After warning that the chances of the UK leaving the European Union without a deal are now ‘touch and go’, British Prime Minister Boris Johnson has now warned that in such a scenario, the UK would no longer be obligated to pay its multi-billion pound settlement agreement with the EU.
Speaking with ITV before meeting with the President of the European Council, Johnson said "If we come out without an agreement it is certainly true that the £39 billion is no longer, strictly speaking, owed."
Johnson was referring to the UK’s financial obligations to the EU under existing agreements, a sum that was estimated by the UK Office for Budget Responsibility to be £32.8 billion.
He added, "I'm not going to get into the figures, but there will very substantial sums available to our country to spend on our priorities, to spend on getting on getting our businesses ready. It's not a threat, it's a simple statement of reality, that's the way things are.”
Reuters reported a "source close to Macron" as saying that a UK refusal to pay the bill would amount to a "sovereign debt default".
Johnson downplayed fears that a no-deal Brexit would lead to food and medicine shortages, as was earlier reported based on a leak of a government memo. “What I can tell people and as I said a few weeks ago on the steps of Downing St, I think we can get through this, this is a great, great country the UK, we can easily cope with a no-deal scenario. And I know that's what people want.”
Earlier in the day, US President Donald Trump described Johnson as the “best man” to lead Brexit, expressing his belief that a trade deal with the UK following Brexit would be “bigger than we’ve ever had”.
