George Eustice brands Australia free trade deal a ‘failure’ in brutal swipe at Liz Truss
Sacked cabinet minister George Eustice has taken brutal revenge on Liz Truss by accusing her of blundering by rushing into a trade deal with Australia and New Zealand.
George Eustice, who was environment secretary under Boris Johnson but was sacked by Ms Truss when she became prime minister, claimed the deal was not good for the UK and blamed her.
His astonishing attack on Ms Truss, who was international trade secretary from 2019-2021, came in a devastating speech from the back benches during a Commons debate.
He began his onslaught by telling MPs there were “deep arguments and differences in cabinet” about how the government should approach the trade deal, which was agreed last year.
“But since I now enjoy the freedom of the back benches, I no longer have to put such a positive gloss on what was agreed,” said Mr Eustice who, unlike Ms Truss, was a Brexiteer.
And he said: “Unless we recognise the failures the Department for International Trade made during the Australia negotiations, we will not be able to learn the lessons for future negotiations.
“The first step is to recognise that the Australia trade deal is not actually a very good deal for the UK, which was not for lack of trying on my part.”
His speech also included a vicious attack on the trade department’s top civil servant, interim permanent secretary Crawford Falconer, who Mr Eustice claimed was “not fit for that position”.
The trade deal with Australia and New Zealand, was hailed by Mr Johnson when he announced it as a “new dawn” which would see British cars, Scotch whisky, biscuits and ceramics easier to sell.
‘UK gave away far too much for too little in return’
But at the same time, it was criticised by the National Farmers Union as bad for British beef and lamb farmers. And an all-party group of MPs claimed it was a “politically expedient deal”.
In his Commons speech, Mr Eustice – who is from a family of farmers – told MPs: “Overall, the truth of the matter is that the UK gave away far too much for far too little in return.
“We did not actually need to give Australia nor New Zealand full liberalisation of beef and sheep. It was not in our economic interests to do so. And neither Australia nor New Zealand had anything to offer in return for such a grand concession.
“The UK went into this negotiation holding the strongest hand, the best cards, but at some point in early summer 2021, the then trade secretary took a decision to set an arbitrary target to conclude it by G7. From that moment we were on the back foot.
“At one point the then trade secretary asked her opposite number from Australia what he would need in order to conclude an agreement by G7 and of course he then set out his terms which eventually shaped the deal. We must never repeat that mistake.”
Mr Eustice ended his speech with an astonishing broadside against Mr Falconer, in which – speaking with the benefit of parliamentary privilege – he said: “I have always been a huge fan of the British civil service.
Australian PM Scott Morrison and Boris Johnson meet ahead of announcing the deal in 2021
‘Not fit for position’
“But I do want to raise a comment about personnel within the Department for International Trade. Crawford Falconer, currently the interim permanent secretary, is not fit for that position, in my experience.
“His approach was always to internalise Australian demands, often when they were against UK interests, and his advice was invariably to retreat and make fresh concessions.
“All the while, he resented people who had a greater understanding of technical issues than he did. It was perhaps something of a surprise when he arrived from New Zealand to find that there were probably several hundred civil servants in the UK civil service who understood trade better than he did, and he has not been good, over the years, at listening to them.
“He has now done that job for several years, and it would be a good opportunity for him to move on and for us to get a different type of negotiator in place – somebody who understands British interests better than he has been able to.”
At the end of the debate, newly appointed junior trade minister Andrew Bowie hit back at Mr Eustice: “I am afraid I have to take issue and defend officials in the Department for International Trade, all of whom, without exception, are dedicated to bettering the trading relationship for this country and all of whom, without exception, have this country’s best interests at heart and are working day and night for this country.
“I should also point out that Australian and New Zealand beef and lamb suppliers are already working hard to satisfy demand from booming Asia and Pacific markets on their doorstep and New Zealand already has a significant volume of tariff-free access for lamb to the UK market, but used less than half of this quota in 2020.”
Nick Thomas-Symonds, Labour’s Shadow International Trade Secretary, commenting on George Eustice’s attack on the UK/Australia trade deal, said: “It is clear that the Conservative Government’s trade policy is in utter disarray. Even George Eustice, a Cabinet Member when the Australia Trade Deal was negotiated, has now agreed that ‘the UK gave away far too much for far too little in return’.
“He is right to condemn this Government’s approach. On trade the Conservatives have no strategy and they are – badly – letting down the UK, which will cost jobs, investment and growth. We can’t afford this Government any longer and need a general election now.”
An Israeli delegation is heading to Qatar for indirect talks with Hamas on a possible hostage and ceasefire deal in Gaza.
