Brexit: EU’s chief negotiator Michel Barnier kills customs plan – but opens door on backstop | City A.M.
Michel Barnier has effectively cut down Theresa May’s hoped-for customs deal – but indicated there may be some wiggle room on the Irish backstop.
Speaking after a lengthy discussion on the UK’s Brexit white paper with ministers of the EU27, Brussels’ chief negotiator refused to reject the proposal entirely, saying there were “some positives and negatives”.
He praised the position on security, where there had been an “important convergence”, and could pave the way for the EU to cooperate on key issues such as data sharing.
But the facilitated customs arrangement – a proposal in which both sides would collect tariffs on behalf of the other – Barnier was blunt, describing it as a “complex system” which may incur extra costs for business and require the EU to “delegate” fundamental powers to a third country.
“Brexit cannot and will not justify additional bureaucracy,” Barnier said. He later added: “There is no justification for us to create additional burdens for business just because the UK wants to leave.”
He was also critical of the UK’s proposal of a Single Market for goods, questioning how it would protect consumers and businesses. “We have a duty of care,” Barnier said. “On which basis could we accept free circulation of goods?”
Meanwhile divergence on services could lead to “unfair competition”.
The EU’s chief negotiator also indicated that he did not believe the Prime Minister when she said earlier today it was the UK’s final offer.
“The white paper is the result of very intense internal debate in the UK that was necessary, and as we have seen this debate is not over yet,” Barnier said.
However there was one key breakthrough. His words around the backstop appeared more conciliatory than they have previously, insisting that it did not have to be the one proposed by the EU – although more work is being carried out on that suggestion – and that it was not designed to cut Northern Ireland off from the rest of the UK.
“We have proposed one solution but at no point was it our intention to create a border in the Irish sea,” Barnier said. “But, at the same time, we need a solution that protects our borders and our consumers.”
He stressed it was simply about border checks and urged pragmatism. “I plead with you – let’s de-dramatise issue of checks and the backstop,” Barnier said.