The European Union expects Britain to honour all its financial obligations made during its membership of the bloc even after a no-deal Brexit, a spokeswoman for the executive European Commission says.
The statement came after British Prime Minister Boris Johnson said that if Britain leaves without a deal, it will no longer legally owe the STG39 billion (NZ$75.2 billion) divorce bill agreed by his predecessor.
"All commitments that were taken by the 28 member states should be honoured. This is also and especially true in a no-deal scenario where the United Kingdom would be expected to continue to honour all commitments made during EU membership," the spokeswoman, Mina Andreeva, said on Monday.
"Settling accounts is essential to starting of a new relationship on the right foot, based on mutual trust," she said, adding that London has not formally raised the issue with the EU side so far.