During the interview the minister discussed a customs union, the Irish border, protectionism and banks. 

Gramegna said that the Brexit negotiation process has been especially difficult for the UK since, “…there is so much at stake.”

He said that throughout the negotiation process it had become increasingly clear that the UK must stay in the EU single market and maintain a customs union. However, he warned that:

“The UK can’t have its cake and eat it. If there is to be a customs union, we must all have the same rules. The UK must make up its mind.”

On the question of the Irish border situation, Gramegna is encouraged that a transitional period has been agreed but stressed that clarity is needed. “You cannot have a border that only exists under certain circumstances.”

As for protectionism, he reaffirmed Luxembourg’s position saying that the country has always been very open the EU and the rest of the world and that protectionist behaviour should be avoided.

When challenged on the number of UK companies that are departing London to take up residence in Luxembourg, Gramegna confirmed that there have been a number of insurance companies, asset managers and banks that have chosen to set up subsidiaries in Luxembourg in order to have a presence in the EU and remain close to their customer base.

However, he countered that, although this does create new jobs in Luxembourg, it does not mean thousands of people leaving London, rather just a fraction of the capital’s workforce:

“Luxembourg regrets that the UK is leaving the EU, but we respect the choice of the British people.”