The development comes ahead of a meeting between Israeli Prime Minister Benjamin Netanyahu and US President Donald Trump in Washington DC on Monday aimed at pushing forward peace efforts.
The US leader has been increasing pressure on the Israeli government and Hamas to secure a permanent ceasefire and an end to the 21-month-long war in Gaza.
Smoke rises in Gaza following an explosion. Pic: Reuters
Mr Trump said on Tuesday on social media that Israel had agreed “to the necessary conditions to finalise” a deal on a truce.
And Hamas, which runs the coastal Palestinian territory, said on Friday it has responded to the US-backed proposal in a “positive spirit”.
So what is in the plan?
The plan is for an initial 60-day ceasefire that would include a partial release of hostages held by the militant group in exchange for more humanitarian supplies being allowed into Gaza.
The proposed truce calls for talks on ending the war altogether.
The war in Gaza began after Hamas attacked Israel on 7 October 2023, killing 1,200 people and taking 250 others hostage. Dozens of hostages have since been released or rescued by Israeli forces, while 50 remain in captivity, including about 30 who Israel believes are dead.
The proposal would reportedly see about half of the living hostages and about half of the dead hostages returned to Israel over 60 days, in five separate releases.
Eight living hostages would be freed on the first day and two released on the 50th day, according to an Arab diplomat from one of the mediating countries, it is reported.
Five dead hostages would be returned on the seventh day, five more on the 30th day and eight more on the 60th day.
That would leave 22 hostages still held in Gaza, 10 of them believed to be alive. It is not clear whether Israel or Hamas would determine who is to be released.
Hamas has sought guarantees that the initial truce would lead to a total end to the war and the withdrawal of Israeli troops from Gaza.
A Hamas official has said Mr Trump has guaranteed that the ceasefire will extend beyond 60 days if necessary to reach a peace deal, but there is no confirmation from the US of such a guarantee.
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Contractors allege colleagues ‘fired on Palestinians’
Possible challenges ahead
And in a sign of the potential challenges still facing the two sides, a Palestinian official from a militant group allied with Hamas said concerns remained.
The concerns were over humanitarian aid, passage through the Rafah crossing in southern Israel to Egypt and clarity over a timetable for Israeli troop withdrawals.
Hamas’s “positive” response to the proposal had slightly different wording on three issues around humanitarian aid, the status of the Israeli Defense Forces (IDF) inside Gaza and the language around guarantees beyond the 60-day ceasefire, a source with knowledge of the negotiations revealed.
But the source told Sky News: “Things are looking good.”
The Times of Israel reported Hamas has proposed three amendments to the proposed framework.
According to a source, Hamas wants the agreement to say that talks on a permanent ceasefire will continue until an agreement is reached; that aid will fully resume through mechanisms backed by the United Nations and other international aid organisations; and that the IDF withdraws to positions it maintained before the collapse of the previous ceasefire in March.
Mr Netanyahu’s office said in a statement that changes sought by Hamas to the ceasefire proposal were “not acceptable to Israel”.
However, his office said the delegation would still fly to Qatar to “continue efforts to secure the return of our hostages based on the Qatari proposal that Israel agreed to”.
Read more:
‘Two security workers injured after grenades thrown at aid site’
The man in the room acting as backchannel for Hamas in negotiations with US
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Another potential challenge is that Mr Netanyahu has repeatedly said Hamas must be disarmed, which is a demand the militant group has so far refused to discuss.
Hamas has said it is willing to free all the hostages in exchange for a full withdrawal of Israeli troops and an end to the war in Gaza.
Israel rejects that offer, saying it will agree to end the war if Hamas surrenders, disarms and goes into exile – something that the group refuses.
Previous negotiations have stalled over Hamas demands of guarantees that further negotiations would lead to the war’s end, while Mr Netanyahu has insisted Israel would resume fighting to ensure the group’s destruction.
They rose to their feet in ecstatic surprise, shouting “heydar, heydar” – a Shia victory chant.
This was the first public appearance of their supreme leader since Israel began attacking their country.
He emerged during evening prayers in his private compound. He said nothing but looked stern and resolute as he waved to the crowd.
He has spent the last weeks sequestered in a bunker, it is assumed, for his safety following numerous death threats from Israel and the US.
His re-emergence suggests a return to normality and a sense of defiance that we have witnessed here on the streets of Tehran too.
Earlier, we had filmed as men in black marched through the streets of the capital to the sound of mournful chants and the slow beat of drums, whipping their backs with metal flails.
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Defiance on streets of Tehran
This weekend they mark the Shia festival of Ashura as they have for 14 centuries. But this year has poignant significance for Iranians far more than most.
