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Tony Blair’s government considered setting up a holding camp on the Isle of Mull to drive down the number of asylum seekers entering the UK, according to newly released official papers.

The plan, put forward by one of the then-Labour prime minister’s closest aides, was part of a “nuclear option” that would see people who arrived in the UK by unauthorised means detained on the Scottish island before being removed.

Drawn up just months before the US-UK invasion of Iraq, the scheme also called for the creation of regional “safe havens” in countries such as Turkey and South Africa, where refugees who could not be returned to their own country could be sent.

Although the plan was not taken up, it echoes the debate still taking place more than 20 years later around Rishi Sunak’s plans to deport people to Rwanda, with officials in Blair’s government also discussing denouncing the European Convention on Human Rights (ECHR) to get the scheme going.

The proposals, contained in files released by the National Archives in Kew, west London, reflect Mr Blair’s frustration that “ever-tougher controls” in northern France had not had an impact on the number of asylum claims – which reached a new monthly high of 8,800 in October 2002.

“We must search out even more radical measures,” Mr Blair scrawled in a handwritten note.

Following a brainstorming session with senior officials and advisers, the prime minister’s chief of staff, Jonathan Powell, produced a paper entitled Asylum: The Nuclear Option, in which he questioned whether the UK needed an asylum system at all.

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Mr Powell said because the UK was an island, people who had arrived by sea had already passed through a safe country “so in fact what we should be looking at is a very simple system that immediately returns people who arrive here illegally”.

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Rwanda: PM avoids damaging defeat but braces for showdown next year

He said that officials in the office of the attorney general, Lord Goldsmith, had suggested setting up a camp on the Isle of Mull in the Inner Hebrides where people could be detained until they could be removed.

Mr Powell said the government would have to legislate to allow for the removal of people despite the risk of persecution.

“We would like to extend this to return any illegal immigrant regardless of the risk that they might suffer human or degrading treatment,” he advised.

He conceded the plan would be challenged by the ECHR in Strasbourg but said this would take two to three years and in the meantime “we could send a strong message into the system about our new tough stance”.

He said if the government lost in Strasbourg “we would denounce the ECHR and immediately re-ratify with a reservation on Article 3 (the right not to be tortured)”.

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Tony Blair was keen to move Premier League football team to Belfast in late 1990s

Home Office lawyers warned that the measures would fall foul of the Geneva Convention on refugees.

An exasperated Mr Blair scrawled “just return them”, adding: “This is precisely the point. We must not allow the ECHR to stop us dealing with it.”

The discussion draws parallels with Mr Sunak’s flagship Rwanda plan.

The deportation scheme has cost £290m despite no flights taking off due to a series of legal challenges. Mr Sunak has put forward legislation to address this but it has caused a war among his own MPs, with Tories on the right wanting it to go further and those on the moderate wing keen to stick to the UK’s international obligations.

Blair supported return of Elgin Marbles to Greece

Echoing another debate that is still ongoing, other cabinet papers released today reveal Mr Blair was keen to return the Elgin Marbles to Greece in an attempt to boost support for London’s bid to host the Olympic Games in 2012.

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The Elgin Marbles and Greece’s fight to get them back.

Number 10 advisers believed the Marbles – also known as the Parthenon Sculptures – could be a “powerful bargaining chip” but warned any attempt to reach a sharing agreement with Athens could face stiff resistance due to the “blinkered intransigence” of the British Museum, where they have been housed since the 19th century.

Greece has long demanded the return of the marbles but the debate spiralled into a diplomatic row last month after Mr Sunak ditched a planned meeting with his Greek counterpart Kyriakos Mitsotakis, who he accused of grandstanding over the issue.

The ancient sculptures were removed by Lord Elgin from occupied Athens in the early 19th century and are now owned by the British Museum – with Downing Street said to be opposed to any sort of loan agreement that would allow their return.

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Elgin Marbles: What are they and how did they end up in the British Museum?

Number 10 ‘lost credibility under Alistair Campbell’

Alastair Campbell in his office in Downing Street after announcing his resignation as Director of Communications to Prime Minister Tony Blair, in London. Blair's top aide announced his resignation on Friday in a shock decision that comes amid the worst crisis of the British premier's six-year rule.
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Alastair Campbell was Blair’s top aide for most of his premiership

Also in the cabinet office files were revelations about the perception of Mr Blair’s combative communications chief Alastair Campbell, who spent nine years as the former PM’s closet aide.

After Mr Campbell resigned in 2003, Mr Blair was warned by remaining advisers that the Number 10 press office had lost “all credibility.. as a truthful operation” under his reign and that the prime minister’s own authority was being undermined because Downing Street was seen as a “politically-dominated spin machine”.

The warnings followed a series of bruising rows between the Labour government and the BBC over its coverage of the US-UK invasion of Iraq in 2003.

