Tory-DUP deal announcement put on hold due to London blaze.
https://www.theguardian.com/politics...o-london-blaze
Sources suggest it would be inappropriate to make formal announcement because of unfolding tragedy at Grenfell Tower
A deal between the government and the Democratic Unionist party will be delayed because of the calamitous fire that has engulfed a tower block in west London.
Westminster sources have suggested it would be inappropriate to make a formal announcement because of the unfolding tragedy at Grenfell Tower.
Theresa May needs the votes of the 10 DUP MPs to prop up her minority administration as she hopes to steer government business – including crucial measures on Brexit – through the Commons.
Reports suggested that the Queen’s speech and Brexit negotiations could be delayed as a result. However, sources close to the talks said that while the discussions were “stuttering”, 95% had been agreed between both sides, meaning the deal could still be announced in time to allow the Queens’s speech on Monday.
Both sides had hoped that a deal would be announced on Wednesday. The DUP’s leader, Arlene Foster, and MPs Nigel Dodds and Jeffrey Donaldson, have been locked in talks in Westminster for two days with senior Tories including the chief whip, Gavin Williamson.
Meanwhile, Downing Street has announced that representatives from all five of Northern Ireland’s main parties have been invited to meet the prime minister on Thursday. A source said: “The focus will be on restoring devolved government to Northern Ireland as soon as possible.”
The former prime minister Sir John Major has suggested it will be difficult for the government to act as an honest broker in talks to restore the power-sharing agreement in Belfast if it enters into a deal with the DUP to prop up a Conservative minority government in Westminster.
On Tuesday afternoon, Foster indicated that a deal was close to being finalised.
She also gave a glimpse into the issues on the table, saying Brexit, counter-terrorism, and “doing what’s right” for the Northern Ireland economy were among the key issues being thrashed out.
A senior Conservative source said: “We are making a lot of progress, it’s all being done in the spirit of cooperation, with a real focus on strengthening the union and providing stability at this time.”
A Conservative source said there was so far no deal to announce and that a decision on the timing of any announcement would have to wait until an agreement was finalised.
Ministers have indicated that the Queen’s speech may have to be set back from its scheduled date of next Monday 19 June because of the ongoing negotiations.
May is coming under intense pressure to change her approach to leaving the European Union, with predecessors David Cameron and Sir John Major among those suggesting a softer stance with a greater effort to seek a consensus.
The chancellor, Philip Hammond, is preparing to fight for the UK to remain within the EU’s customs union which could safeguard jobs and trade with EU members but would severely restrict the UK’s ability to strike its own trade deals around the world.
At a joint press conference with May in Paris on Tuesday night, the French president, Emmanuel Macron, suggested that the door was still open for the UK to remain in the EU.
“Until the negotiations come to an end, of course there is always the possibility to reopen the door,” said the French president. “But let us be clear and organised and once the negotiations have started we should be well aware that it’ll be more difficult to move backwards.”
The DUP was seeking to make the new government’s policies “more compassionate” across the UK, party sources said. They said the DUP was attempting to dilute austerity measures and defend things like the triple lock on pensions.
The DUP wanted to secure a deal that not only could benefit Northern Ireland but also people in England, Scotland and Wales, they said.
Among the Northern Ireland-specific issues raised by the DUP was a special corporation tax status for the region, possibly at a 12.5% rate.
This is similar to the Irish Republic’s tax regime, which has successfully attracted foreign direct investment to Ireland. The DUP has described the 12.5% rate as a “gamechanger” for Northern Ireland.
The last government insisted that if Northern Ireland was awarded a lower corporation tax the price would be reductions in the UK Treasury’s block grant of billions into the local economy. The sources said the DUP was asking that this Treasury condition be erased as part of the deal.
The message coming out of the DUP on Wednesday appeared to be addressing two audiences. The first was the wider UK population, with the prospect that the DUP could help soften the blows of austerity across the union.
The second appeared to address the other Northern Irish parties, but most importantly Sinn Féin, 24 hours before roundtable party talks resume in Belfast aimed at restoring a devolved government.
The DUP is arguing and will argue during the Belfast discussions that the national deal with May and the Tories will bring dividends to Northern Ireland, which a restored power-sharing executive can distribute and manage from Belfast.