Clock ticking: Government urged to reveal Brexit negotiating position
The government has been urged to publish its negotiating guidelines for the next stage of Brexit talks, to give businesses clarity about what is being sought from the future trading relationship.
This morning the EU27 waved through the transition agreement, which had been unveiled by Michel Barnier and David Davis on Monday.
That means the 21-month period – in which the UK will continue to have access to the Single Market and customs union, while being able to strike its own trade deals – is in place. However, the EU could still withdraw the whole thing if talks begin to fail.
Allie Renison, head of Europe and trade policy at the Institute of Directors, said: “Businesses will welcome the fact that nearly two years after the referendum, we are finally in a position to begin discussing the future economic relationship in earnest.
“However, with the clock ticking and a fairly short implementation period envisaged, it is essential that we move into substantive trade negotiations as quickly as possible to allow companies enough time to prepare and adjust.
“It is important that both sides approach the new partnership with an open mind. We urge the EU to ensure that the high degree of economic interdependence it notes as being important for a level playing field extends equally to reciprocal market access.”
Renison added: “With the EU now having put detailed guidelines on the table, we expect that the UK government will come forward with greater clarity about its own negotiating proposals on both trade and labour mobility arrangements. These will be essential for company planning, and help ensure that government and business are speaking with one voice.”
Miles Celic, chief executive of TheCityUK, said: “Businesses and customers across Europe are breathing a sigh of relief as the shadow of uncertainty is pushed back to the end of 2020. This agreement was not easy. It is a major step forward, and is a testament to the fact that where there is a political will, there is a way forward.”
He added: “We are into the final months of negotiation, yet there are still many critical issues which need to be addressed before we reach the Brexit finish line. Decisions made now will shape the future competitiveness of Europe – which is set against a backdrop of increased competition globally. It is vital leaders in Brussels and across the EU don’t lose sight of our shared economic goals in the weeks ahead.”
Adam Marshall, director general of the British Chambers of Commerce (BCC), agreed.
“With one year to go until the UK’s formal exit from the EU, negotiators must redouble their efforts to find pragmatic and practical solutions to the many real-world questions firms face all across the UK – from product standards, to VAT, to customs, to immigration – businesses need answers fast.
“The onus is now on the UK government and the European Commission to deliver those answers.”
But not everyone is happy with the result agreed this week.
Eloise Todd, chief executive of the campaign group Best for Britain, argues the deal “shows how much we’re being forced to give up in order to push on with Brexit”.
She added: Financially we’re willing to accept ruin, while we’ve handed over our sovereignty for the next two years in order to delay all the chaos.
“Now the EU has adopted its guidelines for the next stage of negotiations while May is desperately pleading for an easier ride over the coming months. Yet there’s still so much left unresolved. Why are we under EU jurisdiction without a seat at the table? And why have we agreed to a ‘backstop’ solution to the Irish border question that would literally split our United Kingdom?
“These questions are crucial and extremely pressing. The lack of plan held by this government means the case for a people’s vote on the terms of Brexit gets stronger by the day.”