The devout remember the betrayal and death of Imam Hussein as if it happened yesterday. We filmed men and women weeping as they worshipped at the Imamzadeh Saleh Shrine in northern Tehran.
The armies of the Caliph Yazid killed the grandson of the Prophet Muhammad in the seventh-century Battle of Karbala.
Shiite Muslims mark the anniversary every year and reflect on the virtue it celebrates, of resistance against oppression and injustice.
But more so than ever in the wake of Israel and America’s attacks on their country.
The story is one of prevailing over adversity and deception. A sense of betrayal is keenly felt here among people and officials.
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Many Iranians believe they were lured into pursuing diplomacy as part of a ruse by the US.
Iran believed it was making diplomatic progress in talks with America it hoped could lead to a deal. Then Israel launched its attacks and, instead of condemning them, the US joined in.
Death to Israel chants resounded outside the mosque in skies which were filled for 12 days with the sounds of Israeli jets. There is a renewed sense of defiance here.
One man told us: “The lesson to be learned from Hussein is not to give in to oppression even if it is the most powerful force in the world.”
A woman was dismissive about the US president. “I don’t think about Trump, nobody likes him. He always wants to attack too many countries.”
Pictures on billboards nearby draw a line between Imam Hussein’s story and current events. The seventh-century imam on horseback alongside images of modern missiles and drones from the present day.
Other huge signs remember the dead. Iran says almost 1,000 people were killed in the strikes, many of them women and children.
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Officially Iran is projecting defiance but not closing the door to diplomacy.
Government spokeswoman Dr Fatemeh Mohajerani told Sky News that Israel should not even think about attacking again.
“We are very strong in defence and as state officials have announced, this time Israel will receive an even stronger response compared to previous times,” she said.
“We hope that Israel will not make such a mistake.”
But there is also a hint of conciliation: Senior Iranian officials have told Sky News that back-channel efforts are under way to explore new talks with the US.
Israel had hoped its attacks could topple the Iranian leadership. That proved unfounded, the government is in control here.
For many Iranians, it seems quite the opposite happened – the 12-day war has brought them closer together.
To the sound of mournful chants and the slow beat of drums, they march, whipping their backs with metal flails.
It is an ancient ceremony going back almost 14 centuries – the Shia commemoration of Ashura.
But this year in particular has poignant significance for Iranians.
The devout remember the betrayal and death of the Imam Hussein as if it happened yesterday.
Iranians gather ahead of Ashura
We filmed men and women weep as they worshipped at the Imamzadeh Saleh Shrine in northern Tehran.
The grandson of the Prophet Muhammad was killed by the armies of the Caliph Yazid in the seventh century Battle of Karbala.
Shia Muslims mark the anniversary every year and reflect on the virtue it celebrates – of resistance against oppression and injustice. But more so than ever this year, in the wake of Israel and America’s attacks on their country.
The story is one of prevailing over adversity and deception. A sense of betrayal is keenly felt here by people and officials.
Men and women weeped as they worshipped at the Imamzadeh Saleh Shrine
Many Iranians believe they were lured into pursuing diplomacy as part of a ruse by the US.
Iran believed it was making diplomatic progress in talks with America, which it hoped could lead to a deal. Then Israel launched its attacks and, instead of condemning them, the US joined in.
“Death to Israel” chants resounded outside the mosque in skies that for 12 days were filled with the sounds of Israeli jets.
There is a renewed sense of defiance here.
One man told us: “The lesson to be learned from Hussein is not to give in to oppression, even if it is the most powerful force in the world.”
‘I don’t think about Trump. Nobody likes him,’ one woman tells Sky News
A woman was dismissive about the US president.
“I don’t think about Trump. Nobody likes him. He always wants to attack too many countries.”
Pictures on billboards nearby link Imam Hussein’s story and current events. They show the seventh century imam on horseback alongside images of modern missiles and drones from the present day.
Other huge signs remember the dead. Iran says almost 1,000 people were killed in the strikes, many of them women and children.
Officially Iran is projecting defiance, but not closing the door to diplomacy.
Government spokeswoman Dr Fatemeh Mohajerani told Sky News that Israel should not even think about attacking again.
“We are very strong in defence, and as state officials have announced, this time Israel will receive an even stronger response compared to previous times. We hope that Israel will not make such a mistake.”
Dr Fatemeh Mohajerani said it would be a mistake for Israel to attack again
But there is also a hint of conciliation. Senior Iranian officials have told Sky News back-channel efforts are under way to explore new talks with the US.
Israel had hoped its attacks could topple the Iranian leadership. Those hopes proved unfounded. The government is in control here.
For many Iranians it seems quite the opposite happened – the 12-day war has brought them closer together.
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