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BREXIT
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Brexit Brief Issue 91A
14 July 2020

 Introduction
 The Brief seeks to provide up-to-date information on the progress and content of the UK-EU
 negotiations, and bring together relevant statements and policy positions from key players in
 Ireland, the UK and the EU.

 The Brief is part of a wider communications programme covering the work of the IIEA’s UK
 Project Group – including commentaries, speeches, texts and event reports – which are
 highlighted on the Institute’s website. (www.iiea.com)

 Section One: State of Play                          security co-operation and the seriously
                                                     contended area of fisheries. In advance, a
 London Talks Stalled                                Commission official remarked: “The key is
                                                     what it always has been: to find a way to get
 In the week of 6 July 2020, the UK and
                                                     what makes the EU side comfortable, without
 EU negotiating teams met in London for
                                                     breaking any of the UK red lines”. A UK
 discussions. These were not described as
                                                     counterpart insisted: “We remain committed
 ‘negotiations’ but as informal talks with no
                                                     to working hard throughout the intensified
 published agenda. The week began with the
                                                     talks process with the aim to make rapid and
 two Chief Negotiators – David Frost and Michel
                                                     genuine progress towards reaching a deal.
 Barnier – meeting for a private Downing Street
                                                     There is no reason why an agreement can’t
 dinner. Prime Minister Boris Johnson joined
                                                     be reached by the end of July.”
 the Chief Negotiators afterwards for coffee.
                                                     When the talks ended on Thursday 9 July
 The subsequent talks involved the two leaders
                                                     2020, Michel Barnier Tweeted: “This week’s
 and teams of about 15 officials on each
                                                     discussions confirm that significant divergences
 side, addressing a range of issues, covering
                                                     remain between the European Union and
 everything from the level playing field concept
                                                     Great Britain. We will continue working with
 to the core areas of trade in goods and services,

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patience, respect & determination. Regardless      in the UK; no obligation for the UK to continue
of the outcome, there will be inevitable           to be bound by EU law; and an agreement
changes on 1/1/21.”                                on fisheries that shows Brexit makes a real
                                                   difference.” That message has been repeated
There will be a further informal meeting           in a routine briefing to representatives of the
in Brussels in the week of 13 July 2020 in         Member States.
preparation for a week of full negotiations
in the following week. Both sides are agreed       The European Council will meet physically in
that to achieve an workable deal by the end        Brussels on 17-18 July to discuss the recovery
of October – to permit formal consideration        plan to respond to the COVID-19 crisis and
and adoption by the Member States and the          a new long-term budget. This will offer an
European Parliament – a major breakthrough         opportunity for reflection, at the level of
must happen by the end of July. Michael Gove       leaders, on the outcome of the week’s talks.
has remarked that July was all about “finding
an early understanding on the principles that      Commission Communication on
will underpin a broad agreement”, while a          Brexit Preparations
senior EU official said that “the next few weeks
                                                   On 9 July 2020, the European Commission
are more important than people realise.”
                                                   published a detailed Communication –
Writing for RTÉ on 11 July 2020, Tony Connelly     ‘Getting Ready for Changes: Communication
commented following the meeting there is still     on readiness at the end of the transition
disagreement on how to break the impasse,          period between the European Union and the
and highlighted that four key sticking points      United Kingdom’ – designed to assist national
remain. These are: the level playing field;        authorities, businesses and citizens prepare
fisheries; police and judicial cooperation; and    for the inevitable changes that will arise at the
dispute resolution. He continued:                  end of the transition period. It underlines the
                                                   inevitability of the changes that will occur to
    The EU believes that Michel Barnier, the       cross-border exchanges between the EU and
    chief negotiator, has made a significant       the UK as of 1 January 2021– irrespective of
    overture in recent days, and that the UK       whether an agreement on a future partnership
    now needs to reciprocate. Senior figures       has been concluded or not.
    suspect, however, that Boris Johnson
    is not preparing either his cabinet or         Launching the document, the President of the
    the wider Brexit constituency for that         Commission, Ursula von der Leyen said:
    reciprocation and that he has only a
                                                        The British people decided in a democratic
    couple of weeks to do so.
                                                        election to leave the European Union and
Prior to the London talks, Michel Barnier had           its benefits. This means that no matter
said that the European Union had listened               how hard we now work towards a close
carefully to Prime Minister Johnson’s recent            partnership agreement, our relationship
statements and “in particular, his request to           will inevitably change. My top priority is
reach a political agreement quickly, and his red        to ensure that EU citizens and businesses
lines: no role for the European Court of Justice        are as well prepared as possible for 1
                                                        January 2021.

