Politics

UK Secretly Negotiating Its Way Back Into the EU’s Inner Circle After Considering This Reason’s

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The European Union might allow the UK to join a large trade arrangement called the Pan-Euro-Mediterranean Convention (PEM). Sir Keir Starmer, the Labour Party leader, is trying to strengthen the UK’s relationship with the EU without going back to the way things were before Brexit.

Maros Sefcovic, who leads the EU’s trade talks after Brexit, said the UK could be considered for PEM membership. This trade agreement lets countries in Europe, North Africa, and the Middle East trade goods without extra taxes (tariffs). It also creates shared rules for deciding where products come from, which could help fix the supply chain problems caused by Brexit.

The UK already trades goods tariff-free with the EU because of the Brexit deal, but joining the PEM would make trading even smoother. For example, it would allow materials from one member country to count as “local” in another member’s exports, helping businesses avoid extra costs.

Labour’s position is to rebuild the UK’s relationship with the EU but stay outside the single market, customs union, and freedom of movement rules. Starmer wants a practical and stable connection with the EU, but Conservatives have warned that Labour might try to undo the Brexit deal agreed by Boris Johnson.

Businesses are interested in the UK joining PEM because it could reduce paperwork and make trade simpler. However, the previous Conservative government didn’t take this option. At the World Economic Forum in Davos, Mr. Sefcovic said the EU hasn’t fully developed this idea yet, and the decision to move forward is up to the UK.

The UK government is currently asking businesses about the potential benefits of joining the PEM. They want to see if it could help cut red tape and boost trade, but no decision has been made yet.

Meanwhile, Mr. Sefcovic also spoke about a potential youth movement scheme. This idea would let young people from the UK and EU live and work in each other’s countries for a few years, as long as they can support themselves financially. He stressed that this is not the same as freedom of movement, which ended with Brexit, but rather a way to build connections.

The PEM agreement focuses on what’s called “rules of origin.” These rules decide how much of a product needs to be made locally to qualify for tariff-free trade. For instance, if a product from Egypt includes materials from Turkey, those materials could still be counted as Egyptian when exporting to the EU under the PEM rules. This makes it easier for countries to trade goods that involve parts from different places.

This arrangement is different from the EU customs union, which applies only to EU members. The customs union not only deals with taxes on imports but also sets strict rules on issues like animal welfare and environmental standards.

Labour MP Dame Emily Thornberry recently said that the UK’s current trade deal with the EU has many gaps. She urged the government to use the opportunity to improve it while respecting the Brexit vote. Thornberry said the UK must remove trade barriers with its closest neighbors and biggest trading partners. She also pointed out issues like veterinary checks on animal products, which she described as being too complicated and unfair.

The UK has a chance to make trade easier and improve its relationship with the EU, but it will take careful planning and open discussions to make it happen.