Reasons for Brexit Divorce Bill (as some don't appear to understand why we have to pay it)

by Guest Thu Nov 30, 2017 5:48 pm

Funnily enough, they seem to be the ones that voted for Brexit and obviously didn't understand the implications (although the Leave side kept it very quiet so I suppose you can't blame them, they weren't going to find out for themselves, that would be asking too much).

Why does Britain have to pay anything to the EU if it is leaving?

When Britain became a member of the 28-nation bloc, it agreed to a whole range of rules—including the EU’s long-term budget and contributing to huge infrastructure projects that have a long time frame for completion.

Britain signed up to the EU’s budget framework when it became a member; budgets are not calculated year by year. The EU budget is a “legal act” and is over a seven year span. The last one started in 2014 and it ends in 2020. So, when Britain leaves the EU—tentatively set for March, 2019—it will still be liable to pay its share for the remaining seven quarters—from April 2019 until the end of 2020.

Britain still has EU obligations post-Brexit

Even if Britain leaves in 2019, if there are projects it agreed to contribute to that are meant to be completed by 2030, it would still have to pay for what it promised to fund at the time. This is the same for if a project in the UK was meant to be completed by 2030—EU members would have to continue paying the UK.

How much does Britain owe?

There is no finite number of what the EU is demanding, publicly, and since the talks are behind closed doors, it is difficult to gauge what the EU expects. However, European Commission president Jean-Claude Juncker previously suggested €60 billion (currently $70.4 billion) as a figure. Others have independently pegged it closer to the €30 billion mark.

This week, the UK prime minister Theresa May is reportedly thinking of upping the offer (paywall) that Britain is willing to pay the EU in the divorce bill to €40 billion, from around €20 billion. However, the BBC is reporting the figure at up to £40 billion.

The difference between 40 billion in pounds and euros is about $6 billion—not insubstantial.

The Financial Times reported that May “will not put a precise figure on the offer but instead give greater detail on how it would be calculated” in the UK’s next round of negotiations with the EU.
But isn’t Britain owed anything for leaving?

The final amount will deduct agreements and assets the UK has with the EU.

Britain is estimated to have around €150 billion in assets that it purchased during its EU membership, including cash and property (paywall). On top of that, since the EU spends around €7 billion a year in Britain, so if these payments were deducted, it would reduce the final bill but a large amount.

https://qz.com/1134703/brexit-divorce-bill-explained-why-the-uk-needs-to-pay-the-eu-to-leave/

Hope that cleared up a few points lol

by Vintage Thu Nov 30, 2017 7:08 pm

Pay our way by all means, although there doesn't seem to be a figure in mind as such, or why does the EU keep suggesting we should offer more all the time. As for future projects I don't believe Britain should be subject to something we won't be partaking in, same as any long term project in Britain, the EU shouldn't contribute if there's nothing in it for them. Future projects need to be re assessed in light of us going. It's not a divorce with children to support to adulthood, its leaving a club, you don't keep paying your dues for years after you cancel your membership, if you are renting a property you aren't expected to keep paying your rent long after you quit the property because you agreed to renovations before you left.

by Tommy Monk Thu Nov 30, 2017 7:37 pm

The British people never agreed to any of it!

Paying a little bit to honour some of the commitments up to 2020 is one thing... but anything past that, the eu has to decide among themselves what they want to do in the future... as I said before, the British people have never agreed to any of it...!!!

Also... the article says the UK owns about 150 billion Euro worth of EU controlled assets... when are they gonna pay us the money to buy us out of all that...!?

by Guest Thu Nov 30, 2017 7:45 pm

FGS Tommy, why do you make yourself look such and idiot. Of course we agreed to it, MEPs voted for it on our behalf.

