Daily Archives: November 25, 2021

From ‘Encanto’ to ‘House of Gucci,’ Thanksgiving box office set to battle ‘pandemic fatigue’ – Yahoo Finance

Posted: November 25, 2021 at 12:40 pm

The five-day Thanksgiving weekend stretch known as one of the biggest box office blocks of the year will see Disney's "Encanto" battle Lady Gaga's "House of Gucci" as cinemas compete for moviegoers' attention, and hope to offset jitters associated with COVID-19.

Box Office Pro chief analyst Shawn Robbins told Yahoo Finance that consumers can expect more options than last year, but don't expect ticket sales to reach pre-pandemic levels just yet.

"This is certainly quite a turnaround from a year ago when very little was coming out and very few people were going to theaters, but we're also not quite back to the level of two years ago," the analyst said.

"Still, I think we're going to see a major shift this weekend," Robbins added.

"Encanto," set to run exclusively in theaters, is widely expected to come out on top, with Box Office Pro estimating that the film will attract upwards of $42 million over the three-day opening weekend.

Disney's "Encanto" (Courtesy: Walt Disney Animation Studios)

Robbins said he believes vaccine availability for kids will play "a major role in parents decisions to take kids out to movies" although a full return will "still take time."

Still rising COVID-19 infections is leading to some hesitancy among moviegoers. "I don't think it's everybody coming back at once, but this is part of the transition process of this recovery. I think we'll see the next big turning point over the holiday," Robbins added.

Following "Encanto," Box Office Pro estimates that the the heavily marketed "House of Gucci" will earn between $14 million - $19 million over the three-day weekend.

Still, the film which cost a whopping $75 million to produce has received mixed reviews, which could deter some consumers from venturing out to see it on the big screen.

"I do think reviews are important," Robbins said, although he noted that star power is equally important, citing the movie's all-star cast that also includes Adam Driver, Jared Leto, Salma Hayek and Al Pacino.

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"These are names that still sell and I think Lady Gaga in particular is going to be really important to bring out that 18 to 35-year-old audience, but especially women around that age, and maybe even [older]," he explained.

Other flashy titles set to receive the holiday treatment this year include "Ghostbusters: Afterlife" and "Resident Evil: Welcome to Raccoon City."

Overall, Robbins cautioned that pandemic-era challenges will still persist, regardless of the films available.

"The risk is still the fact that the pandemic isn't over. There's a lot of pandemic fatigue," he said.

With Disney's "Encanto" set for an exclusive 30-day theatrical run, Robbin's hinted at a "new normal" in which the three-month theatrical window will disappear replaced by an updated 45-day version.

This is a "major step for Disney" compared to the company's previous day-and-date release model, Robbins said. He added that it will be "a balancing act" for studios when deciding which films should go to streaming and which should play out at the box office.

"It's certainly become a more complicated calculation," he added.

Alexandra is a Producer & Entertainment Correspondent at Yahoo Finance. Follow her on Twitter @alliecanal8193

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From 'Encanto' to 'House of Gucci,' Thanksgiving box office set to battle 'pandemic fatigue' - Yahoo Finance

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Is this stock the next Amazon? – Yahoo Finance

Posted: at 12:40 pm

Amazon's stock was priced at $18 when it went public in 1997. Today, the stock trades for more than $3,600 as the tech behemoth has cashed in on surging markets such as cloud services and online retail.

Veteran tech analyst Mark Mahaney of Evercore ISI thinks Uber (UBER) could be the next Amazon-like investment as it capitalizes on its own expanding market known as the on-demand economy.

"To me, Uber fits the bill of a still early stage company that has massive TAMs [total addressable markets]. It's not founder led and that is one negative. But it has a compelling value proposition," Mahaney said on Yahoo Finance Live.

Mahaney the author of new tech investment book Nothing But Net believes Uber has an opportunity to take advantage of hot growth markets like ride-hailing and delivery.

"The total addressable markets that Uber faces are truly massive. We are talking about ride-hailing and delivery, not just restaurant food delivery but all sorts of delivery. I call those trillion dollar TAMs," Mahaney explained.

