Brexit: UK-EU trade post ‘seems unlikely’ says Michel Barnier


Media playback is not supported on your device

Media captionThe chances of an EU-UK post-Brexit trade contract “seem unlikely”, says the EU’s chief negotiator.

A post-Brexit trade agreement between the UK and the EU “seems” unlikely at this stage “, the bloc’s negotiator said.

After the last round of talks, Michel Barnier said he was “disappointed” and “concerned”.

His UK counterpart David Frost spoke of “small progress”, amid differences over fisheries policy and state aid rules.

The EU has said it will agree on a deal in October, which could be approved by the European Parliament before the transition period to Brexit.

The transition period ends on 31 December, and, if a deal is not secured, the UK would have to trade with the EU on WTO (World Trade Organization) terms.

This means that most UK goods are negotiated at rates until a free trade action is ready to be introduced.

The UK has said it will not extend talks if an agreement cannot be reached by the December deadline.

In a statement released after the seventh round of talks, Mr Frost said the EU had made it “unnecessarily difficult” to make progress by insisting that differences on state aid and fisheries be resolved before “substantive work can be done in each other”. area of ​​negotiation, including on legal texts “.

‘Sovereign control’

In a bid to break the deadlock, the UK has presented the EU with a draft legal text for a free trade agreement.

Mr Frost, who is reporting directly to Prime Minister Boris Johnson, said the UK was seeking a deal that would “ensure we regain sovereign control over our own laws, borders, and waters”.

Presenting gray line

Frustration on both sides

David Frost and Michel BarnierCopyright
EPA

By Nick Beake, Brussels Correspondent

We never expected a major breakthrough this week. But the frustration and astonishment expressed publicly on both sides underscore how difficult it will be to reach a meaningful deal over the next six weeks.

For the UK, it is a frustration that the EU is not ready to engage in paperwork of agreement until the major stumbling blocks – fisheries and state aid – have been overcome.

For the EU, it is a frustration that the British want to continue the benefits of the internal market – for example for UK carriers – without paying the membership fees or signing up to their rules.

Amidst the conversation of disappointment, waste of time and lack of compromise, both sides suggest that they want a deal.

I’m told that the last round of talks was courteous and friendly, with a warmth between the two main negotiators facing each other – even if each delivered an awkward message.

They sat in the other’s gaze, but barely saw eye-to-eye.

“If the EU accepts this reality in all areas of the negotiations, it will be much easier to make progress,” he said.

A senior UK negotiator added that a deal “was still possible but not so easy to get there”.

They also said that it was “frustrating” that the EU “says that Brexit means Brexit” yet they want us to continue with arrangements, just as we were before. [an EU] member “.

“Frustrating that they want us to move to their position on fisheries and state aid before we do anything else.”

‘Waste of time’

Speaking at a press release in Brussels, Mr Barnier accused the UK site of “wasting valuable time”, suggesting that the draft text was “useful”, but diminishing its significance in reaching any agreement.

“Too often this week it felt like we were going more backwards than forwards,” he said.

Copyright
Getty Images

Image by image

Fishing rights is one of the areas where significant differences remain

“Given the short time left, what I said in London in July today remains, at this stage, an agreement between the UK and the EU seems unlikely.”

While there had been progress on energy cooperation, participation in union programs and anti-money laundering, on the subject of access to fishing waters in the UK and the EU, there was “no progress though”.

He also said that the EU’s demand for a level playing field – one of the other sticking points in negotiations – was “a non-negotiable condition for granting access to our market of 450 million citizens”.

  • Brexit: What is an equal playing field?
  • Who actually owns British fishing rights?

A playing field is a trade policy term for a set of common rules and standards that prevent companies in one country from undermining their rivals and gaining a competitive advantage over those operating in other countries.

The EU has insisted that there should be equal playing field for workers’ rights, environmental protection, taxation and state aid.

The next round of talks is set to begin on September 7 in London.