Group calls for UK to stay in with single market

LONDON: A pro-brexit think tank run by a close ally of Michael Gove has said the UK should stay aligned with the EU’S single market after it leaves the bloc.

Open Europe said that when it comes to trade in goods, the single market was a “signiicant achievement” and that it “makes sense” to stay in line with its rules and regulations.

The group took a different view about trade in services, for which it said the UK should look to diverge from Europe and focus on the rest of the word.

The report was edited by Open Europe’s director Henry Newman, ex-political advisor to Gove, who accepted that the report’s conclusions might “upset hardline Leavers and extreme Remainers.”

It comes as the cabinet is still struggling to form a plan for future customs relation, with ministers failing to agree which approach to take and the EU so far rejecting all the UK’S proposals.

Newman said: “Open Europe’s blueprint recognises that the UK is too big an economy to be a rule-taker in areas like inancial services, while accepting that we can get a very good degree of access in goods by giving up a limited amount control.

“The country decisively voted to leave and we cannot be 52 per cent out and 48 per cent in, but we can and should aim for a close economic relationship with our nearest neighbours.

Bank of England Governor Mark Carney: Brexit has already hit UK GDP by up to £40bn “This report may upset hardline Leavers and extreme Remainers, but they do not represent the pragmatic position of the vast majority of the population and of businesses.”