Responding to the Government’s publication of the first Future
Partnership Paper, today on Customs
Arrangements, Allie Renison, Head of EU and Trade Policy at
the Institute of Directors, said:
“This is a hugely positive step from Government in putting pen to
paper to spell out its objectives for customs arrangements with
the EU after Brexit. The paper outlines options for a
transitional period and for the longer term, proving that both
are crucial to achieving a smooth and orderly exit. The explicit
reference to maintaining a common external tariff with the EU as
part of proposed interim arrangements – as called for by the
IoD – is particularly welcome as it makes clear to
businesses that they are hoping to ensure no application of
costly rules of origin for this period.
“By putting forward a range of suggestions, it presents the EU
with different options to engage on, and hopefully encourages
Brussels to come forward with its own proposals in detail. We
would, however, like clarity on whether this is a mere discussion
paper or part of a series of negotiating proposals being put
forward to the EU. The Government still needs to work to ensure
sufficient progress is made on citizens rights and any financial
settlement, and we are hopeful that the EU will treat an interim
deal on trade with the same sense of urgency.
“A smooth transition is something that all parties can agree on
and there is every reason for them prioritise early agreement in
this area. This will allow for more speedy resolution of issues
relating to the Irish border – even if on a temporary basis – and
allow negotiations over the longer term relationship to take
place in a calm and steady manner. It does need to be stressed
that there are still many issues left to address even in looking
at interim arrangements – a transitional customs union only ties
off some of these issues.
“There will need to be discussions on the UK’s exit from the EU’s
Common Commercial Policy, what maintaining the Common External
Tariff means for the UK in its trade relations with third party
countries and a detailed discussion on what regulatory procedures
will replace our Single Market membership if we are to exit it in
2019. Maintaining our existing customs and border arrangements
with Europe is dependent on many other things besides a customs
union – including how VAT is paid across borders, our
relationship with EU agencies and whether anti-dumping provisions
are put in place with the EU. We look forward to seeing these in
short order from the Government.”
