Theresa May set to delay trade and customs trade bills

Brexiteers today insisted the local election results proved Theresa May must make a clean break from the EU.

Tory MPs pointed to the strong performance in Leave-supporting areas as evidence that the party must stick to its guns on cutting ties with Brussels.

But although the better-than-expected showing might give Mrs May some welcome breathing space, the challenges facing her were underlined as it emerged two crucial pieces of Brexit legislation could be delayed to avoid disastrous defeats.

A beaming Mrs May visited jubilant Tory activists in Wandsworth, south London this morning to thank campaigners for their work in keeping the council blue.

The Prime Minister said Labour threw ‘everything’ at their target boroughs in London – but ‘failed’ to snatch any away from the Tories.

She said: ‘Labour thought they could take control, this was one of their top targets and they threw everything at it, but they failed.’

She has emerged unscathed from the vote as predictions the Tories would take a hammering in London failed to materialise.

But the PM now faces her major challenge – getting her Brexit plan passed the House of Lords and her rebellious backbench MPs.

The PM (pictured with Tory activists in Wandsworth today) is set to delay the introduction of two Brexit related bills amid fears she will suffer a humiliating defeat on them in Parliament

The Prime Minister (pictured in Wandsworth today) said Labour threw ‘everything’ at their target boroughs in London – but ‘failed’ to snatch any away from the Tories

Mrs May was humiliatingly overruled by her own Brexit War Cabinet earlier this week, when senior ministers dismissed her plan for a ‘customs partnership’ with the EU.

New Home Secretary Sajid Javid joined Boris Johnson, Michael Gove, Liam Fox and Gavin Williamson in criticising the ‘compromise’ option, which would see the UK collect border duties on behalf of the bloc.

However, Downing Street believes the plan constitutes their best chance of getting a Brexit package through Parliament.

UK could be in the EU’s customs union until 2023 because the post-Brexit system is not ready

Britain could be trapped inside the EU’s customs union until 2023 because the post-Brexit replacement is not ready, officials have warned ministers.

Alternatives to the current system, which Britain has been part of for four decades, are at least give years away from being viable.

The problem is complicated by the Government failing to agree what it wants from the negotiations and the fact no deal is expected with the EU until at least October.

Theresa May met her senior ministers to discuss customs options on Monday night but the crunch Cabinet committee was deadlocked.

The claims, revealed today by the Daily Telegraph, will enrage Brexiteers and fuel calls for Britain to Brexit immediately.

One senior Brexiteer told The Telegraph: ‘There are genuine concerns that this delay will lead to the UK staying in the customs union permanently.

‘Regardless of that, if we are still in the customs union by the time of the next general election in 2022 it will cause a catastrophe at the polls because we will not have delivered Brexit and voters will not have seen any benefits of leaving the EU.’

Reports of the delay came amid fears Theresa May could try to ignore the objections of her ‘War Cabinet’ to plans for a customs ‘partnership’ with the EU.

The Prime Minister’s favoured blueprint for future trade with Brussels was humiliatingly rejected by senior ministers at a tense three-hour meeting on Monday.

Mrs May is now thought to have decided to delay tabling the Customs and Trade Bills, after her chief whip Julian Smith warned the government would lose a vote on rebel amendments demanding the UK stays in a customs union with the EU.

The two Bills must be passed before the UK cuts ties with Brussels to ensure the country’s ability to trade does not go into meltdown after Brexit.

But up to 20 Tory MPs are reportedly considering joining Labour and the Lib Dems in backing potentially explosive amendments.

A backbench rebellion on that scale would easily be enough to overturn Mrs May’s wafer thin working majority, which stands at just 13 votes.

A defeat on the bills over the next few months would be an embarrassing blow to the Prime Minister just as Britain is in the midst of the second stage of Brexit negotiations to thrash out a trade deal.

Mr Smith is desperate to shield the PM from such a defeat and defer the votes until October, by which time they hope the Brexit deal will be agreed, The Sun reports.

