Britain will suffer losses after Brexit, says Leo Varadkar
EU leaders meeting in Brussels yesterday agreed guidelines for phase II of Brexit, including a special clause which prevents Britain from backtracking on a deal for a frictionless border in the North.
The agreement allows the Brexit talks to move on from the divorce phase and eventually onto Britain’s future relationship outside the EU.
Britain will have two years to exit the EU. Under guidelines, it will have to comply with all EU laws during that period and talks on a new trade deal with the union will begin in March.
Mr Varadkar, speaking after the summit, made it clear that Britain will lose many benefits as it could not expect to have the benefits of a status quo relationship in trading down the line but still leave the EU.
“One thing is certain: That if you do leave the Customs Union and the Single Market, it is not possible to retain all the benefits of the Customs Union and the Single Market,” he said.
“It is a sad reality as Britain knows, in that position, they are going to lose things, they are going to lose some of the access they have currently in the European market.”
Mr Varadkar admitted there are diverse views among member states on the future relationship and trading arrangements the EU may have with Britain.
While Ireland wants this relationship to remain the same, Mr Varadkar said it is difficult to see how that “circle could be squared”. This is especially so if Britain wants the North to keep its existing EU relationship on trade and borders but it also wants to leave the union.
Mr Varadkar confirmed that special protections for the North, including a promise of no hard border, would be “stitched into” the final withdrawal deal for Britain.
Each parliament, including the Dáil, will vote on the final deal, he said. This could be a “challenge” as there are diverse views on Brexit.
Under the guidelines agreed in Brussels, Britain cannot renege on its promise to allow the North retain its existing open border and alignments with the Republic as well as with mainland Britain.
Under the Brexit transition deal, Britain will also remain bound by rules of the Customs Union, the Single Market, and the European Court of Justice, and continue to pay into the EU’s budget for two years.
Talks on the EU-UK relationship next year would be “tricky”, said Mr Varadkar.
European Commission president Jean-Claude Juncker said: “The second phase will be significantly harder than the first and the first was very difficult.”
