Posts Tagged '#Brexit'

Brexit: 10 myths about the ‘Norway model’ examined

BSI_Squaring_no-logo

On 8 May the UK’s House of Lords passed an amendment to require the House of Commons to vote on remaining in the European Economic Area (EEA), the possibility of Britain adopting the so-called ‘Norway model’ is back on the agenda of British politics.  

Here the authors of Squaring the Circle on Brexit: Could the Norway Model Work?, John Erik Fossum and Hans Petter Graver, give some background to Norway’s relationship with the European Union and reveal the truth behind some common myths about the Norway model.

“While Norway has rejected membership of the European Union twice in referendums in 1972 and 1994, it has consistently sought as close a relationship with the European Union as is possible for a non-member.  The core element of that relationship is the European Economic Area (EEA) agreement, which came into effect in January 1994, almost a year before the second referendum.  This seamlessly ties Norway to the EU’s internal market without it being part of the supranational political union.

However, Norway’s experience shows how non-members of the EU must make difficult trade-offs between relative autonomy in decision- and rule-making and access to the EU’s internal market and other EU policies.  Norway is frequently portrayed as a ‘rule-taker’ and there is no doubt that Norway’s inability to affect EU rule and decision making is – democratically speaking – very problematic.

A closer look at Norway’s experience reveals that, in spite of this, members of the EEA can still shape their socio-economic model and mode of functioning.  In other words, how a country handles its relationship with the European Union matters.  Norway has retained a well-functioning welfare state and high levels of trust in public institutions, helping to offset potential negative influences. This trust is crucial. Norway’s experience underlines that the issue is not simply one mode of EU affiliation but the important left-right issue of choice of socio-economic model, which has significant bearings on the question of social justice.

“Norway has retained a well-functioning welfare state and high levels of trust in public institutions, helping to offset potential negative influences.”

Given these pros and cons, and the reemergence of the EEA as an essential aspect of the Brexit agenda, now is the time to unravel some of the myths around Norway’s relationship with the EU:

 

1. The ‘Norway model’ is an arrangement that just involves Norway

A core aspect of the Norway Model is, in fact, the European Free Trade Association (EFTA)-based EEA agreement which was signed by Iceland, Lichtenstein and Norway and where all decisions are based on unanimity.

 

2. The Norway model is the EEA

The Norway Model is made up of 120 different arrangements and covers a far greater realm of issue-areas than just those regulated under the EEA agreement. Norway is an affiliated member of Schengen and asylum and police cooperation (Dublin I, II and III. Norway is therefore within the EU’s external border with responsibility for border controls. It has also signed agreements on foreign and security policy and participates in the EU’s battle groups).

 

3. The Norway model is more constraining than the Swiss model

Unlike Norway, the Swiss have opted to unilaterally adapt their legislation to be EU-compatible. The EU is unhappy with the Swiss arrangements. They will likely not be extended elsewhere.

 

4. The EU’s off-the-shelf arrangements for non-members are straitjackets that do not allow for the flexibility of a bespoke deal

The sheer range of affiliations under the Norway Model testifies to some flexibility and ingenuity, but there are limits, especially within the EEA agreement which is about common rules and equal conditions for competition. There is political will on both the EU side and the Norwegian side to maintain close relations, and that allows for a certain measure of flexibility.

 

5. The Norway Model does not allow for an independent trade policy

The EFTA states retained their freedom to decide their own trade policies towards third countries because they are not part of the EU’s customs union. Norway had negotiated 27 free trade agreements with the EFTA countries in 2016, and has undertaken negotiations with ten countries (including China) and regional trade blocks (MERCOSUR).

 

6. No deal is better than a bad deal

Theresa May has said on Brexit that no deal is better than a bad deal. The Norway Model, with all its challenges, has shown to Norwegians that having common rules and equal conditions of competition, and the equivalent means of enforcement, offers the certainty that is necessary for an open economy to function in today’s tightly interwoven Europe.

