Taoiseach to meet Angela Merkel after United Kingdom agrees Brexit border 'backstop' deal
- Author: Leroy Wright Mar 21, 2018,
Mar 21, 2018, 0:23
Brussels is keen to give May a positive outcome this week, locking in an interim political accord that Britain would remain in most European Union structures without a vote after it leaves next March until at least the end of 2020.
The UK and European Union hope that if a transition deal is agreed, then negotiations can focus on what sort of permanent future relationship the two sides will have - with the aim of a deal being agreed in the autumn to allow time for European Union member states and the UK Parliament to ratify it before Brexit next March.
Britain took a huge stride towards signing the "biggest, most effective and comprehensive" trade deal in history after clinching a Brexit transition agreement yesterday.
Socialist Worker stands for a Brexit that gives people across Ireland the right to break from Britain, quits the single market and defends freedom of movement.
European Union negotiator Michel Barnier yesterday claimed Spain's veto over the deal remained in place, but despite reports suggesting Gibraltar would not be covered by the deal, it is explicitly included in its territorial scope.
The EU secured agreement that Britain would offer residence rights to EU citizens who arrive after Brexit but before 2021.
German Chancellor Angela Merkel and Irish Prime Minister Leo Varadkar said Tuesday that the Northern Ireland border issue must still be resolved after a deal was reached on a Brexit transition phase.
"We have reached an agreement on the transition period", Barnier told a press conference with Davis.
Even Ireland, if it is successful in enshrining a legal back-stop guaranteeing no hard border between Northern Ireland and the Republic, may have little incentive to ratify a free trade deal including financial services, as it would mean businesses might not relocate from London to Dublin.
British prime minister Theresa May has asked her officials to consider it.
However, her Brexit secretary, David Davis, in Brussels, has now signed up to following the same principles as negotiators resume work to find an "operational" compromise - a situation Dublin said it was happy to accept as it bound London in to not "backsliding" on pledges May had made on the issue in December.
In lieu of this, market participants have also largely shrugged-off the UK's lower-than-expected February consumer price inflation, leading to a fall in debt prices.
The one positive is the United Kingdom will be able to negotiate news trade deals elsewhere during the transition.
Keir Starmer, the opposition Labor Party's spokesman on the British exit, called on the government to "prioritize negotiating a final agreement that protects jobs, the economy and guarantees there will be no hard border in Northern Ireland".
Casale added, "We can not wait until the end of the transition period for implementation of the new regime that will stabilise the status of transnational citizens once and for all".
However, Deputy Governor Sam Woods has said that a clear political statement on transition would be enough for regulators to give reassurances to financial firms, meaning they don't have to plan for the worst and speed up Brexit moves. I know our European partners are as committed as we are to creating the most comprehensive and most valuable trade agreement in history.
He said that negotiators, working day and night recently, had agreed on "a large part of what would constitute" the draft worldwide legal agreement governing Britain's departure.