Gove Complains EU Not Respecting Sovereignty in Brexit Talks

(Bloomberg) --

Cabinet Office Minister Michael Gove complained that the European Union isn’t treating Britain like a sovereign state in talks about the two sides’ future relationship, underscoring the risk of an economic shock at the year-end if they can’t reach a trade deal.

He told a committee of lawmakers in London that in areas such as fishing and the future influence of EU institutions the bloc is asking for more of the U.K. than it does of other independent countries, something that is unacceptable to the U.K. The government has called for “political movement” from the EU if the talks are to avoid failing.

“The EU’s stance is particularly difficult and challenging,” Gove said to the House of Common’s Committee on the Future Relationship with the EU on Monday. “I’m confident the EU will want to operate in a constructive way.”

Gove’s emphasis on sovereignty exposes the disconnect between the two sides as time runs out for them to seal a deal. The EU’s chief Brexit negotiator, Michel Barnier, last week dismissed the idea that the U.K. is the equal of the EU, saying “the reality of this negotiation” is that it is one between a market of 66 million consumers and the EU’s 450 million.

Barnier also attacked the U.K. for failing to engage “substantially” in several key areas of the negotiations and for refusing to extend the deadline to reach a deal.

Focusing Minds

With the two sides at loggerheads, the U.K. looks increasingly likely to crash out of the bloc at the end of December without a trade deal, spelling disruption for businesses already grappling with the coronavirus pandemic.

Brexit Talks Marred by Accusation U.K. Is Running Down the Clock

Gove said he hoped the coronavirus crisis would “focus the minds” of EU negotiators on the importance of reaching a deal. He said the two sides would take stock of the talks in June. Asked about the chances of an agreement, the minister said they are now better than 50% -- but he also said he is a “terrible predictor.”

Earlier, Prime Minister Boris Johnson’s spokesman called for the EU to modify its demands in two key areas: continued access for European fishing boats and the so-called level playing field.

The U.K. argues that the current fishing system is unfair because it allows EU boats to catch more in British waters than domestic vessels. The EU argues that it needs to include measures to stop the U.K. undercutting the bloc’s economy in any agreement because of the country’s geographical proximity.

“All we are seeking is an agreement based on precedent,” James Slack told reporters on Monday. The British government is “ready to keep talking, but that doesn’t make us any more likely to agree” if Brussels doesn’t change its position, he said. “There will need to be a political injection on the EU side.”

Failure to strike an accord by Dec. 31 would mean the return of tariffs and quotas as well as the imposition of bureaucratic barriers for businesses.

(Updates with Gove comments from first paragraph.)

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