Issue link: https://maltatoday.uberflip.com/i/1047665
27 maltatoday | SUNDAY • 4 NOVEMBER 2018 Keeping a stiff upper lip FROM my perspective, at EU level, the most obvious and immediate challenge brought about by Brexit is money. Even if Britain continues to make a contribution, we can expect it to be significantly reduced, thereby leaving a big hole in the EU Budget. This is the working assumption in Brussels at the moment; we are planning for a post-Brexit Budget, and on how to fill the funding gap of the second biggest net contributor. That won't be easy for Malta, or for any of the 26 members, but there is an acknowledgment that we have to cut the cake according to its size. Will that mean cuts in some areas, in order to meet new priorities and challenges? Of course. It's not possible to reveal too much about Malta's negotiating position with regards to the MFF, but it is possible to achieve a fair settlement. But looking at it optimisti- cally, and attempting to pick out the opportunities in any situation, it seems that there are potential 'positives' that could come out of Brexit. It seems to be fashionable for some European leaders to bash Britain. But Britain is one of our oldest and closest allies, and loosening our strong bilat- eral relations would be neither productive nor wise. That said, Britain should not be granted some sort of a' la carte relation- ship with the European Union; this would be unacceptable. The truth remains that with less than six months before Brexit is supposed to happen, we are still no clearer about what sort of Brexit we are heading towards. Or indeed, if Brexit will happen at all. Brexit in some form or another is still highly likely, and it is not fitting to create any false hope. But the growing calls in the UK led by three former Prime Ministers for a second vote on the final deal cannot be ignored. British politics have not func- tioned on such an unpredict- able and fast-changing land- scape for as long as most of us can remember. But that can be said not just about Westmin- ster but Washington and to a certain extent Brussels too. So, assuming Brexit will happen, as I think it will, how does Malta deal with it? What are the main challenges, and the opportuni- ties? The message from the results of this year's EY attractiveness survey was that the impact is not yet being felt, but that there is considerable concern, espe- cially amongst our financial service industries. The Maltese government recognises that concern, and my colleagues Silvio Schembri and Chris Cardona are engaged in discus- sions with industry leaders on how we can help to mitigate risks and alleviate concerns. We are not going to try to compete with the City of London as a global financial powerhouse. Rather, we want to be Britain's partner, Britain's strongest ally in Europe. We want business not to abandon the City, but to co-locate in Malta, given our historic links and cultural ties to the UK and our use of common law. In the EU27, we are one of only two Member States, along with Ireland, where English is an official language – and one of two member states with Cy- prus, who are Commonwealth countries. Malta has an opportunity now to position itself as a trading bridge between the EU, Britain and the rest of the world – and this is a vision that should be adequately sustained. Aaron Farrugia is Parliamentary Secretary for EU funds and Social Dialogue Aaron Farrugia Malta has an opportunity now to position itself as a trading bridge between the EU, Britain and the rest of the world – and this is a vision that should be adequately sustained