UK (Parliament Politics Magazine) – The EU is open to allowing Britain to join the Pan-Euro-Mediterranean Convention (PEM), which could strengthen post-Brexit ties, says EU trade chief Maros Sefcovic.
A senior EU trade official has suggested the UK may join a Europe-wide trading agreement as part of British Prime Minister Keir Starmer‘s efforts to reset post-Brexit relations.
What did Maros Sefcovic say about the UK joining the PEM?
Maros Sefcovic, who led the EU’s post-Brexit negotiations, told the BBC that the UK’s possibility of joining the PEM is something we could consider.
During his address at the World Economic Forum in Davos, Mr Sefcovic said the proposal is still in its early stages, adding that Britain now has the responsibility to decide its next move.
Since taking up his post as trade chief late last year, Mr Sefcovic has stated that UK-EU ties are “definitely” in a better position, highlighting that he regularly connects with British minister Nick Thomas-Symonds.
He also expressed interest in revisiting the possibility of a comprehensive veterinary deal between the EU and the UK.
Mr Sefcovic added, “We would have to have the same rules and we have to upgrade them at the same time, we call it dynamic alignment.”
What are the business’s reactions to the EU chief’s statement?
According to reports, the British government is now consulting with businesses to explore how joining the PEM could benefit the UK.
Several business groups and firms have expressed support for the UK’s possible inclusion in the PEM, highlighting that it would benefit streamlining supply chains, eliminating regulatory hurdles, and enhancing trade opportunities.
However, the previous Conservative government rejected the idea of joining PEM as a part of the post-trade agreement, but business leaders believe it would be a beneficial initiative.
How did the Labour’s MP respond to the move of joining PEM?
Housing Minister Matthew Pennycook responded to the proposal and said, “We are not seeking to participate in that particular arrangement.”
Mr Pennycook added,
“In general, the government has been very clear that we do want a closer relationship with our European partners, both in trading terms, but also importantly, in terms of security and defense cooperation, where we need to work far more closely.”
He said that we want closer ties with the EU but clarified that it is not currently seeking to participate in the proposed arrangement at this time.
Stella Creasy, Labour MP and leader of the Labour Movement for Europe, expressed her backing for the potential deal.
She added,
“Red tape from Brexit hits British business in many ways – joining PEM would help cut the paperwork connected to rules of origin requirements which is why we have long argued it should be a priority for the UK as one way to undo the damage to trade leaving the EU has done.”
Why does Dr. Mike Galsworthy support the UK joining PEM?
As reported by The Independent, Dr. Mike Galsworthy, head of the European Movement UK, argued that due to struggling growth and exports dropping since Britain’s exit from the EU, Prime Minister Sir Keir Starmer should accept the offer of joining the PEM customs deal.
Mr Galsworthy stated, “But we should go further. Joining the EU customs union would ease so many of the trade barriers our businesses have faced since we left the EU. And restoring to our young people the rights they once enjoyed to travel and work freely across our continent.”
What did the government official say about joining the Europe-wide customs union?
Nick Thomas-Symonds, Cabinet Office Minister, who is responsible for post-Brexit EU ties, was recently asked in the Commons about the EU’s offer for the UK to join the Pan-Euro-Mediterranean Convention (PEM).
Mr Symonds replied,
“We don’t currently have any plans to join PEM and we are not going to provide a running commentary on every comment that’s made. We, of course, welcome the positive, constructive tone from Commissioner Šefčovič.”
What were Sir Keir Starmer’s views on joining the EU during the election campaign?
The Labour party promised to “reset” the UK-EU relationship during its general election manifesto.
Sir Keir Starmer pledged to build a “more solid, stable footing” in UK-EU ties, with a focus on a “pragmatic and sensible” approach in dealings with Brussels.
In November 2024, the cabinet office also advertised a position for EU negotiators to represent the prime minister at negotiations, with pay at least £153,000 a year.
What is Pan-Euro-Mediterranean Convention (PEM)?
The PEM is a trade deal, introduced in 2012, that allows tariff-free movement of goods across borders. Its members include the EU, along with nations such as Switzerland, Norway, Georgia, Ukraine, and several North African nations.