Boris Johnson: a month for an agreement, or I'm finishing talks with the European Union

The British Prime Minister, Boris Johnson, announced that Brexit negotiations with the European Union must be completed by October 15 this year. If not, it will cut off all conversation immediately. And he emphasizes that he is doing it for the sake of his country and the well-being of its citizens.

Recall: because of the turbulent months in the British parliament, the British decided in a referendum that they would leave the European Union. It quickly turned out, however, that it was not that easy. A country that is one of the driving forces of the European economy and considered to be the financial center of Europe, had to settle a lot of issues with the European Union: from how the control at the UK's borders should look like, through the work of EU members in the British Isles, to numerous financial and trade agreements, etc. . And the talks are not easy at all, because both sides not only want to win as much as possible and protect themselves the most, but the negotiations are also full of regret on both sides because of Brexit. And they haven't moved forward an iota for some time.

Boris Johnson: Cut-off date October 15

“We are now entering the final phase of our negotiations with the European Union. The EU was very clear about the timetable. And I did it too. An agreement with our European friends must therefore be concluded before the European Council meeting on 15 October. If not, it will not enter into force by the end of this year. So it makes no sense to think about terms that go beyond this point. If we are unable to reach an agreement by then, I don't see any possibility that a free trade agreement will be concluded between us, so we should accept it and move on. " - Johnson wrote in a statement published on Sunday night Monday.

The market accepted these words with disappointment, because once again it turned out that Brexit was just the beginning. So there is still a lot of uncertainty, and the pound has slipped against both the weak dollar and the euro in recent weeks.

Chart GBP / USD, D1 interval. Source: xNUMX XTB.

Sharp negotiations or quick payback?

This is not the first surprise from the British prime minister, who is a master of social engineering, and the timing of this statement is of course also not accidental. It is on Tuesday, 07.09.2020/31/2020, that the next, eighth round of negotiations begins, which is to establish relations between Great Britain and the European Union after December XNUMX, XNUMX. This is where the post-Brexit transition period ends.

“If we don't sign any new documents, we'll have a trade deal with the EU, just like Australia has. I want to make it absolutely clear that - as we have said from the very beginning - this will be a good result for Britain. As a government, we prepare ourselves, at our borders and in our ports, to be ready for it. We will be in full control of our law, our regulations and our fishing waters. We will be free to enter into trade agreements with any country in the world. And thanks to this we will prosper " - underlines British Prime Minister Boris Johnson.

This may mean that it does not want to sign an agreement with the EU and act like Australia, which is based on the general rules of the World Trade Organization. On the other hand, the prime minister would like to provide practical solutions to his citizens in the field of passenger flights, scientific cooperation and transport. However, there are many indications that this year's talks will end in failure, because Boris Johnson does not leave much room for negotiations.

“Even at this late stage, if the EU is ready to rethink its current position and agree with us, I will be delighted. To achieve this, however, we cannot and will not compromise on the basics of what it means to be an independent country " - ends the head of the British government.