Wolfgang Schäuble Resorts To Threats And Extortion Over Brexit

Tyler Durden's picture

Submitted by Michael Shedlock via MishTalk.com,

German finance minister Wolfgang Schäuble warns the UK faces stiff rules on tax breaks and prolonged EU payments.

Such threats are nothing more than an extortion attempt by the EU on the UK.

Schäuble’s threats are laughable because they are unenforceable, yet extremely serious because of likely end results.

 

schauble-extortion

Please consider yet another foolish EU threat: Wolfgang Schäuble Sets Out Tough Line on Brexit.

Germany’s finance minister has set out a tough line on EU divorce talks with Britain on issues from tax breaks to exit costs, dashing Downing Street hopes Berlin would soften Europe’s stance on a UK departure from the bloc.

 

Theresa May’s government has been looking to Germany, a net exporter to the UK, to temper French demands that Britain “pay a price” for its decision to leave.

 

But Wolfgang Schäuble told the Financial Times that, even after Brexit, the UK would be bound by tax rules that would restrict it from granting incentives to keep investors in the country — and would also face EU budget bills for more than a decade.

 

“Until the UK’s exit is complete, Britain will certainly have to fulfil its commitments,” he said. “Possibly there will be some commitments that last beyond the exit … even, in part, to 2030 … Also we cannot grant any generous rebates.”

 

In addition to demands for long-term financial payments, Mr Schäuble insisted Britain must stick to international rules on investment incentives, a clear signal Berlin would closely watch commitment like those Mrs May made to carmaker Nissan, which recently won government assurances before it agreed to build new models in the UK

 

“These rules apply to all whether EU members or not,” he said.

 

Mr Schäuble noted that Group of 20 agreements commit members to limiting tax avoidance — an initiative, led by Germany and the UK, that would reduce Britain’s ability to grant breaks to companies, even after leaving the bloc.

Amazing Arrogance

The UK is out of the EU as soon as it says so, not as soon as the EU lets the UK go.

The clear answer to the UK’s non-dilemma over group of 20 agreements is to renounce them immediately.

“There is no à la carte menu. There is only the whole menu or none,” said Schäuble, arguing that British restrictions on EU immigration would end financial services companies’ free access to EU markets under so-called passporting rules.

“The UK is still a member of the EU and it is a country which has always upheld the valid regulations, valid laws and valid treaties,” added Schäuble.

Well la-de-friggin-da.

Schäuble acts like a spoiled brat who thinks he has all the marbles, when there is a far bigger pile elsewhere.

The UK does not need 27 nations to agree the UK can leave. Moreover, it is increasingly obvious to anyone watching that the EU is totally dysfunctional and will never agree on much of anything.

The UK can kiss off the EU anytime it wants. I suggest prime minister Theresa May fire off a warning salvo immediately, renouncing Group of 20 Agreements.

EU buffoonery is completely out of hand.

In related news, please consider EU the Toothless Tiger, Totally Dysfunctional Until it Disintegrates Into Oblivion.

Other Related Articles

These EU fools are playing with a Smoot-Hawley style global deflationary collapse.

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Yen Cross's picture

 Fuck You with barbed wire...  You scumbag banksters are out of amunition.

 The fucking BoE practically subsidizes the E.U. balance sheet  Traders always joke at how eur/gbp sinks at the end of every month.

Occident Mortal's picture

Come and invade us if you think your hard enough!

On a serious note; Schauble's entire worldview has already collapsed.

He doesn't sound threatening at all, he just sounds like a man in denial. The UK can do whatever it wants because it is a sovereign power backed by military prowess.

If the UK decides to stop paying the EU then payments will cease.

gojam's picture

As I've said from the start, UK will leave NATO - If they don't act like allies, leave the fuckers to defend themselves.

CuttingEdge's picture

With Trump allegedly offering May a free trade agreement in their first conversation...

Herr Shauble?

Err...

You and Junkie are holding a busted flush.

Don't make this any more embarrassing than it needs to be, at least not right now? There is an overcapacity of hilarity from the libtard meltdown to be savoured for at least a couple or three more months - save the bollocks till then so it isn't wasted?

