John Baron said warnings of “disaster and despair” if Britain leaves the bloc with no deal would prove unnecessarily dramatic.
Mr Baron, the MP for Basildon and Billericay, said the UK should not accept just any Brexit deal, and should leave with no deal if a good deal is not put forward.
He said: “As the Prime Minister rightly insists, no deal is better than a bad deal, and it is good news that the Government is doing the necessary preparatory work for a ‘no deal’ scenario.”
Writing for Politeia, he slammed Project Fear-style claims that a no deal Brexit would cripple Britain, saying: “These grim warnings invariably stem from those who forecast a deep recession and mass unemployment even if we voted to leave the EU.”
He pointed out that the warnings often come from banks or big businesses, who threatened to leave the UK in the wake of the vote – and did not.
Mr Baron added: “Similar forecasts that London would become a financial backwater were made when we did not join the Euro.”
The Tory MP also put forward his idea of how a no deal Brexit could work well for the UK.
He said: “We already trade with many countries outside the EU, including China, the US and India, on the basis of WTO rules, as the EU has no trade deals with these countries.
“Falling back on well-understood WTO measures would prevent punitive tariffs, and many countries use these measures to trade easily and profitably with the EU.”
Mr Baron said he failed to see why Britain would be any different.
Britain would then be able to use WTO trading rules to continue to export and import goods, until it came to a final free trade deal with the EU.
The MP also pointed out that an eventual free trade deal was inevitable, as the EU would want to trade some goods in the UK.
He believes EU27 leaders “will be held accountable at the ballot box” if they fail to get a good deal for their own industries.
His strong words follow a week of panic by Remainer MPs who have tried to slap endless amendments on to the Government’s EU Withdrawal Bill.
MPs including Tory Remainers Anna Soubry, Dominic Grieve and Ken Clarke have tried to stop the Government from enshrining the EU exit date in law.
They claim it will stop British negotiators from extending talks and lead to a disastrous no deal Brexit.
However none of the amendments to the Withdrawal Bill has been successful thus far.