Home United States USA — Financial Theresa May and the EU have a Brexit deal. What’s next?

Theresa May and the EU have a Brexit deal. What’s next?

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The many possible Brexit outcomes, explained.
British Prime Minister Theresa May and the European Union have a Brexit deal, a historic agreement that lays out the terms of the United Kingdom’s breakup with the bloc.
The other 27 EU member-states finalized and approved the withdrawal agreement at a summit in Brussels this Sunday. But the process is far from over: May must now get a deeply divided UK Parliament to approve the plan.
Hostility for the deal has been building for nearly two weeks, ever since May first unveiled the proposed agreement.
The most vocal resistance comes from the prime minister’s own Conservative Party, a fractured mess of loyalists and hardline “Brexiteers” who want a more decisive break with the European Union. The opposition Labour Party has also said it will resist the deal. Right now, at least, the withdrawal agreement doesn’t seem to have the votes.
This standstill could push everyone toward a “no deal” Brexit, the “cliff edge” scenario that would be bad for the EU, and likely catastrophic for Britain. Planes would be grounded, ports would be clogged, food would rot, and garbage would pile up, and those are just some of the possible scenarios.
May’s future is riding on the agreement, as well. At a Sunday press conference, she warned that a failed deal would lead to division and uncertainty. That includes her own job, which is far from secure as she faces pushback from all sides.
Amid this political turmoil, Brexit’s March 29,2019, deadline inches ever closer. Here’s a look at some possible outcomes as May prepares to test her deal in Parliament.
To recap, May introduced a Brexit proposal on November 14 after months of back-and-forth with EU leaders.
This lengthy agreement tackles some of the critical issues in the forthcoming EU-UK break-up, specifically the divorce settlement (how much the UK must pay the EU, which is likely at least £39 billion, or about $50 billion) and the post-Brexit status of UK citizens and EU nationals living in the EU and UK, respectively. It also includes the Irish “backstop,” ensuring that the politically sensitive border between Northern Ireland (part of the UK) and the Republic of Ireland (an EU country) remains open, even if the UK and EU don’t finalize border details in a post-Brexit deal.
The withdrawal agreement also calls for a 21-month transition period until December 31,2020, to give the EU and the UK time to figure out their future relationship, the hard details of the trade, security cooperation, and more. (The transition can be renewed one time for up to two years.) A political declaration lays out the broad outlines for this arrangement.
The details of these plan were largely finalized on Sunday, when the 27 EU member states signed off on the deal in Brussels. The European Parliament will also need to formally approve the agreement at some point. But first it’s got to get ratified by the UK Parliament.
And this is promising to be difficult because every political camp within the UK has found something to hate in this agreement.
May’s plan, briefly, is an attempt at a “soft” Brexit compromise, but even those who favor closer alignment with the EU don’t love this deal. They see this deal as severing too many ties to EU, leaving Britain weaker and worse off economically than it was before.
The hardline “Brexiteers” in her party are virulently opposed — though it’s unlikely they’d be pleased by any deal. They see May’s deal as preventing the UK from reclaiming control of its borders and laws, and blocking it from making trade deals with other countries. Under May’s deal, the UK will also still have to follow EU customs rules for a period of time, but will lose its decision-making power in the bloc.
Then there’s Labour, the opposition party led by Jeremy Corbyn. Labour has its own disagreements about Brexit within the party, but it has collectively rejected May’s deal, saying it doesn’t meet their required pillars for a satisfactory Brexit. The party also sees this as an opportunity: If May and her deal implode, it might put them closer to regaining control of the government.
There’s pushback from other corners, including the Democratic Unionist Party (DUP), a party from Northern Ireland. The DUP’s partnership with the Tories is keeping May in power.

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