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THE path towards a UK-EU trade deal is “very narrow” and the row over fishing rights could be impossible to resolve, European Commission president Ursula von der Leyen said yesterday.
Negotiations staggered on this week, with the current transition arrangements set to expire on January 1.
Ms von der Leyen told MEPs that, as matters stood, “I cannot tell you whether there will be a deal or not.”
There has been agreement that PM Boris Johnson will not undercut existing common labour and environmental standards.
On the “level playing field,” Ms von der Leyen said there had been some progress but that there remained a need for “robust mechanisms” governing state aid and standards.
She said that could mean the EU being allowed to retaliate if subsidy rules are breached.
Mr Johnson has said that no prime minister could accept a situation in which Brussels could automatically impose punitive measures if it changes its regulations and Britain fails to follow suit.
In Westminster, measures are being drawn up for Parliament to sit in the days leading up to Christmas if necessary, as some MPs expressed concern that a deal could be implemented provisionally before they get the chance to vote on it.