Monday, January 16, 2017

London says it is ready to battle for competitiveness – The Echo

Removing the single market, the european customs union and the european Court of justice : according to the british media, the First minister Theresa May will present Tuesday his plans to divorce with Europe, the procedure for which is expected to start in march. For its part, the Economy minister raised the possibility of a “change of economic model”, threatening a half-word the EU to use the dumping tax.

Theresa May intends to launch the procedure of divorce with the EU by the end of march, by activating article 50 of the Lisbon Treaty, which was to trigger a process of negotiations of two years. But it will have to rely on the decision of the supreme Court which must pronounce on the necessity or not to consult parliament before. Its decision is expected by the end of the month of January.

For months, Theresa May is in a hurry to reveal its strategy on the negotiations that will define the future relationship between the United Kingdom and the european Union.

In his speech Tuesday, she called on the Uk to unite and support the Brexit, pleading for an end to the “insults” and the rancor between pro – and anti-Brexit, has provided its services to Downing Street.

A “Brexit hard”

But according to british newspapers, it will raise the stakes of a “Brexit” hard – shrinkage of the single market, the european customs union and the european Court of justice, in order to regain control of european immigration.

Citing these three points, the Sunday Times, writing, as well as Mrs May will announce to want a “Brexit hard and within the rules”.

The Sun as “The triple shock wave May on the Brexit”, indicating that the First minister is going to “show it is serious by announcing output that is three blows of the EU“.

The Sunday Telegraph quotes a government source who claims that “people will know that when she said +The Brexit means the Brexit+, she really meant it”.

Downing Street has simply said that the speech will call on the country to “set aside old divisions and unite to make the Brexit a success”.

Control of european immigration

While the referendum of June on the Brexit had left the country divided (the pro-Brexit won only 52%), the majority of the British share the vision of a Uk “a safe, prosperous, outward-looking and tolerant,” says Downing Street.

“In presenting the government’s plan for the negotiations of the Brexit, the First minister will highlight the importance of building on common goals – such as the protection and improvement of workers ‘rights – and focus on a positive vision of Britain outside the EU”.

May has not revealed much so far about its strategy for the negotiations, but has already made it clear thatit would give priority to the control of european immigration, – one of the major themes in the debate on the referendum – on the access to the european common market, while its european partners have made clear that it could not have the one and the other.

The First minister, a partisan conservative of the maintenance in the EU during the referendum campaign, is expected to call on all parties to respect the outcome of the vote.

Whatever might have been their choice at the time of voting, the British and the parliament want the government to “move forward” on the subject, while the world economic expected to do their best with the Brexit, is expected to declare Ms. May, according to Downing Street.

at the same time, the minister of Brexit, David Davis, reiterated the proposal of a transitional agreement during the negotiations of exit from the EU.

“If necessary, we have said that we will consider a time limit for the implementation of the new provisions,” he wrote in the Sunday Times. “We do not want the failure of the EU, we want it to prosperous, politically and economically, and we need to persuade our allies that a new strong partnership with the Uk will help the EU to this.”

The chief negotiator of the EU-the Brexit, the French Michel Barnier, warned Saturday that the Europeans needed to be aware of the risk that will weigh on financial stability during the negotiations of the Brexit that will be difficult.l

tax Dumping?

Repeating that “the message from the referendum is that we need to control our immigration policy”, the Economics minister Philip Hammond said that this control will wear, for the nationals of the EU, “on the freedom of travel to come to work, the freedom to settle, and the freedom to create a company.”

It is that the other 27 countries of the european Union were firm since the result of the referendum of 23 June on the future access to the single market, and in opposition to London could benefit if it does not comply with the principle of free movement of persons, in particular the workforce of eastern Europe.Thus, they have refused consistently the choice by London Brexit “on the map”.

in the Face of the possible end of not receive european, Philip Hammond has warned that if the United Kingdom “has no access to the european market”, the country could “change the economic model” to “regain competitiveness”.

It was as well suggested by the opportunity to engage in tax dumping, lowering the taxes of companies based in the United Kingdom so that they remain competitive in spite of the customs of europe.

The government has already announced that it wants to by 2020, to reduce the corporate tax from 20% currently to 17%, which will be the lowest of all G20 countries. “Most of us who have voted to stay (in the EU) would prefer that the Uk remains an economy in a recognizable style european tax system, european type, a control system of the european type,” said Mr. Hammond, who had campaigned to stay in the EU. “But you can be certain that we will do what we have to do”, he cautioned.

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