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Millionaire former Tory donor defects to Reform

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Millionaire former Tory donor defects to Reform

Millionaire Tory donor Malcolm Offord has defected to Reform UK, saying he would be campaigning “tirelessly” to “remove this rotten SNP government”.

Nigel Farage announced the former Conservative life peer’s defection during a rally in the Scottish town of Falkirk, where regular anti-immigration protests have taken place outside the Cladhan Hotel – which is being used to house asylum seekers.

Mr Farage, Reform UK’s leader, said he was “delighted” to welcome Greenock-born Lord Offord to Reform, describing his defection as “a brave and historic act”.

He added: “He will take Reform UK Scotland to a new level.”

During a speech, Lord Offord, who previously donated nearly £150,000 to the Tories, said he would be quitting the Conservative Party and giving up his place in the House of Lords as he prepares to campaign for a seat in Holyrood in May.

The 61-year-old said he wanted to restore Scotland to a “prosperous, happy, healthy country”.

“Scotland needs Reform and Reform is coming to Scotland,” he told the rally.

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“Today I can announce that I am resigning from the Conservative Party. Today I am joining Reform UK and today I announce my intention to stand for Reform in the Holyrood election in May next year.

“And that means that from today, for the next five months, day and night, I shall be campaigning with all of you tirelessly for two objectives.

“The first objective is to remove this rotten SNP government after 18 years, and the second is to present a positive vision for Scotland inside the UK, to restore Scotland to being a prosperous, proud, healthy and happy country.”

The latest defection comes as Mr Farage finds himself at the centre of allegations of racism dating back to his time in school.

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Claims made against Nigel Farage

Sky News reported on Saturday that a former schoolfriend of Mr Farage claimed he sang antisemitic songs to Jewish schoolmates – and had a “big issue with anyone called Patel”.

Jean-Pierre Lihou, 61, was initially friends with the Reform UK leader when he arrived at Dulwich College in the 1970s, at the time when Mr Farage is accused of saying antisemitic and other racist remarks by more than a dozen pupils.

Mr Farage has said he “never directly racially abused anybody” at Dulwich and said there is a “strong political element” to the allegations coming out 49 years later.

Reform’s deputy leader Richard Tice has called the ex-classmates “liars”.

A Reform UK spokesman accused Sky News of “scraping the barrel” and being “desperate to stop us winning the next election”.

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‘European SEC’ proposal sparks licensing concerns, institutional ambitions

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‘European SEC’ proposal sparks licensing concerns, institutional ambitions

The European Commission’s proposal to expand the powers of the European Securities and Markets Authority (ESMA) is raising concerns about the centralization of the bloc’s licensing regime, despite signaling deeper institutional ambitions for its capital markets structure.

On Thursday, the Commission published a package proposing to “direct supervisory competences” for key pieces of market infrastructure, including crypto-asset service providers (CASPs), trading venues and central counterparties to ESMA, Cointelegraph reported.

Concerningly, the ESMA’s jurisdiction would extend to both the supervision and licensing of all European crypto and financial technology (fintech) firms, potentially leading to slower licensing regimes and hindering startup development, according to Faustine Fleuret, head of public affairs at decentralized lending protocol Morpho.

“I am even more concerned that the proposal makes ESMA responsible for both the authorisation and the supervision of CASPs, not only the supervision,” she told Cointelegraph.

The proposal still requires approval from the European Parliament and the Council, which are currently under negotiation. 

If adopted, ESMA’s role in overseeing EU capital markets would more closely resemble the centralized framework of the US Securities and Exchange Commission, a concept first proposed by European Central Bank (ECB) President Christine Lagarde in 2023.

Related: Bank of America backs 1%–4% crypto allocation, opens door to Bitcoin ETFs

EU plan to centralize licensing under ESMA creates crypto and fintech slowdown concerns

The proposal to “centralize” this oversight under a single regulatory body seeks to address the differences in national supervisory practices and uneven licensing regimes, but risks slowing down overall crypto industry development, Elisenda Fabrega, general counsel at Brickken asset tokenization platform, told Cointelegraph.

“Without adequate resources, this mandate may become unmanageable, leading to delays or overly cautious assessments that could disproportionately affect smaller or innovative firms.”

“Ultimately, the effectiveness of this reform will depend less on its legal form and more on its institutional execution,” including ESMA’s operational capacity, independence and cooperation “channels” with member states, she said.

Related: Grayscale Chainlink ETF draws $41M on debut, but not ‘blockbuster’

Global stock market value by country. Source: Visual Capitalist

The broader package aims to boost wealth creation for EU citizens by making the bloc’s capital markets more competitive with those of the US.

The US stock market is worth approximately $62 trillion, or 48% of the global equity market, while the EU stock market’s cumulative value sits around $11 trillion, representing 9% of the global share, according to data from Visual Capitalist.

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