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May challenges EU as Brexit talks hit 'impasse', sterling tumbles


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May challenges EU as Brexit talks hit 'impasse', sterling tumbles

By Guy Faulconbridge and Andrew MacAskill

 

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Britain's Prime Minister Theresa May makes a statement on Brexit negotiations with the European Union at Number 10 Downing Street, London September 21, 2018 . Jack Taylor/Pool via Reuters

 

LONDON (Reuters) - British Prime Minister Theresa May said on Friday that Brexit talks with the European Union had hit an impasse, defiantly challenging the bloc to come up with its own plans a day after EU leaders savaged her proposals.

 

At a summit in Austria on Thursday, EU leaders rejected May's "Chequers" plan, saying she needed to give ground on trade and customs arrangements for the UK border with Ireland.

 

The British media said the response had left her proposals in tatters, and May angrily struck back in a televised address from her Downing Street office, saying neither side should expect the impossible from the other.

 

"Throughout this process, I have treated the EU with nothing but respect," May said. "The UK expects the same. A good relationship at the end of this process depends on it."

 

Sterling extended its losses as May spoke, falling to as low as $1.3053, and was down around 1.5 percent on the day, putting it on course for its biggest one-day drop this year, over growing fears Britain could leave the EU without any deal.

 

May has said her Chequers proposals for trade with the EU, which would resolve arguments over the border of Northern Ireland with the Irish Republic, were the only way forward. EU leaders in Salzburg repeated their view that the plans would undermine their cherished single market.

 

After the summit, EU leaders said they would push for an agreement next month, but both sides have warned they are planning for a no-deal scenario.

 

"It's not acceptable to simply reject the other side's proposals without a detailed explanation and counter proposals," May said. "So we now need to hear from the EU what the real issues are, what their alternative is, so that we can discuss them. Until we do, we cannot make progress."

 

In Brussels, European Council President Donald Tusk said after May's comments he was convinced that the European Union and Britain could still find a compromise.

 

"While understanding the logic of the negotiations, I remain convinced that a compromise, good for all, is still possible," he said in a statement. "I say these words as a close friend of the UK and a true admirer of PM May."

 

May, who commands a majority in parliament only with the support of a small pro-Brexit Northern Irish party, said she could not agree to any deal which treated Northern Ireland differently to the rest of the United Kingdom.

 

Arlene Foster, the head of Northern Ireland's Democratic Unionist Party which supports May's government, welcomed May's tough stance against "disrespectful, intransigent and disgraceful" behaviour by the EU.

 

She said her party would veto any attempt to introduce a new regulatory barrier between the region and the rest of the United Kingdom.

 

The EU insists that there can be no hard border between the British province and the Irish Republic, with Northern Ireland remaining in the bloc's customs union or effectively establishing a border in the Irish Sea if no alternative deal is reached.

 

"WE STAND READY"

 

"I will not overturn the result of the referendum nor will I break up my country," she said. "We need serious engagement on resolving the two main problems in the negotiations and we stand ready."

 

However, she said no matter what happened, the rights of three million EU citizens living in the United Kingdom would be protected.

 

Earlier, her Brexit Secretary Dominic Raab said some EU leaders had shown unstatesmanlike behaviour in Salzburg.

 

"We've already compromised hugely with the Chequers proposals," Raab told BBC TV. "What we're not going to do is be salami sliced throughout this negotiation in a typical style that the EU engages in without movement on the other side."

 

For the British media, the message from Salzburg had been clear. "Your Brexit's broken," the Daily Mirror newspaper said.

 

Newspapers led their front pages with a Reuters picture showing May, dressed in a red jacket, standing apparently aloof and alone from a mass of suited male EU leaders.

 

May faces a fight with angry Conservative lawmakers at her party's annual conference from Sept. 30.

 

Many have voiced opposition to her plans, which they said would bind Britain into much EU regulation in return for free trade, and some would prefer a no-deal "hard Brexit" in March, despite warnings that would ravage the British economy.

 

"Theresa May's Brexit negotiating strategy has been a disaster," opposition Labour leader Jeremy Corbyn said. "The Tories have spent more time arguing among themselves than negotiating with the EU."

 

"The political games from both the EU and our government need to end because no deal is not an option."

 

Scottish First Minister Nicola Sturgeon called May's statement "dreadful" and warned that May's party would pay a high political price if there was "no deal".

 

In response to May's statement, the Confederation of British Industry and other business bodies said they wanted to see constructive dialogue, not rhetoric.

 

Last week, London Mayor Sadiq Khan added his voice to those including union and business leaders who said there should be a second Brexit referendum. Scotland's top court ruled on Friday that the European Court of Justice should consider whether Britain could unilaterally change its mind on Brexit.

 

"The referendum was the largest democratic exercise this country has ever undergone," said May, who has repeatedly ruled out a second vote following the original 2016 referendum. "To deny its legitimacy or frustrate its result threatens public trust in our democracy."

 

 
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-- © Copyright Reuters 2018-09-22
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Statement from PM May: (Ref:OP)

 

"It's not acceptable to simply reject the other side's proposals without a detailed explanation and counter proposals,". "So we now need to hear from the EU what the real issues are, what their alternative is, so that we can discuss them. Until we do, we cannot make progress."

