Johan Van Overtveldt said there was “clearly a problem” with the European Union, as he called for a quick, comprehensive trade deal with the UK and warned that punishing Britain would be counterproductive.

Mr Van Overtveldt said a “different” and “better” EU, that focused on key areas such as security, migration, jobs and trade instead of policing trivial policies would help to boost prosperity in the bloc and remove the discontent sweeping across the Continent.

“Sixty years after signing the Treaty of Rome, and 25 years after the Maastricht Treaty, the European Union is in trouble and is certainly in need of new inspiration and new directions. The EU cannot continue operating the way it does today,” he said at an event organised by the European Economics and Financial Centre in London.

He urged policymakers to take a different approach to integration and said the idea of an EU forged in crisis put forward by Jean Monnet - dubbed the father of Europe - was “dead”.

“This principle has now been shattered by the Brexit vote, and the fact that one of the largest and most prominent member states will be leaving the union means the so-called Monnet doctrine of continuous steps towards further European integration, most of the time through crisis, seems dead.

“One should not underestimate the psychological effect that the Brexit vote has had, not just in Britain but also in other European capitals,” he said.

“Long time achievments of European integration such as free movement of people are being fundamentally called into question.”

He also called on the rest of the EU to be pragmatic about Brexit, adding that smaller states such as Belgium, Ireland and the Netherlands had much to lose from a so-called hard Brexit where the UK was forced to trade under World Trade Organisation rules.

“Everything in my way of thinking argues to get a good deal for the British and not have as an ultimate objective to punish them. This is democracy. We should respect that. We should strike a good deal and be reasonable people - on both sides - and then go on.”

Mr Van Overtveldt said securing a quick deal was also crucial.

“The sooner the better because the real danger of the Brexit process is that it will go on, and on, and on, and there will come a moment where that will start impacting expectations whether it be investments, producers or consumers which is of course bad for the economy overall.”

Asked to comment on reports that Jean-Claude Juncker, the president of the European Commission, believed Theresa May was “deluded” over Brexit talks, Mr Van Overtveldt suggested it was part of political game playing. [...]

Full article on The Telegraph