UK risks being trapped in a 'soft Brexit', says IEA
Source: IEA , Author: Posted by BI-ME staff
Posted: Mon December 18, 2017 11:31 am

LONDON. Responding to the news that the EU has agreed to move to the next stage of Brexit talks, Julian Jessop, Chief Economist and Head of the Institute of Economic Affairs' (IEA) Brexit Unit, said:

“The UK risks being boxed in permanently to a ‘soft Brexit’, where it retains the obligations of EU membership with no control over the rules and none of the benefits of leaving. The EU’s proposed terms for a transition period are already along these lines and would effectively put Brexit on hold.
 
“A transition period now seems to be a necessary evil. Nonetheless, it should be time-limited, short, and materially different from the status quo. The UK must be allowed to start to negotiate its own trade deals and be exempted from any new EU rules that are not absolutely necessary for the transition.
 
“At the end of this period, a ‘Canada ++’ deal is probably the most realistic way to deliver a ‘free market’ Brexit. But it is important that the UK retains the option of a clean break.
 
“It should be possible to avoid a ‘hard border’ in Ireland while still regaining control of domestic regulations and external trade. The alternative of continuing to replicate the single market and customs union after the transition would prevent the UK from ever making the most of the opportunities created by Brexit.”

Click here to read the original statement on the IEA website

About The IEA
The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems and seeks to provide analysis in order to improve the public understanding of economics.

The IEA is a registered educational charity and independent of all political parties.

For more information, please visit https://iea.org.uk/

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: December 11, 2018
UAE. Countries that take ambitious action against climate change can close up to 90% of their gap to Paris targets using existing technologies; Mitigation actions can also boost economic growth, says new BCG report.
date:Posted: December 10, 2018
UAE. After fantastic returns in 2017 everywhere, 2018 is a sea of red; Volatility rules, despite objective good news on the political front; Patience recommended as markets undershoot fundamentals.
date:Posted: December 10, 2018
UAE. Retail sales across four Gulf countries are projected to increase by more than US$24 billion over the next five years, according to new research from Euromonitor International; UAE's US$55 billion retail industry forecast to grow 16% by 2023.
UAE. Countries that take ambitious action against climate change can close up to 90% of their gap to Paris targets using existing technologies; Mitigation actions can also boost economic growth, says new BCG report.
dhgate