Written By Are you curious about the new post-Brexit Northern Ireland deal unveiled by Chancellor Rishi Sunak? Well, you’re not alone. The agreement has grabbed headlines and sparked interest from traders, businesses, and consumers alike as they try to make sense of its implications on trade. In this blog post, we’ll break down the key aspects of Sunak’s proposal and explore what it could mean for cross-border commerce in Northern Ireland. So buckle up for an insightful ride into the world of Brexit trade deals!
What is the Northern Ireland Protocol?
The Northern Ireland Protocol is an agreement between the United Kingdom and the European Union that establishes a special status for Northern Ireland within the EU. The Protocol allows for the free movement of goods between Northern Ireland and the Republic of Ireland, as well as continued access to the EU’s Single Market for goods and services. The Protocol also provides for a “single customs territory” between the UK and EU, which will allow businesses in Northern Ireland to trade freely with both markets. Finally, the Protocol ensures that there will be no hard border between Northern Ireland and the Republic of Ireland.
What does the Protocol mean for trade?
The Northern Ireland Protocol, which was set out in the Brexit Withdrawal Agreement, establishes a special status for Northern Ireland within the EU’s single market. This means that even though the UK has left the EU, Northern Ireland will remain aligned with the EU’s rules on goods and customs.
This approach was necessary to avoid a hard border between Ireland and Northern Ireland, which would have had devastating consequences for trade and peace in the region. Under the Protocol, there will be no need for customs checks or controls on goods moving between Great Britain and Northern Ireland.
However, because Northern Ireland will remain aligned with the EU’s rules on goods, there will be some new bureaucratic procedures for businesses trading across the Irish Sea. For example, businesses will need to fill out customs declarations when importing goods into Northern Ireland from Great Britain.
The good news is that the UK government has committed to putting in place systems and infrastructure to make these new procedures as smooth and seamless as possible for businesses. And it has also negotiated a number of flexibilities and exemptions that will minimise disruption to trade.
For example, small businesses will be exempt from having to fill out customs declarations. And there will be streamlined procedures for traders moving certain types of low-risk goods, such as food products and pharmaceuticals.
How will the Protocol be implemented?
The Protocol will be implemented through a joint committee made up of representatives from the UK and the EU. The committee will meet regularly to discuss how the Protocol is being implemented and to make sure that both sides are complying with their obligations. The Protocol will also be monitored by an independent body, which will report to the joint committee.
What are the benefits of the Protocol?
The Protocol sets out the practical arrangements for ensuring that there is no hard border between Northern Ireland and the Republic of Ireland. It also provides for the continuation of North-South cooperation, including on matters relating to policing and criminal justice, health, education, environment, and agriculture. In addition, the Protocol ensures that Northern Ireland remains part of the UK customs territory, meaning that goods entering Northern Ireland from Great Britain will not be subject to tariffs or quantitative restrictions.
Conclusion
The post-Brexit Northern Ireland deal is a complex but necessary component of the UK’s withdrawal from the EU. While there may be some disruption to trade with Northern Ireland, businesses should take comfort in knowing that goods will continue to flow smoothly across borders and the only noticeable changes will be those related to taxes and paperwork. As time goes on and more information becomes available, both businesses and consumers can become better informed about how things are changing.
