Standoff on fishing snags make-or-break Brexit deal

BRUSSELS－British and EU negotiators had dug in their heels and were each demanding more concessions from the other as post-Brexit trade talks dragged on into Sunday, deadlocked on fishing rights.

Sources from both sides said that unless the other backed down on access to UK waters, Britain would leave the single market at midnight on Dec 31 without a follow-on deal on cross-Channel commerce.

"We're continuing to try every possible path to an agreement, but without a substantial shift from the (European) Commission we will be leaving on (World Trade Organization) terms on 31 December," a British government source said.

But an EU diplomat said Brussels had made Britain its last offer on fishing and it was now up to the UK Prime Minister Boris Johnson to decide whether he wants a deal.

"If Britain doesn't accept the latest EU offer it will be a 'no deal' over fish," he warned. A European official said: "It's very blocked."

No deal would risk chaos at EU and UK borders, where a pre-deadline rush has already caused long tailbacks of trucks.

Britain reiterated on Saturday that it would prefer to leave the EU with no trade deal rather than compromise its independence.

However, observers said the fishing issue was about finding middle ground between offer and counteroffer in an economically small sector, while the much bigger issue, guaranteeing fair trade competition rules, is closer to settlement.

"It's all down to numbers now," the European diplomat said.

The EU's point man in the negotiations, Michel Barnier, has proposed EU fishers giving up nearly a quarter of the value of the fish they catch in UK waters. Britain is understood to be holding out for getting back much more than half.

The UK has suggested this compromise last for three years before it is renegotiated, whereas Europe is holding out for double that.

"We cannot accept a deal that doesn't leave us in control of our own laws or waters," the UK government source said, arguing that the EU was "continuing to make demands that are incompatible with our independence".

Facing problems

EU fishers fear losing any access to the rich UK fishing waters will threaten their livelihoods.

"We are in the throes of being sold down the river," the European Fisheries Alliance said, urging Barnier to stick to protecting them.

"The shape of a deal, as currently stands, would give a huge blow to the European seafood sector, which is made up of more than 18,000 fishermen and 3,500 vessels with an annual turnover of 20.7 billion euros ($25.4 billion)."

The European Parliament highlighted a deadline of 11 pm London time on Sunday to receive a deal for review if MEPs are to ratify it before the end of the year. Their UK parliamentary counterparts are in recess, but can be recalled within 48 hours to do likewise.

But EU capitals were not binding themselves to the European Parliament's deadline.

Businesses fear a failure to agree a deal on goods trade would send shock waves through financial markets, hurt European economies, snarl borders and disrupt supply chains.

Agencies via Xinhua