The Times is reporting that the EU are considering offering us single market membership for goods only without freedom of movement. The story is behind a paywall but the Mail carries it HERE (sorry). It is described as the Jersey model, since the Channel islands are not strictly speaking in the EU but they are part of the customs union and in the single market for goods only.
The press is reporting it as the EU climbing down and perhaps it is, but they will also be asking for something in return and this apparently is abiding by all EU future environmental and social Regulations and Directives. I assume the thinking is this: the EU can say we've made a big step towards you, now you must do the same.
I found this on the Brussels Channel Islands website (HERE) :
"The Islands are not part of the United Kingdom, but the UK is constitutionally responsible for the Islands’ defence and for formal international representation, while Channel Islanders are British Citizens. The Islands enjoy a high degree of autonomy, including their own fiscal and judicial systems, and receive no financial subsidy from the UK or the EU. The constitutional relationship between the Crown Dependencies (the Bailiwicks of Guernsey and Jersey, and the Isle of Man) and the UK and the EU is different to that of the UK Overseas Territories.
"The formal relationship between the Channel Islands and the EU is enshrined in Protocol 3 of the UK’s 1972 Accession Treaty, and confirmed in what is now Article 355 (5) (c) of the EU Treaties. Under Protocol 3, the Islands are part of the Customs Union and are essentially within the Single Market for the purposes of trade in goods, but are third countries (i.e. outside the EU) in all other respects. However, the Channel Islands have a close relationship with the EU in many different fields, not simply those covered by the formal relationship under Protocol 3. Both Jersey and Guernsey voluntarily implement appropriate EU legislation or apply the international standards on which they are based."
Of course, this is just speculation at the moment with no conformation at all that there's a word of truth in it. There are big risks on the part of the EU anyway, other countries in the bloc may ask for the same even if we reject it. We will reject it of course, there is zero chance of it being accepted by the Brexiteers, but by making the offer it will be seen as a precedent. The EU will have to dress it up as unique in some way. Essentially, we are being offered a slimmed down EEA without freedom of movement. We will be a rule taker and lose access for services, including financial services and we may well have to follow ECJ rules for much of the acquis although I don't see this mentioned in the report.
It may all be a ploy to allow the EU to say we tried to be flexible, we offered something never offered to any significant third country before. But they also know it will never be acceptable to Brexiteers.