After a disastrous IPO in 2019, Uber has begun to show it's getting its act together. The company has sold off non-core assets to slash expenses, while also investing more behind its core businesses of ride-hailing and delivery.

Uber's third quarter marked the first time as a public company in which it delivered adjusted operating profits. Third quarter bookings rose 57% from the prior year as mobility picked up with the COVID-19 pandemic rounding the corner.

For the fourth quarter, Uber sees adjusted operating profits in a range of $25 million to $75 million.

Despite the operational progress, Uber has a ways to go to show it could be an Amazon-like stock as Mahaney suggests.

Uber shares are down 12% year to date, under-performing rival Lyft (LYFT) whose stock is unchanged on the year. At $44.59 currently, Uber's stock trades below its 2019 IPO pricing of $45.

Brian Sozzi is an editor-at-large and anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and on LinkedIn.

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Energy Storage Is the Next Mega Theme; These 2 Stocks Are Poised to Benefit – Yahoo Finance

Posted: at 12:40 pm

Electric vehicles. Renewable energy. Wind farms and solar arrays. These are the technologies that will lead the way of the next centurys industrial trends. They exist today, of course, but just where they will go, and what they will look like in a century, are simply unknowable.

There are some things we do know. It is certain that todays electrical and energy storage tech is going to evolve, changing its shape to adapt to the industrial-technological landscape that is growing up around us even now. Evercore analyst James West describes this as the next Mega Theme, and dubs energy storage as the third pillar of tomorrows power grids.

The future of energy storage isnt strictly about lithium-ion batteries although electrochemical technologies such as li-ion will continue to dominate and be deployed at utility-scale. There is an arms race underway for vertical integration, digital applications, supply chain diversification, and data-intensive products to capture a growing customer base including utilities, independent power producers, commercial and industrial users, and renewable project developers, West writes.

The analyst goes on to point out two energy storage stocks that are poised to gain as the new power economy develops. Using TipRanks database, we did a deep dive into the data to find out what makes both so attractive. Lets take a closer look.

Eos Energy Enterprises (EOSE)

Well start with Eos Energy. This company is developing clean energy storage systems, based on safety, efficiency, scalability, and sustainability. Eos uses zinc hybrid cathode (Znyth) technology, to create battery systems that offer durability for up to 5,000 charge/discharge cycles or 15 calendar years. The tech is one of the most efficient non-lithium solutions to energy storage, and is non-flammable a major advantage over existing lithium ion systems.

Eos energy storage systems have applications in the utility industry, commercial & industrial facilities, and the renewable energy sector. Renewables, especially, can benefit from the battery systems, as both wind and solar power suffer from intermittency and require effective energy storage solutions.

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This company has yet to develop a steady income stream, but in its most recent quarterly report, for 3Q21, Eos did give some interesting highlights. It reported $137.4 million in booked orders, and a total work backlog of $151.8 million as of November 10, 2021. This bodes will for future prospects as the company enters its production phases. So far, Eos has shipped out a total of $3.4 million in products.

Evercores James West notes the buildup of the work backlog, and the established viability of the technology, and goes on to say, EOSE is a niche investment in the major energy storage theme. This is a revenue growth story through the medium-term as the company focuses on commercialization while a ramp in manufacturing capacity should provide meaningful revenue realization from 2023-2025... EOSEs long-duration energy storage technology is competitively advantaged given its performance profile and lower exposure to lithium-ion supply chain risks.

In line with these bullish comments, West initiated coverage on EOSE with an Outperform (i.e. Buy) rating along with a $21 price target. This figure conveys his confidence in EOSE's ability to soar 127% in the next twelve months. (To watch Wests track record, click here)

Most other analysts dont beg to differ. 3 Buy ratings and a single Hold add up to a Strong Buy consensus rating. With shares priced at $9.25 and an average price target of $20.33, the stock has ~120% upside potential in the next 12 months. (See EOSE stock analysis on TipRanks)

Fluence Energy (FLNC)

The second company well look at, Fluence Energy, uses a modular system to build configurable, scalable energy storage. The base unit is the Fluence Cube, a standardized building block power storage system based on more than 13 years of experience in the energy storage niche. The Cube allows rapid delivery and deployment, for cost effective build-outs of battery systems. The design can be scaled from 1 megawatt up to 500 megawatts or more.

