Brexit Bulletin: Collision Course
Brexit Bulletin: Collision Course
(Bloomberg) --
What's happening? Less than two weeks after leaving the European Union, the U.K. is already back in trouble with the bloc.
Brexit day was meant to enable Britain to finally throw off the shackles of the Brussels bureaucracy — but the U.K. now finds itself having to answer questions over an obscure transport tax that the EU doesn’t like. It’s a dispute that has the potential to end up in court. Bloomberg’s Ian Wishart has the full story here.
Meanwhile, the row over equivalence — or rather whether London's financial firms will be able to ply their trade in the single market after Brexit — is rumbling on.
Andrew Bailey, who will soon become governor of the Bank of England, said the City should be free to change its own rules. He thinks the U.K. could break away from EU-wide regulations such as Solvency II, which covers insurers, and MiFID, which governs investment services.
It’s a reminder that not everyone in the City of London is unhappy about the idea of divergence. For British regulators in particular, it’s an opportunity to take back control.
Beyond Brexit
- Italy is facing its worst demographic crisis since World War I.
- The outcast Westerdam luxury cruise liner is headed to Cambodia after being turned away from five ports because of concerns over the coronavirus.
- Tech startups are flooding Kenya with apps offering high-interest loans.
A selection of the best and most popular stories from beyond the world of Brexit.
Brexit in Brief
Seeking Justice | Boris Johnson criticized the U.K.’s “imbalanced” extradition treaty with the U.S. and said his government continues to demand the return of an American diplomat’s wife who fled the country following a fatal car crash. It’s the latest sign that Johnson is willing to stand up to Donald Trump, even as he seeks a free-trade deal with the world’s largest economy following Brexit.
Runway Ructions | While Johnson is on a mission to build more railways and roads in post-Brexit Britain, there’s one massive infrastructure project he still hates: adding a third runway to London’s Heathrow airport.
Easy Dealing | The Swiss government wants to bring rules governing corporate takeovers in line with those of the EU, potentially easing cross-border mergers.
Border Bind | Stormont MLAs have been told there is a “lack of clarity” around what, if any, border checks will be required in Northern Ireland after the Brexit transition period.
Softies, Really | Divergence might not be such a vote-winner after all. John Curtice, the dean of British pollsters, says British voters would prefer to stay in alignment with the EU’s rules — particularly in areas that would benefit them as consumers.
Notable Absence | The U.K. isn’t sending any senior ministers to a security event in Munich this weekend — the so-called ‘Davos for defence’. This could be Global Britain’s first mis-step, according to the Financial Times.
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To contact the editor responsible for this story: Guy Collins at guycollins@bloomberg.net
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