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| No free trade deal until Brexit settled, says Australian minister No free trade deal until Brexit settled, says Australian minister | |
| (about 9 hours later) | |
| Australia’s trade minister has told the UK that any post-Brexit trade deal between the nations will have to wait for his country to complete parallel negotiations with the European Union. | Australia’s trade minister has told the UK that any post-Brexit trade deal between the nations will have to wait for his country to complete parallel negotiations with the European Union. |
| Steven Ciobo said it would most likely be at least two-and-a-half years before formal Australia-UK talks could begin, as Britain would have to complete its exit from the EU before this happened. | Steven Ciobo said it would most likely be at least two-and-a-half years before formal Australia-UK talks could begin, as Britain would have to complete its exit from the EU before this happened. |
| Ciobo, in London for talks with the international trade secretary, Liam Fox, said a deal with the EU would be placed first. “It will,” he told BBC Radio 4’s Today programme. “And that’s a consequence of the fact that discussions with the European Union are more advanced than they are with the UK.” | Ciobo, in London for talks with the international trade secretary, Liam Fox, said a deal with the EU would be placed first. “It will,” he told BBC Radio 4’s Today programme. “And that’s a consequence of the fact that discussions with the European Union are more advanced than they are with the UK.” |
| However, Ciobo did say that preliminary talks could take place, to speed the process once it did begin. | However, Ciobo did say that preliminary talks could take place, to speed the process once it did begin. |
| Fox’s department announced on Monday night that the prime minister, Theresa May, and her Australian counterpart, Malcolm Turnbull, had agreed to set up a bilateral trade working group to “focus on scoping out the parameters of a future ambitious and comprehensive Australia-UK free trade agreement”. | Fox’s department announced on Monday night that the prime minister, Theresa May, and her Australian counterpart, Malcolm Turnbull, had agreed to set up a bilateral trade working group to “focus on scoping out the parameters of a future ambitious and comprehensive Australia-UK free trade agreement”. |
| The statement added: “We want the working group to advance an agenda that will ensure the expeditious transition to FTA negotiations when the UK has formally completed its negotiations to exit the EU.” | The statement added: “We want the working group to advance an agenda that will ensure the expeditious transition to FTA negotiations when the UK has formally completed its negotiations to exit the EU.” |
| However, Ciobo said the trade deal could only happen “when the time is right”, adding that it might not be for another three years if, as has been suggested, article 50 of the EU treaty is not triggered until 2017. | However, Ciobo said the trade deal could only happen “when the time is right”, adding that it might not be for another three years if, as has been suggested, article 50 of the EU treaty is not triggered until 2017. |
| He told Today: “My formal advice is that, and this is from the UK side …, the UK is unable to negotiate or sign an agreement prior to the formal exit from the EU. | He told Today: “My formal advice is that, and this is from the UK side …, the UK is unable to negotiate or sign an agreement prior to the formal exit from the EU. |
| “We can certainly have preliminary discussions and that’s part of what I’m doing here this week – preliminary discussions around what a post-Brexit Australia-UK trade deal might look like; Some discussions about what our ambitions and aspirations are, and there’s been good alignment in terms of those conversations.” | “We can certainly have preliminary discussions and that’s part of what I’m doing here this week – preliminary discussions around what a post-Brexit Australia-UK trade deal might look like; Some discussions about what our ambitions and aspirations are, and there’s been good alignment in terms of those conversations.” |
| While the eventual talks “don’t necessarily have to be tough negotiations” given the countries’ close relations, the minister said, they would be complex. | While the eventual talks “don’t necessarily have to be tough negotiations” given the countries’ close relations, the minister said, they would be complex. |
| “Negotiating trade deals is fraught with complexity,” Ciobo said. “There’s always domestic sensitivities between negotiating parties, concern and consideration needs to be given to particular industries.” | “Negotiating trade deals is fraught with complexity,” Ciobo said. “There’s always domestic sensitivities between negotiating parties, concern and consideration needs to be given to particular industries.” |
| During the likely two-and-a-half years for article 50 to be triggered and take effect, the priority would be trade talks with the EU, he said. “I’m hoping to be well and truly engrossed in negotiations with the EU in the intervening period,” Ciobo added. | During the likely two-and-a-half years for article 50 to be triggered and take effect, the priority would be trade talks with the EU, he said. “I’m hoping to be well and truly engrossed in negotiations with the EU in the intervening period,” Ciobo added. |
| The remarks introduce a more cautious tone from the Australian end as the government in Canberra has previously enthusiastically promoted the idea of a bilateral trade deal with a post-Brexit Britain. | The remarks introduce a more cautious tone from the Australian end as the government in Canberra has previously enthusiastically promoted the idea of a bilateral trade deal with a post-Brexit Britain. |
| May will face a grilling from MPs on Wednesday amid concerns that the government is struggling to agree a strategy for Brexit. | May will face a grilling from MPs on Wednesday amid concerns that the government is struggling to agree a strategy for Brexit. |
| The prime minister has distanced herself from the suggestion by the Brexit secretary, David Davis, that it is “very improbable” the UK can regain control over its own borders while remaining part of the European single market. | The prime minister has distanced herself from the suggestion by the Brexit secretary, David Davis, that it is “very improbable” the UK can regain control over its own borders while remaining part of the European single market. |
| The apparent rebuke sparked concerns that ministers cannot agree policy on leaving the EU. May is expected to face questions on the issue after delivering a Commons statement on the G20 summit in China. | The apparent rebuke sparked concerns that ministers cannot agree policy on leaving the EU. May is expected to face questions on the issue after delivering a Commons statement on the G20 summit in China. |
| The statement from Fox’s department said the UK and Australia would “prioritise consultation and outreach to our respective stakeholders to seek their input to the work of the working group”. | The statement from Fox’s department said the UK and Australia would “prioritise consultation and outreach to our respective stakeholders to seek their input to the work of the working group”. |
| It added: “To maintain momentum, we have agreed to meet twice annually to review progress in the working group. Our first such meeting will take place in early 2017 in Australia. That will be preceded by discussions in Australia later this year during the planned visit by Lord Price CVO, minister of state for trade policy.” | It added: “To maintain momentum, we have agreed to meet twice annually to review progress in the working group. Our first such meeting will take place in early 2017 in Australia. That will be preceded by discussions in Australia later this year during the planned visit by Lord Price CVO, minister of state for trade policy.” |