UK 3rd country status
trade talks. Mr Davis said EU agencies have issued guidance to businesses stating the UK will become a “third country” after March 2019, with no reference to a future trade deal.
The guidance says “compliance activity”, such as quality control of goods, “would need to be based” in the EU or European Economic Area.
Other statements on legal services and the transport industry do not take into account a transition period or trade deal, he said.
Mr Davis called the moves “potential breaches of the UK’s rights as [an EU] member state” and insisted “we cannot let these actions go unchallenged”. John Longworth of Leave Means Leave, who will meet EU chief negotiator Michel Barnier with a business delegation today, added: “The EU’s negotiating team is looking increasingly out of step with the mood of many of the EU27 national governments who recognise the importance for their own economies that a free trade deal is reached with the UK.
“I will urge Mr Barnier to ensure that this is rectified and reflected in future negotiations.”
Mr Barnier yesterday signalled that he is preparing to allow EU access to Britain’s financial services industry after Brexit, telling business leaders in Brussels he wants the bloc to be able to recognise British law. In the past he has said current “passporting arrangements” would end.