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Four things we know about the EU/UK negotiations.
1. An agreement will require the UK to propose a credible state aid regime.
2. There’s no sign of such a proposal.
3. If a deal can’t be reached, the Govt will blame the EU.
4. Brexiteers will accept the Govt’s explanation.
A deal is still possible but the risk of no deal is high and has been consistently under-estimated by most commentators. At no point has the Govt ever accepted what is necessary to reach an agreement.
Some argue that the PM was willing to be flexible to get a deal last October (by agreeing to create a border in the Irish Sea). But that was because it was the only way of leaving the EU (because of the Benn-Burt Act) not a fear of no deal. No such constraint now.
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