Chief EU negotiator Michel Barnier said that Brexit talks have reached a point where a messy departure of the UK cannot be left off the table, as time is running out. Barnier’s words let the British pound trade down as much as 0.6% against the euro.
Barnier said there had been no discussions over the bill that has to be agreed upon the two sides start trade talks, moving to the next level. “No deal will be a very bad deal, huh? And to be clear on our side we will be ready to face any eventualities and all eventualities,” Barnier, told the Brussels press corps on Thursday.
“We have reached a state of deadlock which is very disturbing for thousands of project promoters in Europe and it’s disturbing also for taxpayers,” elaborated the EU’s chief negotiator on the financial settlement, the one of the three key issues that have to be settled, that carries the greatest political cost for the UK.
Furthermore, Barnier noted that the British Prime Minister Theresa May had pledged in her speech in Florence in September that the still member state would continue to pay into the EU budget for two years after the divorce. However, this wasn’t followed up in the negotiations this week, leaving Barnier disappointed, as May asked for a two-year transition period to ease the anxiety for businesses, an issue that the EU denies to put on the table before other issues are solved.
This leaves the UK in greater uncertainty than before, as starting trade talks in December only if enough progress is achieved as the EU-27 heads of state and government will give the green light at a summit in December.