Emissions policy is a practical example of how, in Brexit, there is no standstill option. A ‘clean break’ opens the door to dramatic political reform, while revoking Article 50 and staying in the EU means working with the Commission’s new ambitions for the future. Even the current extension of talks creates new market forces and challenges: UK heavy industry now faces a difficult balancing act when it comes to the Emissions Trading Scheme (ETS) as it is still subject to the EU regulations that set terms but does not have full access to permits, because the EU27 want to avoid a flood of UK-issued allowances entering the market if Brexit happens. Whatever we see between now and October – in politics as in business – there is no option to keep things the same as before.
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