Boris Johnson news: PM to prorogue parliament again amid EU concern over ‘problematic points’ in new Brexit border plan

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UK shares and the pound have tumbled, battered by jitters over Boris Johnson’s Brexit endgame and fears for the world economy after disappointing factory data out of the US, writes Olesya Dmitracova.

The pound fell as much as 0.6 per cent in the morning before recovering later in the day. By 4.25pm, the pound was broadly flat at $1.2309. Against the euro, it was 0.14 per cent lower, at €1.1240.

Reports emerged late on Tuesday that Mr Johnson’s final Brexit proposal would leave Northern Ireland in a special relationship with the EU until 2025, meaning there may be a regulatory border between Great Britain and Northern Ireland for four years, as well as customs checks between Northern Ireland and the Republic of Ireland.

A Northern Ireland manufacturers' campaign organisation has denounced Boris Johnson's border plans as "worse than no deal".

In a series of tweets, the group said: "The Boris plan unveiled today means Tariffs N to S meaning farms and agri food will be decimated. Also means 2 borders requiring renewal after 4 years, surveillance in border communities without their consent, checks N/S and W/E, no exemptions, no market access and import VAT.

"1% of our manufacturing firms are large businesses. The other 99% are SMEs. They have neither the capital or the capacity to handle these new complexities and associated costs.

"For businesses nearer the border, this puts a huge impediment in the way of their trade which will mean that they cannot compete and customers the other side of the Border will cut them them their supply chain.

"Frankly the proposal are worse than No Deal for Northern Ireland businesses."

In the margins of the Tory conference, ministers have hyped up the prospect of reaching a Brexit deal. But there was little in Boris Johnson’s closing speech today to suggest agreement with the EU is possible. The prospect is receding, writes Andrew Grice.

Johnson spoke the language of “compromise”, citing his proposal for Northern Ireland to align with EU single market rules. But he knew full well his “final offer” could only be an opening bid if any real progress is to be made. He knows his insistence on customs checks on the island of Ireland, even if away from the border, crosses a thick red line for the EU. The early reaction from Brussels was negative.

Watching the speech here in Manchester, and reflecting on the unjustified optimism of ministers, I concluded that, while Johnson wants a deal, he probably knows he is unlikely to get one. But he wants to show voters he has tried hard for an agreement. Allies hope this will help him to portray Brussels as obstructionist and unreasonable when he tries to justify no-deal, perhaps in an election campaign.

Brussels will share responsibility in the “blame game” with parliament – a target for ridicule in Johnson’s speech because it “refuses to deliver Brexit, refuses to do anything constructive and refuses to have an election”.

A major UK nuclear laboratory praised by Boris Johnson in his Conservative conference speech is heavily reliant on EU funding, it has emerged, writes Benjamin Kentish.

The prime minister lauded the Culham Centre for Fusion Energy in Oxfordshire during his address at the gathering, saying the lab “could soon be the hottest place in the universe” if scientists are able to make a breakthrough in producing energy from nuclear fusion.

But the main technology at the centre – a reactor named the Joint European Torus (JET) – is almost entirely funded by the European Commission and has been described as “a shining example of scientific cooperation between EU members”.

Under a contract that was extended earlier this year, 88 per cent of the JET running costs were paid for by the EU – totalling around £60m per year.

"There are still some problematic points" with Boris Johnson's Brexit proposals, according to the European Commission – including the integrity of the Good Friday Agreement.

Its president, Jean-Claude Juncker, spoke with Mr Johnson by phone today, and the Luxembourger welcomed his "determination to advance the talks ahead of the October European Council and make progress towards a deal".

The EC statement added: "He acknowledged the positive advances, notably with regards to the full regulatory alignment for all goods and the control of goods entering Northern Ireland from Great Britain.

"However, the president also noted that there are still some problematic points that will need further work in the coming days, notably with regards to the governance of the backstop. The delicate balance struck by the Good Friday Agreement must be preserved.

"Another concern that needs to be addressed are the substantive customs rules. He also stressed that we must have a legally operational solution that meets all the objectives of the backstop: preventing a hard border, preserving North-South cooperation and the all-island economy, and protecting the EU's Single Market and Ireland's place in it.

"President Juncker confirmed to Prime Minister Johnson that the Commission will now examine the legal text objectively, and in light of our well-known criteria. The EU wants a deal. We remain united and ready to work 24/7 to make this happen – as we have been for over three years now."

Two-fifths of Britons say Brexit has impacted their mental health, according to a YouGov survey.

Among remain voters, the 40 per cent overall figure rises to 56 per cent, but leave voters have been less affected, at 30 per cent.

The effects of the Brexit saga were evenly felt by men and women, while older people were more likely to say it had had "no impact at all" on their mental wellbeing.

  ↵Jeremy Corbyn’s instant verdict on the government’s Brexit proposal is that “it’s worse than Theresa May’s deal”, writes John Rentoul. This may not be right, but it is probably the easiest way to analyse the proposal: how does it differ from May’s plan?

The first difference is that it means a customs border in Ireland. Whereas May’s deal kept the whole of the UK in the EU customs territory until a long-term trade treaty was negotiated, Boris Johnson’s plan is to take the whole of the UK out of it.

That means there would have to be customs checks on goods going between Northern Ireland and the Irish republic. The UK government proposal is that these would not happen at the border, but “the very small number of physical checks needed” would be conducted at traders’ premises or “other designated locations”.

Oh, to be a fly on the wall...

The nationalist SDLP has also come out against Boris Johnson's proposals, describing them as "dead on arrival".

Its leader, Colum Eastwood, lashed out at the DUP for supporting the plans and said in a statement: "This is no compromise proposal. We started this discussion on the basis that we don't want any borders on this island. The British Government's counter offer is two borders by land and sea that are unacceptable to business, border communities and a majority of MLAs.

"The imposition of customs checks, with a need for physical infrastructure, will introduce heavy burdens on cross-border businesses and supply chains that will seriously threaten profitability in key sectors.

"We have already rejected it. The business community has already rejected it. This is a proposal from a government that doesn't understand the complexities of this island, but more to the point they don't care.

"The brass neck of the DUP should come as no surprise. Hailing the democratic accountability of this proposal, having supported the unlawful suspension of democratic scrutiny at Westminster, in the full knowledge that there is no [Stormont] Assembly to provide accountability is incredible.

"They honestly think people are idiots. But by their own test - that any solution must command the support of all communities, they must accept that this is dead on arrival."

Boris Johnson will try to suspend parliament again next week ahead of a new Queen's Speech, in a move that risks infuriating MPs, writes Lizzy Buchan.

Only days after Supreme Court ordered MPs to return to work, the prime minister will ask the Queen to prorogue parliament on Tuesday for several days to allow him to prepare his new legislative programme.

The move would allow for a Queen's Speech to take place on 14 October, where the government can lay out its domestic policy agenda.