Labour
MP Hilary Benn, chair of the Brexit select
committee
Neill
Hall/Reuters
Britain could be in Brexit transition for longer than
two years, Hilary Benn tells Business Insider.
Brexit committee chair says the list of issues to be
resolved is "enormous" and might not be settled by March
2021.
Benn says consequences of Theresa May's Brexit lines
will dawn "very, very quickly" as soon as second phase talks
get underway.
The former Cabinet minister revealed he wants Corbyn to
back staying in the customs union.
LONDON — Britain is unlikely to be in a position to leave the EU
institutions by 2021 and must prepare to extend the Brexit
transition beyond the two years already planned, the chair of the
Brexit select committee Hilary Benn has told Business Insider.
The former Labour Cabinet minister said
the "enormous" list of issues that need to be
negotiated, meant that Theresa May was unlikely to be able to
take Britain out of the EU by the end of her planned two year
transition period.
"The government maintains that they think the whole of this
negotiation will be tied up between now and the end of the
Article 50 period. I haven't met a single person who thinks
that's even remotely possible," he said.
"It raises a big question. What happens if at the end of the
transitional period, this negotiation hasn't been completed? My
answer is to prolong the transition.
"My view is that the transitional agreement ought to include
provisions for an extension if necessary. I think that would be a
prudent thing to do."
Corbyn must change position on Brexit
Benn, who in 2016 was chosen by MPs to head Parliament's Brexit
committee, also told BI that Labour must shift to a softer Brexit
policy by committing to keeping Britain in the customs union.
The MP for Leeds Central and former shadow foreign secretary to
Jeremy Corbyn called on the Labour leader to pledge to keep
Britain inside permanently after Brexit.
"My own personal view — not the select committee's view as we
haven't taken a decision— is that the Labour should move on the
customs union and say it wants to remain in a customs union with
the EU," he said.
Labour's shadow Brexit team is currently committed to keeping
Britain inside the customs union during a transition period but
has not gone as far as saying it wants to remain inside on a
permanent basis.
"The truth is, I don't see trade deals with other countries
coming along any time soon," Benn said.
"Trade deal negotiations are highly complicated and take a long
time. Therefore, the risk of not getting the deal with our
largest single market is considerable. That's why I argue we
should stay in the customs union."
He added: "You will have seen the very significant speech made by
Caroline Fairbairn of the CBI.
"That was a watershed moment. On behalf of our biggest industry
organisation, she put it very clearly, the benefits of remaining
in the customs union outweigh any benefits of negotiating
trade deals with the rest of the world."
No second referendum
In a wide-ranging interview with BI, Benn, who served in Cabinet
roles under former prime ministers Tony Blair and Gordon Brown,
revealed he doesn't believe a campaign to stay in the EU would
win a second referendum.
I'm not convinced that another referendum would produce a
different result.
The prospect of a second vote has been talked up in recent weeks
after former UKIP leader Nigel Farage said his "mind is changing" on the
issue as a second referendum could "kill off" the argument
for good.
Benn described himself as a "passionate Remainer" but admitted:
"I'm not convinced that another referendum would produce a
different result. I don't see that happening."
However, he stressed no aspect of Britain's exit from the EU was
off the negotiating table.
"All of the things we have been discussing are up for
negotiation. These things are not bound or predetermined by the
referendum result," he said.
Reality of Brexit will dawn "very, very quickly"
Reflecting on his time so far as Brexit committee chair, Benn
said he was still baffled by the government's "extraordinary"
decision to commit to leaving the customs union without first
assessing the impact of doing so.
He also expressed his concern over the possible return of a hard
border to Northern Ireland, and described the government's Brexit
red lines as incompatible with avoiding a physical border between
Ireland and the UK.
"The government says it wants Canada plus plus plus — whatever
that means. But all trade deals, including CETA, involved border
checks," he explained.
"When we went to Omagh as a committee, we saw that there is just
nothing there, but three years ago there were watchtowers, army
bases and police posts. What I took away from what was one very
simple thought: there cannot be any going back. 
Carl
Court/Getty Images
"Frankly, if the government really is committed to leaving the
single market and customs union, I just don't see how you can
reconcile it."
The Irish border dilemma and other problems caused by May's
decision to immediately rule out the single market and customs
union will dawn on the prime minister "very, very quickly" once
second phase talks get underway, Benn added.
"The government took a decision to say we are going to leave the
single market and customs union, and have nothing to do with the
ECJ. We are now coming to the point where the consequences of
those decisions will become very evident," he said.
"The EU has made it very clear that for frictionless trade and no
tariffs on goods there is a mechanism for achieving that, but
there are consequences. There are trade-offs that will have to
happen.
"I'm afraid so far the impression has been given that the UK will
be able to get a deep and special bespoke partnership that will
give us all the things we want but none of the things we don't
want. It doesn't work like that."
Looking ahead to 2018, Benn predicted the next stage of talks
will be significantly more difficult than the first.
"2018 is going to be the crucial year," he said.
"Although the phase one agreement was reached, we still don't
know in detail what the UK government is seeking.
"Representatives from Europe often say they'd like to know what
the UK is going to be asking for. I think the government urgently
now needs to set that out."
He continued: "The future of our trading relationship in goods;
what's going to happen to access to the single market for
services; how will we work together on foreign policy, defence
and security; the sharing of information to fight terrorism; the
European Arrest Warrant; our place in Europol; our position on
membership of numerous EU agencies; data transfer.
"It's a very long list."
Despite May's wafer-thin majority and shaky position in 10
Downing Street, Benn didn't believe another early general
election awaited the nation.
"Not anytime soon," he told BI.
"I'd like to see one. I'm really keen to see a Labour government
because there are many things to be done, not least pursuing a
sensible Brexit and not one that damages our economy and jobs.
"But I don't think we are going to see one."
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