Ex-Chancellor Jeremy Hunt has lashed out at Brexit doomsters by accusing them of “overly exaggerating” the impact of the UK’s departure from the Brussels bloc.
Hunt, who campaigned to Remain in the European Union in 2016 and later voiced support for both a second referendum and Single Market membership, also appeared to pile pressure on Keir Starmer to keep a trade deal with Donald Trump firmly on the table.
In a report released by Policy Exchange, the South West Surrey MP took aim at pro-EU MPs for “re-opening” Brexit debates after Trump’s tariff war sparked calls for Britain to pursue closer ties with the continental club rather than embolden the so-called “special relationship”.
He said: “This is a false dichotomy. In the first instance, we should not give up on the idea of a trade agreement with the United States, either comprehensive or sectoral, – something that it is much more feasible to achieve with our own independent trade policy.
Ex-Chancellor Jeremy Hunt
GETTY
“Secondly, the idea that the ideal situation for the UK is to prioritise either the United States or Europe is flawed: we must have a good trading relationship with both if we are to prosper.”
In a swipe at “deeply mistaken” MPs hoping to relitigate the Brexit debate, Hunt added: “In 2016 I voted to remain in the European Union. Yet I thought both then and subsequently that many claims about the impact of Brexit upon the UK’s economy were overly exaggerated – as, it must be said, were the more hyperbolic claims of some Brexiteers about its benefits.”
The Remain campaign were accused of launching a “Project Fear” campaign in the 2016 Brexit referendum.
Britons were told they would be £4,300 worse off by voting for Brexit, an emergency budget would be needed to drag the UK out of an immediate recession and car manufacturers would flee the UK to set up shop in Europe.
Doomster predictions by the OBR and other bodies led ex-Education Secretary Michael Gove to fire back against “Project Fear”.
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An anti-Brexit campaigner in WestminsterGETTYIn a fiery TV exchange just days before Britons went to the polls, the top Brexiteer said: “I think the people of this country have had enough of experts with organisations with acronyms saying that they know what is best and getting it consistently wrong.”
Policy Exchange’s 67-page report, “Less than Meets the Eye: The Real Impact of Brexit on UK Trade”, specifically identified forecasts made by both the Office for Budget Responsibility and the Treasury.
The OBR was accused of “undermining the long-term prospects for high value exports” after producing a number of gloomy forecasts, including that Brexit will eventually cause a 15 per cent reduction in exports and imports compared to if Britain remained a member of the bloc.
Policy Exchange revealed that UK goods export growth to the EU underperformed effectively in line with its pre-Brexit long-term trend, putting it below other developed economies by around 2.5 to three per cent.
It suggested that while the volume of vehicle exports to the EU fell 28 per cent from 2019 to 2023, its value dropped only two per cent as Britain moved towards making luxury and premium vehicles.
Chancellor Jeremy Hunt PARe-exports, which are classified as the UK and immediately exported again, also accounted for Britain’s declining trade performance.
The report, authored by ex-Australian Trade & Investment Commission adviser Phil Radford, even pinpointed Britain’s energy dependency and uncompetitive taxation rates for triggering export declines in both specific sectors.
However, ex-civil servant David Henig said that this argument amounted to “selective evidence” with “no robustness”.
Concluding his comments in the foreword of Policy Exchange’s report, Hunt warned: “In this era of increasing geopolitical uncertainty, it is more important than ever that the UK keeps all of its allies close.
“Britain does not need to choose between the EU and the US on trade, but should seek to maintain positive and open relationships with both.”
