Theresa May strongly rejected the EEA option – it will be tough for her to go with Hammond’s EEA light plan given these words:

“European Economic Area membership would mean the UK having to adopt at home – automatically and in their entirety – new EU rules. Rules over which, in future, we will have little influence and no vote. Such a loss of democratic control could not work for the British people. I fear it would inevitably lead to friction and then a damaging re-opening of the nature of our relationship in the near future: the very last thing that anyone on either side of the Channel wants.”

May also stressed the need for Britain to be able to make changes to EU rules and regulations. This is what Cabinet Leavers mean when they say they want Britain to be able to go its own way in the world:

“So the question for us now in building a new economic partnership is not how we bring our rules and regulations closer together, but what we do when one of us wants to make changes.”

Boris happy:

PM speech was positive, optimistic & dynamic – and rightly disposes of the Norway option! Forwards!

— Boris Johnson (@BorisJohnson) September 22, 2017

A strong Britain working hand in hand with a strong Europe – but once again free to take our own decisions

— Boris Johnson (@BorisJohnson) September 22, 2017

A senior Leaver tells Guido:

“Remainers have been outgunned. They were telling us EEA was nailed on and Spreadsheet Phil was going to get a 5 year transition.”

Boris might be happier than Hammond but May still didn’t explicitly say what Brexit Britain will look like, can kicked down the road…

UPDATE: The speech is also reopening the old Leaver splits from the referendum, with the Leave Means Leave crowd (which includes more hardline Tory Brexiter backbenchers) saying:

“We are deeply concerned that her proposals could lead to nothing changing either during or after the implementation period – which will go on for an undefined amount of time. There is no reference to being able to deregulate, sign our own trade deals or control our borders. This is a rebadging of the status quo and is Brexit in name only. In reality, this means we are still members. The Prime Minister should have explicitly committed to a no deal option and the Government should be planning for it. She has fallen for the trap laid by senior civil servants, the Treasury and the CBI.”