Boris Johnson, Brexit, British Government, Customs Union, Data Protection, Data transfers, Michel Barnier, Negotiating, Single Market, Trade Deals

A “No-Deal” Brexit looms ever closer

cropped-barnier-and-frost2.jpg

 

On January 1, 2021, whether there is a deal between the UK and the EU on future trading relations or not, significant new barriers to doing business between the UK and the EU will come into existence. There is no possible agreement between the UK and the EU that can eliminate these new barriers and borders because of the UK’s decision to leave the EU’s single market and customs unions.

At best, an agreement will provide for tariff free and quota free trade in goods between the two. But such an agreement would not eliminate the need for paperwork and customs checks, to certify such things as “rules of origin” – where the goods in question, and the components in them, were actually made. Indeed, it has been estimated that UK business will need to recruit at least 50,000 customs agents just to handle the additional paperwork involved in the export of goods.

Continue reading

Boris Johnson, Brexit, British Government, Data transfers, Michel Barnier

Brexit No Deal still looks likely

Screenshot (114)

A week or so ago, I came across this tweet from Simon Fraser, whose Twitter profile says: “Managing Partner Flint Global. Vice Chair Chatham House. Was Perm Sec UK Foreign Office & Business Dept & Chief of Staff EU Trade Commissioner.” A person, therefore, of some considerable substance and experience.

A good moment, after downbeat official comment on the latest #Brexit talks, to remind ourselves just how extraordinary a failure of successive governments it will be if UK leaves EU after four and a half years of negotiation with no agreement on the future relationship.

Which prompts the question: was an agreement ever possible? Or was Brexit always framed in such a way that for Brexiteers “no deal” was always the only “true Brexit”?

But before seeking to answer this question, let’s look at where we are now, following another couple of weeks of inconclusive talks between the EU and the UK. To put it as its simplest, the July intensive rounds of talks, triggered by Boris Johnson’s demand to “put a tiger in the tank, turned out to be little more than dinner in Brussels one week, in London the next.

Continue reading

Brexit, British Government, Michel Barnier, Negotiating

A tale of two speeches by Gove and Frost

speeches

The sting was in the tail. It was the last few paragraphs that really told the story. You couldn’t mistake what the story was. And it is still the story today. It is a never-ending story.

British Brexiteers will never rest content until the EU collapses. Which is why an agreement between the EU and the UK is close to impossible. How do you cut a deal with people who believe your very existence is illegitimate and would happily see you implode?

In 2016, some months before the Brexit referendum, Michael Gove then, as now, a UK cabinet minister made a speech  setting out the case for Brexit. The speech was called:  The facts of life say leave, but most people better remember it for one of its key lines “The day after we vote to leave we hold all the cards and we can choose the path we want.

Continue reading

Brexit, Michel Barnier, Negotiating, Trade Deals

Sometimes, you just can’t compromise

maxresdefault
The hilarious haggling scene from Monty Python’s Life of Brian

One of the most overused and lazy words in the Brexit debate is the word “compromise”.

In how many articles on Brexit will you find some working of the phrase: everyone knows both sides will need to compromise? Why does the EU need to compromise? To get an agreement, will be the answer. But it wasn’t the EU that decided to end the relationship. The UK was the one that walked. And yet the EU is expected to bend its rules, to “compromise” to facilitate the UK?

It is not going to happen.

Picture this. Someone breaks into your house, intent on helping themselves to your goods and valuables. You confront them. Should you “compromise” with them? “Meet them in the middle”? “OK, you can take these two paintings and this watch. Maybe that laptop. That work for you?” I somehow don’t think so. Your sole intent would be to see them out the door as quickly as possible, preferably into the custody of the waiting gendarmes.

Continue reading

Boris Johnson, Brexit, British Government, Brussels

#Brexit: Breaking Bad

1078341881

Brexit is breaking bad. There are no grounds for thinking that there will be any deal between the EU and the UK concluded before the end of this year. Businesses and individuals would be well advised to prepare for a situation where trade between the UK and the EU is conducted from January 2021 onwards on minimalist World Trade Organization (WTO) terms, with all that will mean for border delays, paperwork and new bureaucracies.

All those other areas of life that are dependent on EU/UK agreements, such as air and road transport, data transfers, business travel, tourism and countless others will be dealt with by stop-gap measures, if at all. Google has already decided to move all its UK users data to the US. The chances of the UK getting an “data adequacy” decision from the EU recedes by the day. Continue reading