK versions in areas like nuclear cooperation
‘We must recognise that no-deal now has to be the central assumption. It could happen by design or by accident, and we have to be ready,’ they said.
‘The EU has to believe we will do it. At the moment they clearly do not.’
Downing Street said today there will be an announcement ‘shortly’ on how an extra £2billion will be allocated to no-deal preparations.
It emerged yesterday Mr Hammond will invite ministers to bid for a slice of the funding to get their departments ready for the prospect of exit without a transition period on March 29.
Around £500million is expected to be ploughed into the Home Office to deal with potential problems at the border.
Customs systems are set to benefit from another £25million in a bid to ensure the ports can function in no deal.
Environment Secretary Michael Gove is set to have £400million to spend on agriculture, fisheries and food-related policy areas.
Trade Secretary Liam Fox will spend £100million hiring trade negotiators around the world in case a raft of new trade deals are needed urgently.
Foreign Secretary Jeremy Hunt insisted today the UK will ‘flourish and prosper’ even without a Brexit deal
Ahead of Tuesday’s crunch meeting, Cabinet ministers are at war as to whether there should be another Brexit referendum – or whether the Prime Minister should be making ‘No Deal’ a top priority.
High-profile ministers including David Gauke, Amber Rudd, Greg Clarke, and Theresa May’s unofficial deputy David Lidington have all stepped up discussions on whether to offer another public vote on Brexit.
Among those urging the Prime Minister to boost preparations for a no deal include Home Secretary Sajid Javid, Treasury Chief Secretary Liz Truss, Commons Leader Andrea Leadsom and International Development Secretary Penny Mordaunt.
Foreign Secretary Jeremy Hunt insisted yesterday the UK will ‘flourish and prosper’ even without a Brexit deal.
Mr Hunt told The Sunday Telegraph: ‘I’ve always thought that even in a no-deal situation this is a great country, we’ll find a way to flourish and prosper. We’ve faced much bigger challenges in our history.
‘But we shouldn’t pretend that there wouldn’t be disruption, there wouldn’t be risk, and there wouldn’t be impact and that’s why as a responsible Government we have to make all the preparations necessary.’
Top minister hints he could quit over no deal
The Justice Secretary warned the Prime Minister he could quit Cabinet if the Government abandons hopes of a Brexit deal.
David Gauke warned a ‘conscious’ decision to abandon talks with Brussels was the wrong call.
He is among a series of ministers bitterly opposed to the idea – despite admitting contingency plans were necessary in case of an accidental no deal.
The Cabinet will discuss no deal preparations on Tuesday.
Mr Gauke told the FT: ‘I couldn’t support a conscious decision to crash out at the end of March and I don’t think there are many who could.’
The minister said it was ‘sensible’ to draw up contingency plans in case no deal is reached, but warned ‘fantasy options’ will cause ‘real pain’ for British people.
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