EU and International Update 

It was always likely that the autumn would hit difficult moments in the UK-EU negotiations. And the pressure is firmly on next week for both sides to work through their differences to achieve a deal.

All recent attention has focused not on progressing the talks, but the publication of the UK Internal Market Bill. The Bill has sparked heated discussions on both sides of the Channel and across the Atlantic. The CBI have analysed what the Internal Market Bill means for businesses here.

It is important to note that although the Bill has been met with dismay in Europe, the negotiating talks have not yet broken down. There is still a chance for a deal. The CBI are in frequent conversations with key counterparts in Brussels, and the mood is much more measured and constructive behind the scenes.

Both sides are still stressing there is still time to secure a deal and are working towards this end. But timelines remain extremely tight, with little room for error on either side to avoid a no deal outcome. As we head into this critical period, the CBI has two main priorities:

1- Continuing to make the business case for securing a deal

The CBI key message is a deal is the absolute priority for business. Over the last few months, the CBI have made public interventions stressing the importance of common sense in the negotiations, and our warnings on the ability of business  to prepare for significant changes at the end of the transition period in December 2020. Get in touch to share how is Brexit uncertainty impacting your business.

2- Helping business to prepare for the end of the year

The CBI’s UK Transition Hub is your tool to prepare your business for the end of transition on 31 December 2020. The hub contains useful guidance on a range of issues, bringing together the CBI’s own advice, alongside sectoral trade associations, and the Government’s own guidance.

International Trade 

In rest of the world trade, the CBI continues to keep the pressure on government to secure continuity of trade with EU third countries, including through this joint statement with the Canadian Chamber of Commerce. In positive news, the UK-Japan announcement last week was an important step and the CBI gave evidence in the House of Lords on the deal yesterday.

And on the new trade deal agenda, Carolyn Fairbairn joined a call with USTR Robert Lighthizer last week and the CBI’s US office is deepening its engagement at state level. The fourth round of talks recently completed, and tariff offers have now been exchanged.

Finally, we expect an announcement of the refreshed Strategic Trade Advisory Group over the next week.