Tarzan's picture

Another hour goes by on Zero Hedge with no PizzaGate?

Makes me wanna say Hmmmmmm

Who are you protecting Tylers,

is this fight club, or FAKE club?

HowdyDoody's picture

"The UK can do whatever it wants because it is a sovereign power backed by military prowess."

Ha - you are joking. It has to recruit foreigners (typically French for extra insult) to man the small number of warships it has. It will also have to import foreign steel (because the indigenous steelmakers are being closed down) for its proposed nuclear submarines. It's main aircraft, the Typhoon* is also mostly produced abroad (67% in Germany, Italy and Spain - ooops). That is some sovereign nation if it is totally reliant on others for its puny military.

*Typhoon - the world's most expensive lawn mower

https://www.youtube.com/watch?v=oFR5t4h-d0A

 

wildbad's picture

and yesterday his boss Mr. Ferkel, doubled down by announcing that she will run again for the chancellor post.

she pretended to back down on her globalist agenda but instead she doubled down. these autocratic arrogant socialists still do not get it. their time is over!

sarkosy was handed his resurrected globalist ass yesterday while the press did a full court press for him.

Le Pen will win.

Goodbye globalist control freaks

nationalism becomes the itm on the top of every menu in europe again.

Old Europe's picture

Mr. Ferkelwitz believes she was handed over world power from her globalist handlers, now that Trump has been elected and refuses to be the globalists´ poodle.

JRobby's picture

"Schäuble’s threats are laughable because they are unenforceable"

No EU "officials" are elected by anyone but the owned insiders. It is through these lackey pigs that the elite operate EU tyranny.

If they are not elected by the PEOPLE where does their legal authority come from? It doesn't.

FatTony7915726's picture

Isn't this old fuck in a wheel chair?  What is it with the european countires not accepting choices that have been democratically voted by people via elections.  Oh yeah, this shit is also happening in the USA run by the mulatto.

bamawatson's picture

there woll be NO EXIT !

Victor999's picture

Who's going to bring it forward?  They are ALL in on it!

Sandmann's picture

UK cannot leave NATO - it has no Armed Forces - 13 warships and 19,000 combat soldiers

gojam's picture

It has a nuclear deterrant. It has enough to defend itself if it were to withdraw troops stationed in Germany and eastern Europe and from conflict theatres around the world - it only has to defend itself.

WTFUD's picture

With less and less to Protect, more or less, the Integrity (lol ) of the City of London do we really need a nuclear deterrent?
Cause them financial and exotic weapons of destruction look likely to blow-up all by themselves.

BabaLooey's picture

Wolfie: finance your EU shit-struct with the wax in your ears.

 

Peterk_kk's picture

Yeah, he was arrogant pushing Greece around but now he is churlish. I reckon Obama, Community Organiser in Chief, is behind this new tactic. 

Berlin and Brussels are in panic mode because Trump has given the UK the royal nod.

fajensen's picture

The UK can do whatever it wants because it is a sovereign power backed by military prowess.

Hahahaha - Hangar ships with no planes that can land on them, new battleships with no offensive capacity "HMS BulletSponge", and Trident. Soon Theresa May will reinstate the NIMROD, I bet.

The British military is a joke today, run into the ground by decades of incompetent clowns, only Sweden and Germany are in fact in a worse state.

GUS100CORRINA's picture

All available data (video, audio, documents, etc.) is suggesting the world is at a crossroads. Do we or do we not have the RULE OF LAW? This DESPOT with a REPROBATE MIND should shut up and mind his own business. He is a traitor to all of humanity.

This GODLESS PROGRESSIVE LIBERAL culture is now REAPING what it has SOWN over last couple of decades.

Their day of destruction is coming.

AnngeloJamaica's picture

He is a Non Elected so hang the bitch.  

thunderchief's picture

This guy always cracks me up..

Something fuzzy between Dr. Strange Love and that Dentist in the Marathon Man.

Someone should hook up their jumper cables to his wheelchair and light his eye sockets up.

