UK and EU agree Brexit transition plans
Draft plans for the UK’s withdrawal from the EU have been agreed, including a “backstop position” allowing Northern Ireland to effectively remain part of the single market.
Brexit Secretary David Davis and the EU’s chief negotiator Michel Barnier held a joint press conference in Brussels on Monday.
Under the controversial arrangements - to be put in place if the UK fails to come forward with a better solution - Northern Ireland would continue to be considered “part of the customs territory of the Union”, effectively creating a customs border along the Irish Sea.
Mr Barnier confirmed: “The backstop will apply unless and until another solution is found.”
Mr Davis added: “We agree on the need to include legal text detailing the ‘backstop’ solution for the border between Northern Ireland and Ireland in the withdrawal agreement that is acceptable to both sides.
“We have also reached consensus on the full set of issues which need to be addressed in any solution in order to avoid a hard border, which is why, last week, we set out a work programme to tackle them.”
“There are also some elements of the draft protocol - such as the Common Travel Area - on which we agree.
“So while there is as yet no agreement on the right operational approach, we know what we need to do - and we're going to get on with it.”
The draft agreement must now be approved by EU leaders at the European Council summit later this week to allow negotiations on future UK/EU trade relations to get underway.
Talks will continue on outstanding issues over the summer before a final text of the withdrawal is agreed in October and sent to the European and UK parliaments for ratification.
Under the terms of the joint legal text agreed by Mr Barnier and Mr Davis, the UK will be able to negotiate and ratify trade deals with outside countries following Brexit day in March 2019, to enter into force after the end of a transition period lasting until the end of 2020.
EU citizens arriving in the UK during the transition, as well as Britons settling on the continent, will have the same rights as those in place before Brexit day.
According to Mr Barnier, the draft agreement represents a “decisive step” forward.
He added: “A decisive step remains a step, we are not at the end of the road and there is a lot of work still to be done on important subjects including Ireland and Northern Ireland.”
The pound jumped by almost 1% against the dollar to 1.40 US dollars following news of the agreement. Sterling was trading up 0.7% against the euro at 1.14 euros.