Brexit Facts4EU.Org Summary

Benefits to the UK and to British people of the CPTPP free trade deal

Plus comparisons with the limitations of being a member of the EU

1. The EU wanted to become a member of CPTPP but failed

• The EU has zero chance of doing such a free trade deal with CPTPP
• It tried – and failed
• EU deals are all-encompassing and political, imposing values and rules on the proposed trading partner
• UK free trade deals are just that – trade deals
• UK did not have to gain agreement of 27 other countries before agreeing and ratifying CPTPP deal
• EU trade deals take an average of more than 10 years (e.g. Mercosur bloc: 25 years and counting)
• Now independent, the UK can act much faster
• The UK’s negotiations with the CPTPP were started and completed in 18 months
• UK trade deals like this one with the CPTPP reflect UK interests
• EU’s trade deals reflect interests of German manufacturers, and French, Italian, and Spanish farmers
• CPTPP means no more ignoring of services, which are 80% of UK economy

2. Economic benefits

• Cutting UK’s tariffs on 95% of UK imports from CPTPP to zero – cutting UK consumer prices
• Encourages British business to compete globally – investing for future growth
• Opening up CPTPP markets to UK exports of services – the sector representing 80% of UK economy
• Mutual recognition of professional qualifications, allowing UK firms to sell services in CPTPP countries

NOTE: Rejoiner-Whitehall’s estimates of the economic benefits are not worth the paper they are written on. The true benefits to the UK are much higher. We explain the ‘Whitehall Whitewash’ in Part III of this series – not to be missed. (See ‘Observations’ below.)

3. UK’s CPTPP free trade deal is much better than existing deals with 9 of the 11 CPTPP members

• UK already had trade deals with 9 out of the 11 CPTPP member countries
• Most of these were ‘rollover’ deals on the UK’s EU exit, based on the EU’s own documents and terms
• These UK rollover deals were necessary to ensure continuation of trade
• They were not, however, adequate and satisfactory to the UK – nor to CPTPP countries
• They did not reflect British interests but those of the EU
• For example they barely included services
• They involved prohibitive quotas and still had high tariffs
• By contrast the UK’s CPTPP deal is modern and efficient

4. Non-quantifiable benefits

• Raises UK’s profile in CPTPP markets
• Cuts cost for British consumers of imported goods (See Explainer Box A above.)
• Provides more choice for British consumers
• Increases UK’s influence and ‘soft power’ globally
• Important counter-seasonal nature of imports from the world outside Europe (See Explainer Box B above.)
• Raises CPTPP countries’ profiles in UK boardrooms as prospective trade markets (See Explainer Box C above.)

5. No political interference and no annual financial payments

• No sign-up to laws made by foreign court
• No huge annual ‘membership fee’ to subsidise CPTPP countries
• No CPTPP Parliament
• No CPTPP Common Agricultural Policy, no CPTPP Common Foreign Policy, no CPTPP Common Defence Policy
• No relentless drive towards creating a superstate controlled by unelected bureaucrats
• No unelected Commissioners continually devising and imposing new rules and regulations on non-trade matters
• No obligatory Freedom of Movement, no flooding the UK with 6 million foreign nationals
• No insistence on obeying a ‘CPTPP Court of Human Rights’
• No imposition of CPTPP product standards on all UK businesses
• Only the products to be exported have to obey a CPTPP country’s domestic standards