We certainly live in strange times. Before the Chequers away day where the cabinet sub committee decided on its "three baskets" approach we had the EU commission publish a slide presentation specifically ruling it out. Today, Phillip Hammond (HERE) is expected to set out details of the government's position on the financial sector. We want a comprehensive special trade deal including access for our banks to the single market. Unfortunately, yesterday the French finance minister Bruno Le Maire told us this is not possible. The best we can expect is something called equivalence, a much reduced status which is hard to get and easy to lose.
The Brexit farce is now in full swing. We take months and even years to reach a position which the EU rule out just before we announce it.
If the fantasy of a financial section in any new trade arrangement was obtainable (it isn't but let's assume it might be) it would mean rewriting a lot of EU law. Remember, we would also be asking them to renegotiate many existing FTAs with other countries to give them something like our new found status inside the EU. The same applies to EU law in respect of agencies. Third countries are not permitted to be members of some, including the European Medicines Agency, so more changes needed to allow our participation.
So, we are not only asking to cherry pick, or double cherry pick as the recent leaked EU analysis of May's Mansion House speech claimed (HERE), but we want the EU to undertake years of treaty change to accommodate it. Think about it. Would we do the same for Scotland if it ever leaves the UK?
Michel Barnier often talks about the UK closing doors, soon there will be just two doors left for us. One will be marked WTO and the other Continued EU membership. Bring it on, no British politician or party could afford to choose the former, no matter what Farage thinks.
I believe Hammond's speech is the last in the Road to Brexit series but I don't believe we have taken a single step further forward.
The EU summit takes place on the 23rd of this month, in just over two weeks time. Not only are we still unclear about what we want from the future trade deal, Davis has admitted differences still remain on the phase 1 issues and the transition. He doesn't even know how many areas of difference there are (HERE) and thinks it's about eleven. The ticking of the clock is becoming louder and more persistent.
