EU says sorry over punishment clause

BRUSSELS CORRESPONDENT, Steven Swinford

Kate Mccann

THE European Commission has been forced to apologise to diplomats from the 27 EU member countries for the “inappropriate wording” of a Brexit punishment clause.

Michel Barnier, the EU’S chief Brexit negotiator, last week defended the clause as “perfectly normal” but had to redraft the language following a furious reaction from David Davis, his opposite number, amid fears it could trigger a British walkout.

The clause took away British voting rights in the EC but gave Brussels the ability to apply tariffs, withdraw access to the single market and even aircraft landing rights if the UK refused to accept new and existing EU laws during the transition period.

It came as Theresa May travelled to Berlin today to meet Angela Merkel, the German chancellor, who warned her that Britain must have “concrete” ideas on future relations.

An EU document last week sparked fury when a punishment clause was buried as a footnote. Brussels justified it by saying the European Court of Justice would be too slow to enforce judgments on Britain during transition.

Mr Davis branded the clause “frankly discourteous” as a week of negotiations ended in bad-tempered division. He accused Mr Barnier of wanting to have it “both ways” after Brussels rejected British demands for the right to object to any EU laws introduced during the transition period.

EU officials moved swiftly after concerns that the clause would jeopardise the prospects of a final Brexit deal at a meeting on Tuesday.

An EU diplomat, speaking anonymously, told The Daily Telegraph: “The commission apologised. They said they had worded the clause inappropriately.” Diplomats demanded new language for the transition deal, saying normal procedures for countries breaking EU law would be followed. The rare mea culpa from Brussels is a sign of the commission’s keenness to maintain the painstakingly constructed united front of the EU 27 in the face of Brexit. It is also a rare mis-step from Mr Barnier, who with his eyes on the presidency of the EC, has been keen to project an image of scholarly infallibility.

The transition period, which will afford businesses much-needed certainty with the Brexit deadline looming, has proved controversial. The Telegraph recently revealed that at least 37 EU laws would be imposed on Britain during transition, among them legislation that paves the way for EU agency staff to carry out raids on financial services firms in London after Brexit.