🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Shares

After reprieve, May faces Brexit battle in parliament on trade

Published 17/07/2018, 11:41
© Reuters. Britain's Secretary of State for Exiting the European Union Dominic Raab leaves 10 Downing Street after attending the weekly cabinet meeting, in Westminster London

LONDON (Reuters) - British Prime Minister Theresa May faces a battle over trade in parliament on Tuesday, with pro-EU lawmakers hoping to influence her plans to leave the European Union a day after she bowed to demands from Brexit campaigners.

May's vulnerability in parliament, where she lost her Conservative Party's majority in an ill-judged election last year, was laid bare on Monday, when her decision to accept the demands of pro-Brexit lawmakers stirred a rebellion among those who want to keep the closest possible ties in the EU.

On two of Monday's votes her majority was cut to three, suggesting that the leader will struggle to get Brexit legislation through a deeply divided parliament, which could possibly threaten the approval of any Brexit deal with the EU.

May has vowed to stick to her plan to negotiate the closest possible trade ties with the EU, saying her strategy is the only one that can meet the government's aims for Brexit, the biggest shift in Britain's foreign and trade policy for decades.

But it has pleased very few, deepening those divisions in her Conservative Party that have so far hampered progress in talks with the EU, and triggering a bitter war of words between its Brexit-supporting and pro-EU factions.

"We can't please everybody. We have to have a compromise position that enables the country to get an agreement with the European Union," trade minister Liam Fox told BBC radio.

"It's up now to the EU 27 to determine what sort of relationship they have with us."

Tuesday's vote will be on the trade bill, which is focused on converting trade deals between the EU and third countries into bilateral deals with Britain. It is a technical bill and was not originally intended to define new trade policy.

Pro-EU lawmakers have tabled a change to the wording of the bill to try to force the government to pursue a customs union with the EU if ministers fail to agree an agreement which establishes "a frictionless free trade area for goods".

Parliament will also vote on a government attempt to bring forward its summer break to Thursday from next week, which the government says is logical because there is very little parliamentary business in the remaining days.

© Reuters. Britain's Secretary of State for Exiting the European Union Dominic Raab leaves 10 Downing Street after attending the weekly cabinet meeting, in Westminster London

Critics say the move is a bid by a government panicked by the various rebellions in the Conservative Party.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.