 

7. The Norway Model is deeply contested in Norway and is unlikely to receive majority support elsewhere

In fact, there always been a clear majority in Norway in support for the model it has adopted: there is little support for EU membership, and very little support for abolishing the EEA. There is a very strong sense across most economic sectors that assured EU access is vital for prosperity. 65% of Norway’s exports (excluding oil, gas and ships) go to the EU. Norway needed a Schengen association agreement (to be within EU’s borders) in order to preserve the Nordic passport union which ensures free movement in the Nordic region.

 

8. The Norway Model is about rule-taking 

There is no denying the arrangement is democratically problematic, but there is scope for local adaptation and flexibility. The Norway model reflects the complex nature of the EU, which combines a supranational core (the internal market) and a set of intergovernmental arrangements for handling matters of border controls, and security. There is more scope for bargaining in the intergovernmental realm, which the UK has experienced through its numerous opt-outs and opt-ins. In the supranational realm the EU is also constrained by the Court of Justice, which has the final say on what arrangements are compatible with the EU aquis (the body of common rights and obligations that are binding on all EU member states) The implication is that the EU is more likely to accept bespoke arrangements in the intergovernmental than in the supranational institutional realm.

 

9. The key question about the Norway Model is the type of affiliation that it represents

That is only part of the picture. Equally important is how Norway handles this affiliation domestically. What Norway’s experience shows is that it is important to consider the state’s ability to handle its EU relationship. The Norwegian state is a well-functioning state with a high level of competence and a broad range of comprehensive welfare arrangements that enable it to compensate actors for the negative effects of Europeanisation. Norway also has a tradition of consensus-based politics that contribute to keeping EEA issues outside the realm of party politics.

 

10. Norway will be included in the European Union’s post-Brexit arrangements

Norwegians will not automatically get the same arrangements with Britain that members of the European Union will. Norway is not part of the Brexit negotiations and for many issues Norway will have to sort out its relations with the UK on its own, for example, on the rights of Norwegian citizens in the UK and UK citizens in Norway. In this case, the UK government has assured Norway that citizens will receive the same treatment. Nevertheless, Norway is a decision-taker on the sidelines during the negotiations on the UK’s future relationship with the EU and is concerned with when its arrangements with the UK will be settled.

 

BSI_Squaring_no-logo

Could the Norway model work for Britain? Find out more in Squaring the circle on Brexit – Could the Norway model work? by John Erik Fossum and Hans Petter Graver, a comprehensive first-hand account of Norway’s relationship with the EU.

The book is available with 20% discount on the Policy Press website. Order here for £19.99.

Find out more about impact, influence and engagement at Policy Press here.

Policy Press newsletter subscribers receive a 35% discount – sign up here.

The views and opinions expressed on this blog site are solely those of the original blog post authors and other contributors. These views and opinions do not necessarily represent those of the Policy Press and/or any/all contributors to this site.

If not a hard Brexit, then what?

janice-morphet

Janice Morphet

Now that a ‘hard’ Brexit seems less likely, Janice Morphet – author of Beyond Brexit? – looks at alternative options for the UK’s relationship with the EU.

“Following the apparent disruption of hard Brexit that has followed the General Election, it is now time to review the other options available to the UK.

It would have been better to review these before the referendum was called and to explain the options to more fully inform the electorate during the campaign. Even after the referendum result, a review of the options would have been helpful rather than the incoming Prime Minister opting for the hardest form of EU/UK relationship without appreciating the paradox that her social welfare agenda could best be achieved using EU values, programmes and policies.

However, better late than never. So what are the real options available rather than those frequently suggested by those politicians less familiar with the EU?

 

The European Free Trade Association (EFTA)

The most frequently discussed approaches are the potential for the UK to return as a member of the European Free Trade Association (EFTA). This was set up in 1960 by the UK as an alternative free trade bloc to the EU when the UK realised that it had made a mistake in dismissing membership of the then Common Market. Its members are now Iceland, Lichtenstein, Norway and Switzerland. While EFTA works as a group on some issues, its members have different relationships with the EU. This might suit the UK, but Norway has already indicated that it may not take the UK back into EFTA membership. How do these relationships work individually?

