Barnier’s Remit to Be Limited to Divorce Not Trade

European Council President Donald Tusk’s guidelines for Brexit chief Michel Barnier will probably limit the scope of the upcoming talks to the terms of the divorce and not include a future trade relationship with the U.K, three people familiar with the matter said.

Tusk is set to publish draft guidelines for Barnier by the end of this week after U.K. Prime Minister Theresa May formally requests the split on Wednesday. His current stance would be a blow to the U.K. which wants to discuss the breakup and future ties in tandem to preserve bargaining power and support at home. The people asked not to be named as plans haven’t been finalized yet.

EU officials have repeatedly said they want Britain to agree an exit fee of about 50 billion pounds ($62 billion) before they turn to the sweeping trade deal May is seeking.


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Craig Erlam

Craig Erlam

Senior Currency Analyst at OANDA
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the Wall Street Journal and The Telegraph, and he also appears regularly as a guest commentator on networks including Sky News, Bloomberg, CNBC and BBC. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.