Rough ride ahead as United Kingdom braces for a hard Brexit

May stated she will not look for an “unlimited transitional status” and that “no deal is better than a bad deal” puts on the table the possibility that EU-UK trade relationships will be governed by WTO rules in approximately two years’ time.

Theresa May laid out some of her plans for Brexit earlier today – including the news that Britain will quit the Single Market so we can take back control of our borders and laws.

Guy Verhofstadt, the European Parliament’s Brexit negotiator, claimed it was an “illusion” to think Britain could enjoy the advantages of the single market without accepting the obligations – like free movement of people – that come with it.

“It’s in the interests of Germany and Europe to strengthen the cohesion of the European Union of 27 members and to protect the unity of the European Single Market”, Mr Steinmeier said.

In a highly-anticipated speech, May said on Tuesday that it was necessary to make a clean break and not opt for anything that “leaves us half-in, half-out” because that would mean “not leaving the European Union at all”.

The PM conceded Britain would be leaving the single market, but would press for the “greatest possible” and tariff-free access to it. “We will continue to be reliable partners, willing allies and close friends”.

European Union countries accounted for 44% of Britain’s total exports in goods and services in 2015, with the country recording a £68.6bil (RM378.3bil) trade deficit with the bloc.

In her 40-minute address, May said Britain would leave the European Union single market of some 500 million people, but “seek the greatest possible access to it through a new, comprehensive, bold and ambitious free trade agreement”.

Instead the conservative Prime Minister hopes Britain will be able to strike a series of bold new trade agreements. It would leave the single market and with it gain more control over its borders and its laws, some of which are now under the oversight of the European Courts of Justice.

He said: “I could imagine that, but we’re talking about implementation, practicalities”. “Whether that means we must reach a completely new customs agreement, become an associate member of the Customs Union in some way, or remain a signatory to some elements of it, I hold no preconceived position”, she said.

“To take us out of the single market without even arguing our case, to wave the white flag across the cliffs of Dover, as Theresa may has just done and give up what’s best for Britain is an insult to business, it is damaging to Britain’s future”.

Some British media say May will advocate leaving the EU’s single market in goods and services to gain control over immigration – a key issue for many voters who backed Brexit.

May has promised to trigger Article 50 by the end of March, and said she was confident that final settlements could be negotiated within the two-year timeframe.

“We need … a deal which includes participation in the customs union to help safeguard EU trade, trade that is tariff-free and avoids the non-tariff and regulatory barriers that would jeopardize investment”, Chief Executive Mike Hawes said in an emailed statement to Reuters.

May will effectively rule out calls for the United Kingdom to adopt a Norway-style single market deal.

Article 50 of the Lisbon Treaty was created to make leaving the union possible, but to discourage it, she continued.