SALZBURG: EU Council President Donald Tusk issued a stark warning to Britain on Wednesday that its Brexit position must be “reworked”, as Prime Minister Theresa May prepared to address European leaders at a key summit.

Tusk said the negotiations on Britain’s withdrawal from the European Union were reaching a “decisive phase”, as he opened the first of three summits that Brussels hopes will end in a divorce deal.

But while he had some encouragement for the “positive evolution” of Britain’s approach, he warned the two sides were still stuck on two key areas — the Irish border and the future economic relationship.

“On other issues such as the Irish question, or the framework for economic cooperation, the UK’s proposals will need to be reworked and further negotiated,” Tusk said.

Officials on both sides of the Channel hope Salzburg will give new impetus to divorce negotiations ahead of a crunch summit in Brussels on Oct 18.

That was originally viewed as the deadline, but Tusk confirmed on Wednesday he will seek approval from EU leaders for a last-gasp Brexit gathering in mid-November.

But first the issue of the border must be settled, with both camps coming up against their “red lines”.

If it is not resolved, the chances of Britain stumbling into a chaotic and damaging break-up with its neighbours and main trading partners next March will soar.

Salzburg’s host, Austrian Chancellor Sebastian Kurz, said it was important for the 27 non-British members to stick together.

In an interview with Austrian newspaper Der Standard, he warned that finding a solution before November “would be anything but easy”.

Neither side wants a “hard border” to spring up between Northern Ireland, a British-ruled province, and the Irish Republic when London splits from the EU single market and customs union, as this would hurt trade and might undermine the Good Friday peace agreement.

But Europe is insisting on a “backstop” that would keep Northern Ireland in the customs union under EU rules while a future trade relationship is negotiated.

London sees this as a threat to its sovereignty and refuses to countenance a de facto Irish Sea frontier.

“Neither side can demand the unacceptable of the other, such as an external customs border between different parts of the United Kingdom, which no other country would accept if they were in the same situation,” May wrote in an editorial carried in several European newspapers.

Speaking in Brussels on the eve of Wednesday’s summit, Europe’s chief Brexit negotiator Michel Barnier was at pains to appear conciliatory, even if his proposition differed little from the long-standing EU position.

Specifically, he said that he would “clarify” which goods will have to be checked by customs officers as they are transported between mainland Britain and Northern Ireland.

“We can also clarify that most checks can take place away from the border, at the company premises or in the market,” he said. “We need to de-dramatise the checks that are needed.”

May’s parliamentary majority depends on support from Northern Ireland loyalists bitterly opposed to any weakening of links with the UK and she faces a difficult Conservative Party conference at the end of month.

Published in Dawn, September 20th, 2018</s>SALZBURG, Austria (Reuters) - European Council President Donald Tusk said on Wednesday he would call an extra Brexit summit of European Union leaders around mid-November to finalize a deal with Britain.

Tusk told a news conference before chairing a summit of all 28 EU leaders in the Austrian city of Salzburg later on Wednesday:

“The Brexit negotiations are entering their decisive phase. Various scenarios are still possible today but I’d like to stress that some of Prime Minister May’s proposals from Chequers indicated positive evolution in the UK’s approach.”

Tusk said that went for the UK’s readiness to work closely with the EU on security and foreign policy after Brexit but stressed that Chequers proposals from premier Theresa May for the future Irish border and economic cooperation between the EU and Britain “will need to reworked and further negotiated”.

“Today there is perhaps more hope but there is surely less and less time,” Tusk added. “Every day that is left we must use for talks. I’d like to finalize them still this autumn,” he said. He would propose that the EU leaders hold another extra summit on Brexit around mid-November.</s>(Bloomberg) -- European Union leaders meet for a summit in Salzburg, Austria, with Brexit and migration on the agenda.

European Council President Donald Tusk told reporters on Wednesday that Brexit talks are entering a decisive phase and that at Thursday’s meeting he’ll propose an additional summit in mid-November.

“Some of Prime Minister May’s proposals from Chequers indicate a positive evolution in the U.K.’s approach as well as a will to minimize the negative effects of Brexit,” Tusk said. “On other issues, such as the Irish question, or the framework for economic cooperation, the U.K.’s proposals will need to be reworked and further negotiated.”

