The government has started creating contingency plans for a ‘no deal’ scenario with the EU which is becoming ever more likely
“Project After” is a menu of options which the government will be able to take in the event of a no deal, along with opportunities that the UK will be able to take advantage of when she leaves the European Union in March 2019.
Ideas include joining an Asia-focussed trade pact and dropping all our tariffs.
Potential bilateral deals have made quite a bit of press – with the US, Canada, Australia and Japan. Another option might be for the UK to participate in some new multilateral trade deal, such as the CANZUK free trade agreement championed by the Canadian Conservative Party.
Such international agreements would be far more beneficial for the UK, it will give us more flexibility to create a future that works best for us, not one that works ok for us and ok for 27 other countries.
“Mr Fox has spoken about having around 40 free trade agreements ready to go on the day after Brexit. These are agreements the EU has with third parties, which cover 60 or so countries. He would like to replicate them – basically, cut-and-paste the terms into a temporary bilateral deal – to avoid transition bumps on day one after Brexit in March 2019.
Those 60-odd countries estimate they receive about $55bn of goods from the UK at the moment. The largest national markets covered by these deals, accounting for around $35bn of goods exports, are Switzerland, Norway, Canada and Korea.”
There’s even a chance hat the UK could join NAFTA.
Seeing how well the US/UK relationship is taking place, I can definitely see this happening.
Around 17 per cent of UK exports go to Nafta countries. That’s more than the percentage to the EEC6 when the UK joined the EEC.
The future looks bright for the UK outside of the EU, do you agree?