Britain will be on course for more distant economic ties with the European Union...
LONDON - Britain will be on course for more distant economic ties with the European Union, making the country poorer, if Prime Minister Boris Johnson wins parliamentary backing for the Brexit deal he clinched with Brussels on Thursday.
“Even if Boris Johnson does manage to close the deal, investor celebration of this might soon be dampened by the recognition that this is a fairly hard Brexit,” said Paul O’Connor, a fund manager at Janus Henderson. “This is more damaging than Theresa May’s Brexit in terms of economic impact,” said Anand Menon, UK in a Changing Europe’s director.
This period can be extended until the end of 2022, while Britain and the EU negotiate a new trade arrangement with fewer shared rules and new restrictions on cross-border trade in goods and services.Financial markets have reacted positively to the deal, as it lowers the risk of a disruptive no-deal Brexit.
While the bulk of the Johnson deal was seen as largely the same as that agreed between the EU and May, analysts noted that May’s aspirations for a close future trading arrangement had been watered down in the political declaration accompanying it.
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