28 Mar
2019

Brexit deadlock 

The complex politics around Brexit have certainly intensified this week.  

How and when the UK leaves the EU is still unknown, and it is difficult to tell when we may get some clarity. 

However, this is what we do know:

  • We won’t be leaving the EU on 29 March, the earliest we could leave is 12 April, if we do leave on that date it would be without a deal.
  • Theresa May said she will not lead the next stage of the Brexit negotiations if her deal is voted through.
  • As yet there isn’t a new date for when MPs will have a third meaningful vote on the Withdrawal Agreement and Political Declaration. A debate has been announced for tomorrow, but it is unclear whether there will be a vote or what form any vote would take.
  • If the deal is approved by MPs before 12 April, then we would leave the EU on 22 May, and enter a transition period, which would keep everything the same until at least December 2020. 
  • There was no clear preference from the indicative votes in Parliament yesterday. However two votes only fell short by relatively slim margins; the vote on the principle of a customs union for the whole of the UK (lost by 8) and the vote on a confirmatory vote (lost by 27). MPs once again voted against leaving without a deal.

While MPs have said they do not want to leave without a deal, in order to avoid a no-deal exit, either a deal or a longer extension needs to be agreed, failing that Article 50 could be revoked. The UK has until 12 April to request a longer extension, which is the latest date to confirm whether the UK will put up candidates for election to the European Parliament.

Members should continue to plan for all eventualities and make customers aware of any actions they need to take in the event of a no-deal. We have updated our contingency planning guidance for Members, as well as our advice for customers at abta.com/Brexit and associated communications materials.

ABTA continues to work closely with Government departments on no-deal preparations and we are also in contact with officials in Brussels.

We will continue to update Members as and when there are significant developments. 

Mark Tanzer, Chief Executive