Britain’s Prime Minister Theresa May on Tuesday said her government has a plan for Brexit, and acknowledged that while she wanted the United Kingdom to be “stronger, fairer and more united”, they wanted to be a “friend and neighbour” to European countries. Her highly anticipated address outlined the administration’s plans on how the country will exit the European Union. Britain in July 2016 had voted in a referendum to leave the EU.

In her address, she said the Parliament will vote on the country’s final Brexit deal. May also ruled out any partial membership in the EU. “We do not seek to hold on to bits of membership as we leave.”

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“The continent’s great strength has been diversity. There are two ways to deal with difference: try to eliminate it; or respect it,” she said. However, she added that a Brexit must mean controlling the number of people entering Britain from the Union. “There has been record immigration into Britain... That has put a downward pressure on wages,” she said.

May asserted that Britain will also leave EU’s single market. She ruled out a “half-in, half-out” Brexit market deal with the European Union, signalling a “hard” exit from the EU. She said, “No partial membership of the European Union, associate membership of the European Union, or anything that leaves us half-in, half-out. We do not seek to adopt a model already enjoyed by other countries. We do not seek to hold on to bits of membership as we leave.”

The prime minister said she would rather have no trade deal with the EU than have a bad one. “Cooperation between the EU and the UK is needed not just for trade, but for security.”

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Till now, the UK did not have a concrete Brexit plan, leaving markets and economists across the world guessing for several months. The government had said it wanted the best deal for Britain, though it intends to make massive immigration cuts.

Markets were also affected by May’s impending speech. The pound fell to $1.19, its lowest since October. Inflation in the UK also rose to 1.6%, the highest it has been for two years.

Highlights of her speech:

  • UK will exit EU’s single market.
  • Houses of Parliament to vote on final Brexit deal.
  • Entry of immigrants from EU will be controlled.
  • Britain may seek to become an “associate member” of the customs union.
  • May hinted at a transitional Brexit deal.
  • Told EU it would be an “act of calamitous self-harm” if they punished UK for Brexit by refusing a fair trade deal.
  • Deadline for Brexit negotiations to be completed has been set at 2019.
  • Common travel area with Ireland will be maintained to avert a political crisis in Northern Ireland over the threat posed by Brexit.