mishtalk.com / Mike “Mish” Shedlock / February 24, 2017 2:26:34
The EU’s chief negotiator, Michel Barnier, took a position earlier this week that the UK accept a €60 billion breakup bill before Brexit negotiations begin.
Today, the Financial Times reported Germany and Italy back European Commission on Brexit.
Berlin and Rome are backing the European Commission’s plan to rule out starting trade talks with Britain until the UK gives assurances on a multibillion-euro Brexit bill and citizens’ rights.
German and Italian officials say they support Michel Barnier, the chief EU negotiator, in seeking progress on divorce terms as an opening step. France is uncompromising on the estimated €60bn bill, while Spain is more wary of attempts to “punish” Britain.
Such stances are preliminary since EU member states have still to take a formal position.
Christian Kern, the Austrian chancellor, confirmed the commission’s €60bn estimate. “The cheque should be around €60 billion; that’s what the European Commission has calculated and this will be part of the negotiations,” he told Bloomberg.