U.K. and EU Aim to Break Brexit Deadlock as Time Runs OutBritain’s Brexit Fixation Brings Other Government Work to a HaltInside Steve Bannon’s Plans for a New European Political OrderBrexit and the Path to a Deal: Here’s What to Expect in SalzburgWhy Hungary and Poland Rattle Europe’s Liberal Order: QuickTake

*Leaders attend party meetings from 4:30 p.m.*They go into dinner at about 6:30 p.m. CET and will answer reporters’ questions on the way in

--With assistance from John Follain, Katharina Rosskopf, Nikos Chrysoloras, Jonathan Stearns, Tim Ross and Boris Groendahl.

To contact the reporters on this story: Arne Delfs in Berlin at adelfs@bloomberg.net;Helene Fouquet in Paris at hfouquet1@bloomberg.net;Ian Wishart in Brussels at iwishart@bloomberg.net

To contact the editors responsible for this story: Emma Ross-Thomas at erossthomas@bloomberg.net, Richard Bravo</s>A defiant British Prime Minister Theresa May says Brexit negotiations are "at an impasse" after the European Union rejected her proposals for leaving the bloc.

Speaking at 10 Downing St. in London, May said it was "not acceptable" that the EU had rejected her plan without offering alternatives.

She said: "We cannot accept anything that does not respect the result of the referendum, just as they cannot accept anything that is not in the interest of their citizens.

"Throughout this process, I have treated the EU with nothing but respect. The UK expects the same."

EU chief Donald Tusk said at a summit in Salzburg that May's plan would not work.

May says both sides want a deal, but remain far apart on key issues of future trade relations and the Irish border. She called for "serious engagement" to solve the problems.

The pound fell on May's comments, trading down a sharp 1.2 percent on the day to $1.3104.

The British government on Friday accused the European Union of slamming the handbrake on Brexit negotiations, after the bloc said Prime Minister Theresa May's blueprint was unworkable.

European Council President Donald Tusk said bluntly at a meeting in Salzburg, Austria on Thursday that parts of May's plan simply "will not work," while French President Emmanuel Macron called pro-Brexit U.K. politicians "liars" who had misled the country about the costs of leaving the 28-nation bloc.

A rattled May insisted that her plan was the only one on the table — and that Britain was prepared to walk away from the EU without a deal if it was rejected.

The rebuff sparked British headlines saying May had been "humiliated," and a strong response from the U.K. government.

Brexit Secretary Dominic Raab accused the EU of rejecting Britain's proposals without offering "credible alternatives" and said the bloc had "yanked up the handbrake" on negotiations.</s>Brexit: Theresa May had a blazing row with Donald Tusk after EU leaders condemned her Chequers plans

She now faces weeks of further chaos as a group of 40 pro-Brexit MPs set to join forces in voting against her Chequers plan, a move that could further derail progress as the clock ticks down to the Brexit date of March 29, 2019.

This has led the Prime Minister to declare that Britain was edging closer to walking away from the EU without a withdrawal deal.

After European Council President Donald Tusk said the other EU27 leaders “all agreed” that Chequers plans would not work, Mrs May still insisted that a deal is possible, but also admitted there was “a lot of hard work to be done”.

In what proved to be an extraordinary day at a summit in Salzburg, European powerhouses ambushed the Prime Minister by outright condemning her proposals, particularly her vision for the Irish border.

7am update: May fuming following furious row with Donald Tusk

Theresa May has been left fuming following a blazing row with Donald Tusk that saw EU leaders turn on her Chequers plans during a chaotic day for the Prime Minister.

The European Council President insisted that the other 27 leaders “all agreed” that her Chequers plans would not work.

He said in a press conference: “Everybody shared the view that while there are positive elements in the Chequers proposal, the suggested framework will not work, not least as it risks undermining the single market.”

Mrs May then faced the press, but insisted that a Brexit deal is still possible and despite offering a fresh concession on Northern Ireland, she admitted there was “a lot of hard work to be done”.

