Tag: Customs Union

Article 50, Boris Johnson, Brexit, Customs Union, Michel Barnier, Single Market

Britain in a Brexit “Black Hole”

Posted on by BEERG Brexit Blog
This blogpost was written on Sunday morning March 31st 2019.

D2smLuFWkAEn-pe

Today, Sunday, March 31st, two days after the UK should have the left the European Union, it appears to have fallen into a Brexit “Black Hole”, unable to leave on agreed terms but also not wanting to leave with “no deal”.

This is what happens when you run a referendum on something as open-ended as “Let’s leave the EU” without having any idea what that might mean in practice. Triggering the two year’s Art50 notice was, as we have written before, like selling the house and agreeing a quit date without having decided beforehand as a family where you are going to live in the future.

At best, you might end up renting your old house back from the new owner. At worst, you find yourself out on the street, homeless. No matter what you decide, your end state will be worse than where you are now. No wonder the family can’t agree on anything.

Following Friday’s vote in the House of Commons which saw the Withdrawal Agreement negotiated between the EU and the UK again defeated, this time by 344 votes to 286, the UK is now scheduled to leave the EU on April 12th without an agreement.

A no-deal Brexit looms. Were this to happen then, from April 13th, the UK would be completely outside the scope of EU law, with all that that implies.

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Article 50, Brexit, Customs Union, Northern Ireland, Single Market

Some #Brexit Thoughts For This Holiday Season

Posted on by BEERG Brexit Blog
This blogpost was written on Dec 19, 2018

May Commons

We head into the holiday season with Brexit appearing to be in some form of holding pattern. Brussels has said that the Withdrawal Agreement on the table is all there is and will not be renegotiated. On the other hand, Theresa May is telling MPs that she will secure additional political and legal guarantees that the backstop will be temporary and that the UK will not be trapped in a customs union with the EU.

They both can’t be right.

If to prove that she knows she isn’t right May’s government has stepped up “no deal” planning, which most businesses think insane but then, where Brexit is concerned, rationality, like Elvis, left the building a long time ago. When it comes to Brexit, as Groucho Marx might have said, there is no “sanity clause”.

So, as we wait for the New Year and the final run-in to Brexit on March 29th next, I offer these random thoughts on where we are and why we are here.

The Withdrawal Agreement is all there is: As I wrote last week, the UK really only has two choices. Leave the EU or remain in the EU. Personally, I would much prefer the UK to remain, but as long as the government and the Labour leadership are committed to Brexit then is seems inevitable that the UK will leave on March 29th, 2019.

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Article 50, Backstop, Brexit, British Government, Conservative Party, Irish border, Northern Ireland

There is No Good Way Forward on #Brexit

Posted on by BEERG Brexit Blog
This blogpost was written on Saturday, Nov 17th, 2018

MichelBarnierDonladTuskBrexitDealDraftNov18_largeUK politicians are faced with an impossible decision. There is no point pretending otherwise or wishing it were otherwise. There is no good answer to the problems the UK has created for itself when it comes to Brexit and to its relationship with the European Union.

It all comes down to this. How can the UK government, any government and not just the current government, deliver on the Brexit promises to take back control of borders, law and money from the EU, while not damaging trade in goods and services between the UK and its biggest market? It simply can’t. There is no way to square this circle.

Imagine if, for example, Sweden decide to leave the EU. I pick Sweden because it, like the UK, is not a Eurozone member and so is not faced with the problem of untangling its currency with an EU exit. The main withdrawal issue facing Sweden would be fixing its financial obligations on departure, paying its fair share of what it agreed to as a member. Secondly, would be the rights of EU citizens living in Sweden and Swedish citizens living elsewhere in the EU. Probably not a major issue. ABBA would be welcome in Europe, anywhere, anytime.

The most important question to be resolved in the Withdrawal Agreement would be the “framework” for future economic relationship between Sweden and the EU. That “framework” would be identified and thrashed out after Sweden left the EU. No doubt, there would be a transition period because one thing we have learnt from Brexit is that it is impossible to go from being an EU member to a non-member overnight. Life is just too complex.

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Backstop, Brexit, British Government, Customs Union, Irish border, Northern Ireland

#Brexit – The Fast Fading Fantasies

Posted on by BEERG Brexit Blog
This blogpost was written on Sunday Nov 11, 2018

jo johnson

Just when you think there cannot be any more twists and turns in the Brexit saga, along comes the resignation of Jo Johnson (Photo): Transport Minister in May’s government and Boris Johnson’s younger brother. Jo Johnson is not, and never was, an attention seeker. Instead, he was a sober, industrious member of the government who voted Remain in the 2016 referendum.

