British Prime Minister Boris Johnson wants to be able to deviate from European rules after the transition period ends later this year. He is even willing to forgo a trade agreement with the European Union if necessary. Johnson said this on Monday in a speech in London about the British approach in the upcoming trade talks with the EU.
On the other hand, the European Union has consistently stated that a prerequisite for a trade agreement with Great Britain is reaching consensus on enforcement of minimum criteria and ensuring that European citizens and companies do not suffer disadvantages, EU negotiator Michel Barnier indicated on Monday.
The EU is willing to conclude an "ambitious" free trade agreement with the United Kingdom, without quotas and tariffs, on the condition of open and fair competition. All goods entering the EU in the future must comply with EU safety and health regulations, as well as European social and environmental norms and standards. The key to this "special offer" lies with British Prime Minister Boris Johnson, according to the EU.
According to Johnson, however, there is no necessity for the United Kingdom to conform to EU rules. But if London refuses to sign an agreement on a "level playing field," the EU says there can be no question of a tariff-free trade agreement. The UK and the EU would then revert to World Trade Organization rules, which could lead to mutual import tariffs. In that case, Brexit at the end of this year would effectively amount to a no-deal Brexit, a risk that pro-EU British politicians have always warned about.
Barnier indicated on Monday that it remains important to prepare for such a no-deal Brexit. Johnson seemed to accept this risk in his speech. He indicated that the United Kingdom preferably wants a trade agreement similar to that between Canada and the EU.
If that fails, Johnson wants to fall back on the arrangements made in the departure agreement from the EU. This means that from 2021 Great Britain will be outside the European internal market and customs union if no trade deal is reached. Northern Ireland would, in practice, remain subject to EU rules.