Tories planning a temporary customs union to ease exit
BRITAIN may now seek a temporary customs union with the EU after Brexit to ensure a smooth switch-over.
After both Chancellor Philip Hammond and International Trade Secretary Liam Fox insisted we would exit both the single market and the customs union, it emerged Brexit Secretary David Davis will ask for an interim arrangement.
The Department for Exiting the EU said: “This will provide certainty and ensure businesses only have to adjust once to a new relationship.”
The UK cannot start talks on trade deals with non-EU countries until after Brexit but could so in this temporary phase.
The Government today publishes two visions for the long-term customs deal after it leaves the EU and after any temporary arrangement. One would involve a “streamlined” border with as few trading barriers with the EU as possible. The other would mean a new partnership with the EU that would do away with the need for a customs border. Labour MP Chris Leslie blasted the report saying: “It is a fantasy to pretend we can have the most frictionless trade possible when the Government remain intent on pulling Britain out of the customs union.” Lib Dem Tom Brake said: “We’re in the customs union or not – you can’t be half pregnant.” The Government unveils possible plans for Northern Ireland’s border tomorrow. It said there will be “no return to hard borders”.