In general, previous economic models by the government and other countries show that the higher the cost of trade with the EU (through tariffs and non-tariff barriers), the greater the negative effects on the UK economy. In other words, a scenario in which the UK withdraws without a trade deal with the EU and returns to “WTO rules” will likely lead to a long-term economic performance of the UNITED Kingdom (GDP) below a scenario where there will be fewer trade barriers for the UK and THE EU, as in the context of a comprehensive free trade agreement. In March 2019, the bank`s governor, Mark Carney, said the expected negative shock to GDP had been reduced because of the increased desire to achieve a result without agreement. These measures relate to customs procedures, updating free trade agreements and measures to ensure the stability of financial markets. In presenting the plan, May addressed the issue of the Irish border and said that there would be no hard border between Northern Ireland and Ireland and that there would be no border in the UK. [9] A “simplified customs agreement” would eliminate the need for customs controls by treating the UK and the EU “as a combined customs territory”. The UK would apply EU customs and trade policy to products destined for unity, but which control its own tariffs and trade for the internal market. [8] This situation is different from that of a “Canada Plus” agreement advocated by the Conservatives` human rights research group, which was not an EU-linked tariff and could therefore threaten such rights if countries apply lower duties in the UK to facilitate duty-free access with EU countries , which would undermine EU tariffs; However, it is likely that such a scenario would require a hard border on the island of Ireland, since there are no technological solutions to Irish border issues yet. [10] The plan aims to maintain the UK in close relations with the EU, establishing that the new relations are “broader than all other relations between the EU and a third country”. This would involve the creation of a new association agreement. [7] Davis, Brexit secretary at the Chequers meeting, resigned on 8 July as a result of the agreement[19] as well as Davis` Parliamentary Undersecretary, Steve Baker. [20] Foreign Secretary Boris Johnson followed him the next day. [20] In his resignation speech on July 18, Johnson said the government had dropped “a fog of doubts about itself” about its negotiations.

The speech attracted remarkable attention and BBC political journalist Laura Kuenssberg said it was “the first Boris-Johnson speech I remember when I watched that there were no jokes.” [21] The Chequers Plan, officially known as The Future Relations between the United Kingdom and the European Union, is a British government white paper on Brexit, published on 12 July 2018 by Prime Minister Theresa May.