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The Commission’s Chief Negotiator, Michel        – many of which continue to be relevant for
Barnier, said:                                   the end of the transition period. Both the EU
                                                 and the national governments have been
    Public administrations, businesses,          busily preparing campaigns to ensure that
    citizens and stakeholders will be            stakeholders are fully aware of what needs to
    affected by the UK’s decision to leave       be done in case a deal cannot be reached.
    the EU. Following the UK Government’s
    decision not to extend the transition        UK Preparations Continue
    period, we now know that these
    changes will take place on 1 January         The UK Government has continued outlining
    2021 – deal or no deal. We are helping       its plans for the end of the transition period
    them to prepare as best as they can.         with the publication of details of a £705
                                                 million funding package for managing the
The Communication sets out a sector-by-          UK’s borders, including new border control
sector overview of the main areas where there    posts and recruitment of 500 additional
will be changes regardless of the outcome        Border Force staff. The plan, made public on
of the ongoing EU-UK negotiations, and           12 July, followed the controversy surrounding
sets out measures that national authorities,     a letter from International Trade Secretary,
businesses and citizens should take in order     Liz Truss, which raised serious concerns about
to be ready for these changes. It covers         the readiness of UK ports and the intention to
trade in goods, trade in services, energy,       phase in border formalities.
travelling and tourism, mobility and social
security coordination, company law and civil     The plan relates to provisions for the external
law, data, digital and intellectual property     borders of England, Scotland and Wales.
rights and EU international agreements. The      A specific plan for measures concerning
Communication does not seek to prejudge          Northern Ireland will be issued in the coming
the outcome of negotiations and does not         weeks. The funds will be allocated to building
examine the possible implications of a failure   port and inland infrastructure (£470 million)
to reach an agreement, nor does it consider      and IT systems and staffing (£235 million).
the need for contingency measures.               The IT allocation will include development
                                                 of Revenue and Customs systems, purchase
The Commission’s aim is to ensure that all       of new equipment, construction of new data
public administrations and stakeholders are      infrastructure to improve border flow and
ready and well prepared for the unavoidable      management and recruitment.
disruptions caused by the UK’s decision to
leave the EU and to end the transition period    Cabinet Office     Minister   Michael    Gove
this year. These measures are designed to        commented:
complement actions taken at national level.
                                                     […] with or without further agreement
Furthermore, the Commission is reviewing             with the EU, this £705 million will ensure
and, where necessary, updating the more than         that the necessary infrastructure, tech
one hundred stakeholder notices, published           and border personnel are in place so
at the time of the withdrawal negotiations           that our traders and the border industry

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    are able to manage the changes and            The Minister confirmed that he is to bring a
    seize the opportunities as we lay             significant Brexit memorandum, including the
    the foundations for the world’s most          views of eight Government Departments to
    effective and secure border.                  prepare the country for the increased chance
                                                  of no-deal.
The International Trade Secretary had
warned that border plans risked smuggling,        It is understood the bill will deal with: the likely
damage to the UK’s international reputation       impact on farmers; a new system of checks at
and a legal challenge from the World Trade        ports and airports to account for a post-Brexit
Organisation. Liz Truss wrote to the Cabinet      situation; a plan to aid businesses to cope with
Office Minister Michael Gove about four “key      the impact of Brexit, in all scenarios; and a
areas of concern”. Minister Gove had unveiled     plan to limit the impact on hauliers and other
a border regime for traders whereby customs       key transport sectors.
and health checks for goods from the EU would
not be imposed immediately and instead be         Mr Coveney, who is no longer Tánaiste but has
phased in over six months. Minister Truss         retained his post in the Department of Foreign
argued that this would “be vulnerable” as the     Affairs and has been appointed Minister for
WTO could object to EU goods being treated        Defence, said that while he believes a deal is
differently to those from elsewhere which         still possible, time is short.
incur tariffs and quotas. Her letter suggested
                                                       Time is running out, that’s true. There’s
that the Government had not addressed
                                                       still six months before the end of the year.
the complexities of the situation:“HMRC are
                                                       Six months is a very, very short period
planning to apply the EU tariff as a default to
                                                       of time in terms of getting a trade deal
all imports in Northern Ireland from 1 January
                                                       place. There are 11 different areas where
2021 […] This is very concerning as this may
                                                       there are negotiations taking place, all
call into question Northern Ireland’s place in
                                                       in parallel with each other. The idea we
the UK customs territory.”
                                                       can get agreement on all 11 is totally
The Labour Party MP and Shadow Minister for            unrealistic. What is possible, though,
the Cabinet Office, Rachel Reeves, commented           is a basic trade deal that avoids the
that Liz Truss’s letter “confirms fears that           introduction of tariffs and quotas, which
several ministers have been making things up           is very important in an Irish perspective,
as they go with a lack of awareness of the real        which is what World Trade Organisation
world consequences of border policies they’ve          (WTO) trading rules would probably
had four years to develop”.                            result in if there was no deal.