BabaLooey's picture

Rug wrap him and fire him out of a U-boat torpedo tube - das beste!

Fireman's picture

This loathsome creature like agent "Erika" currently NSA GESTAPO asset Fatty Merkill is headed for a future parked behind the curtains in an old Volks Heim. The sooner Germans ditch this duo the better for planet Earth.

 

 

https://www.youtube.com/watch?v=A9ihKq34Ozc

Dre4dwolf's picture

The U.K. is an empire, it does not pay third world dictators and political hacks tribute, these losers are delusional and cant accept their own defeat.

gojam's picture

Agreed, the new European empire thinks the UK is a vassal state. My advice to Schauble is to read a history book - we've stood alone against German aggression in Europe once, we can, and will, do it again if necessary.

tuetenueggel's picture

You forget that sowjet union won the war ? When they had defeated Germany at Stalingrad, the US entered the war. True Heroes.

Same in WW1 when germany was alrady fighting inner Problems. Those Heros like the britisch were hunted by a small local Army of not more than 65.000 German soldiers to the egyptian borders. Only the lack of supply made bastard Montgomery win.

Sandmann's picture

Think you are simplistic. The North Africa Campaign was Italian backed by German troops. It was the Italian Navy that sank the British supplies. It was the Long-Range Desert Group and SAS that cut the German supply lines. Stalingrad ended 1942 just about the same time as El-Alamein and it was Japan that attacked Pearl Harbour that made the difference by not invading Eastern USSR as planned so Zhukhov could re-deploy his troops

HowdyDoody's picture

The UK government kicked the indigenous people off Diego Garcia and gave the use of the island to the US. I think that constitutes paying tribute to the worlds dictator state.

It's hilarious that the Brits claim to be independent when they are known as the US's biatch.

 

GreatUncle's picture

+1 for the Chagos Islands, prefer that name to Diego Garcia for the deportation of all men, women and childrens from those islands and dumped into Malaysian ghettos. The name change was to hide the atrocity.

We will be China's bitch soon enough though.

beijing expat's picture

Just tell Schulbe he can take his stupid Euro and he can stick it up his ass.

tuetenueggel's picture

Impossible. There´s no room left. Filled with criminal banksters.

Sandmann's picture

Schauble was Kohl's bagman handling suitcases full of cash donations

tuetenueggel's picture

Criminals for chancelor:

The difference between ancient times and today ?

In ancient times, criminals sat in jail

and patriots in government.

Today patriots sit in jail

and criminals in government.

 

beijing expat's picture

They will cry for the Russians to come back and restore another golden age of peace.

As you will note, all the trouble started when the Russians withdrew.

The Pax Americana was BS. It was really the Pax Russiea.

Sandmann's picture

There are lots of people in Eastern Germany would prefer the Russians - after all it was Gorbachev who ordered out the Red Army APCs in 1990 to stop Berlin from using its NVA and Stasi to crush demonstrations as in Tienanmen Square the year before

tuetenueggel's picture

Not only in eastern germany.

I appreciate their courage and I hate the west Germans´ whinery: oh mama, my head hurts..... Help yourself than help you god.

No balls like Schäuble, but big mouth.

tuetenueggel's picture

Schäuble is not taken serious any more in Germany.

He is full of hatred towards everybody. Just see his faces expression...You never see him laughing but only smirking with his mouth´s corners downwards. Same with Merkel. If you watch her hands, forming her "trademark" the rhomb, you will see her fingernails completely eaten off untill the roots:

Borderline syndrome with the most powerfull women of the world.? Powerful ? Ridiculous instead. 

How would you get Merkel to laugh ? Turn her upside down.

 

sawman's picture

come and make us pay you German asshole. Seems to me you tried threats twice before. How'd that work out for ya?

NobodyNowhere's picture

EU could have been a great idea for the European citizenry, but the banksters in their greed ruined it before it even started.

Old Europe's picture

Globalist Bolshevism ruined it because it was the driving force behind the EU from the beginning.

