Through the Brexit transition phase we were under the impression although their were differences this would bring a new era with both parties driving to form a new partnership and grow ties. The UK has now left the EU and the Northern Ireland Protocol is in effect.
Recently though assurances provided has seem to have disappeared and a more fractous relationship is being seen with arguments to be taken through the courts rather than being constructively negotiated. So where has this all gone wrong?
The EU issued article 16 which they said they would never do due to supply of the COVID 19 vaccine. Putting export blocks on supply to Northern Ireland, this created serious tensions between the UK and the EU. European Commission President Charles Michel has challenged the UK to publish numbers of the numbers of vaccines it has exported, following the UK’s angry dismissal of claims by Michel that the government had effectively banned vaccine exports. The EU’s ambassador to the UK has also called on the UK to be more “transparent. Saying the UK hasn’t banned exports but has included in its vaccine manufacturing contracts mechanisms that ensure vaccines are distributed in the UK ahead of other markets.
UK-EU tensions remain high after European Commission president Michel chided the UK for allegedly blocking vaccine exports to the EU as well as poorer nations. The UK has angrily dismissed the claims, with Foreign Secretary Dominic Raab summoning the EU’s UK representative to explain why the EU has made “completely false” statements.
We have also seem Northern Ireland Assembley MP's petitioning the UK government to scrap the Northern Ireland Protocol, due to issues they have seen since the 1sy January 2021.
The UK has also stated they want to extend the easements for Northern Ireland, which the EU are not happy about. This has led the UK government is to send senior officials from its Northern Ireland Office to the US in a bid to curry President Biden’s favour in the dispute with the EU on grace period extensions. The row comes as member states back the move by Brussels to take legal action against the UK for its extension of grace periods around the NI Protocol.
New EU legislation is expected ramp up the conflict with the UK as this will increase the volume of UK export health certificates for goods sold to the EU by any third country. The new requirements for certification will cover multi-ingredient products including chocolate bars and curry sauces. The rules will also affect trade between Great Britain and Northern Ireland.
UK Business leaders and exporters have called on Lord Frost to take a less abrasive approach to managing relations with the EU, as the cracks are starting to show in the relationship since the UK exited the EU. After Lord Frost had called on the EU to "shake off any remaining ill will" over the UK's decision to leave the trade bloc.
The UK still remains a top destination for investors.
A survey of 5,000 global bosses shows that Britain is a “more attractive investment proposition for multinational companies than it was before Brexit”. Over a tenth (11%) of bosses chose the UK in their top three for target markets, up from 9% in autumn 2019 when the survey was last conducted.
Now the two parties seem to be sparing like fighters prior to the official boxing match. On this war of words that could potentially end up in court who will have the knock out blow. Only time will tell, with the business community hoping that some common interests can be reached, to ensure no further impact for importers and exporters alike.
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