Irish Government Readiness Plans                  But only when the new Government was
                                                  elected could a bill of this magnitude be
In an Irish Examiner interview on 6 July 2020,    agreed and brought forward.
the Minister for Foreign Affairs Simon Coveney
warned that “time is running out”, adding that         I’ll bring a fairly big memo to Government
the chances of agreeing a full trade deal in           the week after next in relation to where
the time available are “totally unrealistic”.          Ireland is at in terms of our preparedness

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     for whatever outcome may happen in             the post-transition EU-UK relationship. The
     the autumn. Whether it’s a worst-case          report highlights that planning involves three
     scenario - which is no trade deal Brexit -     distinct elements: work led by Government,
     or not, we have to be ready just in case.      such as the infrastructure at the ports and
     And no matter what happens here we’re          airports; addressing the needs of specific
     going to require customs checks in Irish       sectors impacted by Brexit; and social issues.
     ports and in our airports, and we’re going     This work will be underpinned by dialogue with
     to have to have other checks as well on        stakeholders and a targeted communications
     live animals, and on standards checks          programme.
     and so on for goods coming from the UK.
                                                    The Update stresses that, while there is
Department of Foreign Affairs Briefing              uncertainty over the outcome of negotiations,
on Brexit Preparedness                              the ratification of the Withdrawal Agreement
                                                    in January 2020 ensures that the provisions
The Department of Finance April 2020                of that Agreement, including the Protocol on
Update to Ireland’s Stability Programme             Ireland and Northern Ireland, will apply at
set out the extent to which “the economic           the end of the transition period regardless of
landscape – domestically and elsewhere – had        that outcome.
fundamentally changed in a few weeks.”
                                                    Section Two: The Evolving
The report highlights that COVID-19 and             Debate
the resultant economic impact places “an
additional and dramatic level of uncertainty on     Taoiseach Micheál Martin in Dáil
the uncertainty already surrounding Brexit.” It     Éireann
outlines that it is against this backdrop that
planning for Brexit must now proceed.               The new Taoiseach spoke about Brexit in the
                                                    Dáil on 7 July 2020.
The paper points out that, without an
extension, transition will end at a time when           From the moment the Brexit referendum
the economy and many individual businesses              was proposed, I have been very clear
would hope for a return to recovery. December           in describing it as an error of historic
31st 2020 is seen as a potential crucial date.          proportions. However, it is done and
Regardless of the outcome of the EU-UK                  the challenge we continue to face is
negotiations, the UK will be outside the Single         managing its impact and developing a
Market and Customs Union from the end of                new and constructive relationship with
the transition period. This will have significant       our neighbour without the framework of
implications for supply chains, trade flows and         joint European Union membership which
the necessary checks and controls in both               we shared for nearly five decades.
directions on EU-UK trade.
                                                        Negotiations are continuing on the future
Planning already undertaken on ‘no deal                 relationship between the European Union
preparation’ will be valuable in planning for           and the United Kingdom. Achieving

