European Union negotiator Michel Barnier will present a draft recommendation on Wednesday 20 December accompanied by negotiating directives to begin the second phase of negotiations that will lead to Brexit in spring 2019.
This initiative comes as a result of recent decision by the European Council which, on 15 December, decided that the divorce talks between the EU and United Kingdom had made sufficient progress for discussions to move on to consider a transition period to future bilateral relationship, including trade, between the two partners (see EUROPE 11927).
The draft recommendation on Wednesday will only relate to transition period, of about two years, which London wants to put in place after it leaves the EU at the end of March 2019. There is agreement among member states on the envisaged length of the transition period.
The UK government still has to let it be known what kind of partnership it would like with the EU. When it does so, heads of state and/or government will be asked, probably in February or March 2018, to adopt additional guidelines for the negotiations to follow.
In an interview with a number of European newspapers on Monday 18 December, Barnier repeated the European red lines on the transition period, red lines deriving from the guidelines adopted on Friday by the 27-member states. The UK will have to comply with the whole European “acquis”, contribute to the European budget and accept the role of the Court of Justice. The UK will be able to begin to negotiate trade agreements with other third countries but will not be able to finalise or sign them.
In the interview with several newspapers including The Guardian, Barnier set out a number of possibilities, including on the nature of the future EU-United Kingdom trade agreement, which he sees as a mixed agreement having to be ratified by 31 regional and national parliaments. He believes the future trade deal could be negotiated within two years and be ready by 2021.
Barnier also warned London on any regulatory competition against environmental rights, social rights, consumer rights and financial stability. (Original version in French by Solenn Paulic)