UK minister rejects Sefcovic’s idea on joining European Customs Union

The British government minister in charge of relations with Europe appears to have ruled out becoming part of a pan-European trade agreement after the idea was mentioned by the EU’s trade chief in Davos on Wednesday.

The news comes after the EU’s new trade chief, Maros Sefcovic, told the BBC that he was open to Britain joining the Pan-Euro-Mediterranean Convention (PEM) as part of a post-Brexit “reset”.

Subsequently, Nick Thomas-Symonds, the UK’s Minister for the Constitution and European Union Relations told MPs in the House of Commons that, while he welcomed the “positive, constructive tone” from the EU trade commissioner, the UK did not currently have any plans to join the PEM.

When asked about a potential deal, the minister said: “We are always looking for ways to reduce barriers of trade, but within our manifesto red lines, because we take a pragmatic view as to where the national interest lies. 

“We don’t currently have any plans to join PEM, and we are not going to provide a running commentary on every comment that’s made.”

Talks reportedly under way with business

According to the BBC, the UK government has begun talks with business about the benefits of the PEM although no final decision has yet been made.

The idea would be that belonging to the PEM would help cut red tape and improve trade.

The UK already has tariff-free trade in goods with the EU as part of the deal negotiated under Brexit but the PEM deal also includes common regulations on rules of origin on materials used in manufacturing. That would mean the smoothing of Brexit-disrupted supply chains not just in Europe but further afield.

Britain’s ruling Labour Party insisted in its manifesto there would be “no return to the single market, the customs union or freedom of movement” but Prime Minister Keir Starmer has also said his party wants to “reset” the relationship between the UK and the EU to allow it to be more “pragmatic” and “sensible”.

Not everyone supportive of possible plan

Former Cabinet Secretary and senior Conservative and Brexiteer Michael Gove, now the editor of the right-leaning Spectator magazine, told LBC talk radio he expected Britain would have to pay a “very high price” for better trading terms.

Speaking on LBC, Gove said: “I think it is always worth looking at some of the elements of our trading relationship with the EU to see where they can be improved.

“But the problem is that every time that this has been tried the EU has exacted a very high price tag.”