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 an agreement that fully protects Irish                them that this Government is determined
 interests will be a central objective of              to work actively and constructively with
 this Government and Ireland will work                 them in their vital work.
 tirelessly for that outcome as part of the
 European Union 27. We will also continue          Prime Minister’s Call with Chancellor
 to work with partners to ensure that the          Merkel
 Protocol on Ireland and Northern Ireland
                                                   On 7 July 2020. Prime Minister Boris Johnson
 is implemented in full, engaging closely
                                                   spoke to the German Chancellor to discuss
 with the European Union-United Kingdom
                                                   a range of current issues. On the future
 joint committee and the specialised
                                                   relationship, the Prime Minister underlined
 committee, to ensure bedding down of
                                                   the UK’s commitment to working hard to find
 the new arrangements.
                                                   an early agreement in the intensified talks
 My Department is also strongly engaged            process. He also noted that the UK equally
 in the ongoing work on national                   would be ready to leave the transition period
 preparedness for the outcome of Brexit            on WTO terms if an agreement could not in
 negotiations, working closely with the            the end be reached.
 Department of Foreign Affairs and all
                                                   UK turns down the EU coronavirus
 across Government in anticipation of the
                                                   vaccine scheme
 end of the transition period in January
 2021. While much work was done last
                                                   The UK Government has notified the European
 year, we still have much more to do,
                                                   Commission that, following lengthy talks
 especially in helping businesses who
                                                   with Brussels, it will not participate in the EU
 face new barriers to trade with Britain.
                                                   collective coronavirus vaccine scheme, arguing
 A heightened round of stakeholder
                                                   that the UK, outside the EU, would not have
 engagement will be undertaken and
                                                   a decision-making role in negotiations. The
 contingency plans will be updated.
                                                   decision has been described as ‘unforgivable’
                                                   by health sector charities and condemned by
 Regardless of the outcome of the Brexit
                                                   opposition MPs.
 negotiations, the Protocol on Ireland and
 Northern Ireland will take effect from the
 end of the transition period. During the          Section Three: Background
 remainder of 2020 we will engage closely          Material and Further Reading
 with the European Union-United Kingdom
 joint committee and the specialised               Background Material
 committee to ensure the bedding down
                                                   European Commission Communication on
 of the new arrangements. The restoration
                                                   readiness at the end of the transition period
 of the Northern Ireland Executive and the
                                                   between the European Union and the United
 Assembly provides a moment of hope for
                                                   Kingdom. 9 July 2020. https://ec.europa.
 all who share this island. Among my first
 telephone calls as Taoiseach were calls           eu/info/publications/getting-ready-changes-
 with First Minister, Arlene Foster, and           communication-readiness-end-transition-
 Deputy First Minister, Michelle O’Neill. I told   period-between-european-union-and-united-
                                                   kingdom_en

