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Brexit talks deadlocked on money
12 October 2017, 08:57 | Kelvin Horton
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'On this question we have reached a state of deadlock which is very disturbing for thousands of project promoters in Europe and it's disturbing also for taxpayers'.
The U.K. had insisted Brexit negotiations had reached a point where sufficient progress had been made to take the talks to the second stage where the future relationship arrangements between the U.K. and the European Union could be discussed.
The leaders meet in Brussels on October 19-20, and with time short to seal a deal it had been hoped they would agree to widen the talks.
Davis said there is more work to do on the border between the Republic of Ireland and Northern Ireland but further progress has been made as they "have agreed to start working on common undertakings to protect the Good Friday agreement".
He said uncertainty about Brexit is weighing on the economy, and "we need to remove it as soon as possible by making progress" in talks with Brussels.
Barnier told the news conference that he would follow a mandate ruling out any discussion of the future before issues arising from Britain's past membership are settled and said it was important to respect the "sequencing". Clearly we'd like them to give Michel the means to broaden the negotiations, it's up to them whether they do it. The pound fell Thursday on news of the slow progress, trading 0.6 percent lower at $1.3145.
May said Britain would ensure the other 27 countries did not lose out financially from Brexit in the current European Union budget period to 2020 and would honour commitments - but Barnier said London was failing to spell out just what it was ready to pay.
European estimates on the size of the divorce bill have varied from around 60 billion euros to 100 billion euros ($70-120 billion), but Prime Minister Theresa May's government has rejected such numbers without clearly explaining how the amount should be calculated.
However, that commitment has not yet been spelled out by United Kingdom negotiators. "There have therefore been no negotiations on this subject".
Germany, France and Romania are said to be blocking Mr Barnier from starting scoping on a transition deal with Britain, with Berlin in particular keen to secure cash promises from the United Kingdom first. "To be clear, on our side, we will be ready to face any eventualities, and all the eventualities", he said. "With David Davis, we will organise several negotiating meetings between now and the end of the year".
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