Issue 3 2018
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Brexit – The Unknown Frontier Emma Kerins, the EU and International Affairs Manager with Chambers Ireland outlines the Brexit story so far, the reasons for optimism and the steps which businesses can take to empower themselves in this time of uncertainty. Emma has recently returned from meeting with members of Michel Barnier’s Taskforce 50 team in Brussels. Here she gives her unique insights. The events of the past few weeks have brought a whole new chapter in the Brexit negotiations. We had the Chequers meeting, followed by high profile resignations, the publication of the UK’s much-contested White Paper and questions over the ‘back-stop’ arrangement to ensure the absolute avoidance of a hard border for Northern Ireland. All accompanied by growing uncertainty over whether the EU and UK can ultimately agree the terms for the UK’s withdrawal. While this all may sound like an epic TV drama style saga there are reasons to be optimistic. Recently, I travelled as part of a Chambers Ireland business delegation to Brussels where we met with members of Michel Barnier’s Taskforce 50 team. The negotiators remain at the heart of it, and are resolute that a deal will be finalised before the deadline. I was encouraged to see the continued and strong appetite for a progressive business-friendly trade deal following the UK’s exit. A progressive and pragmatic attitude will be critical if we are to avoid a hard Brexit next March. However, time is short and since the business community still lacks clarity on what exactly will happen from next April onwards, Chambers across the country continue to urge the business community to prepare. In the words of Michel Barnier,
“prepare for the worst, while hoping for the best”. If you currently do business with the UK or are engaged in exporting more generally, we urge you to review your supply chain to see how exposed you are to imports/exports to and from the UK, identify the impact of tariffs in a worst case and best case scenario, assess the potential increase in the costs of customs compliance, and the need for further training in this area. In the interim, Government must stay focused, supporting Irish business and jobs in preparing for Brexit . We must grow our national trade, energy, and communications resilience. This includes delivering on commitments to investment in infrastructure, particularly our roads and ports. This infrastructure will be crucial. We must grow our direct routes to mainland Europe without relying on a UK land bridge as there’s no guarantee in a post-Brexit scenario that freight will be able to continue using this route. We must ensure our ports and airports have the capacity to cope with new customs obligations and volumes of activity. The growing capacity of the Port of Cork, and the international connectivity of Cork
Cork Chamber Economic Bulletin contact: Michelle O’Sullivan, Public Affairs Executive e: michelle@corkchamber.ie / t: 021 4530132
Airport are crucial to growing the Southern region, and the commitments to invest in connecting infrastructure is critical and must be maintained. We need to reinforce the foundations and ensure a strong trade landscape for business and jobs.
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If you’re feeling bewildered, that’s no surprise. The goal posts have been moving constantly.
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If you’re feeling bewildered, that’s no surprise. The goal posts have been moving constantly. The fact that it wasn’t clear what Brexit entailed before the referendum was called, and the way the Article 50 Letter was delivered was reckless. Given that the referendum result is now more than 2 years ago and that we are almost 18 months into the two year countdown to the UK’s formal exit, the fact that there’s no clarity on what Brexit exactly means and how it will work is a very serious issue and could have far-reaching business impacts. (continued on page 3)
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