GreatUncle's picture

Actually reckon the EU could still be saved ...

Depose all the entitled prince commissionars and make it an elected chamber from the MEP's who are transformed into a proper functioning parliament not the fake it is, a deceit to pretend it represents people, it does not.

The voice of populations vote / democracy etc. passes through the MEP's who elect the commissionars from amongst their own.

If you don't make it to being an MEP you do not get into the EU commission.

Not going to happen though, the EU is a crafted government for elite rule and why the population have been kept out of the creation process since day one and why the populations under it are no more than slaves.

SoDamnMad's picture

Except for Boris Johnson's ignorant statements, I think Trump and May can work out a respectible trade agreement between countries exclusive of Brussels's babbling. 

zippy_uk's picture

"We are threatening YOU because YOUR SUCCESS after LEAVING threatens US"

cochiloco's picture

LOL, this site has become a parody of itself with same BS information as in the British tabloids. It's not a threat you clueless dimwits, it's just about settling outstanding bills such as funds received from EU Research and Infrastructure projects or being contractually bound to joint projects already underway. This is what article 50 is about, which was written by a Brit by the way. Nobody is threatening the UK or preventing it from leaving.

The UK can obviously stop making payments any time it wants, but this will be considered a default and affect its credit score. That's why the UK needs to FORMALLY withdraw first and settle any outstanding payments before it does so. Some of these payments may be for projects already started which may finish several years down the line though, hence the ongoing payments.

And obviously when you leave a club you can't expect to have the exact same priviledges as members of the club, hence the uncertainty about single market access, which in the minds of clueless brits with a superiority complex, is deemed as yet another threat.

The Brits have absolutely no plan or hope to "take on the world" which is why they only thing they now hope for and keep saying to themselves is that the EU is about to fail "any day now" LOL. Instead of being pro-trade all they're left with is being anti-EU. That's just pathetic.

 

 

 

gouyou's picture

Exactly, there is a competition between nations: why would anyone give a free pass to the UK? Because they are so nice? Because they have contributed above and beyond for years? Because it would be good for UKs economy to have factories that could be located in Germany and France?

Grow up!

Look at the economic realities: the UK depends on the EU it makes 44% of it's trade with the EU and that doesn't include services like banking. The other direction is depending on the country between 8 and 17% and typically less if you include services...

And if you don't look at economics, why would the EU accept an à la carte deal? Doing so would cause most countries to renegociate everything? It doesn't make sense for the EU, for France, for Germany...

Singelguy's picture

I think you need to recheck your facts. The UK has an annual $76 billion trade deficit with the rest of the EU. If Schauble and his ilk want to play hardball, they risk losing that trade, and Germany will suffer the most. Germany has enough problems without adding that to the mix. Germany is in a farm weaker position than they realize. The UK can cut its own trade deals with the rest of the world. When the rest of the EU falls apart, which is only a matter of when, not if, the UK will be in a far better position. Once the UK leaves, there is nothing to stop them from offering big tax incentives to draw manufacturing into the UK. Brussels is already trying to roll back tax concessions in Ireland, which is stoking anti EU sentiment there as well.

What the EU does not realize is that free trade benefits both sides. It makes sense to have uniform rules for the entire region in terms of product quality and safety but to charge countries for the privilege of being able to trade is just another form of protectionism that benefits no one.

GreatUncle's picture

$76 billion trade deficit with the rest of the EU ...

That $76 billion should be touted on global markets to get the best deal and if the EU don't compete it gets fuck all.

That is how a buyer if not corrupt should look at the trade and if for the same goods I can get it for $50 billion from China / India thats a fucking win.

webmatex's picture

Plus UK can sign trade deals faster than EU members who have now waited 10 years for the Commission to draft a China trade deal

on behalf of its members.

There is very little global trade involving EU, it's a closed customs area.

Nothing has come in for years.

Argentine, Australian, NZ products are better and cheaper for beef, cheese, lamb, but are all  banned.

Its just a club for the multinationals to tighten their brand grip.

And VAT where did that come from? Only another 20% for the last two decades.

Burn it all.