London Daily

Focus on the big picture.
Thursday, Jul 10, 2025

UK PM Johnson says no deal Brexit now strong possibility

UK PM Johnson says no deal Brexit now strong possibility

British Prime Minister Boris Johnson said on Thursday there was “a strong possibility” Britain and the EU would fail to strike a trade deal, but vowed to do whatever he could to avoid a tumultuous split in three weeks.
The European Union and Britain are at loggerheads over fishing rights, economic fair play and dispute settlement, despite months of talks on a new deal to cover trade from Jan. 1 when the United Kingdom finally exits the bloc’s orbit.

The two sides have set a deadline of Sunday to find an agreement and prevent a chaotic break.

After a meeting with his senior ministers, Johnson said they had agreed the treaty on the table did not work for Britain.

“We need to be very, very clear there’s now a strong possibility, strong possibility that we will have a solution that’s much more like an Australian relationship with the EU, than a Canadian relationship with the EU,” Johnson said.

Australia, unlike Canada, has no comprehensive trade deal with the EU, leaving its trade mostly subject to tariffs. Johnson uses the comparison to suggest a deal is not necessary, though Australia has only a fraction of Britain’s trade links to Europe.

“I do think it’s vital that everybody now gets ready for that Australian option,” Johnson said.

Under such a scenario Britain would see trade barriers imposed with the EU, its main economic partner, in just three weeks.

Sterling dropped against the U.S. dollar to $1.3262 on the remarks, down from around $1.33. It was last almost 0.9 percent lower on the day at $1.3274.

On Wednesday, Johnson and the EU’s chief executive, European Commission President Ursula von der Leyen, failed to overcome persistent divisions over a dinner in Brussels.

The British prime minister, speaking as EU leaders met in Brussels, said the stumbling block was the bloc’s insistence on “equivalence”, tying Britain to its labour, social and environmental standards in the future, as well as to state aid rules for corporate state subsidies.

While Johnson said the public and businesses needed to ready themselves for the prospect of no deal, he kept alive the prospect an accord could still be found.

“What I’ve said to our negotiators is that we’ve got to keep going, and we’ll go the extra mile ... and I will go to Brussels, I will go to Paris or go to Berlin or wherever, to try to get this home and get to a deal,” he said.

Earlier on Thursday, the bloc set out its contingency plans for the split in trading ties, keeping “certain air services” between Britain and the EU and basic connections by road freight and for road passengers for six months as long as the UK reciprocated.

Britain would examine the proposals, a government spokeswoman said. The European Commission also proposed that Britain and the EU continue to offer reciprocal access to their fishing waters for up to a year, an idea quickly rebuffed by London.

Britain left the EU in January and has since been in a transition period, with rules on trade, travel and business unchanged. That ends on Dec. 31.

If by then there is no agreement to protect around $1 trillion in annual trade from tariffs and quotas, businesses on both sides will suffer.

In a sign of potential disruption ahead, trucks heading towards the English port of Dover were stacked up for miles on Thursday, with Brexit stockpiling and pre-Christmas traffic blamed.

The British government has warned that even with a trade deal, 7,000 trucks heading for the Channel ports in southeast England could be held in 100-km (62-mile) queues if companies do not prepare the extra paperwork.
Newsletter

Related Articles

0:00
0:00
Close
Severe Heatwave Claims 2,300 Lives Across Europe
NVIDIA Achieves Historic Milestone as First Company Valued at $4 Trillion
Declining Beer Consumption Signals Cultural Shift in Germany
Linda Yaccarino Steps Down as CEO of X After Two Years
US Imposes New Tariffs on Brazilian Exports Amid Political Tensions
Azerbaijan and Armenia are on the brink of a historic peace deal.
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
×