www.theguardian.com/world/2016/jul/03/eu-swiss-single-market-access-no-free-movement-citizens
Swiss article.
howabout, I confess to not having a clue about Switzerland, so I've tried to look up a few things that might be worth reflecting on:
- The Swiss economy is currently balanced. They do not have a huge public debt like the UK
- In 2014 exports were worth CHF 208.4 billion versus CHF 178.8 billion in imports. They are therefore a net exporter. By contrast the UK we are currently a net importer (this gap has got worse in the last ten years)
- The current deal the Swiss have with the EU is that apart from agriculture, there are minimal economic and trade barriers between the European Union and Switzerland. it took four years of negotiations to reach this agreement covering seven sectors: research, public procurement, technical barriers to trade, agriculture, civil aviation, land transport, and the free movement of persons.
- Switzerland is subsidising more than 70% of its agriculture compared to 35% in the EU. It is extremely protectionist. Protectionism acts to promote domestic production, but not to reduce prices or the cost of production. 90 to 100% of potatoes, vegetables, pork, veal, cattle and most milk products, are produced in the country. Beyond that, Swiss agriculture meets sixty-five per cent of the domestic food demand.
- The distribution of wealth in Switzerland is actually worse than the UK, with there being:
The high average wealth is explained by a comparatively high number of individuals who are extremely wealthy and says nothing about a typical Swiss citizen. The median wealth of a Swiss adult (50th percentile) is five times lower than the average
- Exports / Imports
21% exports and 29% imports - Germany.
9.1% exports and 6.7% imports - United States.
8.6% exports and 10% imports - Italy.
8% exports and 8.1% imports - France.
4.6% exports and 3.7% imports - Austria.
3.6% exports and 2% imports - Japan.
3.1% exports and 2.5% imports - China.
1.2% exports and 2.3% imports - Turkey.
By contrast the UK
10.8% exports and 14.9% imports - Germany.
10.4% exports and 6.5% imports - United States.
8.1% exports and 7.8% imports - The Netherlands.
7.2% exports - Switzerland.
6.5% exports and 6.1% imports - France.
6.4% exports - Ireland (FRIEND - they are dependant on us)
4.5% exports and 5.2% - Belgium.
9% imports - China.
4.1% imports - Italy. (FRIEND!)
What does all mean? We are going to have to invest MASSIVELY in our agriculture if the rebate is removed. We are not currently anywhere near as self sufficient as Switzerland in this, and this is going to HAVE to change (If you want to help our prospects post-Brexit, the best and most important thing you can do now, is seriously consider what is in your shopping trolley and where it has been produced).
It means we are going to seriously address our trade deficient. It is totally unsustainable.
BUY BRITISH AND START DOING IT NOW
The Swiss need to more access to the European market than perhaps we do as they are net exporter, but we are more dependant on the European market and we have a massive change in culture that we are going to have to face.
Put in that context our finance sector is even more important - as it is one of the things we DO export a lot of. If we take that out of the equation, our trade deficient is utterly horrific.
Being out of the EU has not helped Switzerland in terms of wealth inequality. Its worse. (Is it free movement of people? possibly/possibly not - Not going to answer that question myself). Workers rights are not as good in Switzerland compared to the UK.
Two years to do a deal? When it took the Swiss four and they are currently trying do a new one (and are rapidly running out of time)? Time is NOT on our side.
My point is that I think the Swiss actually have a set of cards which is overall, stronger than ours. Whilst they are under pressure to do a deal, their economy is in a far better state and has less issues to deal with, if a deal isn't easily found.
This is why I've always found the idea of the Swiss model as one for us to base ourselves on, as rather poor.
If the Swiss can't do a deal on free movement of people, we are REALLY going to struggle. Especially when we CAN NOT sacrifice the city to do it.
So of course the EU are going to do everything they can to resist giving in to the Swiss now...