Johnson Hails ‘Great’ New Brexit Deal But DUP Says ‘No’

Britain and the EU have been racing to renegotiate the Withdrawal Agreement in time for an October 31 Brexit, but the deal still needs approval from parliament.

London: Prime Minister Boris Johnson said on Thursday that Britain and the European Union had agreed a “great” new Brexit deal but still faced resistance from the Northern Irish Democratic Unionist Party (DUP) as he sought support for the deal.

Britain and the European Union have been racing to renegotiate the Withdrawal Agreement in time for an October 31 Brexit, but the deal still needs approval from parliament.

However, the DUP, who have expressed concerns that the Brexit deal could cut Northern Ireland off from Britain in customs and regulatory terms, said there had been no change in their position following the confirmation of the deal.

Also read: Countdown to Brexit: The Meetings That Will Decide the Agreement

Earlier the DUP had said it could not support the last-ditch Brexit proposal due to concerns about the issues of customs and consent, adding there was a lack of clarity on VAT (sales tax) arrangements.

EU Warns Britain Heading For A No-Deal Brexit

Britain’s departure has already been delayed twice since March and Johnson has vowed he would not seek another extension.

Strasbourg/Brussels: The European Union warned on Wednesday that Britain was headed for a damaging no-deal Brexit, with London’s ideas for solving the contentious issue of the Irish border still unlikely to unlock a deal just six weeks before Britain is due to leave.

Addressing EU lawmakers in Strasbourg, European Commission President Jean-Claude Juncker said British Prime Minister Boris Johnson had told him on Monday that London still wanted a deal, but would leave with or without one on October 31.

“There is very little time left … The risk of a no-deal is very real,” said Juncker, his comments weighing on sterling. Pro-Brexit lawmakers cheered and applauded in the Strasbourg chamber. “It’s time for a clean-break Brexit,” said Brexit campaigner Matthew Patten. Other pro-Brexit EU deputies tried to shout down pro-EU British colleagues, shouting “you lost!” and “rubbish!”

A majority of EU lawmakers later voted for an extension to Britain‘s scheduled departure date in a resolution that is not binding but which has political weight. EU leaders will meet for a make-or-break summit in Brussels on October 17-18, just a fortnight before Brexit is due to materialise more than three years after Britons voted to leave.

US investment bank JP Morgan sounded negative on Wednesday about the prospects of Johnson striking a deal then after recent rounds of talks between the two sides showed significant gaps remain.

Also read: UK Govt Comes Up With Worst-Case Scenario Plan For Hard Brexit

Britain is not likely to present a complete set of detailed, written proposals of how it would want the text of the existing – but stalled – Brexit deal changed before the end of the month, UK and EU sources said.

“If that is the case, the summit will end with nothing,” an EU diplomat dealing with Brexit in Brussels said. “If there is to be a deal, it must be prepared to a large extent in advance. It is too technical to leave to the leaders at the last minute.”

In a worst-case scenario, a no-deal Brexit could mean severe disruption to trade, supplies of medicines, fresh foods and possible public disorder, according to the British government’s contingency plans. Such a sharp break in economic ties, ending four decades of EU membership, “might be the United Kingdom’s choice, but never the choice of the EU,” Juncker said, highlighting how the bloc wants to avoid blame if Britain crashes out.

Juncker said London must present realistic proposals to replace the Irish backstop arrangement in the BritainEU divorce agreement, which former premier Theresa May agreed with EU leaders but which was rejected by the British parliament. “I am not emotionally attached to the Irish backstop,” Juncker said. “I have asked the prime minister to make, in writing, alternatives,” he said, calling it a safety net to avoid a divided Ireland after Brexit.

The backstop would require Britain to obey some EU rules if no other way could be found to keep the land border between British-ruled Northern Ireland and EU member Ireland invisible. His pessimistic tone was echoed by Finland’s minister for European affairs, Tytti Tuppurainen, who told the parliament that a no-deal Brexit “is a quite likely outcome.” Finland holds the EU‘s rotating presidency.

“Stupid” Brexit, “Disreputable” PM

However, many EU lawmakers warned against a no-deal, both to avoid an economic shock and because they do not want to see Britain abandon its commitments to EU social and environmental standards and become a low-tax, low-regulation rival.

“We will not accept a Singapore on the North Sea,” said former Belgian prime minister Guy Verhofstadt, a liberal EU lawmaker and a member of the parliament’s Brexit committee. At times bad-tempered debate underscoring general weariness on the tortured issue of Britain‘s pending departure, senior EU lawmakers took jabs at the noisy contingent of British eurosceptic deputies in the chamber.

Manfred Weber, leader of the centre-right EPP group, called Brexit “stupid”. He and Verhofstadt took aim at British plans for greater sovereignty at a time when the parliament in Westminster has been suspended by Johnson. British pro-EU deputy Julie Ward called the prime minister “disreputable”.

Also read: Brexit: What’s Happened and What’s Next?

Brexiteers claimed Westminster would take back control, but now they shut it down,” Weber, a German lawmaker, said in Strasbourg, as the Supreme Court in London continued hearing arguments on whether Johnson acted unlawfully in suspending the parliament in the run-up to Brexit.