In a warning to the EU, she said: 'Let nobody be in any doubt - we are preparing for 'no deal'.

If we get to a position where it is not possible to do a deal then the British people can have confidence that we will have done what is necessary to ensure we make a success of leaving the European Union regardless of the terms on which we do so.'

The Prime Minister also acknowledged she had a “frank” meeting with Donald Tusk shortly before her own press conference.</s>LONDON (Reuters) - British Prime Minister Theresa May said on Friday the European Union must come up with an alternative to her Brexit proposals, saying talks had reached an impasse after bloc’s leaders had rejected her plans without explaining why.

At a summit in Austria on Thursday, EU leaders said they would push for a Brexit deal next month but rejected May’s “Chequers” plan, saying she need to give ground on trade and arrangements for the UK border with Ireland.

“It’s not acceptable to simply reject the other side’s proposals without a detailed explanation and counter proposals,” May said in a televised statement.

“So we now need to hear from the EU what the real issues are, what their alternative is, so that we can discuss them. Until we do, we cannot make progress.”

May said she could not agree to any deal which treated Northern Ireland differently to the rest of the United Kingdom.

The EU insists that there can be no hard border between the British province and the Irish Republic, with Northern Ireland remaining in the bloc’s customs union or effectively establishing a border in the Irish Sea if no alternative deal is reached.

May cited Britons’ vote in 2016 to leave the EU. “I will not overturn the result of the referendum nor will I break up my country,” she said. “We need serious engagement on resolving the two main problems in the negotiations and we stand ready.”

Earlier, her Brexit Secretary Dominic Raab said some EU leaders had shown unstatesmanlike behaviour in Salzburg.

“We’ve already compromised hugely with the Chequers proposals. We’ve engaged and we want to hear more about what the real critique of it is and we’ve got no other credible alternatives on the table,” Raab told the BBC.

“What we’re not going to do is be salami sliced throughout this negotiation in a typical style that the EU engages in without movement on the other side.”

For the British media, the message from Salzburg was clear.

Newspapers led their front pages with a Reuters picture showing May, dressed in a red jacket, standing apparently aloof and alone from a mass of suited male EU leaders.

Few diplomats expected any breakthrough from the Salzburg summit as the EU has repeatedly made clear that May must rework the Chequers proposals.

The tone of some of their comments, particularly the irony of European Council President Donald Tusk, left May exposed at home as she heads into what is expected to be a tumultuous annual conference of her Conservative Party from Sept. 30.</s>Theresa May remains wedded to her Brexit plan despite being told it “will not work” at a summit of European Union leaders, setting up a tense month of negotiations as time runs out to reach a deal.

The Prime Minister said the Chequers blueprint is the only proposal on the table as the deadline approaches, with the next leaders’ meeting in October set to be a “moment of truth”.

But Mrs May indicated the UK will unveil new measures on the future status of the Northern Irish border in a bid to break the deadlock.

Speaking at the end of a two-day EU summit in Austria – during which she had a meeting with Irish counterpart Leo Varadkar – Mrs May said the UK will “shortly” come forward with new proposals on the so-called “backstop” arrangements for implementation at the border if no long-term solution is found.

Mrs May, who also held “frank” face-to-face talks with European Council president Donald Tusk at the informal Salzburg summit, insisted Chequers is the “only serious and credible proposition” for an overall deal.

But Mr Tusk said the 27 other EU leaders had agreed the plans need to be redrawn.

“Everybody shared the view that while there are positive elements in the Chequers proposal, the suggested framework for economic co-operation will not work, not least because it is undermining the single market,” he said at the conclusion of the two-day meeting.

– German Chancellor Angela Merkel said “substantial progress” is needed over the next four weeks.

– French President Emmanuel Macron said leaders of the Brexit campaign who told British voters it would be easy were “liars” and leaving the EU was “not without costs”.

– Dutch Prime Minister Mark Rutte said his country is better prepared for a no-deal Brexit than Britain and an agreement is “not easy” because of Mrs May’s red lines.

The next major milestone in the Brexit process is fast approaching, with the October 18 summit labelled a “moment of truth” by Mr Tusk.

