‘Sort the Irish border, then we’ll talk Brexit’
Tusk warns Britain the EU is putting ‘Ireland first’
‘My response is: “Ireland first”’ ‘The language of a gang’
DONALD Tusk has warned the UK there can be no more progress on Brexit talks until it provides solutions on the border question, insisting: ‘Ireland first.’
The president of the European Council yesterday met Leo Varadkar in Dublin where they discussed draft trade guidelines published by the 27 remaining EU member states. Mr Tusk used the opportunity to send a message to British premier Theresa May, telling her there can be no ‘backsliding’ on the commitments given in the December joint report. He said the time has come for clear, practical solution to the border question.
He said if the UK fails to come up with workable, practical plans in solving the border issue, then the backstop agreement from December should apply.
This would require the North maintaining regulatory alignment in compliance with the Single Market while keeping the North in the Customs Union.
Noting Britain’s criticism of the draft text, Mr Tusk said: ‘As long as the UK doesn’t present such a solution, it is very difficult to imagine substantive progress in Brexit negotiations.
‘If in London someone assumes that the negotiations will deal with other issues first, before moving to the Irish issue, my response would be: Ireland first.’
Mr Tusk has talked up a zerotariff trade deal with Britain but ruled out a deal on financial services, a move which could push the talks towards a stalemate.
‘Services are about common rules, common supervision and common enforcement to ensure a level playing field, to ensure the integrity of the single market and, ultimately, also to ensure financial stability,’ he said.
‘This is why we cannot offer the same in services as we can offer in goods. It’s also why FTAs [free trade areas] don’t have detailed rules for financial services.’
He said: ‘We should all be clear, when it comes to financial services, life will be different after Brexit.’
This was a direct response to a speech made by British chancellor Philip Hammond when he said the UK could walk away from any deal that does not include financial services.
Mr Hammond said it was time to ‘address the sceptics who say a trade deal including financial services cannot be done because it has never been done before’.
He added: ‘It’s hard to see any deal that did not include financial services can look like a fair and balanced deal.’
And in a further example of worsening EU-UK relations, British trade secretary Liam Fox yesterday accused Europe of acting like ‘gang leaders’ over the limitations placed on the future trade deal. ‘The idea of punishing Britain is not the language of a club, it’s the language of a gang,’ Mr Fox told the British Chamber of Commerce annual conference.
‘We need to begin this argument by putting politics aside and do what is in the economic interests of the people we represent.’
In December the UK committed to preventing a hard border on the island of Ireland and avoiding new barriers between Britain and the North. The EU is insistent that Ireland’s concerns will not fall by the wayside.
Mr Tusk said: ‘Since my last visit here in Dublin, I have spoken to virtually every EU leader, and every one of them – without exception – declared that among their priorities are protecting the peace process and avoiding a hard border. The EU stands by Ireland. This is a matter between the EU27 and UK, not Ireland and the UK.’
The Taoiseach thanked Mr Tusk for his ‘unwavering support’ throughout the Brexit process for Ireland’s ‘unique concerns.’
Mr Varadkar suggested the EU27 is still holding on to the hope that the UK will change its mind on leaving the Customs Union and Single Market.