The European Parliament formally called on Wednesday for Britain to be granted another extension to allow more time for London to agree the terms of its withdrawal. The resolution passed with 544 in favour, 126 against and 38 abstentions. Britain‘s departure has already been delayed twice since March and Johnson has vowed he would not seek another extension.

The EU‘s chief negotiator, Michel Barnier, said a no-deal Brexit would not resolve any of the issues around the rights of EU citizens, the Irish border and British obligations under the bloc’s long-term budget.

“If the United Kingdom leaves without a deal, all these questions will not disappear. They are still there,” Barnier told the EU chamber. “Some three years after the Brexit referendum we should not be pretending to negotiate.”

Theresa May Seeks to Resolve Brexit Deadlock After Surviving No Confidence Vote

With the clock ticking down to March 29, the date set in law for Brexit, the UK is now in the deepest political crisis in half a century.

London: Prime Minister Theresa May won a confidence vote in the British parliament on Wednesday and then appealed to lawmakers from across the political divide to come together to try to break the impasse on a Brexit divorce agreement.

Lawmakers voted 325 to 306 that they had confidence in May’s government, just 24 hours after handing her European Union withdrawal deal a crushing defeat that left Britain’s exit from the bloc in disarray.

With the clock ticking down to March 29, the date set in law for Brexit, the UK is now in the deepest political crisis in half a century as it grapples with how, or even whether, to exit the European project it joined in 1973.

After the results of the confidence vote were announced to cheers from her Conservative lawmakers, May said she believed parliament had a duty to find a solution that delivered on the 2016 Brexit referendum result.

But with lawmakers (MPs) deadlocked on the way forward, the UK could face a disorderly “no-deal” Brexit, a delay to Brexit, or even another referendum on membership.

“Now MPs have made clear what they don’t want, we must all work constructively together to set out what parliament does want,” May said in a statement outside her Downing Street office.

Also Read: Theresa May Suffers a Historic Defeat as Parliament Crushes Brexit Deal by 230 Votes

“That’s why I am inviting MPs from all parties to come together to find a way forward. This is now the time to put self-interest aside.”

After the confidence vote, May met several party leaders, but the main opposition leader, Labour’s Jeremy Corbyn, refused to hold talks unless a no-deal Brexit was ruled out.

The votes on Tuesday and Wednesday brought into sharp relief the problem May faces; trying to win over pro-EU supporters in her own and other parties without alienating those who keep her in power – for instance, by giving up the “no-deal Brexit” that they see as a crucial bargaining chip.

Hardline Conservative Brexit-supporters, who last month made an unsuccessful attempt to oust her as leader, and the Northern Irish party that props up her minority government will not countenance a deal that keeps close ties with the EU.

“The confidence and supply arrangement (to support May) of course is built upon delivering Brexit on the basis of our shared priorities,” said Nigel Dodds, deputy leader of the Democratic Unionist Party.

No Deal, No Talks

However, Corbyn said no positive talks were possible unless a no-deal Brexit was taken off the table. His party wants a permanent customs union with the EU, a close relationship with its single market and greater protections for workers and consumers.

May’s spokesman said she was not ruling out a no-deal option and that it was government policy to be outside an EU customs union. Critics said this meant May was not budging from the deal that had alienated all sides in parliament.

Other opposition parties wrote to Corbyn after the confidence vote to demand he now back a second referendum, which Labour has agreed should be considered if it cannot force an election.

A protester stands among European Union flags outside the Houses of Parliament, after Prime Minister Theresa May's Brexit deal was rejected, in London, Britain, January 16, 2019. Credit: REUTERS/Clodagh Kilcoyne

A protester stands among European Union flags outside the Houses of Parliament, after Prime Minister Theresa May’s Brexit deal was rejected, in London, Britain, January 16, 2019. Credit: REUTERS/Clodagh Kilcoyne

However, he and other senior political figures fear that stopping Brexit could alienate the 17.4 million people who voted to leave.

Sterling was trading just off two-month highs against the euro after May won the confidence vote, with many investors believing the prospect of a no-deal exit had receded as parliament hardened its stance against it.

Companies warned of catastrophic job losses and chaos at ports if there was no deal. Trade with the EU would then default to basic World Trade Organization rules, which many argue would disrupt innumerable manufacturing supply chains relying on rapid, friction-free trade.

Ever since Britain voted by 52-48% to leave the EU in June 2016, the political class has been debating how to leave the European project forged by France and Germany after the devastation of World War Two.

“No More Games”

Tuesday’s crushing defeat appears to have killed off May’s two-year strategy of forging an amicable divorce in which a status-quo transition period would be followed by Britain operating an independent trade policy alongside close ties to the EU, the world’s biggest single market.

Also Read: What the Brexit Debacle Reveals About the UK’s Broken Political System

Other members of the EU, which combined have about six times Britain’s economic might, called for discussion but indicated there was little chance of fundamental change to the deal May had negotiated.

German Foreign Minister Heiko Maas said that “the time for playing games is now over”.

For the EU, already reeling from crises over debt and refugees, Brexit may be the biggest blow in its 60-year history, though its 27 other members have shown remarkable unity on the issue.

Brexit supporters anticipate some short-term economic pain but say Britain will then thrive if cut loose from what they cast as a doomed experiment in German-dominated unity.

Opponents of Brexit say it is folly that will weaken the West, make Britain poorer and torpedo what remains of its post-imperial clout.

(Reuters)