My apology to the Tories

I was just joking about only liking Ken Clarke.

On Friday night, I appeared on Radio 4's Any Questions, with former the mayor of London Ken Livingstone, Kenneth Clarke MP and Julia Goldsworthy MP. You can listen to it here.

In the middle of a rather lively exchange with Ken Clarke over the Tories' debt delusion, I remarked:

Ken is one of the best chancellors of the Exchequer we've had in many, many years. He's the only Tory I like [boo! hiss!], let's be honest. But, but, he's wrong on this [the deficit].

I'm not sure if the audience hissed and booed because they were angry that I'd said I liked Clarke or because I'd said that, among Tories, I liked only Clarke.

But on reflection, I have an apology to make to the Conservative Party. There are, in fact, lots of Tories whom I admire, appreciate and/or like -- while disagreeing with most of their policies, principles and positions. On the current front bench, as well as Ken Clarke, I have to admit a soft spot for Oliver Letwin, David Willetts, Dominic Grieve and Sayeeda Warsi.

Going back through recent history, the names Michael Heseltine, Chris Patten, Ian Gilmour, Iain MacLeod, Rab Butler and Winston Churchill spring to mind. (Disclaimer: I include Churchill because he led this nation to victory over Nazism; I nonetheless continue to abhor and despise his racist views and his use of chemical weapons against the Iraqis -- 70 years before Saddam Hussein.)

So, which Tories do you like? From a left/liberal perspective? Answers below the line, please . . .

On a side note, Ken Clarke also made a couple of factually inaccurate remarks that I wanted to challenge in this post.

1) On the subject of Lord Cashcroft, Clarke predictably tried to deflect the questions by repeatedly referring to the non-dom Labour donor Lord Paul, even though Paul is not deputy chairman of the Labour Party, is not funding Laboury's marginal seats campaign, and did not give repeated undertakings to his party leadership or the House of Lords that he would become a "permanent resident" of the UK, for tax purposes, upon becoming a peer. On Friday night, I pointed out to Clarke that Lord Paul had not given millions to Labour, as Ashcroft has to the Conservatives. Clarke responded:

No, Lord Paul has given several million [pounds].

Wrong. As the Ministry of Truth blog points out:

For one thing, it's a bit of a reach to call Lord Paul a major Labour donor when the Electoral Commission's records show that he's made only one personal donation to the party (a mere £10,000 in 2001) while his company, Caparo, has donated the princely sum of £14,250 in three donations, one in 2002 and two more in 2008.

Caparo were a little more generous with Gordon Brown during the period when he was raising funds for his campaign for the Labour leadership, but only to the tune of £45,000 in two donations, which is loose change compared to the amount that Ashcroft has funnelled into the Conservative Party since 2003.

2) On the subject of the rules about non-domiciles, I pointed out that the rules were an anachronism and should be abolished. I also highlighted how Britain ploughs a lonely furrow on this issue -- few other countries offer such a tax loophole to their squillionaire class, not even free-market, low-tax America. Clarke, a former chancellor of the Exchequer in this country, responded:

That's not true. That's not true.

Really? I asked the leading tax accountant Richard Murphy whether or not the Americans make a distinction between domicile and residency for tax purposes. His response? "Absolute bollocks." Oh, and here's the BBC website's take:

Few other countries have such a loophole. Most, like the United States, insist that if you live in the country you have to pay taxes on your worldwide earnings.

In general, over the course of the one-hour radio debate, I couldn't help but feel sorry for Clarke. His heart clearly wasn't in it. Had he been leader of the Conservative Party over the past decade -- the great "What if . . .?" question of modern British politics -- we would probably not have had Michael Ashcroft ennobled and made deputy chair of the Conservative Party. Nor for that matter would we have had the Tories' proposed inheritance-tax cut for the country's 3,000 richest estates or the Tories' strange alliance in Europe with the "ultra-nationalist right". Oh, and we might have avoided the Iraq war, too . . .

Mehdi Hasan is a contributing writer for the New Statesman and the co-author of Ed: The Milibands and the Making of a Labour Leader. He was the New Statesman's senior editor (politics) from 2009-12.

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The Brexit Beartraps, #2: Could dropping out of the open skies agreement cancel your holiday?

Flying to Europe is about to get a lot more difficult.

So what is it this time, eh? Brexit is going to wipe out every banana planet on the entire planet? Brexit will get the Last Night of the Proms cancelled? Brexit will bring about World War Three?

To be honest, I think we’re pretty well covered already on that last score, but no, this week it’s nothing so terrifying. It’s just that Brexit might get your holiday cancelled.

What are you blithering about now?

Well, only if you want to holiday in Europe, I suppose. If you’re going to Blackpool you’ll be fine. Or Pakistan, according to some people...

You’re making this up.

I’m honestly not, though we can’t entirely rule out the possibility somebody is. Last month Michael O’Leary, the Ryanair boss who attracts headlines the way certain other things attract flies, warned that, “There is a real prospect... that there are going to be no flights between the UK and Europe for a period of weeks, months beyond March 2019... We will be cancelling people’s holidays for summer of 2019.”

