LONDON, Oct.1 (Xinhua) -- Chancellor of the Exchequer Philip Hammond announced Monday he plans to maintain enough fiscal firepower to support the British economy in the event of a no-deal Brexit.
In a keynote speech to the Conservative Party conference in Birmingham, Hammond said he would withhold funds to protect the economy should the British government fail to agree on a Brexit deal with Brussels.
Making a plea for unity among Conservative Party members, Hammond rejected claims that Prime Minister Theresa May's Chequers proposals for a Brexit deal were dead, insisting they could still deliver an agreement.
He added that Donald Tusk, president of the European Council, had said the Chequers' plan would not work, adding: "But that's what people said about the lightbulb in 1878. Our job is to prove him wrong."
Turning his attention to mega internet companies such as Amazon and Google, Hammond said they may be taxed to ensure they contributed fairly to funding public services.
Hammond has asked former U.S. president Barack Obama's former chief economist, Jason Furman, to lead an expert panel to review Britain's competition regime, to ensure it is fit for the digital era.
The chancellor said: "The best way to tax international companies is through international agreements, but the time for talking is coming to an end and the stalling has to stop. If we cannot reach agreement the UK will go it alone with a digital services tax of its own."
Backing the Brexit plan put forward by May, Hammond said Europe would remain Britain's largest trading partner, adding there was a need for friction-free access to the EU to continue.
He said he was confident a deal would be agreed and predicted this would lead to stronger growth and a Brexit deal dividend.
Adam Marshall, from the British Chambers of Commerce, said firms would feel heartened by the chancellor's forthright support for business as the foundation of both a strong economy and a strong society.
Carolyn Fairbairn, director general of the Confederation of British Business (CBI) said: "Pride and confidence in British business has for too long been missing in Westminster. It made a comeback in the Chancellor's speech today.
"Ultimately actions will speak louder than words. This starts with a new era of partnership between business and government. Firms' on-the-ground insight is the cornerstone of great policy. Only by working together can every policy and every business investment be aimed at the key prize: a UK economy where prosperity is shared. The Chancellor has started this process."
But John McDonnell, shadow chancellor with the main opposition Labour Party was scathing in his response to Hammond's speech.
He said: "The Conservatives are bereft of any fresh ideas, forced to resort to a half-hearted filching of policies from others and desperately trying to revive long outdated slogans. As the Conservatives sink into a pit of bitter infighting, we mustn't allow them to take the country down with it."
Meanwhile away from the main Conference hall, media in London were Monday reporting that three government ministers back a second Brexit referendum.
Conservative Phillip Lee, who quit his ministerial role in June over the government's Brexit policy, told a conference fringe meeting that at least three government frontbenchers, as well as significant number of Conservative MPs, back a second Brexit" referendum on Brexit. He didn't name the three would-be rebels, saying "it is a difficult environment for them to come out."
