BRUSSELS has been warned not to charge a high price for a Brexit trade deal otherwise the UK will pursue World Trade Organisation rules.
European banking expert Bob Lyddon said if there was too high a cost for Britain to keep access to the single market tariff free, UK negotiators would not hesitate falling back on WTO rules.
Mr Lyddon, a city analyst, said Brexit was “all about money”.
Speaking on RT, Mr Lyddon questioned the cost difference between ‘soft’ and ‘hard’ Brexit and the impact it would have on negotiations, which are due to start next week.
He said: “What is a soft Brexit? Of all the things that EU membership involves, where do we retain those, where do we not have them and what are the costs involved.
“At the end of it it is all about money when it comes down to it, it’s all about money and to retain access to the single market tariff free as opposed to go on to world trade organisation rules, there’s a price.
“But if the price is such a big multiple of the cost of trading on world trade organisation rules, you’d reject that. We don’t know what the figures are.”
Mr Lyddon is the author of a think tank study which suggests that leaving the EU and taking back control of British borders will provide the UK with “a £250 billion opportunity” in the next five years.
The comprehensive paper – How the £30 billion cost of EU migration Imperils Pensions & Benefits – by Global Britain, has blown apart claims that the UK needs EU migration to support its pension system.
Meanwhile, Britain will lose the favourable terms of its European Union membership including the budget rebate and opt-outs on Schengen and the euro if it chooses to withdraw Article 50 and rejoin the club, the European parliament’s Brexit negotiator said on Wednesday.
Guy Verhofstadt told MEPs that the UK would “find an open door” if it decided to change its mind over Brexit, but warned that the decision to leave meant it had forfeited its special status in the bloc which has long enraged other members.
He made the remarks after the newly elected French president Emmanuel Macron told Theresa May that European capitals are still open to the possibility of Britain rejoining in light of her election defeat, which eurocrats see as a rejection of ‘hard’ Brexit.