New Delhi: United Kingdom Prime Minister Boris Johnson on Sunday might have ruffled a few more feathers as he expressed his intention to withhold power to control state aid from Scotland and Wales as soon as the controversial Brexit transition ends this autumn. Also Read - Mumbai-based Wockhardt Announces COVID-19 Vaccine Deal With UK Govt, Including Oxford Cure
The UK left the European Union on February 1 this year, giving Westminster the statutory power over controlling economic policies for the country. While it is currently under a transitionary period, the Johnson government is gearing up to propose for a state aid bill that would lay down legal foundations of a new internal market, a report of the Financial Times stated. Also Read - Indian-Origin Dancer Bags Award from UK PM For Free Bhangra-Fitness Lessons During Quarantine
State aid, the government-aided resource for organisations, has been by far the most controversial segment of the UK negotiations ever since it has tried to break free from the European bloc. Also Read - UK Suspends Extradition Treaty With Hong Kong Over China's Controversial National Security Law
Scotland and Wales had decisively voted to remain within the EU in 2016, and they continue to insist that they should have control over the state aid policy under current legislation.
Rounds of discussions have been held and the Scottish government appears to have reached a deadlock with Johnson adamant on withholding authority over the government aid. On the other hand, the Welsh government is braced for the new legislation to incorporate representation from Wales, Scotland and Northern Ireland and extend the state aid to them.
It is now less than six months before the Brexit transition period ends and the UK delivers a new legislation free of EU rules.