An additional Brexit summit could be held in November, but only if a deal is within reach.

Mr Tusk said: “In October we expect maximum progress and results in the Brexit talks and then we will decide whether conditions are there to call an extra summit in November to finalise and formalise the deal.”

At a news conference at the conclusion of the summit, Mrs May struck a defiant tone, saying she had always expected negotiating “tactics” to be used during the course of the Brexit process.

She has flatly rejected a European Commission backstop proposal for Northern Ireland to remain within the EU customs area after Brexit, arguing this would draw a border down the Irish Sea.

Speaking after her meeting with Mr Tusk, the PM said: “We both agree there can be no withdrawal agreement without a legally-operative backstop. But that backstop cannot divide the United Kingdom into two customs territories, and we will be bringing forward our own proposals shortly.

“On the economic partnership, there is no solution that will resolve the Northern Ireland border which is not based on the frictionless movement of goods.

“Our White Paper remains the only serious and credible proposition on the table for achieving that objective.”

With the Chequers plan facing resistance from the EU and a bitterly divided Conservative Party, a no-deal Brexit remains a potential outcome.

Mrs May said: “Let nobody be in any doubt: as I have always said, we are preparing for no deal, so that if we get to the position where it’s not possible to reach a deal then the British people can be confident that we will have done what is necessary to ensure we make a success of leaving the EU, regardless of the terms on which we do so.”

Mr Tusk insisted that despite the EU’s reservations about the Chequers plan, he is “a little more optimistic” about the prospect of a “positive outcome”.

But “unfortunately we cannot at this stage exclude a no-deal – it depends on both sides of negotiations”.

Earlier, the leaders of the Czech Republic and Malta had suggested a second referendum should be held to give the British people the chance to rethink Brexit.

Maltese Prime Minister Joseph Muscat said there is “almost unanimous” support among EU leaders for Britain to hold a second vote.

But Mrs May restated her position: “We are going to leave the European Union, we will leave on March 29, 2019 and there will be no second referendum.”

She received support from controversial Hungarian Prime Minister Viktor Orban, who claimed that while some EU leaders want to “punish” the UK for its choice, he wants a “fair” Brexit deal.

Jacob Rees-Mogg, leader of the influential European Research Group of pro-Brexit Tories and a prominent critic of the Prime Minister’s plan, summed up events in Salzburg by tweeting “Chequers goes pop” with the hashtag #ChuckChequers.

Shadow Brexit secretary Sir Keir Starmer said: “It has been clear for weeks that Theresa May’s Chequers proposals cannot deliver the comprehensive plan we need to protect jobs, the economy and avoid a hard border in Northern Ireland.

“With just weeks to go until a deal must be struck, the Prime Minister cannot keep ignoring this reality.”</s>BRUSSELS — European leaders on Thursday toughened their stance against a British proposal on how to structure their future relationship, with the European Council president saying Prime Minister Theresa May’s controversial “Chequers” plan “will not work.”

Mrs. May has cast that plan for Britain’s withdrawal from the European Union as the only workable one on the table.

But at an informal summit meeting in Salzburg, Austria, on Thursday, the council president, Donald Tusk, and fellow European leaders made clear that in their eyes, that proposal was dead.

If Mrs. May had hoped that the two-day Salzburg meeting would make her political life a little easier — her Conservative Party holds a conference at the end of September — it now appears it will have the reverse effect, and prompt more domestic criticism of her leadership.</s>European Council President Donald Tusk says Britain's Brexit proposals on the Irish border need to be "reworked and further negotiated".

He was speaking ahead of a gathering of EU leaders in Austria, which'll be attended by Taoiseach Leo Varadkar.

Mr Tusk said Brexit negotiations are entering their "decisive phase".

While he said "various scenarios" are still possible, there need to be changes to Britain's approach - particularly on the future of the Irish border and economic cooperation.

"Among other things, the readiness to cooperate closely in the area of security and foreign policy.

"On other issues, such as the Irish question, or the framework for economic cooperation, the UK's proposals will need to be reworked and further negotiated."

"Today there is perhaps more hope, but there is surely less and less time.

"Therefore, every day that is left, we must use for talks."

