Brexit news - David Davis drops hint about Britain's plans for EU transitional deal
GETTY Brexit secretary David Davis
The Brexit secretary said ministers will seek individual agreements for different sectors, such as finance, car manufacturing and agriculture, which would expire at different points in the future. Such a scheme would allow some parts of the economy to enjoy continued Single Market access for longer than others - something which is likely to be controversial both at home and abroad.
Mr Davis’ remarks could spark a bunfight within Whitehall with representatives of different sectors all pressing ministers to secure the best possible terms for their employers. It is also likely to receive a dim reception in Brussels, where eurocrats are extremely wary of any attempts by Britain to hive off preferential access to the crown jewel areas of the Single Market.
The senior eurosceptic also revealed that he had not been briefed on a joint comment piece by Remainer chancellor Philip Hammond and Brexiteer Liam Fox on the need for a transitional deal beyond 2019. In a sign of the dysfunctionality still wracking the Cabinet - which Mr Davis jokingly described as “captives” - he was not told the pair were planning to pull the stunt despite being the UK’s chief negotiator. Political opponents today described the situation as a “complete farce” and said it proved there was no unity within the Government over its Brexit strategy despite protestations from Theresa May. Mr Davis made the remarks, which will certainly raise eyebrows in Number 10, in an astonishingly straight-talking interview with the former SNP leader Alex Salmond at the Edinburgh Festival.
Much of this will be driven not by ideology, but by practicalities David Davis
On the Government’s plans for a transitional deal, which have not yet formally been published, he said: “It will differ with different things. Much of this will be driven not by ideology, but by practicalities. “When you get the customs system in place, what you do about financial services and so on. That’s why the implementation period comes into play with different people in different ways." He said certain sectors, and particularly the crucial financial services industry, will need a lengthier transitional period to “make any adjustments” to life outside the EU. And in remarks which may prompt worry in Brussels he added: “It may well vary by sector. What will help the financial sector of Edinburgh? What will make sure it doesn’t take any hits?
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