United Kingdom

Soph0571

(9,685 posts) Thu Apr 16, 2020, 07:42 AM Apr 2020

No 10 claims coronavirus crisis strengthens need for UK to be free of EU regulation after 2020

But, as James Forsyth, the Spectator’s political editor reports this week, there has been speculation that the EU itself could request an extension of the transition. One theory was that it would be hard for the UK to refuse.

But the UK would refuse such a request, the spokesman said this morning. He told journalists:

We will not ask to extend the transition. And, if the EU asks, we will say no. Extending the transition would simply prolong the negotiations, prolong business uncertainty, and delay the moment of control of our borders. It would also keep us bound by EU legislation at a point when we need legislative and economic flexibility to manage the UK response to the coronavirus pandemic.

What is also interesting about this comment is that it shows No 10 is now arguing that coronavirus strengthens the case for the UK to break away from regulatory alignment with the EU. Opposing regulatory alignment could end up with the UK having to negotiate with the EU on WTO terms (what used to be called a “no-deal” Brexit), although of course the government says it wants a Canada-style trade deal.

https://www.theguardian.com/world/live/2020/apr/16/coronavirus-uk-live-news-covid-19-lockdown-extension]

I really had hoped that due to the current economic crisis they would put their zealot brexit plots to one side for the moment while we fought the pandemic. But no, of course not. So on top of the covid-19 crash we will be going on WTO trading rules at the end of the year. This will take decades to recover from. It is shocking that they are pushing their ideology this hard right now. SHOCKING.

3 replies

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No 10 claims coronavirus crisis strengthens need for UK to be free of EU regulation after 2020 (Original Post) Soph0571 Apr 2020 OP

There JUst Is No Bottom With These Fools, Ma'am The Magistrate Apr 2020 #1

Economic crisis Dworkin Apr 2020 #2

And it's not just any old pundit suggesting the extension - it's the IMF muriel_volestrangler Apr 2020 #3

The Magistrate

(96,043 posts)

1. There JUst Is No Bottom With These Fools, Ma'am

Reply to Soph0571 (Original post)

Thu Apr 16, 2020, 07:53 AM

Apr 2020

Even were one to accept there was some long term benefit to dissolving the association with the European Union, delaying the break past this crisis is clearly the better course for the United Kingdom.

Dworkin

(164 posts)

2. Economic crisis

Reply to Soph0571 (Original post)

Fri Apr 17, 2020, 05:55 AM

Apr 2020

Folks,

A combination of coming through the Covid crisis and Brexit will put heavy strain on the UK economy. We still have a massive national debt, up from £750 billion to £2 trillion since the Tories have been in power.

The argument for more borrowing is low interest rates, but as soon as this changes inflation will follow. Yes, we can devalue the £ but we could have done that anyway as we are outside the Euro. Devaluation automatically leads to inflation on import prices.

Is this a 'double whammy' situation?

D.

muriel_volestrangler

(102,625 posts)

3. And it's not just any old pundit suggesting the extension - it's the IMF

Reply to Soph0571 (Original post)

Fri Apr 17, 2020, 09:41 AM

Apr 2020

The IMF has suggested the UK and the EU should not "add to uncertainty" from coronavirus by refusing to extend the period to negotiate a post-Brexit trade deal.

Managing director Kristalina Georgieva, when asked what she thought about the prospect of no trade deal this year and no extension to talks, told the BBC that because of the "unprecedented uncertainty" arising from the pandemic, it would be "wise not to add more on top of it".

"I really hope that all policymakers everywhere would be thinking about [reducing uncertainty]. It is tough as it is, let's not make it any tougher," she said.

Asked specifically if she would advise an extension to trade talks, Ms Georgieva said: "My advice would be to seek ways in which this element of uncertainty is reduced in the interests of everybody, the UK, the EU, and the whole world."

https://www.bbc.co.uk/news/business-52304821

Reaching a decent deal, for either side, by the end of 2020, was always going to be tight (many had already said 'no deal' had become a likely outcome again, thanks to the Tories' insistence they wouldn't ask for an extension), and now, with 2 months of negotiation lost so far and, in all likelihood, another 2 months to be lost before they can start face-to-face negotiations with a meaningful idea of the economic situation for the UK and EU, 'no deal' now looks the inevitable outcome of a pig-headed refusal to go for an extension.

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