UK’s May insists on ‘bespoke’ trade deal despite EU’s rebuttal

Bloomberg

PM Theresa May is sticking to her guns and pushing for a made-to-order trade deal with the EU—despite the bloc’s insistence such a scenario is out of the question.
May presided over a discussion with her Cabinet to flesh out her vision of an end state, aiming for a “significantly more ambitious deal” than that between the EU and Canada. It sets the stage for a contentious year of talks given that the Canada model— seven years in the making—is exactly what the EU has to offer given May’s red lines.
The meeting comes on the heels of a round of interviews by EU’s chief negotiator, Michel Barnier, where he underlined the bloc’s determination not to let the UK enjoy the benefits of membership after Brexit. Strategically, it’s not in the EU’s interest to encourage others to quit so departure from the bloc cannot be seen to be pain-free.
Barnier explicitly ruled out a special deal for Britain’s financial services sector and said the decision to leave the EU single market rules out passporting arrangements which allow British financial services companies to trade in the EU. This will be a blow for banks that are already eyeing alternative cities like Frankfurt to move some of their staff and offices.
The EU has frequently chided the Brits for trying to “cherry pick” but the UK point of view continues to be that a unique agreement in record time can be struck. Banks are unlikely to respond positively to a Canada-style Brexit because it strips out many services that form the backbone of the UK economy.
While Barnier’s specific comments weren’t discussed, the EU’s position on not giving the UK a special deal was dismissed as a negotiating tactic.