PUBLIC AFFAIRS UPDATE
Brexit deal signed, in time
for Christmas
The last few months have probably seen the most
developments in the Brexit discussions since that
historic day 18 months ago.
We finally have it - a deal. Well, one of many deals, but a deal
many thought wouldn’t be made following tension in December
surrounding the Irish border. Just a few weeks before Christmas,
Prime Minister Theresa May and Secretary of State for Brexit
David Davis came to an agreement with the EU’s Chief
Negotiator Michel Barnier on the divorce settlement, rights of
EU and UK citizens and key is that there will be no hard border
on the Isle of Ireland. The next phase of negotiations is key for
the BCF and our members as government will now discuss
trade.
What hasn’t been agreed?
The next phase of talks will now focus on trade. The BCF
has been working closely with BEIS, Defra, the Department
for International Trade and the Department for Exiting the
EU to provide case studies on different trade and regulatory
framework scenarios.
Something else which raises questions is the remit of the
European Court of Justice (ECJ). The ECJ oversees all EU
regulations, so if we were to stay within REACH, we would need
to have ECJ jurisdiction in the UK, or to come to a deal where
the EU recognises the UK equivalent regulations.
2018 Reshuffle - an omnishambles?
What has been agreed?
The UK and the EU have agreed three core points, which were
published in a 15 page document:
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No hard border
Fair settlement to the British taxpayer
No customs barrier in the Irish Sea
This is all good news in theory, although we don’t know what
any of this means for the chemical regulatory framework. The
15-page document also states that:
"The UK will maintain full alignment with those rules of the Internal
Market and the Customs Union which, now or in the future, support
North-South cooperation, the all island economy and the protection
of the 1998 Agreement."
The statement of “full alignment” will undoubtedly lead to heated
discussions within the Conservative Party, but the document
implies that if there is no trade deal, then the UK will default to
EU regulations. This could mean that if no agreement on trade is
reached, the UK coatings industry could stay in the EU regulatory
framework.
Covered Spring 2018
The Prime Minister has since then undertaken a major reshuffle
of her Cabinet and junior Ministers. Importantly for the BCF, the
Defra Secretary of State Michael Gove MP and Waste Minister
Dr Therese Coffey MP have remained in place, along with the
top Minister at BEIS, Greg Clark MP.
However, the reshuffle has been met with controversy. Health
Minister Jeremy Hunt MP refused to accept a new position,
and former Education Secretary Justine Greening MP quit after
turning down the role of Work and Pensions Secretary. This has
led to some questioning of the Prime Minister’s authority ahead
of the next stage of Brexit talks, where she will vitally have to
negotiate on trade.
Where are we now?
The BCF will keep on fighting for the coatings industry. We are
consulting BCF members on trade, customs, and various other
issues of importance to the industry. We have a good line of
communication with government and in the industry, so do see
this agreement as progress. This means we can now focus on
assisting government as they negotiate trade deals with the EU
and beyond.
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