The German chancellor Angela Merkel is urging EU negotiators to do a deal with the British prime minister as this will tie the UK more closely with Europe.
Merkel wants a future trading relationship with the UK, so it remains a “close partnership” after Brexit. Currently the UK is Germany’s largest exporter in Europe totalling £75bn in 2018.
On Wednesday Merkel said, “We have, of course, spoken about Britain’s exit from the European Union and this regard made clear that we want a withdrawal that will at the same time yield a close partnership between Britain and EU member states.”
Johnson’s threat of a no-deal Brexit on the 31 October “do or die” is hanging over Germany. Europe’s largest economy are fearing recession as the gross domestic product (GDP) has contracted to 0.1% in the second quarter.
Marc Tenbieg at the German Mittelstand Association said to the Telegraph, “It is a tragedy for both sides of the Channel that a functioning and well-established market and trade structures have been jeopardised by poor political decision-making.”
Marcel Fratzscher, president of the DIW Berlin research institute said, “Most likely we will see another quarter of negative growth, and that’s by definition a technical recession.
“It’s very mild, but also at the same time, not a very strong performance.”