Seven vital issues and what she really meant

THERESA May outlined plans for a two-year transition period that could see the UK stay in the single market in all but name until 2021. Here Political Editor JASON GROVES examines what she said and what she meant.

THE TWO-YEAR TRANSITION

WHAT SHE SAID: ‘During the implementation period access to one another’s markets should continue on current terms and Britain also should continue to take part in existing security measures.’ WHAT SHE MEANT: During a ‘timelimited’ transition of ‘about two years’, Britain would remain in the single market in all but name, making EU budget contributions, respecting freedom of movement and accepting a role for EU judges.

THE CASH CONTRIBUTION

WHAT SHE SAID: ‘I do not want our partners to fear that they will need to pay more or receive less over the remainder of the current budget plan as a result of our decision to leave. The UK will honour commitments we have made during the period of our membership.’ WHAT SHE MEANT: Mrs May is willing to continue to make contributions worth £9-£10billion a year until the end of the current EU budget, which runs to the end of 2020. Legal experts say the UK could then walk away without paying, but Mrs May’s pledge to ‘honour commitments’ suggests the final ‘divorce bill’ could be even higher once the costs of pensions and joint programmes are factored in.

SECURITY

WHAT SHE SAID: ‘The United Kingdom is unconditionally committed to maintaining Europe’s security. And the UK will continue to offer aid and assistance to EU member states that are the victims of armed aggression, terrorism and natural or manmade disasters.’ WHAT SHE MEANT: EU leaders were alarmed by hints in Mrs May’s Article 50 letter in March that suggested the UK could withhold defence and security co-operation if the EU tried to impose a punitive trade deal. Yesterday she moved to reassure them this would not happen.

CITIZENS’ RIGHTS

WHAT SHE SAID: ‘We want you to stay; we value you; and we thank you for your contribution to our national life – and it has been, and remains, one of my first goals in this negotiation to ensure that you can carry on living your lives as before. I am clear that the guarantee I am giving on your rights is real.’ WHAT SHE MEANT:Mrs May went further than ever before in trying to reassure the three million EU citizens in the UK that they will not have their rights torn up after Brexit. She even suggested a role for the European Court of Justice in guaranteeing their future rights.

TRADE TALKS

WHAT SHE SAID: ‘We do not start with a blank sheet of paper, like other external partners negotiating a free trade deal from scratch have done. In fact, we start from an unprecedented position. For we have the same rules and regulations as the EU. So the question for us now in building a new economic partnership is not how we bring our rules and regulations closer together, but what we do when one of us wants to make changes.’ WHAT SHE MEANT: Mrs May sketched out an upbeat vision of a future ‘economic and security partnership’ with Europe. She ruled out either the ECJ or the UK courts ruling on trade disputes, suggesting an entirely new arbiter.

FUTURE RELATIONSHIP

WHAT SHE SAID: ‘One way of approaching this question is to put forward a stark and unimaginative choice between two models: either something based on European Economic Area membership; or a traditional Free Trade Agreement, such as that the EU has recently negotiated with Canada. I don’t believe either of these options would be best for the UK or best for the EU.’ WHAT SHE MEANT: Mrs May set aside the Cabinet row over whether to pursue a Norwegian or Canadian style model in future. She said any deal would have to be unique, recognising Britain’s determination to set its own laws.

NORTHERN IRELAND

WHAT SHE SAID: ‘We will protect progress made in Northern Ireland over recent years – and the lives and livelihoods that depend on this. We and the EU have committed to protecting the Belfast Agreement and the Common Travel Area and, looking ahead, we have both stated that we will not accept any physical infrastructure at the border.’ WHAT SHE MEANT: Mrs May gave little clue as to how the vexed question of the Irish border will be resolved. But her commitment to avoid ‘physical infrastructure’ – a ‘hard border’ – will be welcomed on both sides. ANALYSIS