‘Very serious’ gaps remain between UK and EU positions in trade negotiations

MICHEL BARNIER HAS said that “very serious divergences” remain between the European Union and the UK as efforts continue to strike a post-Brexit trade deal.

The EU’s chief negotiator said the main obstacles remained the “level playing field” aimed at preventing unfair competition in areas including state subsidies, fisheries policy and the governance of any deal.

Barnier updated EU MEPs and diplomats on the status of negotiations with his British counterpart David Frost, which have taken place in Brussels.

He said: “Despite the EU’s efforts to find solutions, very serious divergences remain on a level playing field, governance and fisheries.

“These are essential conditions for any economic association.”

Frost said that progress had been made during two weeks of intensive talks, but that “large divergences remain on some central issues.

“We are continuing to work to find solutions that fully respect the sovereignty of the UK,” he said.

Despite the failure to make a breakthrough, the two sides are expected to remain in contact via video conference, with more talks next week in London.

The EU believes a deal must be reached by mid-November if it is to be ratified by the time the UK leaves the single market and customs union, when the post-Brexit transition period expires at the end of the year.

In an indication that a deal may not be possible, Barnier said the EU is “ready for all scenarios.”

Foreign Minister Simon Coveney responded to Barnier’s comments by tweeting: “A reminder that a #Brexit trade deal is far from secure.”

He added: “We must continue preparing as a country for all the results. A deal is still feasible but very difficult. The time is short. Thank you @MichelBarnier for your calm and consistent approach. “