Continue reading ‘If not a hard Brexit, then what?’

What now for Brexit?

atlas-authors

Danny Dorling, Dimitris Ballas and Benjamin Hennig

Danny Dorling, Dimitris Ballas and Benjamin Hennig – authors of The human atlas of Europe – look at the reasons behind Labour’s success and ask… what now for Brexit?

 

“On June 8th 2017 young people all across the UK turned out to vote for a new conception of politics and a more inclusive, nourishing vision of society (as New Internationalist journalist Chris Brazier put it).

The rise of Labour in the polls in the month before the election was three times greater than any rise ever seen for that party in a month before. The swing in the vote to Labour was greater than that measured at any general election other than the 1945 landslide election. To be fair to Jeremy Corbyn it was actually even greater than that, as that 1945 swing took ten years (from 1935) to occur. In contrast, Labour’s swing in 2017 emerged within just two years of the last election (held in 2015).

Despite the enormous success in the polls and the voting booths it was not enough for Labour to win. The party had started so far behind in 2015 that a completely unprecedented swing would have been needed for outright victory. Labour’s four week surge in the polls would have had to have been not just three times greater than it had ever been before, but five, six or seven times – depending on exactly where that swing had been geographically concentrated. An outright Labour victory in June 2017 was nigh-on impossible in the circumstances, not least of a split Labour party.

But what Labour achieved was enough to put the Conservatives into the demotion zone of now being a minority government.

 

“..greater solidarity is gaining in popularity over division.”

 

Continue reading ‘What now for Brexit?’

A General Election to challenge – or intensify – neoliberalism?

Bryn Jones and Michael O’Donnell, authors of Alternatives to neoliberalism, argue that a ‘hard Brexit’ under a Tory government would strengthen, not challenge, the neoliberal agenda.

Mike O’Donnell

Bryn Jones

Public sector retrenchment, deregulated markets and corporate takeovers of public and civil society spheres are contested topics in this election. Yet the protagonists do not directly acknowledge that these arise from the disruptive effects of the generation-long, neoliberal system.

Neoliberalism still underlies the current social unrest and political crisis; but its ideological hegemony is under threat. Trump, neo-nationalist populism across Europe and Brexit, all express popular angst caused by neoliberal processes: de-industrialisation, public sector austerity, worsened living standards, insecure and/or poorly paid employment.

“Trump, neo-nationalist populism across Europe and Brexit, all express popular angst caused by neoliberal processes.”

Continue reading ‘A General Election to challenge – or intensify – neoliberalism?’

Election focus: Avoiding Another Failed NHS Experiment

In the next post in our Election Focus series, David Hunter, author of The health debate, explains that the election must not become an excuse for shelving much needed health system transformation.

David Hunter

“A possible unwanted side effect of this most avoidable of unnecessary general elections, and the accompanying purdah into which everyone has slumped, is the impact on the NHS reforms initiated by the NHS Five Year Forward View published in 2014 and its update in the Next Steps delivery plan published last month.

One can only hope the NHS Chief Executive, Simon Stevens, is correct when he asserts that ‘there is no version of reality’ in which his changes will not be needed and actively pursued. Even if he is proved right there could still be disruption if a new health secretary replaces the current post-holder, Jeremy Hunt.

Or if the all-consuming Brexit negotiations divert the government’s focus and slow down the pace of change as seems likely. Or if a new administration decides to replace Stevens. As the chief architect and champion of the changes, he is critical to their success, especially at such a delicate stage in their evolution and before they have been fully embedded.

New Care Models and Sustainability and Transformation Plans

The election comes at a pivotal time in regard to progress with the New Care Models (NCM) nested in the Vanguards initiative and the evolving Sustainability and Transformation Plans (or Programmes if you prefer) (STPs) agenda.

