'We need a decision!' European economist sets deadline for May to end divorce bill spat
THE chief economist for a leading bank has said that a "big decision" is needed this week to settle the so-called Brexit divorce bill and put businesses at ease.
Bank chief: UK government needs progress on Brexit bill
Sarah Hewin, the head of Research for Europe at Standard Chartered Bank, said Theresa May faces a "tough road" to completing a Brexit deal.
The chief economist urged the Prime Minister, who has spoken to the CBI today, to quit stalling over the financial sum.
This follows reports today that the Government may be willing to meet Brussels’ demands for a £53 billion Brexit bill in a bid to move negotiations on to trade.
Theresa May faces a "tough road" to completing a Brexit deal
Ms Hewin told CNBC: "It is tough at the moment. She is trying to calm business fears, with assurances about a transitional period.
"We need some sort of agreement with access to EU markets before we get a free trade agreement.
"But more importantly, they need to agree to an exit bill. The EU are asking for £53bn – but that is politically very difficult for the Government.
"We have seen a lot of stalling. With talks on Thursday and Friday, there is going to be a big focus, because there needs to be a big decision on the exit bill as soon as possible."
The Government may be willing to meet Brussels’ demands for a £53 billion Brexit bill
Hewin said May had to quit stalling over the financial sum
There needs to be a big decision on the exit bill as soon as possible
Theresa May has signalled her willingness to pay a huge sum, roughly equivalent to €60 billion, the Sunday Times reported.
Her advisors hope that, by accepting the demand, talks can finally progress to Britain’s future relationship with the bloc in December.
The figure is three times higher than previously offered to cover a two-year transition period.
But the EU believe Mrs May will hand over the money to claim a victory by starting stalled Brexit trade talks before Christmas.
A Government source told the paper: “The value of getting a smoother process of transition and a smoother process of trade in the end game is worth quite a lot.
“These are sums that make any lubrication of the process look like small change."