He’s just trying to block Brexit, the bloody saboteur.

Well, yes, he’s been quite explicit about that, and says we should just ignore the referendum result. Honestly, he’s so Remainiac he makes me look like Dan Hannan.

But he’s not wrong that there are issues: please fasten your seatbelt, and brace yourself for some turbulence.

Not so long ago, aviation was a very national sort of a business: many of the big airports were owned by nation states, and the airline industry was dominated by the state-backed national flag carriers (British Airways, Air France and so on). Since governments set airline regulations too, that meant those airlines were given all sorts of competitive advantages in their own country, and pretty much everyone faced barriers to entry in others. 

The EU changed all that. Since 1994, the European Single Aviation Market (ESAM) has allowed free movement of people and cargo; established common rules over safety, security, the environment and so on; and ensured fair competition between European airlines. It also means that an AOC – an Air Operator Certificate, the bit of paper an airline needs to fly – from any European country would be enough to operate in all of them. 

Do we really need all these acronyms?

No, alas, we need more of them. There’s also ECAA, the European Common Aviation Area – that’s the area ESAM covers; basically, ESAM is the aviation bit of the single market, and ECAA the aviation bit of the European Economic Area, or EEA. Then there’s ESAA, the European Aviation Safety Agency, which regulates, well, you can probably guess what it regulates to be honest.

All this may sound a bit dry-

It is.

-it is a bit dry, yes. But it’s also the thing that made it much easier to travel around Europe. It made the European aviation industry much more competitive, which is where the whole cheap flights thing came from.

In a speech last December, Andrew Haines, the boss of Britain’s Civil Aviation Authority said that, since 2000, the number of destinations served from UK airports has doubled; since 1993, fares have dropped by a third. Which is brilliant.

Brexit, though, means we’re probably going to have to pull out of these arrangements.

Stop talking Britain down.

Don’t tell me, tell Brexit secretary David Davis. To monitor and enforce all these international agreements, you need an international court system. That’s the European Court of Justice, which ministers have repeatedly made clear that we’re leaving.

So: last March, when Davis was asked by a select committee whether the open skies system would persist, he replied: “One would presume that would not apply to us” – although he promised he’d fight for a successor, which is very reassuring. 

We can always holiday elsewhere. 

Perhaps you can – O’Leary also claimed (I’m still not making this up) that a senior Brexit minister had told him that lost European airline traffic could be made up for through a bilateral agreement with Pakistan. Which seems a bit optimistic to me, but what do I know.

Intercontinental flights are still likely to be more difficult, though. Since 2007, flights between Europe and the US have operated under a separate open skies agreement, and leaving the EU means we’re we’re about to fall out of that, too.  

Surely we’ll just revert to whatever rules there were before.

Apparently not. Airlines for America – a trade body for... well, you can probably guess that, too – has pointed out that, if we do, there are no historic rules to fall back on: there’s no aviation equivalent of the WTO.

The claim that flights are going to just stop is definitely a worst case scenario: in practice, we can probably negotiate a bunch of new agreements. But we’re already negotiating a lot of other things, and we’re on a deadline, so we’re tight for time.

In fact, we’re really tight for time. Airlines for America has also argued that – because so many tickets are sold a year or more in advance – airlines really need a new deal in place by March 2018, if they’re to have faith they can keep flying. So it’s asking for aviation to be prioritised in negotiations.

The only problem is, we can’t negotiate anything else until the EU decides we’ve made enough progress on the divorce bill and the rights of EU nationals. And the clock’s ticking.

This is just remoaning. Brexit will set us free.

A little bit, maybe. CAA’s Haines has also said he believes “talk of significant retrenchment is very much over-stated, and Brexit offers potential opportunities in other areas”. Falling out of Europe means falling out of European ownership rules, so itcould bring foreign capital into the UK aviation industry (assuming anyone still wants to invest, of course). It would also mean more flexibility on “slot rules”, by which airports have to hand out landing times, and which are I gather a source of some contention at the moment.

But Haines also pointed out that the UK has been one of the most influential contributors to European aviation regulations: leaving the European system will mean we lose that influence. And let’s not forget that it was European law that gave passengers the right to redress when things go wrong: if you’ve ever had a refund after long delays, you’ve got the EU to thank.

So: the planes may not stop flying. But the UK will have less influence over the future of aviation; passengers might have fewer consumer rights; and while it’s not clear that Brexit will mean vastly fewer flights, it’s hard to see how it will mean more, so between that and the slide in sterling, prices are likely to rise, too.

It’s not that Brexit is inevitably going to mean disaster. It’s just that it’ll take a lot of effort for very little obvious reward. Which is becoming something of a theme.

Still, we’ll be free of those bureaucrats at the ECJ, won’t be?

This’ll be a great comfort when we’re all holidaying in Grimsby.

Jonn Elledge edits the New Statesman's sister site CityMetric, and writes for the NS about subjects including politics, history and Brexit. You can find him on Twitter or Facebook.