The Fluence Cube system is installed in conjunction with the companys Fluence OS, an operations platform that provides comprehensive controls to manage the system, across single installations or larger grids. The Fluence IQ is added, an AI-enabled platform that speeds up the systems decision process and asset performance for improved revenues.

To date, Fluence has deployed or contracted for more than 3 gigawatts of energy storage in 29 markets around the world. Earlier this month, the company signed a contract in Italy, with Enel-X, for the deployment of the Gridstack energy storage system. The installation, involving two systems, will total 40 megawatts capacity.

Fluence shares entered the public markets on October 28, in an IPO that raised about $998 million in gross proceeds. The shares started trading at $28, and saw 35.65 million shares hit the market.

Among the bulls is Evercores James West, who likes the fundamental of this newly public stock.

We view FLNC as one of the must-owns in the energy storage sector with market cap. The company is backed by industrial and utility market leadership via sponsorship from Siemens AG and AES Corp. and has grown quickly to become one of the top energy storage providers. Despite competitive threats and supply chain risk, we believe the best way to value FLNC is by focusing on the fundamentals for this premium growth company, West opined.

To this end, West initiated coverage on FLNC with an Outperform (i.e. Buy) rating and $47 price target. This target suggests the stock will be changing hands for ~29% premium a year from now. (To watch Wests track record, click here)

Turning now to the rest of the Street, other analysts also like what theyre seeing. 8 Buy ratings and 3 Holds add up to a Moderate Buy consensus rating. Given the $45.20 average price target, the upside potential comes in at ~24%. (See FLNC stock analysis on TipRanks)

To find good ideas for energy stocks trading at attractive valuations, visit TipRanks Best Stocks to Buy, a newly launched tool that unites all of TipRanks equity insights.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

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Sports betting approved at Ocean Downs Casino in Berlin – Ocean City Today

Posted: at 12:39 pm

Sports betting is officially greenlit at Ocean Downs Casino.

According to a wire story from The Center Square, the Maryland Sports Wagering Application Review Commission approved in-house sports betting licenses for five Maryland casinos, including the Berlin gambling facility, on Nov. 19.

Ocean Downs General Manager Bobbi Sample said in an email that John Martin, the director of the Maryland Lottery & Gaming Control Agency, has estimated that the casinos that were approved by the lottery commission and awarded by the application review commission including Ocean Downs will be up and running with in-person sports wagering within 30 to 45 days.

He has also estimated that online sports wagering in the state will be available roughly six months after the brick and mortar facilities are open, she said.

The Center square story said the other four casinos approved for licenses last week, out of the 30 cleared to apply, were Horseshoe Casino, Live! Casino in Hanover, MGM National Harbor in Oxon Hill and Hollywood Casino in Perryville.

The approvals come on the heels of pressure from Gov. Larry Hogan to launch sports wagering in the state as soon as possible. Maryland is losing revenue to neighboring states that already have both in-house and mobile sports betting in operation.

Its clear to me the public wants casino gambling, they want sports wagering, Committee member Randy Marriner said during last weeks meeting. I think its our duty to do the job. Every day that we dont pass ... the state of Maryland is losing revenue because those gamblers are going to West Virginia, Pennsylvania, Delaware D.C. and not only doing sports wagering but while theyre there theyre spending money in the casino.

Not everyone was on board with the approvals, though.

The Center Square story said that because no minority- and women-owned businesses have their applications ready for approval, two committee members were leery of approving the other licenses.

It would be in our best interests if, for no other reason but for perception only, to wait until some of these other applicants have been vetted by the lottery commission and so when it comes to our commission we now have a more diverse population and we are approving these licenses at the same time, Committee member Cassandra Stevenson said.

She and member Frank Turner voted against the approvals.

Voters approved sports betting in Maryland last November, and lawmakers ironed out the details during the 2021 session. The legislation allows 60 online operators and 30 retail sportsbooks including casinos, professional sports stadiums, small businesses and others to obtain licenses.

Ocean Downs applied for an A-2 license, which carries a $1 million application fee as well as costs for background investigations.