“…opens up the prospect of further stalemate and a failure once again to get to grips with long overdue changes to reshape the NHS for the new challenges it faces.”

In the case of STPs, Labour has stepped back from its rather foolish pledge announced in the leaked manifesto to impose an immediate moratorium on them if elected. But while the final manifesto now states that Labour will merely ‘halt and review’ STPs, the move still heralds a return to heavy-handed ministerial meddling from the centre.

As a way of running the NHS, it has rarely if ever been desirable or worked. Moreover, it opens up the prospect of further stalemate and risks failing once again to get to grips with long overdue changes to reshape the NHS for the urgent and complex challenges it faces.

What’s needed?

For the changes to succeed requires sensible resourcing and sustained commitment over a reasonable time period, both of which are already fragile under the current government. If re-elected with a larger majority it is unlikely much will change which could leave the changes in a precarious state, especially when coupled with the desperate pressures the NHS is already under both in terms of financing and staff recruitment.

So, while perhaps not putting the changes at risk in the way Labour’s proposals seem destined to do, a Conservative government with a fresh mandate need not axiomatically be good news for the NHS.

If the political outlook for the NHS changes presently being implemented looks potentially bleak or risky whoever wins, it will be incumbent on senior managers and clinicians, perhaps with the support of the Royal Colleges and others, including local government, to lead and drive the changes.

An opportunity

The Vanguards and STPs represent a chance of a lifetime opportunity to transform the NHS as it approaches its 70th birthday in July 2018. Too often in the past resistance to change has won out and the result has been an NHS which in many respects has become ossified and no longer fit for purpose given the changes in demography, lifestyles and the evidence of growing inequalities.

“Too often in the past resistance to change has won out.”

Successive inquiries and critiques of the NHS have pointed to the repeated failure to take prevention and public health seriously, to integrate health and social care, and to rebalance the health system away from costly, acute hospital care. The Vanguards initiative and STPs are confronting head-on all these deep-seated systemic problems that have persisted in the NHS for decades.

Drawing conclusions from the NCMs is premature and inconclusive. Generalising from very complex and different models and contexts is a hazardous business. But, putting these health warnings to one side, the early evidence emerging shows a passion, enthusiasm and high level of commitment to make the changes work. They are also felt to be the right way to go in terms of patient care.

Once the evidence from the local evaluations starts to appear later this year, there will almost certainly be a mix of likely successes and failures although it will take longer to assess how far the changes have actually impacted on health outcomes. It is also the case that, as the Public Accounts Committee concluded recently, STPs are a mixed bag and of variable quality. In most places, engaging local government and the public should have assumed a much higher priority at an earlier stage.

But when all is said and done, the unprecedented transformation journey on which the NHS has embarked has given permission to local areas to chart their own destinies within a national framework providing support and development know-how. It is not perfect and tendencies for old-style, command-and control behaviour to surface have to be resisted. Nor is the overall financial climate helpful or sustainable although, if one is honest, resource pressures have been an important stimulus for change.

If the changes underway can be maintained post-election and the NHS becomes a genuine health service rather than a sickness one, which it has been since its inception, then that must be the goal of all those who want the NHS to survive and should be embraced enthusiastically.

Warts and all, we should not squander this opportunity to transform the NHS so it can meet the 21st century challenges confronting it. Surely that has to be a 70th birthday present to remember.

 

The health debate by David J. Hunter is currently available with 50% discount on the Policy Press website.  Order here for just £7.49.

Browse all the books in our 50% General Election promotion here.

Find out more about impact, influence and engagement at Policy Press here.

Policy Press newsletter subscribers receive a 35% discount – sign up here.

The views and opinions expressed on this blog site are solely those of the original blog post authors and other contributors. These views and opinions do not necessarily represent those of the Policy Press and/or any/all contributors to this site.


Enter your email address to follow this blog and receive notifications of new posts by email.

Twitter Updates

Archives

Creative Commons License

Republish our articles for free, online or in print.

The work on the Policy Press blog is licensed under a Creative Commons licence.