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Brexit drama continues as a Trump-style government shutdown looms

As if British politics wasn’t insane enough already, this week sees the possibility of another big meltdown — one US voters are painfully aware of.

Trump's big border wall U.S. Government shutdown

A new threat to the stability of British politics has emerged as the clock ticks ever closer Brexit Day.

The United Kingdom will leave the European Union on March 29 in what will be the biggest political and economic upheaval in a generation — but there is still no agreement in place for how Britain will interact with the 27 other nations that remain in the union.

The deal the EU and UK Prime Minister Theresa May hopes will begin on March 29 has still not been agreed to by the British parliament, and looks unlikely to pass.

But before that can be voted on next week, another massive political headache looms for Ms May.

A Donald Trump-style government shutdown has been threatened by MPs, some who belong to the governing Conservative Party, if it looks like the UK will crash out of the EU with no deal.

Many MPs oppose leaving without a deal, and Ms May received a letter from 209 politicians at the weekend asking her to “agree a mechanism that would ensure a ‘no-deal’ Brexit could not take place”.

The Sunday Times reported some MPs were planning on tabling an amendment to the Finance Bill which would take power away from the government of its no-deal powers by cutting off its flow of cash.

The Finance Bill allows the government to spend money on a no-deal Brexit as well as on emergency measures required by a no-deal departure.

Another amendment would see the government unable to raise income or company tax unless parliament approved a Brexit deal.

The amendments could be tabled as early as today.

The US Government has been partially shut down for 17 days because the administration has not been able to agree on funding for various agencies. Donald Trump wants the new legislation to include $US5.6 billion for a border wall, while Democrats refuse. It means 800,000 government workers are on leave without pay or working without pay and many services are unavailable.

A Donald Trump-style shutdown is on the cards for the UK. Picture: Jim Watson/AFP
A Donald Trump-style shutdown is on the cards for the UK. Picture: Jim Watson/AFP

In Britain, if the amendments were passed they could throw the already fragile UK Government into chaos. The Times quoted members of Ms May’s inner circle as saying the plan could lead to “total paralysis” at the highest levels of government.

If the amendments are passed and a shutdown goes ahead it would potentially box the UK PM into a dangerous corner — she would be unable to get any deal approved and unable to leave without a deal as there would be no funds to pay for it.

The BBC reported on Monday that the Brexit deal vote in parliament is now set for January 15.

Downing Street declined to confirm the date, but Ms May claimed it would not be delayed again.

It was set down originally last month but was aborted when it became clear it would be heavily defeated.

The formal debate kicks off in parliament on Wednesday.

Trucks, at right, take part in a no-deal Brexit test, by driving through Dover near the ferry port. Britain is testing how its motorway and ferry system would handle a no-deal Brexit. Picture: AP/Matt Dunham
Trucks, at right, take part in a no-deal Brexit test, by driving through Dover near the ferry port. Britain is testing how its motorway and ferry system would handle a no-deal Brexit. Picture: AP/Matt Dunham

The UK leader warned the deal’s defeat would put Britain “in uncharted territory (in which) I don’t think anybody can say exactly what will happen”.

She has been trying desperately to sell the Brexit deal to the British public over the Christmas break, and has lobbied EU leaders to try to gain some assurances the backstop, which would kick in if a trade deal wasn’t agreed to by December 2020, was only temporary.

Many MPs and voters worry they will be trapped by the deal because as it stands the EU would have to agree for the UK to be able to leave.

The Prime Minister urged opponents of her Withdrawal Agreement to back her deal in this month’s parliamentary vote, in a newspaper article at the weekend.

British Prime Minister Theresa May has major issues to solve. Picture: Yui Mok/PA via AP
British Prime Minister Theresa May has major issues to solve. Picture: Yui Mok/PA via AP

She said: “There are some in parliament who, despite voting in favour of holding the referendum, voting in favour of triggering Article 50 and standing on manifestos committed to delivering Brexit, now want to stop us leaving by holding another referendum.

“Others across the House of Commons are so focused on their particular vision of Brexit that they risk making a perfect ideal the enemy of a good deal.

“Both groups are motivated by what they think is best for the country, but both must realise the risks they are running with our democracy and the livelihoods of our constituents.”

— with Agencies

andrew.koubaridis@news.com.au

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Original URL: https://www.news.com.au/finance/economy/world-economy/brexit-drama-continues-as-a-trumpstyle-government-shutdown-looms/news-story/5e87ad6953e6b266eb8fe9cd2b0762df