British MPs set to vote on Brexit Bill

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Britain's economy is already suffering from last year's vote to leave the European Union, according to Christine Lagarde of the International Monetary Fund.

LONDON • Legislation intended to smooth Britain's exit from the European Union moved a step closer to becoming law yesterday, as ministers began working out what they wanted from Brexit.

The House of Commons held its final day of detailed scrutiny of the EU Bill on withdrawal, which would formally end Britain's membership of the bloc and transfer EU rules into British law, and was set to vote on key amendments.

Prime Minister Theresa May suffered a humiliating defeat last week when MPs voted to ensure Parliament has the final say on any divorce deal with Brussels. She was also due to appear yesterday before a parliamentary committee to outline her Brexit plan.

But she appeared set to avoid a second parliamentary rebellion over plans to enshrine Brexit day in law, by agreeing to another amendment giving some flexibility to move the date - March 29, 2019 - if negotiations with the EU go down to the wire.

Under pressure from MPs during yesterday's Prime Minister's Questions, Mrs May emphasised that any delay to Britain's departure from the EU "would only be in extremely exceptional circumstances and it would only be for the shortest possible time".

EU leaders last week agreed to open the second stage of Brexit talks, after approving an interim deal on Britain's financial settlement, expatriate rights and the Irish border. But they are still unclear about what Britain wants from the future relationship, including the shape of any trade deal.

Brussels, meanwhile, has repeatedly warned Britain that it cannot expect to leave the EU's single market and Customs union, and maintain all its benefits. Mr Michel Barnier, the EU's chief Brexit negotiator, has said that any deal struck would inevitably result in Britain's banks and financial firms losing their rights to trade across the bloc.

In a speech yesterday, Mr Barnier said the Brexit transition period, during which the EU's rules will still apply to Britain as it quits, should last from when Britain leaves the bloc in March 2019 until the end of 2020, three months earlier than the two-year timeframe suggested by Mrs May.

AGENCE FRANCE-PRESSE

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A version of this article appeared in the print edition of The Straits Times on December 21, 2017, with the headline British MPs set to vote on Brexit Bill. Subscribe