London Daily

Focus on the big picture.
Tuesday, Jul 01, 2025

UK preparing for no-trade deal Brexit, Boris Johnson says

UK preparing for no-trade deal Brexit, Boris Johnson says

The British PM’s remarks, which follow an EU demand that London make further concessions, may push Brexit towards chaos.

British Prime Minister Boris Johnson said on Friday it was now time to prepare for a no-trade deal Brexit in 10 weeks as the European Union had refused to negotiate seriously, adding that unless Brussels changed course there would be no agreement.

A tumultuous “no deal” finale to the United Kingdom’s five-year Brexit crisis would sow chaos through the delicate supply chains that stretch across Britain, the EU and beyond – just as the economic hit from the coronavirus pandemic worsens.

At what was supposed to be the “Brexit summit” on Thursday, the EU delivered an ultimatum: it said it was concerned by a lack of progress and called on London to yield on key sticking points or see a rupture of ties with the bloc from January 1.

“I have concluded that we should get ready for January 1 with arrangements that are more like Australia’s based on simple principles of global free trade,” Johnson said.

“With high hearts and with complete confidence, we will prepare to embrace the alternative and we will prosper mightily as an independent free trading nation, controlling and setting our own laws,” he added.

Johnson’s remarks, which follow an EU demand that London make further concessions, may push Brexit towards chaos, though he still left open the possibility that the EU could change course and offer Britain a better deal.

“Unless there is a fundamental change of approach, we’re going to go for the Australia solution. And we should do it with great confidence,” he said.

Asked if he was walking away from talks, Johnson said: “If there’s a fundamental change of approach, of course we always willing to listen, but it didn’t seem particularly encouraging from the summit in Brussels.”

“The EU continues to work for a deal, but not at any price,” said European Commission President Ursula von der Leyen around an hour after Johnson’s comments.

“As planned, our negotiation team will go to London next week to intensify these negotiations.”

Britain formally left the EU on January 31 this year, but a transition period, which ends on December 31, means it remains in the EU single market and customs union.

The two sides have been haggling over a deal that would govern trade in everything from car parts and salmon to Camembert and medicines when that informal membership ends.

A so-called “Australia deal” means that the UK would trade on World Trade Organization terms: as a third country like Australia, tariffs would be imposed under WTO rules.


German Chancellor Angela Merkel, Europe’s most powerful leader, said after the summit that compromise would be needed for a deal.


“It’s becoming clear the EU don’t want to do the type of Canada deal that we originally asked for,” Johnson said. “It does seem curious that after 45 years of our membership they can offer Canada terms they won’t offer us.”

EU officials have said Britain, with the world’s sixth largest economy and geographically next door to Europe, poses a much bigger competitive challenge than distant Canada and so cannot be offered a similar accord.

Johnson had repeatedly asserted that his preference is for a deal but that Britain could make a success of a no-deal scenario, which would throw US$900 billion in annual bilateral trade into uncertainty and could snarl the border, turning the southeastern county of Kent into a vast truck park.

The EU’s 27 members, whose combined US$18.4 trillion economy dwarfs the UK’s US$3 trillion economy, say a deal is still possible but that Johnson must give ground.


St Mary‘s Church, parts of which date back to the 12th century in the southeastern county of Kent. A no-deal Brexit scenario could snarl the border, turning the area into a vast truck park.


German Chancellor Angela Merkel, Europe’s most powerful leader, said after the summit that compromise would be needed for a deal.

“In some areas, things have progressed well. In others, much work remains to be done. We have asked the United Kingdom to remain open to compromise, so that an agreement can be reached,” Merkel said.

“This of course means that we, too, will need to make compromises. Each side has its red lines,” she said, adding that the top EU objectives were to safeguard peace in Ireland and protect the bloc’s single market.

Newsletter

Related Articles

0:00
0:00
Close
Robots Compete in Football Tournament in China Amid Injuries
Trump Administration Considers Withdrawal of Funding for Hospitals Providing Gender Treatment to Minors
Texas Enacts Law Allowing Gold and Silver Transactions
China Unveils Miniature Insect-Like Surveillance Drone
OpenAI Secures Multimillion-Dollar AI Contracts with Pentagon, India, and Grab
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Germany Votes to Suspend Family Reunification for Asylum Seekers
Elon Musk Critiques Senate Budget Proposal Over Job Losses and Strategic Risks
Los Angeles Riots ended with Federal Investigations into Funding
Budapest Pride Parade Draws 200,000 Participants Amid Government Ban
Southern Europe Experiences Extreme Heat
Xiaomi's YU7 SUV Launch Garners Record Pre-Orders Amid Market Challenges
Jeff Bezos and Lauren Sanchez's Lavish Wedding in Venice
Russia Launches Largest Air Assault on Ukraine Since Invasion
Education Secretary Announces Overhaul of Complaints System Amid Rising Parental Grievances
Massive Anti-Government Protests Erupt in Belgrade
Trump Ends Trade Talks with Canada Over Digital Services Tax
UK Government Softens Welfare Reform Plans Amid Labour Party Rebellion
Labour Faces Rebellion Over Disability Benefit Reforms Ahead of Key Vote
Jeff Bezos and Lauren Sánchez Host Lavish Wedding in Venice Amid Protests
Trump Asserts Readiness for Further Strikes on Iran Amid Nuclear Tensions
North Korea to Open New Beach Resort to Boost Tourism Economy
UK Labour Party Faces Internal Tensions Over Welfare Reforms
Andrew Cuomo Hints at Potential November Comeback Amid Democratic Primary Results
Curtis Sliwa Champions His Vision for New York City Amid Rising Crime Concerns
Federal Reserve Proposes Changes to Capital Rule Affecting Major Banks
EU TO HUNGARY: LET THEM PRIDE OR PREP FOR SHADE. ORBÁN TO EU: STAY IN YOUR LANE AND FIX YOUR OWN MESS.
Trump Escalates Criticism of Media Over Iran Strike Coverage
Trump Announces Upcoming US-Iran Meeting Amid Controversial Airstrikes
Trump Moves to Reshape Middle East Following Israel-Iran Conflict
Big Four Accounting Firms Fined in Exam Cheating Scandal
NATO Members Agree to 5% Defense Spending Target by 2035
Australia's Star Casino Secures $195 Million Rescue Package Amid Challenges
UK to Enhance Nuclear Capabilities with Acquisition of F-35A Fighter Jets
Russian Shadow Payments via Cryptocurrency Reach $9 Billion
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Macron and Merz: Europe must arm itself in an unstable world
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Airlines Evaluate Flight Cancellations Amid Escalating US-Iran Tensions
Starmer Invites Innovators to Join Government Talent Scheme
UK Economy’s Strong Opening Quarter Shows Signs of Cooling
Harrods Seeks Court Order to Secure Al Fayed Estate for Victims
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
×