Officials initially hoped to launch sports betting operations in time for the start of the NFL season, but the timeline was pushed back.

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Hubble telescope sees a space ‘snowman’ thousands of light-years away – Space.com

Posted: at 12:38 pm

A new release from the Hubble telescope's vast archive shares an incredible space "snowman" filled with glowing gas.

The image shows the Snowman Nebula, which is a cloud of gas and dust in deep space. The Hubble Space Telescope's sharp eyes picked up the object from a distance of 6,000 light-years away, and rendered the image in a time exposure since the glow of the gas is very faint.

"Emission nebulas are diffuse clouds of gas that have become so charged by the energy of nearby massive stars that they glow with their own light," NASA said in a statement about the new image.

Related: The best Hubble Space Telescope images of all time!

"The radiation from these massive stars strips electrons from the nebula's hydrogen atoms in a process called ionization," the statement continues. "As the energized electrons revert from their higher-energy state to a lower-energy state, they emit energy in the form of light, causing the nebula's gas to glow."

The famed telescope picked up this new image during a survey of massive- and intermediate-size "protostars," or newly forming stars. Hubble used its Wide Field Camera 3 instrument "to look for hydrogen ionized by ultraviolet light from the protostars, jets from the stars, and other features," NASA officials wrote.

Hubble isn't quite working at its best. In late October, a synchronization error with its internal communications forced all five of its science instruments offline.

The team recovered the Advanced Camera for Surveys (ACS) on Nov. 7, and the same Wide Field Camera 3 responsible for this image on Nov. 21. WFC3 is the most heavily used of Hubble's instruments.

The observatory's other three instruments remain in a protective "safe mode" as ground engineers continue to carefully troubleshoot issues on the 31-year-old observatory. The Hubble team will next address an instrument called the Cosmic Origins Spectrograph, which can observe far-ultraviolet light.

Although astronauts on five different missions visited Hubble to repair and upgrade the observatory, no additional visits are planned; servicing missions relied on NASA's space shuttle program, which ended in 2011.

Follow Elizabeth Howell on Twitter @howellspace. Follow us on Twitter @Spacedotcom and on Facebook.

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Two new galaxies discovered 29 billion light-years away out of 20% dust-hidden ones – Republic World

Posted: at 12:38 pm

Astronomers from the Niels Bohr Institute at the University of Copenhagen have discovered two galaxies that were previously hidden behinddense space dust. Dubbed REBELS-12-2 and REBELS-29-2, the galaxies are located 29 billion light-years away and their existence came to light as the ALMA radio telescopes in Chile's Atacama Desert pierced through the thick cosmic dust. Reportedly, it was because of this shroud of dust that both the galaxies escaped the eyes of the Hubble Space Telescope.

The team of astronomers that spotted the two galaxies suggest that nearly 20% of galaxies in our universe are still hidden due to the heavy presence of dust in space. According to Pascal Oesch, associate professor of the Niels Bohr Institute, the astronomers already knew about the existence of these two galaxies through the Hubble Telescope. Detailing about the discovery, Oesch said as per Daily Mail.

We noticed that two of them had a neighbour that we didn't expect to be there at all. As both of these neighboring galaxies are surrounded by dust, some of their light is blocked, making them invisible to Hubble.

Thanks to the ALMA telescope, it was able to locate the two galaxies when Hubble failed to do so. The team says that the light from the two galaxies reached earth after travelling for nearly 13 billion years, and this light was captured by ALMA. The telescope, which is capable of trapping radio waves emerging from the deepest areas of the universe, creates high-resolution images by combining the light received by 66 of its antennas.

Oesch further says that one in every five galaxies in the universe are obscured from our view and the experts are counting on the James Webb Space Telescope, which is scheduled for launch next month, to unveil these hidden galaxies. Daily Mail reported him further saying, The next step is to identify the galaxies we overlooked, because there are far more than we thought. Thats where the James Webb Telescope will be a huge step forward. He added that the Webb Telescope will be able to uncover the hidden galaxies without much effort as it is much more sensitive in detecting longer wavelengths than any other telescope ever made.

