The European Union (EU) thinks Theresa May will soften her stance on Brexit and agree to the soft variant. This would mean that the United Kingdom (UK) remains within the European single market and customs union. At least, that's what Guy Verhofstadt, the European Parliament's Brexit coordinator, suggests. That reports Business Insider.
Verhofstadt language with some British MPs. He said he believes the UK will abide by European rules on trade, customs-related and legal matters even after Brexit.
Access to European market
Under this variant, known in Brussels as 'Norway plus plus', the UK retains access to the single European market and remains with the customs union. However, it also means that the United Kingdom cannot independently conclude trade agreements with countries outside the EU.
The judges of the European Free Trade Association (EFTA) will monitor compliance. EFTA handles the legal affairs of countries affiliated to the EU through the European Free Trade Association (including Norway, Iceland and Liechtenstein).
Verhofstadt will appear in his capacity as representative this week (week 25) before both the House of Commons and the Brexit committees of the British Parliament. He will also dine with Brexit Secretary David Davis.
Close relationship with the European Union
Verhofstadt will also use his trip to inform British MPs about the so-called 'Norway plus plus option'. Both in Brussels and Westminster, it is anticipated that the relationship between the UK and the EU will be much closer after Brexit than initially expected.
A source told Business Insider: "We are hoping for as close a relationship as possible, given the 'red lines' the British have mapped out." The comment is in line with what Michel Barnier said during a meeting with British parliamentarians. Then Barnier said it was possible for the UK to remain within both the European Economic Area and the customs union after a Brexit.
Verhofstadt made his prediction in the presence of a mixed group of British parliamentarians in Brussels. Verhofstadt's statements show that Brussels seriously thinks that Prime Minister Theresa May will abandon her hard-line position in order to break the deadlock over the Irish border.
The British Prime Minister has proposed that the UK as a whole temporarily remain within the Customs Union should talks with the EU on an open British-Irish border fail. However, the EU has warned May that this is not possible as a temporary option.
Read more on Business Insider:
- Theresa May escapes an extra Brexit vote by parliament
- Theresa May may have to accept a buttery soft Brexit
- Ireland has had it with Brits: 'Brexit negotiations jump up'
© DCA Market Intelligence. This market information is subject to copyright. It is not permitted to reproduce, distribute, disseminate or make the content available to third parties for compensation, in any form, without the express written permission of DCA Market Intelligence.
