48 LEXPERT MAGAZINE
|
JUNE 2018
FEATURE
THE TRADE DIVORCE
of the century is literally an ocean
away. Yet as the UK prepares to leave the European Union on March
29, many Canadian businesses are watching closely to see whether it will
be Deal or No Deal. A deal, the so-called so exit done under friendly
transition agreement, will still see the UK leave the EU as planned but
remain largely under the EU's umbrella until the end of 2020 to negoti-
ate new trading arrangements with its former partners. It would also be
free to sign bilateral trade deals with other countries during the transi-
tion period.
But that turns on having a signed withdrawal agreement, which the
European Parliament wants in October. However, a dra agreement is-
sued in February has caused an uproar in the UK over the proposed trade
treatment of Northern Ireland, raising questions of whether Britain will
be able to meet the deadline.
Without a signed withdrawal agreement, the UK is le with the so-
called hard exit, meaning it will come crashing out of the European
Union on March 29th with no transition deal in place. On March 30,
it would revert to World Trade Organization standards, instantly wip-
ing out free movement of goods and services across borders with the 27
remaining EU countries as well as wiping it from 40 trade deals it had
As Britain
Exits Europe
THERE IS MUCH DEALING
STILL TO BE DONE
BEFORE THE UK LEAVES
THE EUROPEAN UNION
BY SANDRA RUBIN
PHOTO:
SHUTTERSTOCK
