North Ireland Protocol Bill moves forward
The government has promised an “intensive engagement process” with business its Bill to “fix” the Northern Ireland Protocol, which passed its second reading in the Commons on Monday June 27th, as expected.
As the Bill was introduced, the Foreign Office hosted a roundtable meeting with groups including the Northern Ireland Chamber of Commerce, Asda, John Lewis and the Dairy Council NI.
In the government’s words, the legislation will implement durable solutions in each of the four key areas:
- Green and red channels to remove unnecessary costs and paperwork for businesses trading within the UK, while ensuring full checks are done for goods entering the EU.
- Businesses to have the choice of placing goods on the market in Northern Ireland according to either UK or EU goods rules. [This dual regulatory system would become increasingly important as the UK and EU start to move apart from each other regulation, either through changes in the EU which we do not adopt or changes in the UK.]
- Ensure Northern Ireland can benefit from the same tax breaks and spending policies as the rest of the UK, including VAT cuts on energy-saving materials and Covid recovery loans. [At present EU rules apply in Northern Ireland.]
- Normalise governance arrangements so that disputes are resolved by independent arbitration and not by the European Court of Justice
In a briefing for MPs, the House of Commons Library also identifies as important:
. State aid/subsidy control: Bringing Northern Ireland fully under the UK’s new subsidy control regime. It currently follows the EU’s state aid regime.
The Commons Library briefing also covers the EU’s reaction and background to the Protocol.
The EU ambassador to London, João Vale de Almeida, told Sky News that the government’s approach to the Protocol is “probably a road to no-where”.
Links:
Foreign Office statement
Commons Library
Briefing from the Hansard Society
