The likelihood of Britain quitting the European Union without any plans for future dealings seems increasingly possible.
Media rumor has it that a Brussels gathering between top EU and UK officials left the notion that a no-agreement Brexit is so far the new UK Prime Minister Boris Johnson’s priority.
According to UK news sources, the PM sent a diplomat to Brussels with a clear requirement that the UK will only make arrangements for future deals if EU representatives drop their obligation to the Irish border backstop.
The Irish backstop is a treaty meant to prevent the erection of no solid boundary on the island of Ireland to separate Northern Ireland and the Republic of Ireland.
The two countries maintain that they won’t erect a border, but a cohort of policymakers in Britain feel this move would lead to custom ties between the UK and the EU.
In a recent media briefing, a Britain government spokesman told journalists that the dilemma situation means that Britain is open to discussion with the EU ahead of the Oct. 31 cut-off date.
The spokesman maintained it was unfortunate that the EU would not agree to new talks while the British government is willing to have a discussion.
The Drivers behind a No-agreement Brexit
According to the Bank of England, an exit with a contingency plan would lead to a slump in the country’s economy. The red flags are already visible; sterling has dropped over the past few weeks to stand at around 1.22 put side by side with the dollar.
Analysts have warned that Britain is almost running out of negotiating grounds and may quit the union without an agreement. Again, the move to insist on the Oct. 31 Brexit deadline was not a smart way to handle new would-be allies.
Meanwhile, some political analysts say the no-agreement exit is the new Prime Minister and his administration’s sacrificial lamb for the Conservative Party.
The party is currently hanging on a thread with the majority of a single representative in the House of Commons. Speculations are that some Parliament members will outvote the administration in any attempt to exit without an agreement.
The consequences of a no-agreement exit could be far-reaching. Britain officials must put their political motives aside and work towards ensuring a frictionless exit from the EU.
Author Bio: Payment industry expert Taylor Cole is a passionate merchant account expert who understands the complicated world of accepting credit and debit cards at your business. His understanding of the cheapest merchant services has helped the industry has helped thousands of business owners save money and time.