With the emerging suggestion that the EU and UK are close to agreement on a financial settlement and the issue of citizens’ rights in Brexit negotiations, the fraught issue of the Irish border is now the outstanding item in the first phase of talks.
This hasn’t received the same attention in the discussions to date but a proposal by the British/Irish Chamber of Commerce this week that the UK and EU should seek to form a new Comprehensive Customs Arrangement (CCA) is worthy of consideration.
It would allow for the continuation of goods and services to be traded tariff-free. It is basically an enhancement of the EU-Turkey agreement with the inclusion of trade in agri food. The CCA would afford the UK the freedom to persue its own immigration policy while the creation of another model for dispute settlement would mean that it could also operate outside the direct jurisdiction of the CJEU.
The arrangement would extend to regulatory alignment or equivalence between the UK and the EU and require the UK to align its new tariffs with the existing Common External Tariff. This would effectively allow the UK to be an associated party in any future trade deals conducted by the EU and give it automatic access to regions where new trade deals are agreed.
While complex, the proposal delivers benefits for both parties and recognises the deep trading relationships that exist. A CCA along the lines of what is proposed would eliminate the need for a hard border and therefore requires careful consideration.
SHARING OPTIONS: