The transition extension clause. A one off extension. But no fixed date is set, apart from it being within this century.... 
A financial settlement needed to cover transition extension. But Britain won't be treated as a member state -- so it won't be paying and receiving as it does today. It will be outside CAP, for instance, but there are limits set on UK subsidies to farmers.
Here is the actual money par. Note it takes into account "the status of the UK" during the transition extension -- which could either be positive (it's not a full member) or a sign it will have to pay a high price (you're getting the benefits of a member)
On to the governance structure. It's based around a joint committee that takes decisions by mutual consent. The binding decisions have the same force as the rest of the treaty -- so the text can evolve over time
Here is one of those good faith clauses that we have heard so much about
There is a 5 person arbitration panel for disputes. This isn't unusual - there is something like this in the Ukraine-EU agreement. The important thing is the scope of issues it can rule on
Voila. Any issue relating to EU law (and there is a lot of it in this withdrawal agreement) cannot be referred to the arbitration panel. That's a matter for the ECJ
Here is THE good faith clause. A lot rides on this given some see it as a way to ensure the UK is not locked into the Irish border backstop
Note it covers the application of parts of the agreement too -- so the Brits might have to start moving on preparing to possibly implement the protocol on Northern Ireland.
SOS
The Gibraltar protocol ends with the transition. Seems a win for UK. The Spanish had argued it should end in December 2020 -- so extensions would not cover Gibraltar
Onwards to the Irish backstop
Worth reading Article 6 carefully.
A single customs territory is established between UK and EU. Fine.
"Accordingly NI is in the same customs territory as GB".
Does that mean NI is in the EU customs territory or the UK customs territory?
Worth reading Article 6 carefully.
A single customs territory is established between UK and EU. Fine.
"Accordingly NI is in the same customs territory as GB".
Does that mean NI is in the EU customs territory or the UK customs territory?
The EU customs territory is here defined by Article 4 of the union customs code.
If NI applies the union customs code does that ultimately put it in the EU's customs territory?
If NI applies the union customs code does that ultimately put it in the EU's customs territory?
This section suggests detailed rules on trade in goods could supplement the (limited) arrangements of the backstop. Interesting.
Fish is out of the backstop CU. But it can be included later, subjected to a deal on access to waters. They will negotiate to reach an agreement on access to waters by July 2020.
A compromise that some EU member states don't particularly like.
A compromise that some EU member states don't particularly like.
Fishermen in Northern Ireland are included....
Some important clauses where the UK makes commitments to minimise barriers to NI to GB trade -- and gets some promises from the EU to be as helpful as possible (with a few caveats)
This is a wonderful paragraph.
Suspect it is part of the "don't mention NI too obviously" drafting operation.
Suspect it is part of the "don't mention NI too obviously" drafting operation.
Right. I now need a lawyer.
I read this section as saying:
1) NI is in the EU's customs territory as defined by the GATT (assuming it applies the union customs code)
2) The UK-EU customs territory is an amalgam which, by contrast, doesn't meet the GATT definition
I read this section as saying:
1) NI is in the EU's customs territory as defined by the GATT (assuming it applies the union customs code)
2) The UK-EU customs territory is an amalgam which, by contrast, doesn't meet the GATT definition
Another cracker of a paragraph from the backstop
The question: does the whole UK apply the EU's external trade policy or just NI?
My reading is NI applies it more fully than GB
The question: does the whole UK apply the EU's external trade policy or just NI?
My reading is NI applies it more fully than GB
But the whole UK will definitely have to follow the EU's trade defence measures.
If you didn't have that China could, for instance, import solar panels to GB without anti-dumping duties.
Which would mean more checks on Irish Sea
If you didn't have that China could, for instance, import solar panels to GB without anti-dumping duties.
Which would mean more checks on Irish Sea
The level playing field.....
First taxation. Why is this language so convoluted? Well these tax codes of conduct were never really enforceable.
So the negotiators are trying to ensure putting them in the Brexit treaty doesn't suddenly make them enforceable and sanctionable.
First taxation. Why is this language so convoluted? Well these tax codes of conduct were never really enforceable.
So the negotiators are trying to ensure putting them in the Brexit treaty doesn't suddenly make them enforceable and sanctionable.
The bumper environment policy non-regression clause. Dare you to try and say this in one breath.
It is extraordinarily broad. But it freezes what exists. Some member states wanted to go further, and bind the UK to how laws develop too
It is extraordinarily broad. But it freezes what exists. Some member states wanted to go further, and bind the UK to how laws develop too
This clause does, however, does imply the UK may be expected to integrate future EU decisions on implementation of standards in the obligations of the exit treaty.
Still on the environmental LPF measures
This says the obligations outlined cannot be referred to the arbitration panel.
Does that suggest it could only be referred to ECJ? Or does it make it more subject to the veto on the joint committee? Not sure.
This says the obligations outlined cannot be referred to the arbitration panel.
Does that suggest it could only be referred to ECJ? Or does it make it more subject to the veto on the joint committee? Not sure.
Looks like the UK will need to pay due regard to ECJ rulings if it is to "ensure effective enforcement" of the environmental obligations.
The UK will also set up an independent body to monitor its own compliance.
The UK will also set up an independent body to monitor its own compliance.
The non-regression clause on labour and social standards
Again, this cannot be referred to arbitration
Again, this cannot be referred to arbitration
The state aid LPF measures are some of the most stringent.
The UK follows the full EU rulebook. And it sets up an independent auth to enforce it.
Crucially the UK auth has to consult the Commission on decisions -- and take "utmost account" of its view. So not so independent...
The UK follows the full EU rulebook. And it sets up an independent auth to enforce it.
Crucially the UK auth has to consult the Commission on decisions -- and take "utmost account" of its view. So not so independent...
The ECJ is definitely top dog when it comes to overseeing the application of state aid rules in the UK
The EU's emergency intervention powers to stop UK state support
And it looks like the Commission can trump the UK's independent authority
I have to say the LPF on state aid is pretty breathtaking.
Remember the EU can -- with a unanimous decision of the European Council -- declare any state support as lawful.
The EU treaty provision has never been used, but it exists
No such luck for British cabinet...
Remember the EU can -- with a unanimous decision of the European Council -- declare any state support as lawful.
The EU treaty provision has never been used, but it exists
No such luck for British cabinet...
Annex 5 -- a VERY long list of EU law that applies to Northern Ireland.
The top one most imp -- the union customs code.
It has implications that are weaved through backstop text. Might be wrong, but I reckon this effectively puts NI in EU's customs territory (GATT definition)
The top one most imp -- the union customs code.
It has implications that are weaved through backstop text. Might be wrong, but I reckon this effectively puts NI in EU's customs territory (GATT definition)
Right. That's it. I'm going to stop reading the treaty.
Conclusion: it's a work of legal art that may look completely different when I next have to read it.
Conclusion: it's a work of legal art that may look completely different when I next have to read it.
An hugely important backstop article I missed. (Tks @Raphael_Hogarth)
The ECJ has direct jurisdiction over Northern Ireland with respect to EU law applied under the backstop
Commission has direct powers too.
I’m surprised. Other indirect models were considered.
The ECJ has direct jurisdiction over Northern Ireland with respect to EU law applied under the backstop
Commission has direct powers too.
I’m surprised. Other indirect models were considered.
