Good morning,
This week the Commons and the Lords have questioned the UK’s Chief Negotiator and Michael Gove. Industry bodies are warning that they will struggle to get ready for a new customs regime at the end of 2020. We have our final Brexit Answers session, on the legal changes arising from Brexit and as usual some recommended reading for you.
Enjoy,
Jacob
In Politics
EU Negotiations
David Frost, UK Chief Negotiator, and Michael Gove were in front of both the Lords and the Commons
Extension to transition ruled out again
An agreed deal looks no closer
EU Negotiations continue between the UK and the EU about the future relationship between the two. This week Micheal Gove and David Frost, the UK’s Chief Negotiator, were jointly in front of the Commons Future Relationship select committee and then the Lords EU Committee.
Once again it was emphasis that the UK would not request an extension to the transition period. Frost told the MP’s committee that ‘It’s the firm policy of the Government that we will not extend the transition period and, if asked, we would not agree to it.”. He emphasised the UKs desire for ‘economic and political freedom’.
On the level playing field Provisions, Frost said that the UK was not opposed in principle but that he does not agree with the EU’s offer, wishing for something more like Canada’s trade deal with the EU. This once again comes down to geographical proximity and arbitration. The EU is worried the UK will slash rights and standards without stringent level playing field provisions stopping them. They worry that in doing so the UK will then undercut the EU market because it is physically next door rather than across the Atlantic.
This week saw an exchange of tense letters between Michel Barnier and David Frost with Barnier attacking the UK’s tone. Meanwhile, Frost sounded less hopeful, in the committees, about achieving an agreement on fisheries.
There is a ‘crunch’ meeting in June between the EU and the UK. This is the last chance for an extension of the transition period to be agreed. However, the date and format of the meeting have yet to be established. This week Frost confirmed Boris Johnson would attend.
As we edge closer to June with no agreement and no extension, we may be heading for a no trade deal at the end of December. On the other hand, pressure might start rising in the autumn to get a deal done. In any case, it is not just about negotiating a deal but making sure business, individuals and civil society organisations are able to adapt to a new trading regime. That takes time, which, as we have written previously, the UK government may not have the luxury of right now. Especially in the midst of a global pandemic.
In Policy
Falling Behind
The freight industry is warning there is not enough time to prepare for new customs regime
Standards could fall as the enforcement bodies and agents are not established in time
This week the Financial Times revealed that the UK Government is falling short of its target to hire new customs agents. This comes after the UK Government has admitted that there will be checks on goods going from the ‘rest of the UK’ (rUK) to Northern Ireland (NI). While the document published by the UK states there will be no new infrastructure, it does say existing infrastructure will be expanded. We looked in more detail at the Northern Ireland protocol, and its implications for rights, last week here.
As reported previously by the FT there could be up to 50,000 new customs agents needed even under a so called ‘Canada-style’ trade deal. But industry figures are warning that the numbers training to be agents are significantly below this. The British International Freight Association (BIFA) put only 1298 people through customs declaration training in 2019.
Industry is warning the UK Government that there is not enough time to fully recruit and train staff before the 1st January 2021 when the new system is scheduled to be in place. These are similar concerns to many civil society groups. There is not enough time to prepare for the new post-Brexit environment especially when Covid-19 is happening.
A key problem of having an underprepared customs border is it means food and goods standards may fall. There are concerns that there will be a shortage of vets, who are required to sign off on the health of foods, which could mean food simply can’t arrive in the UK. A shortage of compliance checking runs the risk of standards not being met and compliance not being enforced.
Standards falling through a lack of monitoring and enforcement is a concern, we have previously highlighted There is a lot for the UK Government to do before the end of this year. Chop, chop.
In Events
Brexit Answers!
The final session of Brexit Answers is next week! 10:00 AM on Tuesday 2nd June we will be discussing what legal changes have and will arise from Brexit.
Join Alexandra Sinclaire (Public Law Project) to learn more about the legal changes that are arising because of Brexit. We will look at how leaving the EU presents significant changes to the UK’s constitutional, legal, and rights landscape. Discover how organisations can prepare and respond to the various Brexit related legislative changes.
Alexandra Sinclair, Research Fellow at the Public Law Project. Alexandra Sinclair leads PLP’s SIFT project which scrutinises Brexit legislation to check they conform with public law standards and do not undermine fundamental rights.
Recommended Reading
New report on the UK Shared Prosperity Fund by the House of Commons Library
‘Future funding in these Covid times’ by Jane Thomas on Yorkshire Bylines
Speaker writes to MPs outlining the problems with the physical return of MPs and ending of the hybrid parliament here
EU nationals at risk of being denied UK citizenship after Home OFfice creates new shock tests in the Independent
UK in a Changing Europe report on ‘What would ‘trading on WTO terms’ mean?’ here