The European Commission is preparing for a worse- case scenario of a hard Brexit, the Financial Times reported on Wednesday.
The European executive is seeking a wider mandate, issuing more than 30 regulatory proposals that will allow Brussels to respond to various emergencies linked to a “no-deal” scenario. The European Commission is also preparing for the failure of Brussels and London to reach a transition period agreement.
Brussels has thus far issued 62 warnings for different sectors as to the consequences of Brexit.
Emergency regulatory powers are sought in the car industry, logistics, aerospace, financial services and professional qualifications. According to EU officials, legislative amendments will allow the European Commission to move swiftly in case of an abrupt UK exit, allowing financial service and legal consulting companies to operate for a limited period.
These emergency powers will allow the Commission to guarantee continuity in a tumulus political context, should the need arise. In addition, the European Commission will need to be able to swiftly revise regulations governing the sale of vehicles assembled or with UK car parts. Currently, it is unclear how vehicles partly made in the UK can be certified by the Vehicle Certification Agency.
The European Commission would also need to move swiftly to restrict the UK’s participation in the Galileo satellite programme and counter-piracy operations coordinated from London (Operation Atalanta).
The Commission is also preparing to move swiftly in the sharing of exports quotas on farm produce and car parts in the context of the World Trade Organization.