From Day One of the Brexit process, the future of the Irish border has caused many a sleepless night for those attempting to negotiate a deal. Last December, it almost derailed progression from Phase 1 to Phase 2 talks. Now it threatens to prevent a deal on the terms of the UK’s withdrawal from the EU.
So why is the Irish border question so difficult to answer and are we any closer to a solution that is acceptable to all parties?
The Irish border is the only land border that exists between the UK and the EU. Currently, under customs union arrangements, there is no hard border thus allowing the free movement of goods across it. However, some form of border checks on goods will be required as the UK leaves the customs union. Both parties are determined to avoid the reintroduction of a hard border which was previously in place before the Good Friday Agreement. So, fundamentally, how can the UK leave the customs union whilst avoiding a hard border?
If no other way can be found to avoid a hard border, a backstop arrangement has been agreed in principal. Under its terms, Northern Ireland would remain within the customs union and single market as part of a ‘common regulatory area’.
However, the UK government is adamant that the backstop arrangement should not and will not be invoked. It has stated that such an outcome would “threaten the constitutional integrity of the UK”, essentially changing the relationship between Northern Ireland and the rest of the UK by creating a customs border in the Irish Sea.
Therefore, Theresa May is reluctantly proposing an alternative option which will mean that the entire UK remains in the customs union on a temporary basis, despite fears of being seen to renege on a self-imposed Brexit ‘red line’ and incurring the wrath of Brexiteers within her own government who would likely view such a solution as ignoring the vote to leave the EU.
The EU is insistent that customs checks must be implemented somewhere to maintain the integrity of the single market. It also does not want to encourage other member states, such as Italy, to also think seriously about leaving as a result of offering the UK a deal which is more attractive than EU membership. However, keen to avoid a ‘no deal’ outcome, the EU is open to the idea of the UK remaining in the customs union on a temporary basis.
With only weeks remaining before the deal deadline, the pro-Brexit (and anti-Chequers plan) European Research Group (ERG) has declared that the use of ‘established’ technology combined with ‘modifying’ of existing arrangements can create the desired solution. Members of the group maintain that a border already exists in relation to tax, VAT, excise and currency which should continue after Brexit along with the continuation of electronic procedures at the premises of exporters/importers premises. The ERG claims that this can be supplemented with the introduction of ‘trusted trader schemes’ customs checks without recourse to physical infrastructure being built.
Further proposals put forward by the ERG to remove the need for a hard border include the addition of customs declarations in VAT returns, equivalence of UK and EU regulations for agricultural produce, and the continuation of Common Biosecurity Zone status for island of Ireland.
Importantly, however, it is up to the UK government rather than the ERG to provide an alternative option to the ‘backstop’.
But whilst Theresa May insists that her plan is the only way to avoid a ‘no deal’, she will have to persuade the Brexiteers that the former will achieve their goals more effectively than the latter in order to win parliamentary approval for it.
Article published: 18th September 2018