Brexit Bulletin: Getting ideological

Follow Us Get the newsletter What's Happening? Britain and the EU are fighting over the level playing field and businesses are nervous.  The threat that the U.K.'s departure from the European Union will revive tariffs and other trade barriers was brought sharply into focus this week by Britain's chief Brexit negotiator. David Frost warned that the EU's demand that the U.K. will have to follow the bloc's rules after leaving if it is to secure a trade deal like Canada's is something Britain cannot accept. Downing Street then escalated the rhetoric further with this tweet: The EU, for its part, says nothing has changed. Canada and Britain aren't the same. The former is roughly 4,000 miles away, the latter 21 miles. The bloc has long argued that its closer neighbor and bigger trading partner will have to commit to a level playing field to avoid undercutting the EU economy. Cue this slide from Brussels: Whether or not a compromise on this is possible, it is abundantly clear that Brexit is taking a more ideological flavor under Prime Minister Boris Johnson. Frost's speech was a detailed attempt to make a historical and philosophical case for leaving the EU. As Bloomberg Opinion columnist Lionel Laurent points out today, Johnson's team isn't going to let economic models stand in the way of a political revolution. Economic theory certainly isn't going impede a more restrictive immigration policy. On Wednesday, the government unveiled plans to end what it calls the U.K.'s dependence on "cheap low-skilled labor" and introduce a system that will require migrants to prove they can speak English, have a job and a minimum £20,480 ($26,520) annual salary. For business, all this is setting off alarms. Lobbyists for the social care, hospitality and food industries were among those quick to decry the immigration plans. As Alex Morales and Olivia Konotey-Ahulu report here, business leaders are increasingly worried by the threat of a violent rupture when the 11-month transition period ends on Dec. 31. For them, the risk is that Johnson, with his 80-seat majority, really could pull the trigger. — Edward Evans Beyond Brexit A billionaire splashed out $74.7 million on a house near Harrods in London. This jet-setting billionaire had it all. Then the short-sellers came along. The first Airbus A380 super-jumbo is being sent for recycling. An A380 luggage tag Brexit in Brief Going Dutch | The Netherlands saw the biggest wave of Brexit-spurred moves to the country last year, with more companies likely to follow. Border Hop | A watchmaking firm has quit England for a new base in Scotland as a result of Brexit. En Vogue | British fashion is casting off its post-Brexit blues. Rein It In | Johnson is under pressure to discipline his most senior adviser, Dominic Cummings, who masterminded the pro-Brexit campaign before the 2016 referendum, as an escalating dispute over allegations of racism threatens to engulf his government. Dominic Cummings Photographer: Simon Dawson Want to keep up with Brexit? You can follow us @Brexit on Twitter, and listen to Bloomberg Westminster every weekday. It's live at midday on Bloomberg Radio and is available as a podcast too.  Share the Brexit Bulletin:  Colleagues, friends and family can sign up here.  For full EU coverage, try the Brussels Edition. For even more: Subscribe to Bloomberg All Access for our unmatched global news coverage and two in-depth daily newsletters, The Bloomberg Open and The Bloomberg Close.   Before it's here, it's on the Bloomberg Terminal. Find out more about how the Terminal delivers information and analysis that financial professionals can't find anywhere else. Learn more.   You received this message because you are subscribed to Bloomberg's Brexit Bulletin newsletter. Unsubscribe | Bloomberg.com | Contact Us Bloomberg L.P. 731 Lexington, New York, NY, 10022