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Europe has learned nothing from Brexit – POLITICO.eu

Posted: at 12:37 pm

Dr. Eoin Drea is senior research officer at the Wilfried Martens Centre for European Studies.

It remains remarkable that for such a seismic event, Brexit continues to be most noticeable by its absence in the formulation of future European Union strategy. From the Conference on the Future of Europe to European Commission President Ursula von der Leyens state of the union address, Brexit, Britain and the future of the Anglo-EU relationship struggle to elicit a single reference or positive soundbite.

This in itself is a remarkable achievement given Britains unique role in the EU landscape. A European economic giant and a 47-year veteran of (mostly positive) EU policymaking is now deemed less relevant than Brussels unspecified vision for connected Global Gateway.

It is almost as if as in many a Parisians dreams Britain never really existed at all.

Alas, as the first anniversary of Brexit approaches, its clear that the EU has learned every wrong lesson from the divorce. Riled by the deliberately provocative actions of successive British governments since 2016, the EU has been unable to separate the U.K.s bark from its bite and the danger this poses is swiftly growing.

Consider how the EUs current approach to discussing Britain is based entirely on a strategy of moving past Brexit.

This is an approach that has been strengthened by the pandemic, which has allowed the EU to subsume Brexit within a broader reimagining of a more relevant, more assertive, more global union.

Europe, in its own mind, has bigger fish to fry.

But while moving past Brexit may make the EU feel better about being jilted by one of its biggest members, it is a woefully short-sighted approach to understanding Brexits potential consequences for its own long-term development.

Another weakness in the EUs approach to understanding Brexit is that it has obsessively focused on Brexiteer misrepresentations of Europe.

This its not me, its you approach has constructed a narrative that views Brexit as a wholly disfigured British issue. Feeding into lazy tropes of British detachment, this blueprint has trapped the EU in easy tales of British exceptionalism.

No real attempt has been made to place the U.K.s engagement in Europe in the specific context of the European integration process. Brexit was never just a wholly British affair. It was also shaped by the strategic choices made in Brussels over several decades.

The final EU miscalculation when it comes to Britain may be its most damaging. Brussels is continuing to underestimate the U.Ks strategic importance and refusing to acknowledge or even contemplate the political risks of an even mildly successful Britain.

The EUs focus on the grinding technical details of protecting the single market due to Britains annoying but highly effective diversionary focus on Northern Ireland has resulted in Brussels misjudging the medium-term risks of Britain as a strategic competitor.

But that risk is real.

The coming years will bring a stabilization of Britains internal politics and a refocusing of the countrys economic priorities in areas where it has existing strengths. Finance, education, security and defense, Fintech and AI are just some of those areas that could lead to a stable, and relatively dynamic, economic framework for the country.

And for all the talk of the economic costs of Brexit and COVID-19, Britains economic outlook in terms of public debt, economic growth and unemployment remain considerably better than most other major European economies, with the exception of Germany.

Britain isnt Italy, no matter how much the EU might wish it so.

Britains return to growth will be complemented by London doubling down on its strategic partnerships with the United States and the other English-speaking economies of the Anglosphere.

Although completely derided in the EU, Britains relationship with the U.S. remains the underpinning of its post-EU identity. This is a relationship whose strategic importance has been masked by Brusselss perceptions of British weakness.

For Westminster, it is irrelevant whether Britain is viewed as Washingtons most important partner Londons preferred choice or as a vassal of the U.S., in the words of Clment Beaune, Frances minister of state for European affairs.

Even subjugation brings the benefits of proximity, relevance and inclusion in Washingtons wider geopolitical strategies. These are benefits lacking in other EU member countries relationships with the Anglosphere, as evidenced by the recent controversy over Australian submarines and the AUKUS defense pact.

Its clear that the EU needs to adopt a new strategy toward Britain. All the hard talk in Schuman coffee shops in Brussels of punishing or going hard on Britain if the Northern Ireland Protocols Article 16 is invoked is ridiculous. Europe missed its chance to impose its economic power on Westminster during the Brexit negotiations.

What recent British actions have really shown is that beyond the political theatrics, Prime Minister Boris Johnsons plan is simply to keep the Brexit fires burning at home through a constant feed of mutual Anglo-EU antagonism. An EU overreaction to British goading is the ultimate aim.

