Civitas report: Britain's EU clout is a myth

[-:Undertaker:-]

http://www.telegraph.co.uk/news/worl...as-report.html

Britain's EU clout is a myth, says Civitas report

The clout Britain gets from being in the European Union is a myth, according to a new report

Nick Clegg said in the LBC debate that Britain had 'clout' being part of the EU; a report by Civitas disagrees

The clout Britain gets from being in the European Union is a myth, according to a new report.

Smaller countries like Switzerland are able to negotiate better trade deals with other countries than the European Union, it said.

The study by the Civitas think tank will be seized on by Eurosceptic critics of Britain’s membership of the EU as further reasons for why the UK should pull out.

It also counters claims by Nick Clegg, the deputy Prime Minister, in his EU debate with Nigel Farage, the UK Independence Party leader, last week.

Mr Clegg has said: “We are better off in Europe - richer, stronger, safer - and that’s why I will fight to keep us in, for the sake of jobs, for the sake of our clout in the world, for the sake of Britain.”

Michael Burrage, a social scientist, examined the ‘clout’ of eight million-strong Switzerland in comparison with the EU and its nearly 500 million population.

He found that “Switzerland has been more successful than the EU in negotiating freed trade agreements”.

This was because EU member states were often held back by “conflicting interests, pressure groups delayed agreement about the negotiating stance to be taken”.

His report concluded: “Without these complications it would be possible to be a little more nimble in dealing with trading partners, and so it has turned out for Switzerland.”

In December 2013, for example, Switzerland had 26 free trade agreements in force, while the EU had 25.

Switzerland has six agreements in force with no EU counterpart: Singapore, the South African Customs Union, Japan, Canada, Ukraine, China and Hong Kong.

The EU had agreements with five countries with which Switzerland does not: Syria, San Marino, Algeria, Central America and Andorra.

Civitas said: “It seems that Switzerland, all on its own without any ‘clout’, has free trade agreements with some of the most important players in international trade.”

It added: “Switzerland has made agreements with some of the biggest economies and ensured that proper weight was given to its own comparative advantages, whereas the UK has had to give way to the priorities of the European Commission. Over time this drawback has undoubtedly contributed to our economic stagnation.”

Civitas pointed out that talks over the recent Transatlantic Trade and Investment Partnership “nearly collapsed because France did not want ‘cultural industries’, such as TV, film and online media, to be included”.

The think tank added: “This is also one of the UK’s strengths but has is now excluded to accommodate French sensitivities.

“There seems to be little doubt that we would have been better off with the independence of Switzerland and without the ‘clout’ of the EU.”

Common bloody sense really. Clegg's main arguments have been utterly taken apart this past week.

Interesting to note also in the comparions between the EU trade deals and the Swiss trade deals, that Switzerland has deals with Japan, Singapore, Canada, Hong Kong and China - where as the EU does not. All of those, apart from Canada, are home to hugely important financial centers on a part with London..... something that we could take huge advantage of if we weren't locked inside the European Union. Instead, we get trade deals with those financial powerhouses of... Syria, San Marino and Algeria woop.

If the Swiss can secure these deals, then Britain as the 6th largest economy - and only European economy expected to remain in the global top ten by 2050 - as well as the largest financial sector in the world can secure deals more than twice as good.

Thoughts?

[The Don]

Common bloody sense really. Clegg's main arguments have been utterly taken apart this past week.

Interesting to note also in the comparions between the EU trade deals and the Swiss trade deals, that Switzerland has deals with Japan, Singapore, Canada, Hong Kong and China - where as the EU does not. All of those, apart from Canada, are home to hugely important financial centers on a part with London..... something that we could take huge advantage of if we weren't locked inside the European Union. Instead, we get trade deals with those financial powerhouses of... Syria, San Marino and Algeria woop.

If the Swiss can secure these deals, then Britain as the 6th largest economy - and only European economy expected to remain in the global top ten by 2050 - as well as the largest financial sector in the world can secure deals more than twice as good.

Thoughts?

The EU has 31 Free trade agreements, not 25, and definitely more than Switzerland.

[-:Undertaker:-]

The EU has 31 Free trade agreements, not 25, and definitely more than Switzerland.

Looks like it depends on where the FTA is concluded, this source for example on Switzerland has 28 FTAs but with 38 partners: http://www.seco.admin.ch/themen/0051...01330/?lang=en

Either way, it's clear that Switzerland are punching above their weight and that's something we could do - if we left the EU.

[The Don]

Looks like it depends on where the FTA is concluded, this source for example on Switzerland has 28 FTAs but with 38 partners: http://www.seco.admin.ch/themen/0051...01330/?lang=en

Either way, it's clear that Switzerland are punching above their weight and that's something we could do - if we left the EU.

Not at all. Your article says they have more free trade agreements than the EU which is an outright lie. The EU also has pending FTA deals with most of those desirable countries you listed so I don't see any reason to leave the EU based on trade.

[-:Undertaker:-]

Not at all. Your article says they have more free trade agreements than the EU which is an outright lie. The EU also has pending FTA deals with most of those desirable countries you listed so I don't see any reason to leave the EU based on trade.

I'd have to have a closer look at that claim as well as yours, there appear to be different sources on what the numbers are.

The extent of how deep those FTAs are is also a factor. As the report mentions, the French have always been a major block on achieving FTAs because it's in the French political culture to be highly protectionist economically where as the British are the opposite (along with the Dutch and Swiss). I see no reason why Britain cannot make it's own FTAs more suited to her own interests like Switzerland - do you?

[The Don]

I'd have to have a closer look at that claim as well as yours, there appear to be different sources on what the numbers are.

The extent of how deep those FTAs are is also a factor. As the report mentions, the French have always been a major block on achieving FTAs because it's in the French political culture to be highly protectionist economically where as the British are the opposite (along with the Dutch and Swiss).

I've looked at both the official Switzerland List as well as the EU's. The EU has more FTA's.

I see no reason why Britain cannot make it's own FTAs more suited to her own interests like Switzerland - do you?

I see no reason for Britain to leave the biggest economy based on trade when we have an ever growing list of FTA's.

[GommeInc]

Technically none of the countries have any clout. That's the whole point of these organisations. It's collective clout, not individual merit. Isn't that pretty obvious? Besides, countries outside the EU (Norway, Switzerland, China etc etc) have quite a bit of power. They offer a lot to the table and the whole point of capitalism in the international market is that if you don't keep your allies sweet they will only look elsewhere. It's why if the UK were to leave the EU will be quick to set up trade agreements - we're one of the only nations keeping the damn thing afloat.

[Kardan]

Switzerland has six agreements in force with no EU counterpart: Singapore, the South African Customs Union, Japan, Canada, Ukraine, China and Hong Kong.

The EU had agreements with five countries with which Switzerland does not: Syria, San Marino, Algeria, Central America and Andorra.

Last time I checked, Central America wasn't a country? Wouldn't that mean the EU had slightly more?

[GommeInc]

Last time I checked, Central America wasn't a country? Wouldn't that mean the EU had slightly more?

I'm fairly certain a lot of Central American countries don't even have that much interest in European trade, and if anything it will be with individual EU countries rather than with the Union in general. Mexico is one country that isn't exactly a big trader. At least the Swiss trading partners are big powerhouses.