Draft Brexit Agreement: What’s all the fuss about?

19th November 2018

So now that we can finally see what Brexit might mean in reality, with the publication of the Draft Brexit Agreement, everyone is still unhappy. After much talk about what we wanted, which was leaving the EU club, whilst cherry-picking retention of access to the Single Market and a borderless border in Ireland, it has finally dawned on us all that such a deal is not going to be offered. So what is the substance of the 585 page soft Brexit deal that is now being offered:

Laws

  • The UK will have to abide by the European Court of Justice during the transition period. After then, we will still have to maintain equivalent standards for:
    • employment,
    • environment,
    • state subsidies,
    • social policy.
  • No UK vote on future EU policy.

Borders

  • Post transition period, the UK will be able to set its own immigration rules.
  • All EU citizens lawfully living in the UK continuously for 5 years before 2021 will be able to stay.

Money

  • We will pay a divorce bill of at least £39bn to the EU, to cover all financial obligations.
  • Payments to the EU will end beyond the transition period.
  • Once the UK exits transition, and assuming the backstop isn’t triggered, it will be able to implement any agreed free trade deals it strikes with other countries.
  • Fishing is excluded from any new arrangement.

So what we have is a bit of a fudge and a bit of kicking of difficult issues into the long grass.



 
Other items in Blogs
 
Richard Alecock
12th September 2019 “Get ready for Brexit” workshops

  The Department for International Trade is hosting “Get ready for Brexit” workshops across the East region, each running from 11:30 – 13:30 followed by a networking lunch.   Please see the link below for dates and venues.   http://x.email.ukti.gov.uk/ats/msg.aspx?sg1=6a523609b267f7129747b384f8f21e3e

Read More »

Steven Denton
10th September 2019 Employer allowance – is it worth the hassle?

The £3000.00 employer allowance ceases at the end of the current tax year. From April 2020 employers will have to re-apply for a di minimis state aid based allowance.   A new HMRC checklist will have to completed to declare the following;   NIC contributions in the previous tax year were beneath £100,000; Confirmation that…

Read More »

Daryl Smith
10th September 2019 DELAYED – Domestic Reverse Charge VAT for Construction Services!

Brexit strikes again!  It appears that dreaded “B” word is not only good for grabbing headlines but also for causing H M Revenue & Customs a fair number of headaches.  Brexit has been blamed by the Revenue for everything from extended hold times on their phone lines to the delay in implementing their Making Tax…

Read More »

Jonathan Moore
5th September 2019 Gift Aid Guidance Update

HM Revenue & Customs have updated their Gift Aid for charities guidance.   In particular, the tables under sections titled The Benefit Rule, Charity Auctions and Educational School trips have been updated the latter of which will be of interest to charities involved in the running of schools and Educational Trusts.   The updated guidance…

Read More »

Karen Moore
3rd September 2019 National Payroll Week – Keeping the UK Paid

2019 marks the 21st Anniversary of National Payroll Week which is from 2 to 6 September 2019.   National Payroll Week recognises and celebrates the importance of payroll in business and the UK economy.  Not many people may know that there are 1.3 million employers in the UK and that Payroll is the largest expenditure…

Read More »

Amanda Newman
23rd August 2019 Changes in VAT for Contractors and Subcontractors

Confused by the new CIS reverse charge VAT rules that come into effect from 1 October 2019, then HMRC have issued further guidance at https://www.gov.uk/guidance/vat-domestic-reverse-charge-for-building-and-construction-services#overview.   The basics are as from 1 October 2019 if you are a VAT registered subcontractor working for a contractor you will no longer be paid for the VAT element…

Read More »