Theresa May Brexit speech: Prime Minister admits UK will have less access to EU, but demands trade deal on banking - as it happened
Follow all the latest updates as Prime Minister prepares for major speech
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Theresa May has outlined her vision for the future UK-EU relationship, as she warned the bloc that refusing to include financial services in a trade deal after Brexit would “hurt” its own economies.
In a major speech at Mansion House in London, she said a deal with Brussels should be the first free trade agreement to cover broadcasting and financial services.
The Prime Minister also said Philip Hammond, the Chancellor, will set out his plans for financial services next week, but said “we are not looking for passporting”.
In an attempt to address the contentious issue of the border between Northern Ireland and the Republic, Ms May said it is the responsibility of the UK Government and the European Commission to find a solution.
She also sought to highlight “tensions” in the EU’s position as she set out “five tests” for the UK’s future relationship with the bloc after withdrawal.
As it happened...
That's it. Theresa May ends by telling the EU: "Let's get on with it."
Here's Theresa May announcing the UK will seek to remain an associate member of a number of EU agencies
In a clear dig at Jeremy Corbyn, Ms May responds to one question by saying:
"Unlike some other politicians I am being straight with people. There are some hard facts to be faced.'
She is also asked, by a German journalist, whether she thinks Brexit is "worth it".
"We won't be changing our mind", she says.
Theresa May used her speech to dismiss suggestions she was "cherry-picking".
She's just picked Mike Cherry from the Federation of Small Business to ask a question.
Here's Theresa May accepting the UK will lose some single market access after Brexit
Here's the full passage from Theresa May on financial services - in which she admitted the UK will lose some access to the single market but warned the EU that failure to include finance in a trade deal would hurt Europe too.
"Similarly, on financial services, the Chancellor will be setting out next week how financial services can and should be part of a deep and comprehensive partnership. We are not looking for passporting because we understand this is intrinsic to the single market of which we would no longer be a member. It would also require us to be subject to a single rule book, over which we would have no say.
The UK has responsibility for the financial stability of the world’s most significant financial centre, and our taxpayers bear the risk, so it would be unrealistic for us to implement new EU legislation automatically and in its entirety.
But with UK located banks underwriting around half of the debt and equity issued by EU companies and providing more than £1.1 trillion of cross-border lending to the rest of the EU in 2015 alone, this is a clear example of where only looking at precedent would hurt both the UK and EU economies.
As in other areas of the future economic partnership, our goal should be to establish the ability to access each others’ markets, based on the UK and EU maintaining the same regulatory outcomes over time, with a mechanism for determining proportionate consequences where they are not maintained. But given the highly regulated nature of financial services, and our shared desire to manage financial stability risks, we would need a collaborative, objective framework that is reciprocal, mutually agreed, and permanent and therefore reliable for businesses."
And another key section, in which she admitted the UK will lose some access to European markets and told the British public to "face up to some hard facts".
Before I turn to what a new and better model might look like, I want to be straight with people – because the reality is that we all need to face up to some hard facts.
We are leaving the single market. Life is going to be different. In certain ways, our access to each other’s markets will be less than it is now. How could the EU’s structure of rights and obligations be sustained, if the UK - or any country - were allowed to enjoy all the benefits without all of the obligations?
So we need to strike a new balance. But we will not accept the rights of Canada and the obligations of Norway.
The second hard fact is that even after we have left the jurisdiction of the ECJ, EU law and the decisions of the ECJ will continue to affect us.
Positive response from Ms May's coalition partners in the DUP. Their leader tweets...
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments