What does a no-deal Brexit mean?

7 December 2020, 12:47 | Updated: 10 December 2020, 20:43

Brexit deal: The UK is approaching the end of the transition period
Brexit deal: The UK is approaching the end of the transition period. Picture: PA

By Zoe Adams

Brexit negotiations are in full force as Boris Johnson and the government try to negotiate with European leaders - but what does a no-deal Brexit mean for the UK? And what happens if no deal is reached?

The UK’s Brexit deadline is approaching on December 31, 2020 and now full negotiations are taking place as Boris Johnson and the government fight to leave the European Union with a deal.

Now, four years after the UK voted to leave the European Union, it’s looking increasingly likely the UK could have a no-deal Brexit as the two sides refuse to budge on issues such as fishing rights and sovereignty.

In the latest talks, the British PM and the European Commission president Ursula von der Leyen agreed to extend the deadline and continue to explore as many avenues as possible to break the current impasse.

The pair will talk again on Sunday, December 13 to decide whether to continue talks - but what would happen if they decided to walk away?

James Cleverly: Brexit not the reason for Britain’s vaccine speed

So what does a no-deal Brexit mean? What happens next if no deal is reached? And what are the odds and chances of a no-deal Brexit?

Boris Johnson and the government are in the final stages of a possible Brexit deal
Boris Johnson and the government are in the final stages of a possible Brexit deal. Picture: PA

What does a no-deal Brexit mean?

This would mean the UK departs from the European Union with no formal or legal arrangements about the future of the pair's relationship.

This means an uncertain time ahead for important factors such as trade, travel and immigration.

What would happen if a no-deal Brexit happens?

Currently, the UK and Brussels are in last-minute talks to agree on three main issues - a level playing field, governance and access to fishing rights in UK waters.

If the UK leaves without a deal, as of December 31 2020, we will no longer be members of the single market and customs unions, meaning Britain will need to trade in accordance to the World Trade Organisation - this could lead to higher tariffs on imports and exports.

Other aspects would also need to be sorted including security, law enforcement, medical licensing and regulation and aviation.

Aspects such as border checks, transport between the UK and EU and general travel costs for going to the EU are also discussion points.

Michael Gove has headed to Brussels for last minute Brexit negotiations
Michael Gove has headed to Brussels for last minute Brexit negotiations. Picture: PA

What are the chances of a no-deal Brexit?

As talks go down to the wire in December, Boris Johnson told reporters that there is a "strong possibility" the UK will fail to strike Brexit deal with EU.

The transition period is due to end on New Year’s Eve and bookies odds of a no-deal Brexit are extremely high.

However, foreign Secretary Dominic Raab and Michel Barnier have remained positive a deal can be made.

More Latest News

See more More Latest News

Soham monster murderer Ian Huntley has sparked outrage by wearing a number 10 Man Utd-style football shirt in an apparent reference to his victims - 10-year-olds Holly Wells and Jessica Chapman.

Soham monster Ian Huntley 'wears Man Utd-style top' in apparent sick reference to 10-year-old victims

Dozens of Russian spies have been sanctioned by the Government - including 18 military intelligence officers who the Foreign Office says are responsible for malicious cyber-attacks on Britain.

Revealed: Russian spies sanctioned for cyber attacks including on Salisbury Novichok victim Yulia Skripal

Demonstration on the eve of parliament voting to proscribe Palestine Action.

Five charged over break-in at weapons firm Elbit Systems UK during Palestine Action protest

A fund has been launched in memory of the two men who were found dead in the holiday pool

Sister pays tribute to drowned Briton who ‘died trying to save his friend’ in Portugal

The tech firm whose CEO was caught seemingly having an affair with his colleague on the kisscam at a Coldplay gig has broken its silence after a fake statement from the CEO went viral.

Tech firm launches investigation into CEO caught 'having an affair' on kisscam with HR chief at Coldplay gig

Distressing footage Body worn footage shows PC Lydia Ward being comforted by colleagues as she is bleeding from the nose after she tried to arrest an assault suspect at Manchester Airport.

Student tells court he 'did not know' police officers he hit at Manchester Airport were women

Sandie Peggie is the claimant in the tribunal case against NHS Fife.

NHS Fife calls in cops over threats to staff in controversial tribunal case

Arsenal unveil new signing Noni Madueke at Sobha Realty Training Centre on July 18, 2025 in London Colney, England.

Arsenal complete £50m transfer of Chelsea forward amid ‘bullying’ by section of fans

Appearing in Woolwich Crown Court, each member of the group of eight were jailed for their involvement in supplying nearly a tonne of cocaine over seven months.

Drug dealing ‘gangster granny’ who led family in lucrative £1k-a-day cocaine operation jailed for 20 years

Patrick Howlett, 58

Man who sent £56,000 to Philippines for livestreamed sexual abuse of children jailed for 30 years

The chancellor seems likely to freeze fuel duty once again in the autumn Budget, easing a burden on thousands of households amid an ongoing cost-of-living crisis.

Major cost of living boost as fuel duty to be frozen once again

The explosion happened at Biscailuz Center Academy Training.

At least three people killed in 'horrific incident' at Los Angeles sheriff training facility

Jess Glynne usually closes her shows with Hold My Hand, which has become her signature song

Fans chant 'nothing beats a Jet2 holiday' at Jess Glynne concert

Farzana Kauser, 54,

Bradford mum was family crime group boss who used her children in international cocaine plots

Jayden, who was a passenger on the bus and was treated for a suspected broken collarbone, with his mum, Kim outside Minehead Middle Schoo

'I remember climbing out': Pupil opens up about horror Somerset coach crash as boy, 10, dead

Isa Giga

Man who travelled to Syria to 'fight for Jihad’ convicted of terrorism offence