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Montevideo, November 19th 2017 - 03:19 UTC

EU/UK business organizations press for a deal that preserves status quo post/Brexit

Tuesday, November 14th 2017 - 14:50 UTC
Full article 4 comments
CBI chief, Carolyn Fairbairn, said all those at the meeting reiterated the damage “no deal” would do to trade CBI chief, Carolyn Fairbairn, said all those at the meeting reiterated the damage “no deal” would do to trade
The head of German chambers of commerce, Martin Wansleben, said the car industry alone would face annual tariffs of more than €2bn The head of German chambers of commerce, Martin Wansleben, said the car industry alone would face annual tariffs of more than €2bn
Emma Marcegaglia, president of BusinessEurope, said: “Business is extremely concerned with the slow pace of negotiations and the lack of progress”. Emma Marcegaglia, president of BusinessEurope, said: “Business is extremely concerned with the slow pace of negotiations and the lack of progress”.
Bernard Spitz, a director of France's Medef, said agreement on a transition deal was important for both UK companies as well as those ”across Bernard Spitz, a director of France's Medef, said agreement on a transition deal was important for both UK companies as well as those ”across

European and UK business leaders have told Prime Minister Theresa May of their Brexit concerns. At a meeting in Downing Street on Monday, representatives from groups including the CBI and BusinessEurope pressed for a transitional deal that preserves the status quo after Brexit.

 The CBI chief, Carolyn Fairbairn, said all those at the meeting reiterated the damage “no deal” would do to trade and a German lobby group also warned that no deal would cost their economy dear.

The head of the German chambers of commerce, Martin Wansleben, told a newspaper the car industry alone would face annual tariffs of more than €2bn if trade between the UK and the EU falls under World Trade Organization rules.

Emma Marcegaglia, president of BusinessEurope, said: “Business is extremely concerned with the slow pace of negotiations and the lack of progress only one month before the decisive December European Council.

”Business aims to avoid a cliff edge and therefore asks for a 'status quo-like' transitional arrangement with the UK staying in the customs union and the single market, as this will best provide citizens and businesses with greater certainty.“

The business groups met Mrs. May at No 10, as well as Business Secretary Greg Clark, Brexit Secretary David Davis and the Economic Secretary to the Treasury, Stephen Barclay.

The CBI and the Institute of Directors were represented, along with business organizations from France, Germany, Spain, Italy, the Netherlands, Ireland, Sweden, Poland, the Czech Republic and Belgium.

There are concerns that future talks could collapse ahead of December's EU summit. EU chief negotiator, Michel Barnier, has warned that the talks will only go ahead if the UK first clarifies its financial obligations to the EU.

Earlier, Ms Fairbairn, CBI director-general, told the BBC a CBI survey found that 10% of companies had already activated their contingency plans. The pace of planning by firms was picking up, she added, with about 60% of companies saying they would implement contingency plans by the end of next March.

Bernard Spitz, a director of Medef, France's biggest business lobby group, said agreement on a transition deal was important for both UK companies as well as those ”across the European Union“.

”We know that for us, especially for the French, the relationship with the UK is absolutely key, but if business continuity is important, what is even more important is the integrity of the European market,“ he said.

Property developer Richard Tice, co-founder of Leave Means Leave, said if a trade deal appeared unlikely, ”then actually we would be better to give certainty to everybody that actually we're going to do a different type of deal which is to go to WTO (World Trade Organization) rules”.

Categories: Economy, Politics, International.

Top Comments

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  • golfcronie

    They are starting to see the light now. Come on the UK tell them they are NOT going to get as much as they have asked for as the UK taxpayers will NOT stand for it.

    Posted 4 days ago +1
  • Clyde15

    As to the insistence that we clarify our “financial obligations” to the EU. If I could paraphrase this as give us ALL the money we demand AND we will enter into trade talks which can be vetoed by any member state if they so wish.

    So, what's in it for us. They get all that they want and we get ???????????

    Posted 3 days ago +1
  • Voice

    Clyde

    There is a very simple solution...agree to pay a figure in instalments, then if we don't get the trade deal that we want...renege ...

    Posted 3 days ago 0
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