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It should be from the basis of controlling our borders that the government will negotiate its continued access to the single market. That should be the aim, although I do not underestimate the difficulties of holding to the borders cornerstone policy and being successful on this front as well. It will require a huge amount of the government’s time, effort and drive. It is at this point that the machinery the Prime Minister has established again troubles me.

An effective control of our borders needs to operate differently from the present status quo. What will control of the borders mean in practice? The objective must be to control the numbers but there are grave concerns over the machinery that will help achieve that objective. I do not believe that the UK Visas and Immigration Service, as it is currently structured, is able to implement a government policy of bringing down the level of immigration. Such a strategy will take time and, meanwhile, we need whatever border controls we can muster. We must begin to build up an alternative form of border control. This should centre around a system which will allow the government to develop a totally new approach involving in the administration of border controls those sectors of British industry that have most interest in it working successfully.

Universities are a case in point. These are a huge growth industry and wealth creator for the British economy. Whether universities treat overseas students well and honourably is another issue. But through the new Home Secretary, Amber Rudd, the government needs to open negotiations with the Vice-Chancellors, telling them they are free to open their universities to any number of overseas students, providing a key condition is fulfilled. Many of the students coming here will want to have the experience of working in the British economy for two years. One of the leakages is that during this period a number of them will marry and may therefore have the right to remain. That is a price we pay for developing a more dynamic economy. But the universities, in being able to market their wares in the most attractive ways, acquire a duty. Their quota of students must be linked to their guaranteeing that the students return to their countries of origin after two years of work experience. Once the Vice-Chancellors live up to their responsibilities and ensure the new system works, student numbers should come out of the official migration data. The same delegated approach — for instance with the manufacturing and engineering body the EEF — should be adopted whereby the federation applies for a quota of work permits which should be granted in the first instance, but only on the condition that the federation has put in hand a training programme for British workers so that their request for the numbers of work permits will fall.

In negotiating our continued access to the single market, the government will not be going into the negotiating chamber naked. As I mentioned earlier, Europe benefits hugely from its trade surplus in having access to the British market. There is an £89.5 billion surplus on physical trade, as against a £20.9 billion British gain on services.

There has already been talk that the EU may make a deal over manufactured goods, but would resist one on services. That division of our manufacturing and services must be resisted at all costs.

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