Staying in the single market and customs union means accepting all the rules and regulations that come with them — including freedom of movement. It would also mean no independent trade deals and large annual contributions to the EU budget. Known as “Norway Plus” in the Brexit patois, this is the dream option for Brussels. It is, essentially, the terms of the transition extended in perpetuity. But many in Brussels believe whatever May’s “red lines” in the negotiations — no freedom of movement, no European Court of Justice and no “vast” annual payments to Brussels — a full-scale British capitulation is under way. This is the reason the Norway Plus option is explicitly left on the table by Brussels despite repeated U.K. government warnings that it is a nonstarter. If London insists on sovereignty, “so be it” says the European Commission — but it must lose control of Northern Ireland. This is the only other option which protects the integrity of its market and the open border in Ireland. May has said “no U.K. prime minister” could agree such terms. The EU has offered two options, both equally unacceptable. Both mean a full-scale political crisis in the U.K., unless the EU compromises and allows some U.K. cherry-picking.
London’s Brexit time bomb is about to blow – POLITICO
Jaguar Land Rover has warned that a "bad" Brexit deal would hit its profits and threaten its £80bn investment plans. The UK's biggest carmaker, owned by India's Tata Motors, said its "heart and soul is in the UK". But it said that without frictionless trade its UK investment plans would be in "jeopardy". The warning comes ahead of a cabinet meeting to finalise a Brexit White Paper on Friday. Jaguar Land Rover chief executive Ralf Speth said: "A bad Brexit deal would cost Jaguar Land Rover more than £1.2bn profit each year. "As a result, we would have to drastically adjust our spending profile; we have spent around £50bn in the UK in the past five years - with plans for a further £80bn more in the next five. "This would be in jeopardy should we be faced with the wrong outcome."
Jaguar Land Rover boss: Brexit threatens £80bn UK investment - BBC News
Services are easily forgotten, as they offer no photogenic images of car factories, fishermen or farmers – just people at screens, technical drawing boards, in City trading rooms, or university teachers and other professionals selling their skills to Europe. International lawyers, auditors and others need EU validation for their qualifications with a services deal. And UK lorry drivers ferrying across the EU need a services deal to gain permits. The 26 million people working in British services create a massive £28bn-a-year trade surplus with the EU, while our goods, employing fewer, give us a deficit. With no services deal, barriers will be four times higher, a very hard-crash Brexit for the services sector. The Treasury relies on services to bring in a huge amount of its tax revenues. What hope for the NHS, housing, social care or schools with such a hefty loss in tax income?