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As it happenedended

UK politics - as it happened: Senior Tories tell Theresa May to listen to business as Jaguar Land Rover issues Brexit warning

Follow for updates from Westminster, as they happened

Lizzy Buchan
Political Correspondent
Thursday 05 July 2018 16:15 BST
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Theresa May is facing pressure to heed warnings from business leaders on Brexit ahead of a crunch cabinet meeting where she will try to unite her warning ministers on EU exit terms.

More than 40 Tory MPs have written to the prime minister, urging her dismiss any potential Brexit deal "without our trading, enterprising and innovative businesses and their employees at its heart".

It comes as car giant Jaguar Land Rover (JLR) said a hard Brexit would hit its profits by £1.2bn, and insisted that it needs "greater certainty" to continue to invest and support more than 40,000 British jobs.

The warning follows similar statements from Airbus and BMW, and a wider sense of discomfort among among firms after Boris Johnson reportedly declared "f*** business".

Owen Paterson, a former Conservative minister, also told the Today programme that firms would be "better off" if the UK leaves the customs union as they will "have access to cheaper parts and components all around the world and European suppliers will be forced to compete".

See below for live updates

Welcome to The Independent's politics liveblog, where we will be bringing you the latest updates from Westminster throughout the day.

Lizzy Buchan5 July 2018 08:31

Car giant Jaguar Land Rover has warned it urgently needs "greater certainty" on Brexit to continue to invest heavily in the UK and safeguard suppliers, customers and 40,000 British-based jobs.

The warning from the country's biggest carmaker follows similar statements from BMW and Airbus - and comes ahead of a crucial meeting of the Cabinet in Friday to finalise a White Paper on Brexit.

More here:

Lizzy Buchan5 July 2018 08:51

Tory former minister and eurosceptic Owen Paterson has offered a bullish defence in the wake of JLR's warnings.

He told the Today programme: "What is really vital is they will be better off if the government delivers on what the prime minister promised me in the Commons yesterday.

“If we do leave the customs union, JLR will have access to cheaper parts and components all around the world and European suppliers will be forced to compete or they will lose JLR’s business.

“All the studies show that the car trade is very robust at the moment, it’s very profitable and that will continue.”

Lizzy Buchan5 July 2018 09:10

Len McCluskey, general secretary of Unite, said: "Tens of thousands of decent jobs - the sort we will need more than ever outwith the EU - are being put at risk by a Government that places its survival, indulging narrow, extremist views, above the well-being of the people of this country. This is simply not acceptable.

"So I say this to the Tory party, our jobs are not yours to play Russian roulette with. Drop your red lines and secure a decent deal, one that is to the benefit of the working people of this country.

"And if you cannot agree to put people before your ideology then move over and let a party that will get on with it."

Lizzy Buchan5 July 2018 09:15

One of the major stories of the day is the Amesbury novichok poisoning. Sajid Javid, the home secretary is charing his first Cobra meeting this morning to look at how a Wiltshire couple was poisoned by a military grade nerve agent.

We are also running a liveblog on that, so you can follow developments here:

Lizzy Buchan5 July 2018 09:22

The Commons is starting with Transport Questions this morning, followed by a brace of statements and UQs.

Lizzy Buchan5 July 2018 09:39

Theresa May is flying to Berlin in a last-gasp bid to win Angela Merkel’s support for her new “third way” plan for customs rules after Brexit, amid EU fears that it will be a smugglers paradise.

The details of what No 10 is calling the “facilitated customs arrangement” (FCA) were finally revealed, ahead of the prime minister jetting out for talks with the German Chancellor.

The proposal – which combines Ms May’s original plan for the UK to collect EU tariffs with smart technology to smooth the process – is certain to face Brexiteer criticism that the UK would remain under Brussels’ wing.

Story here: 

Lizzy Buchan5 July 2018 09:49

There could be fireworks in the Commons later, as Labour has secured a UQ on claims Esther McVey misled parliament over universal credit.

Here's our story from yesterday for background:

Lizzy Buchan5 July 2018 10:07

Transport minister Jo Johnson says nationalisation would be "no panacea" for the challenges on the railways and blames publicly-owned parts of the railway, such as Network Rail.

He was responding to criticism from shadow transport secretary Andy McDonald, who said he had to "step in and get a grip before our great railway hits the buffers".

Lizzy Buchan5 July 2018 10:17

MPs responded furiously when transport minister Jesse Norman criticised Labour for making the NHS a "party political issue".

Lizzy Buchan5 July 2018 10:22

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