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House of Lords Select Committee on the            Telegraph EU willing to allow UK to break
EU. Oral evidence: Michel Barnier, 23 June        from Common Fisheries Policy. Telegraph.
2020.     https://committees.parliament.uk/       6 July 2020. https://www.telegraph.co.uk/
oralevidence/629/pdf/                             news/2020/06/eu-willing-allow-uk-break-
                                                  common-fisheries-policy/
BBC ‘Significant divergences’ in UK-EU talks
– Michel Barnier. BBC, 9 July 2020. https://      Financial Times Now we get down to the
www.bbc.com/news/uk-politics-53354493             real stuff of Brexit. FT, 9 July 2020. https://
                                                  www.ft.com/content/34bda00f-f792-42fa-
GOV.UK Prime Minister call with Chancellor        bf11-22981536c2ce
Merkel: 7 July 2020. https://www.gov.uk/
                                                  The Guardian         Liz Truss warns Boris
government/news/pm-call-with-chancellor-
                                                  Johnson over Brexit border plans. Guardian,
merkel-7-july-2020
                                                  8 July 2020. https://www.theguardoan.com/
BBC Brexit: Britain’s border checks to get        politics/2020/jul/08/liz-truss-warns-boris-
3705 million boost. BBC, 12 July 2020. https://   johnson-over-brexit-border-plans
www.bbc.com/news/uk-politics-53375713
                                                  Financial Times       Hardline Brexit stance
                                                  threatens City market access UK warned. FT,
Michael Gove        Outside the EU a bright
                                                  7 July 2020. https://www.content/8e36a8e9-
future awaits Britain. Telegraph. 11 July
                                                  7ac4-45a5-928a-3ae8ef80ffb7
2020.           https://www.telegraph.co.uk/
news/2020/07/11/outside-eu-bright-future-         Politico EU needs to ‘see movement’ from
awaits-britain/                                   UK in post-Brexit trade deal: Phil Hogan.
                                                  Politico, 4 July 2020. https://www.politico.
Irish Times ‘Prepare for January: European
                                                  eu/article/eu-needs-to-see-movement-from-
Commission warns as Brexit trade talks stall.
                                                  uk-on-post-brexit-trade-deal-phil-hogan/
IT, 10 July 2020. https://www.irishtimes.com/
news/world/europe/prepare-for-january-            The Guardian           Vast Brexit customs
european-commission-warns-as-brexit-trade-        clearance centre to be built in Kent. Guardian,
talks-stall-1.4300445                             10 July 2020. https://www.theguardian.com/
                                                  politics/2020/jul/10/vast-brexit-customs-
The Guardian UK Brexit negotiator meets EU        clearance-centre-to-be-built-in-kent
counterpart in bid to revive talks. Guardian,
7 July 2020. https://www.theguardian.com/         Telegraph Cheddar cheese subject to 50pc
politics/2020/jul/07/eu-citizns-being-used-       tariff in no-deal Brexit, warns trade body.
as-guinea-pigs-for-brexit-digital-immigration-    Telegraph, 10 July 2020. https://www.co.uk/
system-mps-told                                   business/2020/07/10/average-tariff-food-
                                                  imports-will-surge-20pc-no-brexit-trade/
Financial Times Brexit negotiators hunt for a
breakthrough in London talks. FT, 6 July 2020.    Telegraph UK turns down EU coronavirus
                                                  vaccine scheme.         Telegraph, 9 July
https://www.ft.com/content/890bd1d2-
                                                  2020.           https://www.telegraph.co.uk/
4ddd-42f3-983a-d537b1d4cbc2
                                                  politics/2020/07/09/uk-turns-eu-coronavirus-
                                                  vaccine-scheme-officials-warned-costly/

                                                               BREXIT BRIEF 091A | JULY 2020
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The Guardian UK plan to shun EU vaccine           Irish Examiner       Government to approve
scheme ‘unforgivable’, say critics. Guardian,     Brexit readiness Plan as UK trade talks
10 July 2020. https://www.theguardian.com/        stall. Examiner, 6 July 2020. https://www.
world/2020/jul/10/uk-poised-to-shun-eu-           irishexaminer.com/breakingnews/ireland/
coronavirus-vaccine-scheme                        government-to-approve-brexit-readiness-
                                                  plan-as-uk-trade-talks-stall-1009413.html
European Policy Centre         Andrew Duff.
Ceasefire: Managing divergence in Post-           Irish Times Naomi O’Leary: Ireland’s travel
Brexit Europe, 30 June 2020. https://www.         policy curbed by Britain.  IT, 9 July 2020.
epc.eu/en/Publications/Ceasefire-Managing-        https://www.irishtimes.com/opinion/naomi-
divergence-in-post-Brexit-Europe-3565cc           o-leary-ireland-s-travel-policy-curbed-by-
                                                  britain-1.4299320
Gov.ie Briefing Materials provided to political
parties as part of Government Formation
discussions – February to June 2020.
https://www.gov.ie/en/publication/7b927-          Further Reading
programme-for-government-documents/
                                                  Turner, John.     The Tories and Europe.
Department of Finance              Stability      Manchester University Press.
Programme Update 2020, April 2020. https://
www.gov.ie/finance

Dail Eireann. Official Report Vol.994. No.5,
7 July 2020. https://data.oireachtas.ie/ie/
oireachtas/debateRecord/dail/2020-07-07/
debate/mul@/main.pdf

Tony Connelly       Hard political decisions
needed by UK now to get Brexit over the
line. RTE, 11 July 2020. https://www.rte.
ie/2020/0710/1152578-brexit-breakthrough-
needed/

RTE Five of the biggest challenges facing the
new Government. RTE, 5 July 2020. https://
www.rte.ie/news/2020/0704/1151410-
challenges-new-government/

Irish Examiner        Coveney dismayed at
UK’s approach to Brexit talks. Examiner,
6 July 2020. https://www.irishexaminer.
com/breakingnews/views/analysis/daniel-
mcconnell-coveney-dismayed-at-uks-
approach-to-brexit-talks-1009419.html

                                                              BREXIT BRIEF 091A | JULY 2020
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