Theresa May commits to paying the Brexit bill in manifesto The Conservative manifesto includes a commitment to pay the Brexit bill in order to maintain Britain’s relationship with the European […]

The Conservative manifesto includes a commitment to pay the Brexit bill in order to maintain Britain’s relationship with the European Union.

Theresa May will “determine a fair settlement” with the remaining 27 countries on Britain’s outstanding liabilities, which have been estimated on the European side at up to €100bn (£85bn).

Hard Brexiteers have discouraged the Prime Minister from agreeing to any severance payment, which would cover spending that has already been committed to. Brexit minister David Davis has maintained that Britain could “walk away” if it didn’t like the deal on offer.

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Failure to pay

But failing to pay could damage Britain’s credit rating, according to ratings agency Standard & Poor’s, and no trade deal with the EU would be possible if existing obligations are not covered.

The manifesto stated that Britain would determine a figure “in accordance with the law and in the spirit of the UK’s continuing partnership with the EU”.

Mr Davis has already said that Britain would pay “nothing like” the nosebleed figures suggested by some EU diplomats.

The EU side has indicated that Brexit negotiations will happen in two stages, and that no future arrangements – such as a free trade deal – can be made before the exit arrangements are settled.

‘Vast annual contributions’

But the manifesto went on to make clear that while the country might seek to opt in to some European programmes, it would avoid any large, ongoing commitment to the EU budget.

“The days of Britain making vast annual contributions to the European Union will end,” it said.

Ukip leader Paul Nuttall said the Conservatives have offered “no firm Brexit” and compared their proposals to those of Labour.

Labour’s manifesto called the Prime Minister’s approach to Brexit “reckless” and called for an exit that prioritises workers’ rights and avoiding economic damage.

Meanwhile, the Lib Dems have restated their pledge to offer a second referendum on the final deal.

Money to the regions

The Conservatives also promised to replace EU money paid out to regions such as Cornwall, Wales and Northern Ireland with a new “United Kingdom Shared Prosperity Fund” designed to reduce regional inequality.

The party does not commit to any specific amount of money or timeframe but linked it to a “modern industrial strategy” designed to increase growth.

It also promised to maintain “as frictionless as possible” a border between Northern Ireland and the Republic of Ireland, a possible hint at the difficulty of maintaining the status quo if Britain has different customs and immigration rules to Ireland and the rest of the EU.

The final Brexit deal will also face a vote in both the House of Commons and the House of Lords, the manifesto confirmed.