Comment

May must show she doesn't agree with her anti-Brexit Chancellor by sacking him

Theresa May and Philip Hammond
Theresa May and Philip Hammond Credit: Geoff Pugh

In only six months the UK will be leaving the European Union, with or without a deal, and this week the Prime Minister has gone to Brussels to sell her Chequers plan to the bloc's 27 other leaders. I and some other colleagues have had many concerns with the government’s Brexit strategy to date and because of this, I resigned from my position as Parliamentary Private Secretary.

Parliamentary Private Secretaries, like members of the cabinet or ministers, are bound by collective responsibility and they must publically support all government policy. That is why I was shocked this week when the Chancellor of the Exchequer, Philip Hammond, held a press conference with the IMF warning of the dangers of a no deal Brexit. 

What the Chancellor failed to say was that IMF is frequently wrong. It famously failed to see the financial crash coming and after the referendum in 2016 they predicted that economic growth would fall in 2017 as a result of the decision to leave. But what Mr Hammond isn’t telling you is that he is opposed to Brexit and I suspect regrets giving the people the vote on their own future. 

Government policy on Brexit is that we are leaving the EU and “no deal is better than a bad deal” so then why, during a critical week for the Prime Minister’s Chequers plan, did the Chancellor decide to publically state “we must heed the clear warnings of the IMF and others of the significant cost that not reaching a deal with the EU will have for British jobs and British prosperity”? How does it benefit our Prime Minister when she is in Brussels to have the Chancellor of her Government warn of the dangers of a no deal? It doesn’t. If anything it weakens our negotiation position. If Brussels feels that we are desperate and will accept any deal then they will only offer what benefits them and not us. 

In any negotiation, you do not show your cards and unless you are willing to walk away, and if it is perceived that you might do so then the other side has a clear advantage. Public comments like these made by the second most powerful member of the cabinet, could have a hugely detrimental result on not only our negotiating position but also the long-term economic prosperity of our country post-Brexit. What the Chancellor said this week will only benefit the EU, it will weaken the Prime Minister. He should either get behind the “no deal is better than a bad deal” mantra or stand down immediately. 

Philip Hammond has been a constant critic of a no deal Brexit, and while this is not a problem in itself, in his position he should be speaking up our economy not bashing our future prospects at every opportunity. It was the people’s decision to leave the EU, a decision which he supported, now all MPs, but especially those in such prominent positions, need to get their heads and their hearts behind the possibility of a no deal. 

Over the past few months, I have been publically critical of the Prime Minister’s Brexit strategy and her lack of leadership. The comments made by ‘Spreadsheet Phil’ provide the opportunity for her to show some leadership and get rid of this scaremonger of a Chancellor. If she doesn’t take decisive action against him soon then we can only assume that the Prime Minister concurs with her Chancellor’s bleak predictions.

Whether Brexiters want the Chequers deal to be adopted or not isn't the point here, the Prime Minister needs to start showing real leadership and sack this Chancellor like we all know she would have done if she had won a majority at the last general election. The Chancellor is fast becoming the chief proponent of ‘project fear mark 2’ and this negativity must not be allowed to take hold in the general population as it has done in HM Treasury otherwise this will inevitably result in self-fulfilling prophecy, hit consumer spending and public confidence.

We need to start seeing a Prime Minister and a Cabinet which is willing to champion the benefits of Brexit and to get onside with the feelings and wishes of the British people and if the Chancellor can’t do that well, he should go. 

Brexit is happening and it is time for Mr. Hammond to shut up or stand down. I personally believe that the IMF and the Chancellor’s doom-mongering will be proved wrong as they have done many times in the past. Economies are no doubt complex but, in or outside of the EU, adaptation remains the key to survival in any complex global economy. The British people have a proud entrepreneurial and innovative spirit and we will make a success of any deal, including a no deal.

We have world-class universities, amazing manufactures and a financial services industry which is the envy of the world. These existed before Brexit and they will exist after. The question the Chancellor should be asking himself is will he be in his job after March 29th next year? I for one hope not.

 

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