His devastating resignation statement frames the choice May intends to present to parliament as one between “vassalage”, obeying EU rules with no say in their adoption, or “chaos”, leaving the EU with no agreed terms. Rather than have parliament vote on these two unpalatable options he wants them, along with the option to remain in the EU, put to the people in another referendum.

If a centrist such as Jo Johnson is taking this position, then there must be many other centrist MPs who see things similarly. Will they break cover in the coming days? If we add the dozen or so already declared centrists who want another referendum to 20 or 30 Hard-Brexiteers and the 10 DUP votes, it becomes increasingly difficult to see May getting the Commons to vote for any deal she manages to bring back from Brussels.

That is, if she manages to bring back a deal.

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Brexit, British Government, Northern Ireland, Single Market, UK Labour Party

A Never Ending #Brexit

Posted on by BEERG Brexit Blog
This blogpost was written on Sunday Nov 4th, 2018
The Prime Minister Meets DUP Leader At Downing Street
Prime Minister May with DUP leaders

It is Sunday and the weekend papers are awash with suggestions that the Brexit negotiators are close to a breakthrough. The Sunday Times reports, almost breathlessly, on “May’s Secret Brexit Deal”. RTE’s European editor, Tony Connelly reports it somewhat differently – and far more soberly.

As usual, the potential deal-breaker is the Irish backstop.

Apparently, what is now being discussed is that the while the whole of the UK would stay in a “bare bones”, temporary customs union with the EU, Northern Ireland (NI) would stay within the full EU customs code and the single market for goods. Regulatory checks would take place in factories and businesses away from the actual border. Instead of the border being down the middle of the Irish sea it might be somewhere in a factory in, say, Liverpool. But then Liverpool was always part of Ireland, really.

Were this deal to be finalised between the negotiators it is being suggested that it would allow UK Prime Minister, Theresa May, to argue that her redlines of no divisions within the UK have been respected and that the NI backstop would never have to be used in practice.

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Article 50, Brexit, British Government, Negotiating, Northern Ireland, Single Market, Theresa May

U.K. Has Deadlocked Itself on #Brexit

Posted on by BEERG Brexit Blog

theresa_campaigning_vi3odk

This blog was written on Sunday Oct 14th, 2018

When we began writing these BEERG Brexit Briefings in June 2017 we continually advised businesses to “hope for the best but prepare for the worst”.

As we head into a crucial Brexit week, with EU leaders meeting in Brussels on Wednesday evening and Thursday with Brexit very much on the agenda, we are dropping the “hope for the best” part and are now advising businesses to “prepare for the worst” because that is where we are heading.

The way we see it, there is no deal that Prime Minister May can negotiate with Brussels that would command a majority in the House of Commons.

As Andrew Rawnsley, one of the most perceptive UK political commentators puts it in the Observer on Sunday:

On the face of it, this makes it very hard to see how Mrs May can strike any agreement with the EU for which there will be parliamentary approval. The opposition has no incentive to help her out of a swamp of the Tory party’s own making. The Democratic Unionists say they will cut off their life-support. The DUP are co-ordinating with the Tory Brextremists. The parliamentary maths is a horror.

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Article 50, Brexit, Conservative Party, Theresa May

On #Brexit: You can have the politics or the economics; but you can’t have both

Posted on by BEERG Brexit Blog

This blogpost was written on May 14th 2018

thatcher-Delors
Margaret Thatcher and Jacques Delors, London 1989

It is increasingly difficult to see any way in which Brexit ends well. The reason is simple: The UK wants what it can’t have. It asks for two incompatible things.

  • It wants to be leave the EU and take back control over its money, borders, laws and trade policy so as to be able to say that it is a completely sovereign country, beholden to no one.
  • But it also wants to continue to trade with the EU in the frictionless manner that it does today so that it will suffer no economic damage as a result of leaving.

As we have repeatedly noted in this Briefing, it wants all the benefits of the customs union and the single market, but without the obligations and restraints that come with those benefits.

Throughout the process the position of the EU has been clear. In accordance with Article 50 of the Treaty it says the UK is free to leave the EU. The very fact that a country can leave the EU shows that sovereignty was never lost. Only a sovereign country can quit an organisation like the EU. Is California or Arizona free to leave the United States? A civil war says no.

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