UK’s Brexit offer worth up to 50bn euros

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Media caption Throughout a visit to Iraq, Theresa May mentioned the Brexit ‘divorce bill’ continues to be being negotiated

The UK provides offered a larger potential “divorce bill” to the EU – which could end up being worth up to 50bn euros (£ 44bn), the BBC understands.

It was “broadly welcomed”, politics editor Laura Kuenssberg said, even though No 10 has played lower reports the final sum could be as much as 55bn euros (£ 49bn).

Asked on a trip to Iraq if a figure had been agreed, Theresa May said talks were ongoing.

And the EU’s negotiator Michel Barnier said “we aren’t there” yet.

In September Theresa May recommended the UK was willing to pay regarding 20bn euros to meet obligations as a result of its membership but the EU continues to be calling for its offer to be improved.

The UK will be hoping to move on to talking about business but the EU will only do this in order to deems “sufficient progress” has been made upon three areas – the alleged divorce bill, the rights associated with EU citizens in the UK after Brexit and the Irish border.

Why is the UK paying everything if it’s leaving?

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Picture caption Brexit Secretary Jesse Davis and EU chief Brexit negotiator Michel Barnier have been looking to reach a deal on the alleged divorce bill

The EU says the united kingdom needs to settle its accounts prior to it leaves. It says the united kingdom has made financial commitments that have to become settled as part of an overall withdrawal contract.

The UK accepts it has some obligations. And it has promised to not leave any other country out of wallet in the current EU budget period through 2014-20.

But the satan is in the detail.

There are also longer term issues like pensions for EU staff, and how the particular UK’s contribution to these is computed for years to come, and the question associated with what happens to building projects that will had funding agreed by many EU members including the UK yet which will only begin construction following the UK has left.

Considerable amounts of the EU’s budget are invested in two areas – farming and fisheries, and development of lesser areas.

What’s happened now?

Image caption Downing Street has performed down reports in the Financial Instances and Daily Telegraph that a offer has been reached

Pressure is mounting to generate progress on the Brexit talks prior to a crunch summit in mid-December, when EU leaders will evaluate if enough progress has been made on the very first set of subjects to open negotiations on the future trade deal between the EUROPEAN UNION and the UK.

Based on the Daily Telegraph and the Financial Times , agreement has now been reached between the two sets of negotiators on how the bill could possibly be calculated.

Speaking in the Commons, Treasury minister Liz Truss declined to comment on what she described as media speculation and insisted any financial settlement was “contingent” on the UK getting the right overall outcome.

But Foreign Secretary Boris Johnson said the UK would make a “fair offer” to help break the current deadlock.

“Now is the moment to obtain the whole ship off the rocks and move it forwards, ” he said during a trip to Off white Coast, where he is attending a gathering of European and African market leaders.

The BBC knows detailed conversations are still taking place where specific components will be included in the last bill and how they are calculated. The last bill is likely to be paid over a long time rather than in a single upfront sum.

So do we all know what the number will be?

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Media caption Grayling: Not time to ‘put figure’ upon Brexit bill

At the moment no .

But there has been an agreement on the way that the amount the united kingdom pays will be calculated and the BBC understands that the range of possible pay outs is between approximately 40bn plus 55bn euros.

Transportation Secretary Chris Grayling told BBC Radio 4’s Today: “There are usually no numbers for us to discuss today. We haven’t committed to numbers. inch

Labour said it had been not asking for a precise figure to become published as this was clearly “sensitive”.

But it said presently there needed to be a “transparent process” with all the final figure subjected to scrutiny simply by Parliament and independent bodies.

It is trying to power a vote on this next week.

What’s the other response been?

Former Tory leader Iain Duncan Smith stated the UK – which according the particular the House of Commons Library paid approximately £ 12. 2bn to the EUROPEAN UNION in 2016-17 — would save a “staggering quantity of money” after Brexit.

“Leaving the EU is definitely a bargain because we get the money back, ” he told BBC Radio 5 Live.

But former UKIP leader Nigel Farage said the figures becoming reported would mean “Christmas has come early” for the EU.

The particular long-time Brexit campaigner told ITV’s Good Morning Britain that the UK had been “selling out” and that even if this kind of sum secured tariff-free access to EUROPEAN markets, this would not be worth it.

Yet former chancellor Ken Clarke stated the UK had to pay its “fair share” and “repudiating” the United kingdoms’s financial obligations would result in a hard Brexit – damaging jobs and investment decision.

Will be the breakthrough we’ve been waiting for?

Remember there also has to be enough progress on the issues of citizens’ rights and the Irish border meant for EU leaders to agree to proceed the talks on in 10 days’ time.

The very first issue should not be a stumbling block — there has been talk of agreement being inside “touching distance” but the second problem is now the “main sticking point”, the BBC’s Europe editor Katya Adler says.

The particular Irish government has said it desires firm guarantees on what kind of boundary controls there will be after Brexit in fact it is prepared to wait until next year, if required, for them.

The particular BBC’s political editor Laura Kuenssberg said there was some talk within Whitehall of trying to agree a posture which would stress agreement in the 1st two areas and “park” the particular Irish question until early the coming year.

But she mentioned EU officials were “pouring the freezing cold bucket of water” over the idea of a staged technique.

In the meantime, she stated both sides were discussing regardless of whether a joint paper could be created before next Monday formalising exactly what has been agreed so far so it cannot potentially be unpicked at a later date.

MEPs on the European Parliament have warned “considerable problems” stay and that more progress is needed just before talks can move to the next phase.

In a letter to key EU negotiator Michel Barnier, the particular Parliament’s Brexit steering group reported differences between the two sides upon citizens’ rights and said improvement had “stalled” on the role from the European Court of Justice.

The European Parliament is not really leading the negotiations (that will be the job of the European Commission) however it will get to vote on the last deal.

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