I was a remainer and I think it was a mistake to leave. I still think it is a mistake to leave, but that decision has been taken and tomorrow night the House will respect the decision. The question now is not whether we are leaving but where we shall arrive. We must focus on the best way of securing that, not only in our interest but in the interests of the whole continent. We need to grasp the opportunities of Brexit, which do exist, and their significance. The Prime Minister was right to say that she is going to seek a bold and ambitious trade agreement with the EU. Anything that disrupts trade is likely to diminish it and, therefore, output. A deal that safeguards both the UK
and our counterparties from that disruption is therefore much needed, and in practice there may be only a little over a year to negotiate it.
So, a transitional arrangement—probably a formal agreement—is going to be absolutely essential. Without it, firms in the financial sector, for example, will act pre-emptively to protect their shareholders from the consequences of a cliff edge. A large number of them have given evidence to the Treasury Committee on exactly that point, and they are not all making it up. The action they will take has already begun in a small way, and it is much more than just brass plating. We need to be clear that the absence of a transitional agreement will cost jobs and economic activity, at least in the short to medium term, and we should not just let that business slip away.
A clear and early commitment from the Government to a transitional period—what I and a number of others have been calling a standstill—at the end of the article 50 process should be priority No. 1 for agreement at the start of the negotiations.