EU Referendum


EU exit: Open Europe descends into propaganda


11/03/2015



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Since the self-proclaimed "eurosceptic think tank" Open Europe has been outed, it has abandoned all pretence at neutrality and is now peddling blatant propaganda in support of its pro-EU agenda.

For us, the anti-EU campaign, its activities could cause us problems as, under false pretences, it has acquired considerable prestige as the "go to" organisation on EU issues. However, with its "cover" well and truly blown, the Guardian, in an article published Monday, was left to to describe it as a think tank, "which campaigns for a reformed EU".

What then follows is the type of FUD (fear, uncertainty, doubt) that we're going to have to deal with throughout any referendum campaign. Open Europe is now at the forefront of the battle as the pro-EU forces attempt to distort the debate. And, as always, their output is sucked up by the ever-gullible Telegraph.

Open Europe's ploy this time is to warn that "Britain would face an uncertain future outside the EU", via a series of reports which purports to examine the implications of a British exit.

The first such report, is a modest 17-page affair including covers and blurb, looking at seven sectors of the UK deemed "most at risk from Brexit". These are the automotive trade, chemicals and pharmaceuticals (actually, two very different industries), aerospace, capital goods and machinery, food, beverage and tobacco, the financial services and insurance sectors and the professional services sector.

It would be a kindness to call the work "superficial", but OE evidently feels it is sufficient to justify telling us that, should Britain decide to leave the EU, it would be able to negotiate trade deals with the EU on manufactured goods such as cars.

But, we are led to believe, financial services could be damaged by "barriers to entering European markets [which] could be increased by new EU regulations over which the UK [would have] no votes".

What makes this such blatant propaganda is not so much what is said, but what is left out. A full page on the automotive industry, for instance, fails to mention the role of the World Forum for Harmonisation of Vehicle Regulation, yet the existence of this organisation would play a vital part in any post-exit settlement.

What we do get though is a typical Open Europe meme, which has us losing out on "voting rights" (in the EU), something that is considered "problematic", but "could be mitigated by [an] increased say in global standard setting forums".

There, one sees a glimmer of recognition that there are such things as "global standard setting forums", so the lie comes in not telling us that the industry-specific regulation is produced by the World Forum and adopted by the EU – in which context the loss of voting rights in the EU would be irrelevant.

Perversely, Open Europe then tells us that, outside the EU, the UK could pursue "lighter and more tailored regulation not possible under EU membership", which is exactly the same canard floated by Business for Britain.

Yet the automotive industry is almost completely integrated with European manufacturers, so it is most unlikely that UK producers would want to diverge from the World Forum standards (known as UN Regulations) which the EU also adopts. OE, therefore, is suggesting something that is not really on offer.

The propaganda is at its most strident, though, when OE addresses the financial sector. Here, it tells us, the UK's "loss of voting rights" would have a "greater impact", "since barriers to entry could be increased by new EU regulations over which the UK has no votes".

What applies to the automotive industry in terms of global regulation, however, applies in spades to the financial sector. Already, the predominant driver of regulation is the Basel Committee on Banking Supervision. Further developments are being driven by the G8, its subsidiary organisation, the Financial Stability Board (FSB), chaired by Mark Carney, and the OECD.

This process of global regulation is set to continue and expand. The EU is increasingly the secondary processor of international "quasi-legislation", to such an extent that leaving the EU will have very little impact on the UK's regulatory position. In or out of the EU, we would still be fishing in the same pond. The loss of our limited voting rights on the EU Council of Ministers is completely irrelevant.

What Open Europe is doing, therefore, is ignoring (or drastically playing down) the effects of globalisation, in order to magnify a non-existent problem. It is thus downplaying the impact of something which is transforming the UK's post-exit prospects, and which should be a game changer for the anti-EU campaign.

The irony is that, not only are the pro-EU shills hiding the truth, factions of the eurosceptic community are also conspiring to keep globalisation off the agenda. With the help of Open Europe propaganda, it is all the more easy for them to do this, ensuring that the public remain out of the loop. The only prominent figure banging the globalisation drum is Owen Paterson. 

If one was unaware of the Open Europe agenda, one might be tempted to dismiss their work as incompetent, lacking as it does the references to globalisation, but if the omissions in this case are deliberate, one wonders quite what motivates those supposedly on our "team" who are eschewing a winning argument.