And do learn to read:

The final amount will deduct agreements and assets the UK has with the EU.

by Guest Thu Nov 30, 2017 7:47 pm

Vintage wrote:Pay our way by all means, although there doesn't seem to be a figure in mind as such, or why does the EU keep suggesting we should offer more all the time. As for future projects I don't believe Britain should be subject to something we won't be partaking in, same as any long term project in Britain, the EU shouldn't contribute if there's nothing in it for them. Future projects need to be re assessed in light of us going. It's not a divorce with children to support to adulthood, its leaving a club, you don't keep paying your dues for years after you cancel your membership, if you are renting a property you aren't expected to keep paying your rent long after you quit the property because you agreed to renovations before you left.

We legally agreed to them. Same as when you take out a contract on a phone, if you decide to give it back, you still have to pay the money for the contract time.

by Guest Thu Nov 30, 2017 7:47 pm

PS Thanks for the red, just shows that people don't want to know the truth.

by Guest Thu Nov 30, 2017 8:32 pm

Tommy Monk wrote:
The British people never agreed to any of it!

Paying a little bit to honour some of the commitments up to 2020 is one thing... but anything past that, the eu has to decide among themselves what they want to do in the future... as I said before, the British people have never agreed to any of it...!!!

Also... the article says the UK owns about 150 billion Euro worth of EU controlled assets... when are they gonna pay us the money to buy us out of all that...!?

Agree

by Andy Thu Nov 30, 2017 8:42 pm

Take the reds as a badge of honour, Sassy. The Brexiteers would sell their family to leave, as well as the crown jewels and an unlimited amount of money.
The figures are eye watering. It will end up around £60 billion in the first instance - or around £2000 per adult in the UK. Who will pay?
Our kids and grandkids. Oldies like most on here will be saddling our future generations with a debt that can never be repaid.
It will finally put to bed that faux post saying there is no money left.
This time there really WILL be nothing left.

by Victorismyhero Thu Nov 30, 2017 8:54 pm

well, if we have liabilities of (say) 50 billion

and assets in europe of 150 billion......
plus the 7 billion they are supposedly paying here....

isnt it a case that in fact THEY...owe US

by Guest Thu Nov 30, 2017 9:41 pm

Who cares

50 billion??

Cheap and cheerful. We will make that back in 6 months when we are trading with the rest of the world.

Lets get shot of the vermin and be done with it

by Guest Thu Nov 30, 2017 9:42 pm

Angry Andy wrote:Take the reds as a badge of honour, Sassy. The Brexiteers would sell their family to leave, as well as the crown jewels and an unlimited amount of money.
The figures are eye watering. It will end up around £60 billion in the first instance - or around £2000 per adult in the UK. Who will pay?
Our kids and grandkids. Oldies like most on here will be saddling our future generations with a debt that can never be repaid.
It will finally put to bed that faux post saying there is no money left.
This time there really WILL be nothing left.

I only give green mate

by Tommy Monk Fri Dec 01, 2017 11:20 pm

Angry Andy wrote:The remainians would sell their family to stay in, as well as the crown jewels and an unlimited amount of money.
Even though the figures are eye watering. We hand them around £60 billion (net) every 5 years - or around £2000 per adult in the UK. Who will pay?
Our kids and grandkids. Remainians will be saddling our future generations with a debt that can never be repaid.
It will finally put to bed that faux post saying there is no money left.
This time there really WILL be nothing left.

by 'Wolfie Sat Dec 02, 2017 1:09 am

smelly-bandit wrote:Who cares

50 billion??

Cheap and cheerful. We will make that back in 6 months when we are trading with the rest of the world.

Lets get shot of the vermin and be done with it

Do tell, Smelly'...

Where are Britain's increased exports to "the rest of the world" coming from..

Now that you no longer have all of those former colonies to pillage and plunder.

by Guest Sat Dec 02, 2017 8:00 am

America

Cabada

Australia

Japan

China

Pretty much the rest of the world who want to make monies.

You really haven't got a clue about just how restricted and narrow the single market makes us.

by nicko Sat Dec 02, 2017 2:33 pm

"Pillage and Plunder" I love a bit of Pillage and Plunder, keeps the mind sharp, you should try it sometime. Laughing

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