The UK formally left the European Union on January 31, 2020, and the two are now in a transition period, which is due to end on December 31. That leaves a little over eight months for the two sides to agree on a trade deal and other aspects of their relationship, including the allocation of fishing rights in UK waters. Some have argued that, with all that needs to be done, eight and half months is not enough time. For its part, the EU has repeatedly suggested that the UK should ask for an extension, though, in fact, either party could make such a request anytime between now and July. Both parties would have to agree, of course, for the extension to take effect.
Last Thursday, April 16, the Managing Director of the International Monetary Fund,
Kristalina Georgieva
, weighed in urging an extension. She put the issue in the context of the coronavirus pandemic. Here is a portion of the BBC’s report on Ms. Georgieva’s comments:
[W]hen asked what she thought about the prospect of no trade deal this year and no extension to talks, [she] told the BBC that
because of the "unprecedented uncertainty" arising from the pandemic, it would be "wise not to add more on top of it".
"I really hope that all policymakers everywhere would be thinking about [reducing uncertainty]. It is tough as it is, let's not make it any tougher," she said.
David Frost
is the UK chief negotiator for the trade talks with the EU, and the tweet he put out last Thursday would seem to answer the question of an extension. We are not sure whether his tweet was issued before or after Ms. Georgieva’s BBC interview. In any event, Mr. Frost wrote:
As we prepare for the next round of negotiations, I want to reiterate the Government’s position on the transition period created following our withdrawal from the EU.
The transition ends on 31 December this year.
We [the UK] will not extend it. If the EU asks, we will say no.
So much for an extension. As for the negotiations, the next round of talks – virtual of course – is set to begin on Monday, April 20, with further rounds slated for the weeks of May 11 and June 1. The British government has published an agenda for next week’s talks (please see the link below.) Trade in goods, trade in services, and fisheries are all prominent items.
