U.K. Divergence With EU Rules Will Limit Market Access: Dombrovskis

The transcript discusses the ongoing negotiations between the UK and the EU regarding financial market access and regulatory alignment. It highlights the UK's reluctance to fully comply with EU regulations and the EU's stance on maintaining a level playing field. The discussion covers the principles of economic cooperation, the steps towards a free trade agreement, and the potential consequences of regulatory divergences. The focus is on the importance of regulatory alignment for better market access and the scenarios that may unfold after the transition period ends.

What is the EU's basic principle regarding market access for the UK?

• The UK must completely diverge from EU regulations.

• The closer the UK aligns with EU regulations, the better the market access.

• The UK should have no market access regardless of alignment.

• The UK should create its own set of regulations.

What is the first step in the EU's process towards a free trade agreement with the UK?

• Finalizing the equivalence mapping.

• Getting a negotiating mandate approved by EU Member States.

• Implementing new tariffs on UK goods.

• Establishing a new currency for trade.

What is the purpose of equivalence mapping in financial services?

• To create a new financial market independent of the EU.

• To align UK financial regulations with those of the EU.

• To increase tariffs on financial services.

• To ensure the UK has no access to EU markets.

What could happen if the UK diverges from EU regulations after the transition period?

• The EU will provide more financial support to the UK.

• The UK will gain more market access.

• The UK may lose market access in areas of divergence.

• The UK will automatically align with EU regulations.

What is the EU's position on market access for financial services if the UK diverges?

• The EU will increase market access regardless of divergence.

• The EU will offer the same market access as before.

• The EU will ignore any regulatory differences.

• The EU will not be able to provide market access in areas of divergence.