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Deal or no deal – clarity is urgently needed

EU parliament confirmation that it is not able to approve trade deal before 31 January makes this imperative.

With just ten days to go until the end of the Brexit transition period the UK faces more uncertainty if the Government does not commit to a deal or no deal outcome of the trade negotiations.

Clarity is urgently needed so that businesses can prepare for a deal or no deal outcome on 1 January. Many deadlines have been missed and businesses are being left in limbo. We need a commitment from the Government now how we trade with the EU on 1 January.

The European parliament confirmed today that it is now not able to approve a trade deal outcome before 31 December. This leaves us with three options. First, we have a no deal outcome and can prepare for a World Trade Organisation trade relationship on 1 January. Second, a deal is agreed and can be approved by the European Council to come into effect temporarily on 1 January, until full ratification. Or third, both sides agree an extension of the transition period into the new year, to allow for more time and avoid further chaos.

The Government has its hands full dealing with an unprecedented health and economic crisis. The trade deal negotiations are too important to be compromised by time constraints now and an extension of the transition phase should be agreed. This is clearly what the business community would prefer to avoid major chaos on 1 January.

Would you like to know more?

If you would like to discuss the above or how it may affect you, please get in touch with your usual Blick Rothenberg contact or Alex Altmann, using the details to the right.

For any press queries, please contact David Barzilay whose details are to the right.

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