England: Mr Bates versus the Establishment

Confess I have not followed it closely, but no big deal either way in practice. Covid to some extent has held back the benefits of liberalisation of workers ( those hordes of UK backpackers aren’t on the horizon)
FTAs aren’t really premised on free trade in all sectors, but are supposed to be WTO plus in substantially all the trade ( which can involve sectoral carve outs).
WTO commitments on trade in physical goods are the most advanced.
I would need to look at the UK’s WTO schedule of tariffs and other commitments ( such as agriculture subsidies) in goods and services, which only came into play as separate from the EU around a year ago, post the divorce from the EU.
Australia has relatively low applied tariffs (from zero to around 5%) hence a commitment to reduce the FTA levels below the WTO bound rates through a treaty would not be big deal…
EU tariffs on non agricultural goods have not been high or a significant barrier. I assume the UK would maintain them at much the same level.
There seems to be a very long transitional period for liberalisation of access for our agricultural products to the UK market ( but then we didn’t get much in the US FTA)
I understand investment is untouched ( and no investor State clause) .
Government procurement would appear to stay within the commitments given under the WTO plurilateral Agreement.
Overall, I can’t see that either side has given away much and it’s probably FTA-lite. Professional services, mobility of workers may be the winners on both sides, including greater cooperation in mutual recognition.
We have made explicit commitments on environment and animal welfare standards, but they are probably no more than we have faced in practice. On both sides SPS standards are unaffected ( and stay within the WTO SPS Agreement)
Nothing on IP, unlike the Disney clause in our FTA with the USA.
It probably was rushed to enable an ANNOUNCE during the terms of respective Ministers and High Commissioners - and more political in the UK after its divorce from the Continent ( nostalgia for the old Empire)

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Thanks for your “not following closely highly detailed praise!

I can speak for engineering, there was already sufficient mutual recognition via the Washington accords and professional society links that I managed to obtain Chartered status in the UK (and by extension, recognition through the EU via FEANI) without needing to leave Australin shores or do
More than tick a box on a few forms and pay some fees. So no more than needed for mutual recognition in Queensland, and way less than needed for the US.

When you work on an FTA there is intensive consultation with relevant sectors on the myriad technical barriers, particularly in the services sectors, going far beyond mutual recognition of qualifications ( all the red tape inhibiting actually practising or being recognised as competent to certify) . Some of the professional bodies responsible for registration used to be the biggest ■■■■■■ in guarding their patch.

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It was rushed thanks to Madame Lettuce prior to her becoming PM for all of 43 days. Overview and damage limitation is here … not all of it bad but UK farmers beginning to holler as they were sold down the river over BRexit. Just today I hear the City now overtaken as largest Fin Services hub … Paris now ahead. Another Brexit dividend.

https://committees.parliament.uk/committee/448/international-agreements-committee/news/171638/ukaustralia-free-trade-agreement-welcomed-but-a-published-trade-policy-is-needed/

Just yesterday Georgie boy Eustace, former Environment Secretary and BRexit supporter but now a discarded Tory backbencher coughs up how lopsided a deal its proven to be, it being signed in haste as a Brexiteer “win”. Noone will stand up saying the UK got a good deal and a fraction of people still pedalling the lies.

BRexit was, is and will continue to be an unmitigated disaster for the UK. They had a perfectly arms length membership pre 2019, a full member outside the Euro with various opt outs and a rebate ffs that netted out as membership costing 0.8% of a taxpayers tax. That paid for 27 countries in a free market and freedom of movement and regulations that enforced good standards.

If the UK had any sense they’d immediately look to get back inside under EFTA or a Norway type deal. Anything but what they are today … a large rock drifting out into the northern Atlantic on its lonesome.

If you ever have time read this blog from start to finish …

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Interesting article that is a sign of the times in the UK.

British politics

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JSCOT has now issued a report on the FTA with the UK, available on the DFAT site as from 25 November.
The necessary implementing legislation has passed both Houses, GG can sign off as a treaty.
dfat.gov.au

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So my quick and superficial read is that the UK industry is unhappy because whilst there are significant tariff reductions for Australian goods exported to UK (99% will be tariff free, whereas 8-something are now), the benefit the other way won’t be so good because Australia already lets most UK goods in tariff free, so there is nothing to eliminate or reduce.

On the agricultural side, beef and lamb production costs are significantly lower in Australia, and so despite the transport costs, Australian sourced meats will be cheaper.

On the side, I have picked up from interviews with Jeremy Clarkson associated with the second series, that as a result of Brexit, UK farmers are facing a rapid phase out of agricultural subsidies, which they are basically not prepared for, and also heavy (or over) regulation (taken with a Clarkson pinch of salt of course). So basically they are facing a financial disaster anyway.

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Just to note there is a difference between the applied tariff rate and the WTO scheduled bound rate.
Progression towards binding the rates at zero in an FTA is highly beneficial, for two reasons

  • if an FTA partner wishes to raise an individual tariff above the FTA bound rate, some sort of compensatory adjustment is needed
  • if the FTA has a non-violation nullification and impairment clause ( which any negotiation should include) it serves to prevent the bound rate from being white anted by an otherwise legitimate measure such as a subsidy on a competing domestic product.

(Cough, some smart arses who considered non violation clauses as legally arcane omitted it from an FTA with Singapore. Singapore then introduced a hefty subsidy for some competing telecoms).

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So what do those Poms want? That we should subsidize their exports into Australia?

Name names!

Probably. That was a key element of empire, and they want it back.

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Not “was” still “is”; and not “want it back” but “want more”.

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Forget their names, but those with Juris Doctor ( Oxon) on their business cards, who sprayed Latin terms.
They disappeared when it hit the fan after Singapore introduced a subsidy and there was no legal recourse.

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It’s no fun when England sucks if we suck as well.
When we all really want the US to suck.
Bring back USD parity!

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The UK is not alone.
There have been nurses and other health care worker strikes across Europe ( also in NSW).
See Euro news of 15 December on comparative pay in Europe

euronews.com

Sums it up well.

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He’s not gruntled with the Tories and the media, is he?

Yes… things pretty broken in the Houses of Westminster, these past few years in particular. Osborne’s austerity, BRexit, Boris and Partygate. But keep a watchful eye on this one:

Just a taste of the increasing number of questionable characters now sat as unelected UK life peers in the House of Lords (i.e. jobs for mates). This person was a David “call me Dave” Cameron 2015 appointee.

If Labour get back in (which they should) there’s a fair chance they’ll all be out on their ear. Which is also sad as there is some good decent people and minds amongst the rabble now in the HoL ascendancy. But something has to be done.