Today Boris has clearly stated the UK’s intention to leave with out a deal if no deal is insight by June. This comes as the EU is in a mess with its own budget where nation states disagree with the increase to contributions to cover the UKs exit and future growth and expansion in the EU.
Boris has come out with the governments “Future Relationship With the EU” document (full document at bottom of article) where it states the UKs position on the coming negotiations. This document destroys the demands made by the EU. Below is a screen shot showing the opening bid made by the U.K. to the EU.
Boris has now set out the U.K.’s independence vision and it totally shoots down the EU’s demand for a level playing field which would always leave the U.K. at a disadvantage.
As stated in previous articles, the EU doesn’t have a leg to stand on when it comes to forcing the U.K. to adhere to a level playing field as that demand comes from the non legally binding “political agreement”.
The EU is panicking because if there is no deal and if the EU ramp up trade tariffs on the U.K. as they have threatened, the U.K. customer will start to shop cheaper elsewhere as free-trade deals are made around the world meaning the EUs trade surplus with the U.K. would diminish.
The question you have to ask yourself is Why would the EU deliberately make their own goods and service more expensive to a country that buy over a £100 billion more from the EU, than the EU does from the U.K.?
Is the EU really going to make themselves noncompetitive? The answer to that is the course they won’t because the German and French businesses would be up in arms and you would see more countries heading for the exit.
Bottom line is the U.K. has the upper hand in these negotiations and they are leading by example by offering the hand of friendship without ties, so both sides win. Will the EU accept it? I suppose only time will tell.