A source told the newspaper: ‘The PM’ thinking is, why jeopardise everything by losing a customs union vote if we don’t have to?

‘There is time to get the Bills through after October, but it will be very tight.’

The PM’s official spokesman said: ‘Timetabling will be set out in due course. ‘We have always been clear we will have all the legislation in place in time for Brexit.’

But critics have warned that the the Tories risk running out of time to get all the pieces of Brexit related legislation through before exit day on 31 December next year.

Ministers still have to get the Immigration Bill and the Withdrawal Agreement Bill through Parliament.

And the Agriculture Bill and the Fisheries Bill also need to be taken through both Houses.

Senior Tory MP Jacob Rees-Mogg, who has been leading backbench opposition to the customs partnership concept, today urged the PM to renew her commitment to Brexit.

He highlighted election guru John Curtice saying that the Conservatives had performed best in Leave areas, adding: ‘Sir John Curtice’s view that the local election result means the government must deliver on Brexit is surely right, he usually is.’

Fellow Tory MP Nadine Dorries said: ‘Message to the #Conservative party from its core vote is very clear (70% leave). Trusting us to deliver a clean #Brexit ,UKIP vote that denied us so many seats in the past has come home. We must deliver.’

The House of Lords have dealt a series of crushing defeats to Mrs May’s Brexit plans over the past week.

Mrs May (pictured in Barnet) has been given some welcome breathing space amid the raging Brexit row

The Tories emerged triumphant in Wandsworth (pictured) despite a massive effort by Labour to oust them

A defeat on the bills in Parliament (pictured) over the next few months would be an embarrassing blow to the Prime Minister just as Britain is in the midst of the second stage of Brexit negotiations to thrash out a trade deal

Peers backed an amendment to the Government’s key Brexit bill to give Parliament decision-making power on the outcome of negotiations with the EU – including the power to call off the divorce.

And they also voted against Mrs May’s plans to leave the EU’s customs union after Brexit.

Labour peer and leading anti-Brexiteer, Lord Adonis, said: ‘Theresa May is in office but not in power. The Prime Minister might dodge and duck vote afraid of defeats but that is not leadership.

What is a customs partnership with the EU?

A customs partnership is less formal than the current EU customs union the UK is a member of.

Under the proposals, Britain would stay in a customs union with the EU for some sectors, while leaving it for others.

This would mean it would impose the same tariffs as the Brussels bloc on some goods, but set its own on others.

Backers of the plan say his would facilitate free trade in areas where Britain does a lot of its business with the EU, while freeing the country to sign new free trade deals with other countries.

One possibility could be keeping the UK and EU in a customs union for trade in goods, but allowing divergence for the services sector.

Under the so-called ‘hybrid model’, the UK would collect EU import tariffs on behalf of Brussels and then pay it to the EU.

But Brexiteers are critical of the plan. which they think is unworkable and cumbersome.

They fear it will effectively stop the UK from being able to negotiate free trade deals around the world after Brexit.

‘The Prime Minister just looks chicken. Is what ‘Taking back Control’ looks like? ‘This whole process is a disaster.

‘There is a very real possibility MPs won’t approve important things like an immigration bill, a fisheries bill or an agriculture bill before they vote on withdrawal. MPs are being asked to vote blind.’

It comes amid separate reports officials have warned ministers that Britain could be trapped inside the EU’s customs union until 2023 because the post-Brexit replacement is not ready.

Mrs May has vowed to take Britain out of the EU customs union – which must happen if the UK is to be free to sign trade deals with countries around the world.

She has put forward two plans for a post Brexit customs arrangement.

One is a a customs partnership which would see the UK act on the EU’s behalf when imports arrive from the rest of the world – collecting duties which the ocuntry would then pay to the bloc.

Under the second proposal, known as maximum facilitation or max-fac, the UK and EU would create as frictionless a customs border as possible.

This would mean technology was used to track goods and businesses importing and exporting over the border regularly would get ‘trusted status’ to minimise the need for customs checks.

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