Newsdeck: EU Set to Force U.K. Into Long Brexit Delay in Danger for May By Bloomberg
European Council President Donald Tusk rejected May’s request for a brief postponement to the U.K.’s membership, saying it would create a “rolling series of short extensions and emergency summits, creating new cliff-edge dates.”
After months of uncertainty and knife-edge votes in the British Parliament, the prospect of a lengthy extension is good news for business, which wanted to avoid a cliff-edge departure at all costs. But the long delay is another political defeat for May, who had promised repeatedly to take the U.K. out of the EU by March 29.May’s ruling Conservative party has almost run out of patience with her leadership. Rival candidates to replace her are already engaged in barely concealed campaigning.
But the EU has no legal way of curtailing Britain’s voting rights so will rely on the incentive of a future trade deal to make sure the country behaves reasonably, according to a person familiar with discussions at a meeting of the bloc’s envoys on Tuesday. Tusk, who tends to take a friendlier line toward the U.K., reminded leaders that Britain remained a member with “full rights and obligations.”
Still, there were hints on Tuesday that the government was willing to rub out some of its red lines and offer Labour one of its key demands: a customs union.
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