So, rather than succumbing to every little British provocation, Europe needs to take the long view and claim the high ground. Brussels should shrug off British threats with a smile, talk the language of strategic partnership through gritted teeth and understand that Brexit doesnt start and end with the Irish border and angry French fishermen.

Theres a much bigger game at play.

Because Britain wont always be a political disaster. Soon it will be a serious economic threat.

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Immigration to UK slumped in 2020 due to COVID and Brexit – Reuters

Posted: at 12:37 pm

British Border Force staff lead a migrant mother with her child on her back into Dover harbour, in Dover, Britain, June 6, 2021. REUTERS/Paul Childs

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LONDON, Nov 25 (Reuters) - Net immigration to Britain fell by almost 90% last year to its lowest level since 1993 due to the impact of COVID-19 and Brexit, official figures showed on Thursday.

The Office for National Statistics released a first provisional estimate showing that 34,000 more people moved to Britain last year than emigrated, down from 271,000 in 2019.

"Immigration was much lower in 2020 than in previous years, likely caused by a combination of the coronavirus pandemic and Brexit," the ONS said.

Register

Concern about unrestricted immigration from the European Union - which exceeded 200,000 on a net basis in 2015 - was a major feature of 2016's Brexit referendum. More recently, businesses have complained of labour shortages due to a lack of immigrants.

Britain left the European Union at the end of January 2020 - although EU citizens kept the right to move to Britain until the end of the year - but COVID caused foreign travel to grind to a halt from late March 2020.

The pandemic also severely hampered the ONS's ability to collect migration data as it stopped its traditional practice of surveying passengers at airports and ports.

The provisional data is based on experimental statistical modelling and is likely to be revised, with plausible estimates for 2020 ranging from net immigration of 125,000 to net emigration of 58,000, the ONS said.

Looking at non-British EU nationals alone, there was a net emigration of around 94,000, the ONS estimated.

Unlike most European countries, Britain does not have a system of identity cards or compulsory registration for residents that would make it easy to check migration flows.

"Although there is no evidence of an exodus from the UK in 2020, global travel restrictions meant the movement of people was limited, with all data sources suggesting migration fell to the lowest level seen for many years," ONS statistician Jay Lindop said.

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Reporting by David Milliken; editing by Guy Faulconbridge

Our Standards: The Thomson Reuters Trust Principles.

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Brexit: UK in the dark about risk of queues from new EU border checks, government admits – The Independent

Posted: at 12:37 pm

The UK is in the dark about new post-Brexit biometric border checks threatening chaos for holidaymakers visiting the EU, the government has admitted.

Transport chiefs have raised the alarm over long queues when the entry/exit system (EES) requiring data to be collected at the border for all non-EU arrivals is introduced next year.

Quizzed by worried MPs, the Cabinet Office acknowledged it did not know how the checks will be implemented as the number of cross-Channel tourists is expected to bounce back after Covid.

Asked what it would mean for car or coach passengers, Emma Churchill, the director general of the border delivery group, said the French government had yet to disclose its plans.

So I cant tell you exactly how the French intend to implement the entry and exit system, she told the Commons public accounts committee.

The hope was that the checks could be brought in without starting to cause those queues backing up, Ms Churchill added.

Meg Hillier, the committee chair, called it a big concern, while a Conservative, Richard Holden, urged the government to work to avoid disruption.

Whats really worrying me is you have got potential Covid checks and biometric passport checks will come in at some point, he told a panel of Whitehall top civil servants.

The checks are expected be particularly difficult at the juxtaposed controls with France which are on the UK side of the Channel but will be introduced across the 26-nation Schengen Area.

Unlike the looming Etias visa-waiver program similar to the ESTA required for travel to the US they cannot be carried out in advance, at the booking stage.

The entry/exit system was developed while the UK was an EU member, but will now have implications for travellers from this country because of Brexit.

The inquiry asking four government departments about the impact of Brexit border measures saw all express confidence that the imposition of import controls, from January, will go smoothly.

Jim Harra, the chief executive of Revenue and Customs, admitted the significant costs businesses must pay to trade with the EU despite the Leave campaign repeatedly insisting Brexit would cut red tape.

