Anger as EU unveils punishment plan

The EU yesterday defended a plan to sanction Britain if it breaks the rules of the post-Brexit transition period, saying it needed to be able to act against any "foul play" by London.

British pro-Brexit lawmakers reacted angrily against "threats" from Brussels after the European Commission published a draft agreement for the nearly-two year transition phase.

It calls for the remaining 27 European Union states to have the ability to curb Britain's access to the single market, possibly reintroducing trade tariffs and customs checks, if it breaches the terms of the agreement.

But Stefaan De Rynck, the advisor to EU Brexit negotiator Michel Barnier, insisted it was standard practice to have possible punishments when an international agreement is broken.

"The EU responds to PM (Theresa) May's request to benefit from single market and customs union for a limited time during which all must play by the same rules," De Rynck tweeted.

Britain and the EU began talks this week on the transition, which Brussels says should last for 21 months from the day Britain leaves the bloc on March 29, 2019, until December 31, 2020.

During that period it says Britain must follow all EU laws without having any decision-making powers, in exchange for frictionless access to the single market and customs union enjoyed by the remaining 27 member states.

But the EU's draft, in the final footnote on last page of five-page document, calls for the ability to sanction Britain in cases where it would take too long to refer a breach of the transition rules to the European Court of Justice.