Politicians and firms alarmed as no-deal gets nearer

THE European Union warned the UK last night that ‘time is almost up’ after Theresa May’s Brexit deal was rejected by MPs in the worst defeat in modern British politics.

Some 432 MPs, including a third of Conservatives, voted against the Withdrawal Agreement versus 202 votes in favour – a margin of 230 and a historic defeat for a UK government.

With 74 days until the UK formally leaves the EU, European Commission president JeanClaude Juncker warned that the threat of a no-deal Brexit has lurched closer.

He said: ‘The risk of a disorderly withdrawal of the United Kingdom has increased with this evening’s vote.

‘While we do not want this to happen, the European Commission will continue its contingency work to help ensure the EU is fully prepared’.

‘I urge the United Kingdom to clarify its intentions as soon as possible. Time is almost up,’ he added.

Mr Juncker said the rejected agreement was ‘a fair compromise and the best possible deal’.

He said: ‘It reduces the damage caused by Brexit for citizens and businesses across Europe. It is the only way to ensure an orderly withdrawal of the United Kingdom from the European Union.’

In Dublin, preparations for a nodeal Brexit are being ramped up in the key areas of medicines and travel.

Reacting to the result, Foreign Affairs Minister Simon Coveney urged people to be ‘patient and calm’.

He told RTÉ news: ‘We regret the decision but we’re not hugely surprised by it. The predictions were consistent enough over the last few days that this would be a heavy defeat.

‘We now need to be patient and calm to allow this process in Westminster to take its course.’

Exactly how Britain will respond remains to be seen as options such as a second referendum, a general election and even a halting of the Brexit process are all being speculated upon.

Fianna Fáil leader Micheál Martin was of the view that the UK will decide to hit the pause button.

‘We could potentially be looking at an extension of Article 50,’ he told RTÉ News about the mechanism under which the UK is leaving. ‘What we can do, what we control here, is our preparations. To keep calm, steady, but also to ensure that no stone is left unturned in terms of what has to be done to prepare for all scenarios.’

But Labour leader Brendan Howlin said: ‘We’re more likely to see a second referendum than any other conclusion, because I think the only other thing that could be possibly happen is a disorderly exit. The vast majority of MPs in Britain are against that.’

Mary Lou McDonald urged Taoiseach Leo Varadkar to stand firm on the backstop.

The Sinn Féin leader said: ‘Ireland’s people, Ireland’s economy and Ireland’s peace process all need to be protected as we go forward now.’ Business groups across Ireland reacted with alarm to the rejection of the Brexit deal in Westminster.

John McGrane of the British Irish Chamber said the Withdrawal Agreement was the only way to ensure an orderly Brexit.

He said the result ‘pushes a nodeal Brexit’ closer, which would be ‘armageddon’ for the farming industry.

Mr McGrane said: ‘Although expected, businesses across these islands will be disappointed by the outcome of this evening’s vote and the unprecedented uncertainty that it will cause.

‘There is a business imperative that we avoid a “no-deal” Brexit.

‘We await the UK Government’s “Plan B” and hope it will offer a way forward that not only secures the support of politicians but will also deliver certainty and security for business, trade and jobs.’

He also said: ‘Companies of all sizes are now reaching the point of no return with many now implementing contingency plans that are a large drain on time and money. All this stems from the lingering prospect of a “no-deal” Brexit that will be highly damaging for UK-Ireland trade and must be avoided.

‘With €70billion worth of trade sustaining 400,000 jobs hanging in the balance, the Chamber urges parliamentarians on all sides to come together to find a way forward that avoids this outcome.’

The Northern Ireland Chamber of Commerce urged the Westminster government to ‘move beyond tactical manoeuvring and look at all the options in order to avoid a no-deal scenario’.

Irish Farmers’ Association representatives are to go to Brussels today to meet EU Agriculture Commissioner Phil Hogan to seek support in the event of a no-deal Brexit.

‘Armageddon for our farming’