BREXIT - MICHAEL BARNIER TO BE SIDELINED BY EU LEADERS IN BID TO BREAK BREXIT DEADLOCK

 The Telegraph 5 September 2020 - by James Crisp, Christopher Hope

© BLOOMBERG Michel Barnier -  Cyril Marcilhacy/Bloomberg

European Union chief Brexit negotiator Michel Barnier is set to be sidelined by EU leaders in a bid to get a breakthrough in the negotiations about a trade treaty with the UK.

Representatives of the bloc’s 27 member states expect Ursula von der Leyen, the president of the European Commission, to pave the way for heads of state and government to intervene in the deadlocked talks in a September 16 flagship speech.

EU leaders are hoping that by stepping in to get the talks moving, it will help bridge the deep divides between the two sides, allowing Mr Barnier and his UK opposite number Lord Frost to agree the details.

Two more rounds of trade negotiations are scheduled this month, with the first taking place in London next week, but the two sides remain divided.

Relations between the UK and EU have descended into mutual recriminations, with both sides blaming each other for the deadlock after no progress on the major issues of fishing and state aid.

Time is now running out, with Mr Barnier previously warning that a deal must be agreed by the end of October, to give the EU time to ratify the agreement before the end of the year.

On Thursday, Prime Minister Boris Johnson insisted the UK will "prosper mightily one way or the other" after the end of the Brexit transition period in December, with or without a trade deal.

Mr Johnson said: "We must make sure that people understand that, at the end of the year, whatever happens, we are leaving the EU, leaving the transition period.

"We will get through this. It's absolutely vital that our partners understand that the UK is going to do what we need to do.

"If we have to have an Australia-style deal, an Australia-style solution, then that is what we will achieve and we will prosper mightily one way or the other.

"They could of course be sensible and give us a Canada-style solution, which after all they've given Canada, and I hope very much that they will, but we're ready for either eventuality."

That came after reports that officials in Number 10 now consider that the chances of the UK leaving without a deal is 70 per cent.

EU diplomats warned that the expectations for next week's round of talks in London were "extremely low", while the leaders will not discuss Brexit at their Sept 25 summit.

Mr Barnier had been lobbying for leaders to get involved but those overtures have been rebuffed by Charles Michel, the president of the European Council, who is unhappy with the lack of progress in talks.  

That would mean Brexit would only be discussed in the next European Council meeting in October, ahead of the end of the month deadline.

The European Commission refused to comment on any aspects of Mrs von der Leyen’s “State of the Union” speech.

However one EU diplomat said they expected Mrs von der Leyen to "set the scene to sideline Barnier and Frost to find a high level political solution".

Germany's Chancellor Angela MerkelMrs von der Leyen, German chancellor Angela Merkel, whose country holds the presidency of the EU, and Charles Michel, the president of the European Council, are then expected to take over the talks for Brussels.

Despite the building pressure, failure to break the Brexit deadlock in trade negotiations in London next week will not be "fatal" to the chances of striking the agreement before the no deal deadline, EU diplomats said.

One said: "We always hope for progress but aren’t holding our breath. The next round would be good but absence of progress there won’t be fatal. This will be different if the second September round also fails."

Another diplomat added: "The window to clinch a deal will close quickly. Time would simply be running out."

Writing on Twitter on Friday night, Lord Frost said: "We have scheduled lots of time for discussions, as we should at this point in the talks.

"However, the EU still insists we change our positions on state aid and fisheries if there are to be substantive textual discussions on anything else.

"From the very beginning we have been clear about what we can accept in these areas, which are fundamental to our status as an independent country.

"We will negotiate constructively but the EU's stance may, realistically, limit the progress we can make next week."