Theres no doubt that its part of the cost of leaving a customs union, that you have to bear that burden, he said, insisting the government had been transparent about that.

Asked about small firms, struggling to pay hefty custom agent fees, Mr Harra replied: Can I say that, in 3 years time, a small business will find it easy to self-serve customs I think that will be challenging.

Alex Chisholm, permanent secretary at the Cabinet Office, argued it is too early to disentangle the effects of Covid and Brexit on trade despite the National Audit Office concluding leaving the EU swiped 17bn from exports in just three months.

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Brexit: German government warns Boris Johnson of retaliation for breach of Northern Ireland deal – The Independent

Posted: at 12:37 pm

The new German government has fired a warning shot at Boris Johnson to expect retaliation if he breaks the Brexit deal for Northern Ireland.

The warning came as Mr Johnson restated his readiness to suspend the deal by invoking Article 16 of the Northern Ireland Protocol, in a phone call with Irish counterpart Micheal Martin.

A three-way German coalition agreement installing Olaf Scholz of the Social Democrats as Angela Merkels replacement backs countermeasures if the UK fails to abide by its obligations.

It commits Berlin to a common European policy towards the United Kingdom and to seek close bilateral cooperation within this framework.

But it adds: We insist on full compliance with the agreements that have been concluded, in particular with regard to the Northern Ireland Protocol and the Good Friday Agreement.

In the event of non-compliance with the agreed standards and procedures, we are committed to the consistent application of all agreed measures and countermeasures.

The strong stance comes after the UK backed away from an early suspension of Article 16 of the Protocol apparently because a weakened Johnson is not ready for a damaging trade war with the EU.

Brussels hailed a welcome change of tone in ongoing talks, as both sides agreed to focus on medicines and customs red tape, not the flashpoint issue of the role of the European Court of Justice.

However, the Brexit minister David Frost has insisted the triggering of Article 16 remains on the table if talks run into the sand rejecting an EU compromise move to reduce Irish Sea border checks.

In a further sign of cross-Channel tensions, the French foreign minister launched a fierce attack on Mr Johnson, amid the separate clash over post-Brexit fishing rights.

The prime minister is a populist who uses all elements at his disposal to blame others for problems he faces internally, Jean-Yves Le Drian said.

The comments came as Lord Frost addressed the 1922 committee of Tory backbenchers, repeating his threat to trigger Article 16 if necessary but saying he was hopeful that would not prove necessary.

Berlins coalition government the first ever reached between three parties brings together the Social Democrats, the Greens and the right-wing Free Democrats.

It pledged to make the climate emergency its top priority, by phasing out coal power by 2030 and expanding renewable sources to cover 80 per cent of all energy needs by the decades end.

Mr Scholz appealed to Germans to get vaccinated, announcing a seven-point plan to tackle the very serious Covid situation hinting at the introduction of vaccine passes.

And Amsterdam may soon have a rival as the European capital of cannabis, with plans to legalise recreational use of the drug and sales from licensed shops.

This will control the quality, prevent the circulation of contaminated substances and ensure the protection of minors, the coalition contract states.

In a call with Mr Martin, the prime minister today said that he would be left with no choice but to activate Article 16 if talks between Lord Frost and European Commission vice-president Maros Sefcovic fail to deliver a rebalanced and sustainable outcome soon.

A Downing Street spokesperson said: The prime minister raised his ongoing concern about the substantial distance between the UK and EU positions when it comes to resolving the issues with the Northern Ireland Protocol.

The Protocol was rightly keeping North-South trade open but its implementation was damaging the much larger East-West dimension.We could not allow a situation to develop in which the government was unable to provide economic support to Northern Ireland in the same way it could in the rest of the UK.

Ultimately Northern Irelands place in the UK internal market was crucial to its long-term prosperity and could not be damaged.

The implementation of the Protocol was now colliding with economic and political realities and significant change was necessary. The Court of Justice (CJEU) was part of this fundamental imbalance because disputes were decided in the court of one party.

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Brexit: German government warns Boris Johnson of retaliation for breach of Northern Ireland deal - The Independent

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