 

Response from Donald Tusk: (Ref Link below)

 

"We studied the Chequers proposals in all seriousness. The results of our analysis have been known to the British side in every detail for many weeks”

 

One of these of these people is lying through their teeth.

 

And in the same breath talking about ‘respect’!

 

 

https://www.independent.co.uk/news/uk/politics/brexit-theresa-may-speech-eu-no-deal-chequers-plan-leaders-a8549346.html

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1 hour ago, Kwasaki said:

This has always been obvious the EU was never going to give way to UK or make a deal, they didn't want UK to leave.

Who cares how big the EU is it's a messy place to be for the UK.

Again obvious and said from the start no post-Brexit agreement, no deal is better than a bad deal.

If I was in charge ? I'd ignore the EU and start making plans for a no deal leave now. 

I mostly agree, except most leavers expected the eu to negotiate a reasonable deal.  It came as a bit of a suprise that they were not prepared to negotiate at all!

 

They made this clear from the start - and the brit. govt. made it equally clear that they were prepared to acquiesce when they agreed the eu's 'negotiating agenda' - money first, trade deal at the very bottom of the 'negotiating list'.....

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7 hours ago, terryw said:

May is an embarassment. Party members at the Tory conference next month need to stand up and tell her to resign.

I don't think Theresa had any choice but to make that statement and make it the way she did.  Not possible to go to conference looking as weak and humiliated as she was.  Actually I felt for her and I think it may have just helped herself a little.  The EU don't want to be blamed for the no deal conclusion, if that is where we end up and they do need to at least look as if they are willing to make find a workable deal.

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5 hours ago, Kwasaki said:

If I was in charge ? I'd ignore the EU and start making plans for a no deal leave now. 

Now? UK had 2 years to do and execute these plans. It's a bit late to start to form the plans at this time, don't you think?

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5 hours ago, Kwasaki said:

This has always been obvious the EU was never going to give way to UK or make a deal, they didn't want UK to leave.

Who cares how big the EU is it's a messy place to be for the UK.

Again obvious and said from the start no post-Brexit agreement, no deal is better than a bad deal.

If I was in charge ? I'd ignore the EU and start making plans for a no deal leave now. 

Nigel Farage was the main voice that tilted the scales that defeated Cameron . Farage was very easy to watch & listen too both in Brussels and UK TV especially BBC Question time type programmes . He was / is very well informed on the workings of the EC and could be almost impossible to defeat in a Brexit discussion . So was he used as an advisor to the Brexit negotiations ?    Of the Brexit team David Davis seemed to be a man of conviction & strength and his resignation must have been felt .  Now with our number one leader , TM , at the helm it feels a bit like asking a non swimmer to swim the channel , out of her depth .  

       The UK are the 3rd  biggest EU contributor and their withdrawal will leave a massive void . The UK are being given a hard time by the EU  to demonstrate to other countries not to take the same road  .  A lot will happen in the next few weeks as the situation becomes more volatile if a compromise on the Irish border is not made . The world is watching and I just wish we had a strong , positive leader  to deliver the best for the UK and take back control & governance . 

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6 minutes ago, superal said:

Nigel Farage was the main voice that tilted the scales that defeated Cameron . Farage was very easy to watch & listen too both in Brussels and UK TV especially BBC Question time type programmes . He was / is very well informed on the workings of the EC and could be almost impossible to defeat in a Brexit discussion . So was he used as an advisor to the Brexit negotiations ?    Of the Brexit team David Davis seemed to be a man of conviction & strength and his resignation must have been felt .  Now with our number one leader , TM , at the helm it feels a bit like asking a non swimmer to swim the channel , out of her depth .  

       The UK are the 3rd  biggest EU contributor and their withdrawal will leave a massive void . The UK are being given a hard time by the EU  to demonstrate to other countries not to take the same road  .  A lot will happen in the next few weeks as the situation becomes more volatile if a compromise on the Irish border is not made . The world is watching and I just wish we had a strong , positive leader  to deliver the best for the UK and take back control & governance . 

Agree and all said before, EU as I said before didn't want UK leave so obviously the EU wants to make an example of UK so any other members wanting to leave will get blackmailed , again obviously makes sense, the EU IMHO is heading into more problems other than UK brexit. 

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I personally changed my view from "are you Brits serious, or is this an episode from Monty Python?" to a die hard brexiteer.

The harder the better. No deal.

Of course the EU will suffer too, but it will be a small sacrifice in order to get rid of the "special exemptions" of the UK. And there will be no more reason to stop transmigrants from crossing the channel - presently the French and the Belgians are stuck with them, at great cost.

And then later the joy of seeing the UK begging to join again, under OUR conditions.

Remember De Gaulle saying "NO - Try again later"? This will even be better.

 

 

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58 minutes ago, superal said:

The UK are the 3rd  biggest EU contributor and their withdrawal will leave a massive void

In my view this is the most important point, the other countries are already arguing about who's going to make up the massive shortfall.

 

This is the main issue which has the potential to tear the EU apart.

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1 hour ago, superal said:

A lot will happen in the next few weeks as the situation becomes more volatile if a compromise on the Irish border

Let the EU set the bolder with there sponger member, why should the UK bother with it, Uk have already said what there position is on that, the EU is dumb as ever...

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