‘Brexit Plan B’: Key Points from PM May’s Speech

Alicia Nicholls

After suffering a historic and crushing rejection  of her Draft Withdrawal deal in the House of Commons and barely surviving a no confidence vote brought by the Leader of the Opposition last week, United Kingdom (UK) Prime Minister Theresa May today outlined her ‘Brexit Plan B’ in the House of Commons.

Prime Minister May is in the unenviable position of having to formulate an alternative Brexit Plan which secures the support of MPs of diverging views on the way forward for Brexit, and which would be palatable to the EU. All the while the clock continues to tick on the UK’s scheduled departure from the EU on March 29, 2019, now less than seventy days away. In an effort to break the Brexit impasse, Mrs. May has been holding talks with leaders of the major parties in Parliament.

Prime Minister May noted that in light of Parliament’s overwhelming rejection of the current withdrawal agreement, it was clear that the Government’s approach had to change. But has it?

Here are the key points from Prime Minister May’s address:

1. While the Prime Minister noted that a ‘no deal’ Brexit should be avoided, she did not explicitly rule it out as an option. Labour Leader, Jeremy Corbyn, has indicated he would not participate in talks with the Prime Minister, unless the ‘no deal’ option is off the table.
2. Prime Minister May, however, explicitly ruled out the revocation of Article 50 of the Treaty on European Union (TEU) as an option, saying doing this would go against the referendum result of June 23, 2016.
3. Prime Minister May also ruled out seeking an extension of Article 50 of the TEU, doubting that the EU-27 would agree to any such extension.
4. She again stated her opposition to a second referendum saying it would set a dangerous precedent for how referendums are handled in the UK. She noted that it would also require an extension of Article 50 and could damage social cohesion in the UK by undermining faith in their democracy. She also doubted there was a majority in the House for a second referendum.
5. She has promised a more ‘flexible, open and inclusive’ approach in how her Government engages Parliament in the negotiation of the UK’s future partnership with the EU. The Government will consult the Parliament on its negotiating mandate for the next phase of negotiations.
6. She also promised a more consultative approach, and greater engagement with the devolved administrations, elected representatives in Northern Ireland and regional representatives in England, businesses, civil society and trade unions.
7. She emphasized that the UK’s exit from the EU should not erode the UK’s protection for environment standards or workers rights and that they would support the proposed amendment to the meaningful vote that Parliament should be able to consider any changes in these areas made by the EU.
8.  In perhaps the only major policy change of note, Prime Minister May noted that her Government will scrap the £65 fee for EU nationals resident in the UK to register to remain in the UK following Brexit. Those who apply in the pilot phase will have their fees reimbursed. She recommitted to EU nationals resident in the UK continuing to access benefits in the UK both in a deal and no deal scenario.
9. With regard to the controversial Irish backstop option in the current Withdrawal Agreement, Prime Minister May vaguely noted that her Government will work to identify how they could ensure that they respect the terms of the Belfast Agreement and their commitment to no hard border between Northern Ireland and the Republic of Ireland in such a way that commands the support of the parliament and the EU.

In substance, there was little difference between Prime Minister May’s Plan A and the Plan B outlined. Members of Parliament will vote on the Plan B on January 29, 2019, which would pretty much be the same as the Plan A which they so soundly rejected by 230 votes last week.

The next phase will be continued discussions between Mrs. May and MPs and other stakeholders, which would (or should) inform Mrs. May’s re-engagement with the EU on the way forward.  The uncertainty continues, but it appears that a ‘no deal Brexit’ is increasingly more likely. This also comes against the backdrop of the International Monetary Fund’s downward revision of its global growth forecast, warning today (and not for the first time) that a ‘no deal Brexit’ was a major risk for the global economy.

The text of Prime Minister May’s speech may be read here.

Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant with a keen interest in sustainable development, international law and trade. You can also read more of her commentaries and follow her on Twitter @LicyLaw.