Call for Brexit ‘divorce’ analyses

– British lawmakers have asked Chancellor of the Exchequer Philip Hammond and Bank of England governor Mark Carney to produce and publish analyses on the impact of Brexit ahead of a vote on the final divorce deal with the European Union (EU).

The findings will fuel a battle between those who favour Britain staying close to the EU – Hammond’s preferred option – and those who want a clean break.

Parliament’s Treasury select committee has written to Hammond, Carney and Andrew Bailey, chief executive of the Financial

London

Conduct Authority, in letters released to the media yesterday.

The committee wants the finance ministry to assess the longterm economic and fiscal impact of implementing the final divorce settlement once it has been negotiated and of the impact of a no-deal Brexit whereby Britain crashes out of the bloc next March.

“Any estimates of potential future costs and benefits of aligning with the EU acquis (laws) as it changes should be assessed separately and the assumptions about the future changes clearly described,” the committee’s chair Nicky Morgan told Hammond.

“An assessment of winners and losers from the proposed changes and the likely countervailing impact on access to EU markets should also be produced.”

There should also be a shortterm economic analysis covering the five years from March.

Senior ministers meet on Friday in an attempt to agree Britain’s position in negotiations on the future shape of UK-EU trade relations. A parliamentary vote is expected soon on the deal Prime Minister Theresa May brings back from Brussels. – Reuters