Brits who lived and worked abroad in Europe are at risk of losing their pensions in a No Deal Brexit
EXPAT Brits who have lived and worked in Europe face losing access to their pensions in a No Deal Brexit scenario, Ministers will admit on Thursday.
Most at risk are Brits who have worked in EU countries and built up pension funds abroad that are then paid into a UK bank account.
Under Brussels pensions rules, funds that cross borders can only be paid into a bank account registered in an EU country.
Pensioners who have worked in the EU and now live in countries outside the union are currently made to open bank accounts in an EU state to collect their funds.
The UK will become a “third country” on 30 March 2019, sparking the risk of expats and former expats with British bank accounts having their payments cut off.
The shocking admission comes in the first tranche of No Deal contingency plans are published by Brexit Secretary Dominic Raab later on Thursday.
Leaked details seen by The Sun show Ministers are braced for "lost access to pensions for UK expats in the EU".
In the Financial Services Technical Note, the Treasury will also admit that the City risks turmoil on “Day One” due to the loss of “passporting” rights that allows financiers to work across borders.
And The Sun can also reveal:
- The Government would “unilaterally” throw open Britain’s borders to all but high risk goods next March if divorce talks collapse in a bid to avert chaos at ports.
- New “technical options” will be set up to “minimise risk” at the borders and digitally collect VAT, including spot checks on some incoming goods but most waved through.
- Existing EU rules on tobacco labelling, food labelling and organic goods will be adopted immediately.
- The Chancellor will vow to honour spending promises made to any British project currently receiving EU funds - including nuclear research, science research, student programs and rural development funds.
Mr Raab will unveil 25 technical notes on Thursday, alongside a speech where he will claim "a duty, as a responsible government, to plan for every eventuality."
He will argue the contingency plans are “a sensible, measured,and proportionate approach to minimising the impact of no deal on British firms, citizens, charities and public bodies.”
And he will pledge the Government will do everything it can to “facilitate the smooth, continued, functioning of business, transport, infrastructure, research, aid programmes and funding streams.”
"In some cases, it means taking unilateral action to maintain as much continuity as possible in the short term, in the event of no deal — irrespective of whether the EU reciprocates."
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NHS safe in No Deal Brexit
THE NHS will avoid running out of critical supplies in a No Deal Brexit by automatically recognising European standards on drugs and medical equipment, contingency plans show.
A technical note on Batch Testing of Medicine due to be published later today says Brussels testing rules will be respected so that “imported medicines will not need to be retested.” The move is designed to see off a back log of medical supplies shipped into Britain at the border.
On Monday Exit Secretary Dominic Raab blasted “scare stories” about the NHS running out of drugs if Brexit talks collapse, with Ministers vowing to keep supply chains running.
EU rules on organs, tissue and blood will also be automatically taken in to British law in the No Deal scenario.
And Brussels standards on drugs and medical equipment will automatically be taken onto UK statue books on “Day One” to prevent any threat to the NHS.
Health boss Matthew Hancock has reassured more than 100 NHS importers that a crack team of specialist will be set up by next March to monitor supply chains and stocks.
And this summer a “comprehensive assessment” of all supply chains has been secretly undertaken.
Last night Victoria Hewson of the Institute of Economic Affairs said: "As long as the Government makes arrangements to ensure a no-deal scenario is workable for businesses and consumers alike, we won't run out of food, planes will still fly and the sick will still receive their medicines."
She added: "These steps will ensure access to safe medical products and devices. Supplies won’t dry up and prices for drugs won’t rise."
Mr Raab will also make a plea to Brussels to mimic Britain by being “responsible European neighbours, partners and allies,” suggesting it would even be sensible to work together “when it comes to No Deal planning.”
But on Wednesday Labour’s Owen Smith MP hit back: "It beggars belief that more than two years after the Brexit vote, the Government are making speeches and publishing ‘notes’ on what happens if they can’t secure a deal.”
The Best for Britain backer, warned: “no amount of contingency planning or spin can hide the fact that the peace and prosperity of our country is at risk.”
Last night, Tory Brexiteer Jacob Rees-Mogg urged the party to “respect the referendum”.
He said: “It is time the Government realised that the EU stands to lose much from no deal being agreed.”
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