He's proposing to call an additional summit around mid-November to finalise a Brexit deal.</s>Theresa May will attempt to sell her Chequers plan directly to fellow European Union leaders as she calls for Brussels to compromise as the clock ticks down to Brexit.

The Prime Minister will use a gathering of EU leaders in Salzburg to say the UK’s position has “evolved” with the publication of her proposals, and now it is time for Brussels to follow suit.

On the eve of the informal meeting of EU heads of government, Brussels’ chief negotiator Michel Barnier said he was ready to come forward with a new offer on the Irish border.

He said he was working on an “improved” plan to avoid the return of a hard border while respecting the territorial integrity of the UK, in an attempt to break the deadlock.

But he warned that time for an agreement was running out and the “moment of truth” would come at the next full EU summit on October 18.

“It is then we shall see whether agreement we are hoping for is in our grasp,” he told a news conference.

The gathering in Salzburg will be the first time EU leaders have met since Mrs May published her Chequers blueprint for Brexit in July.

Over dinner at the Felsenreitschule – the theatre where the Von Trapp family performed before fleeing the Nazis in The Sound Of Music movie – Mrs May will set out her plan and explain why Brussels should show more flexibility to give her the support she needs.

In an interview with the Daily Express she said it was the “right plan” for the UK while representing a “good deal for the EU”.

“I’m not going to be pushed away from doing what is necessary to get the right deal for Britain,” she said.

Mrs May is expected to use the Salzburg summit to hold formal face-to-face talks with Belgian premier Charles Michel on Wednesday and Ireland’s Leo Varadkar and European Council president Donald Tusk on Thursday.

She may talk to other leaders in the margins of the summit in an effort to win backing for a plan which has met fierce resistance from within the ranks of her own Conservative Party.

As part of the drive to set out the UK’s position to the EU’s leaders, Mrs May used an article in German newspaper Die Welt to explain her stance.

“A lot has been said about what the UK is asking for, so I want people to hear directly from me about what I am trying to achieve and the motivation behind it,” she said.

The Chequers blueprint – a “common rulebook” for trade in goods and “business-friendly facilitated customs arrangement” – is the only way to resolve the thorny issue of the border between Northern Ireland and Ireland, she said.

“It is profoundly in both sides’ economic interest, it respects the integrity of the single market and, crucially, no one else has come up with a proposal that could command cross-community support in Northern Ireland that is the only true foundation for stability there.”

The Government argues Brussels’ plan, which would see Northern Ireland remain in the customs union until a new arrangement could be agreed, would effectively create a border between the North and the rest of the UK – something the Prime Minister has said she could not accept.

Mrs May said: “To come to a successful conclusion, just as the UK has evolved its position, the EU will need to do the same.

“Neither side can demand the unacceptable of the other, such as an external customs border between different parts of the United Kingdom – which no other country would accept if they were in the same situation – or the UK seeking the rights of EU membership without the obligations.”

Mr Barnier said his latest proposal to break the deadlock would “de-dramatise” the controls that would be necessary in the event of the backstop coming into play.

“We are clarifying which goods arriving in Northern Ireland from the rest of the UK would need to be checked and where, when and by whom these checks could be performed,” he said.

“We can also clarify that most checks can take place away from the border at the company premises or in the markets.”

Mr Barnier made clear that time to reach a deal was running out with his comment that the next summit on October 18 would be a crucial stage in the process.

Attention had been increasingly focused on the prospect of a special summit in November to finalise an agreement, but Mr Barnier said it should be clear before then whether a deal was possible.

European Council president Donald Tusk said EU leaders should discuss arrangements for the “final phase” of the Brexit talks “including the possibility of calling another European Council in November”.

In a letter to leaders ahead of the Salzburg meeting he called on them to work on “limiting the damage” caused by Brexit.

“Unfortunately, a no-deal scenario is still quite possible. But if we all act responsibly, we can avoid a catastrophe,” he said.
At a European Union leaders' meeting in Salzburg, European Council President Donald Tusk says that he will push for an additional gathering in mid-November, allowing the United Kingdom's proposals to be "reworked and further negotiated".