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Brexit round-up – 19/03/21

Welcome to this, our latest Brexit round-up. Each week we provide a succinct round-up of the latest news surrounding the Brexit process, so you can keep abreast of the issues which are likely to affect your organisation.

Government sets out new timetable for introducing import border controls

As a result of the coronavirus pandemic the government has announced a new timetable for introducing import border controls following the UK’s departure from the EU, in order to allow businesses more time to prepare whilst they focus on recovering from the pandemic. Under the new timetable, full border control processes will be delayed by six months and be implemented with effect from 1 January 2022. Cabinet Office Minister Lord Frost of Allenton said “We will now introduce border controls broadly six months later than planned to give traders time to focus on getting back on their feet as the economy opens up after a difficult year. We are confident that this new timetable will allow import businesses to re-establish their trading arrangements after a difficult period due to coronavirus, in the most straightforward and lightest touch way possible.”

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EU and USA agree apportionment of agricultural quotas

The European Commission has announced that the EU and the USA has concluded negotiations to adjust the European Union’s WTO agricultural quotas, following the UK’s withdrawal from the EU. This follows two years of negotiations within the WTO framework to divide the EU quotas, with part of the volume remaining with the 27 member states and part going to the UK, based on recent trade flows. Importantly, the total volume of the EU and UK quotas will not increase. The agreement covers dozens of quotas and billions of euros of trade, including for beef, poultry, rice, dairy products, fruits and vegetables, and wines. The EU is conducting similar tariff rate quotas apportionment negotiations with twenty-one other partners having rights to access these quotas, and has concluded negotiations already with Argentina, Australia, Norway, Pakistan, Thailand, Indonesia and others. Once the European Commission has adopted the EU-US Agreement, it will then be sent to the Council of the EU and the European Parliament for ratification, so that it can enter into force as soon as possible. The European Commission has not published the agreement yet but it is expected to be published once it has been formally adopted by the Council.

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Switzerland approves UK’s application to accede to 2007 Lugano Convention

The Federal Department of Foreign Affairs of Switzerland, in its capacity of Depository of the 2007 Lugano Convention, has published a letter notifying the other contracting parties that Switzerland has consented to the UK being invited to deposit its instrument of accession to the 2007 Lugano Convention. The Convention, which governs jurisdiction and the enforcement of judgments in civil and commercial matters between EU member states and Norway, Iceland and Switzerland, originally applied to the UK by virtue of EU membership and continued to be treated as applying to the UK during the UK-EU transition period it. Following the UK’s departure from the EU, the UK deposited an application to accede to the Convention in its own right on 8 April 2020. To accede to the Convention, the UK will need to obtain the unanimous agreement of the other contracting parties and follow the formal accession procedure set out in the Convention. The UK government laid the Convention before Parliament in November 2020, having previously received statements of support from Switzerland, as well as Norway and Iceland, for the UK’s intention to accede to the Convention.

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SME Brexit Support Fund opens for applications

The government’s £20 million SME Brexit Support Fund has now opened for applications with effect from 15 March 2021. Small and medium sized businesses that trade solely with the EU can apply for grants under the fund to help them adapt to changes to trade rules with the EU following the UK’s departure. To be eligible, businesses must import or export goods between Great Britain and the EU or move goods between Great Britain and Northern Ireland. Mike Cherry, Federation of Small Businesses National Chairman, said “The vast majority of UK small firms that do business overseas trade with the EU. Not only are they trying to stay afloat as lockdowns gradually ease, they now have new, unfamiliar paperwork and costs to navigate when they buy from, or sell to, Europe. That’s why we asked the government for targeted funding to help them navigate these fresh demands, and it’s brilliant to see that funding go live today. We encourage all eligible small businesses to take a look and apply for this new source of help.”

For more information please click here.

UK, Norway and EU sign fishing agreement

The UK, Norway and EU have reached an agreement on catch limits in respect of cod, haddock, plaice, whiting, herring, and saithe stocks for 2021, in order to manage fish stocks in the North Sea. UK Government Minister for Scotland David Duguid said “For the first time in decades we have concluded our first trilateral negotiations with the EU and Norway as an independent coastal state. The outcome represents an increase in the total allowable catch of certain key stocks for Scotland – such as Haddock and Whiting. Agreements have also been made which safeguard the long-term viability of some other key stocks such as cod.” Annual fisheries negotiations will now take place and bilateral negotiations are underway with the EU, Faroes Islands and Norway to confirm access arrangements and quota exchanges, where applicable.

For more information please click here.

If you have any questions about any of the issues which are raised, or would like to discuss your own organisation’s options during the Brexit process, please do not hesitate to get in touch.

Please note that this briefing is designed to be informative, not advisory and represents our understanding of English law and practice as at the date indicated. We would always recommend that you should seek specific guidance on any particular legal issue.

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