Brexit Update: Thursday 5th July 2018
The new post-Brexit EU customs plan proposal has been called the "facilitated customs arrangement" and is meant to give the best of both a bespoke customs union and the maximum facilitation (max fac).
This new proposal will allow for the UK to set its own trade deals and tariffs, but uses technology to collect EU tariffs on imports if the UK is acting as a conduit for goods to enter the EU. If the goods are destined for UK consumers then UK only tariffs will be applied (if any).
The system should be fully operational by the next general election says Number Ten.
It would be good for May and bolster her position if one of her ministers quits over this (Bloomberg video):
But David Davis has already sent a letter to the PM opposing it saying that the EU will reject it, reports the Telegraph.
But cobbling such a 'let's try and please everybody' deal together usually end up pleasing no-one and it seems that Theresa May is finding it hard to keep the party together on this as details of the third way plan become available.
And we have reports of bitter Tory infighting as the Chancellor promises to demand a business protecting Brexit and Jacob Rees-Mogg is accused of plotting a leadership coup against Theresa May.
As the New York Times puts it – it's decision time for both the Prime Minister and her critics.
And in news that will please many a Brexiteer, the Express reports that there is a secret no-deal Brexit team working on preparations for the UK leaving the EU without a deal. But the only problem with such an approach is that it won't be effective unless there are concrete signs of its activities that would help sway negotiations.
But with the talk of the Article 50 negotiation phase being extended past the 29th March next year still echoing around the corridors of power, the former UKIP leader Nigel Farage Tweets that, if that were the case, he would be forced to return to the Brexit frontline:
Only 20 banks have applied for licences within the required time-frame to operate in the EU (video);