"Brussels made concessions, but London also lost a lot": Great Britain finally leaves the European Union

December 31 ends the transitional period for Brexit.

Great Britain finally leaves the economic and political space of the European Union.

Legally, the exit took place on January 31, 2020, but a transitional regime was in effect for 11 months. 

During this time, the United Kingdom did not have the right to vote and representation in the EU authorities, but continued to enjoy the rest of the rights of a member of the union, and also fulfilled the corresponding obligations.

In 2020, London and Brussels were in tense negotiations over the terms of the "divorce".

It was about the rules for future interaction in all areas.

Against the backdrop of a difficult dialogue, European Commission President Ursula von der Leyen even presented a contingency plan for the EU in case of Brexit without a trade deal.

Long haul

However, on December 24, the parties managed to agree on the terms of a future agreement.

Two days later, the European Commission published the full text of the document on 1246 pages.

“We have regained control over our legislation and our destiny.

We have returned full and unlimited control over the smallest details of our rules and regulations, "- said the head of the British government Boris Johnson, commenting on the agreement.

The politician added that from now on "British laws will only be passed by the British Parliament and interpreted by British judges sitting in British courts."

• Boris Johnson

• Reuters

• © Paul Grover / Pool

In turn, Ursula von der Leyen called the negotiations very difficult.

“This path has been long and winding.

But its result was the conclusion of a mutually beneficial agreement.

It is fair and balanced.

Its adoption is a sure and responsible step for both sides, ”she stressed.

The treaty was submitted to the British Parliament for ratification, the vote took place the day before, December 30.

The majority of parliamentarians (521) voted for the treaty, while only 73 members of parliament voted against.

According to experts, such a decision by the British Parliament was expected.

"The deal looks successful for the UK, especially the fact that duty-free trade with the EU is preserved," said Alexander Tevdoy-Burmuli, associate professor at the MGIMO Department of Integration Processes, in a commentary to RT.

A similar point of view is shared by Kira Godovanyuk, senior researcher at the Center for British Studies, Institute of Europe, Russian Academy of Sciences.

“It is logical that the agreement received support, since the Conservative Party now has a majority in parliament.

Nobody wanted Brexit without a deal, "the expert said in an interview with RT.

Since the parties do not have time to complete the ratification process in a short time, the European Commission announced that the agreed rules will operate on a temporary basis until February 28, 2021.

This period may be extended, as the European Parliament intends to ratify the agreement at the planning session in March. 

The parties were able to agree on the preservation of the free trade zone.

The UK will be able to supply its goods duty-free to the European market, as before.

However, the goods will have to go through customs control at the border.

"The agreement provides for zero duties and quotas on all goods that comply with the proper rules of origin," according to the website of the European Commission.

Meanwhile, a number of restrictions will apply in the service sector.

For example, UK TV and video streaming providers will not be able to access the EU market unless they move part of their business there.

Game with no winners

The document covers not only trade issues, but also a number of other areas, including investment, competition, taxes, transport and energy, as well as security and social security.

Initially, the EU demanded that the UK continue to follow the rules of the union in matters of state support for manufacturers.

Brussels fears that subsidizing British companies will create a competitive advantage for them.

London rejected this demand.

However, the UK will still have to follow the general subsidy guidelines outlined in the agreement.

The parties also pledged to adhere to high standards in areas such as environmental protection, combating climate change, social and labor rights, and tax transparency.

• Port of Dover

• Reuters

• © Peter Nicholls

The agreement establishes a new order in the fishing area.

Fishing in British waters was one of the stumbling blocks in the negotiations.

Until recently, the UK accounted for about € 850 million in annual fish catches, and € 650 million for vessels flying the flags of other EU countries. Under the agreement, the European catch should decrease by 25% in five and a half years.

The agreement affects ordinary workers, who will now have to confirm their professional qualifications if they want to work on the other side of the English Channel.

In addition, London and Brussels have agreed to cooperate with law enforcement and judicial authorities.

At the same time, the agreement does not apply to the spheres of foreign policy and defense.

This condition was set by the British side.

“(The EU-UK Agreement) goes far beyond conventional free trade agreements and provides a solid foundation for maintaining our long-standing friendship and cooperation,” the European Commission said in a statement.

According to experts, the deal cannot be called ideal, but it became the best option for the parties.

“The fact that British goods will not be subject to duties is beneficial to London.

However, customs checks will still appear, which will create certain difficulties for the business.

London had to make concessions on the issue of fishing, although initially the British side wanted to restore full control over its territorial waters, ”said Kira Godovanyuk.

According to the expert, the main achievement of the negotiations was the maintenance of duty-free trade.

However, these conditions will only apply if the UK adheres to uniform competition rules.

“The link to EU standards remains, this is a condition for maintaining zero tariffs.

The agreement defines not only the rules of trade, but also other spheres of interaction.

But it was trade issues that worried the parties most of all, ”added Kira Godovanyuk.

Alexander Tevdoy-Burmuli adheres to a similar point of view.

According to the expert, in reality, as a result of the agreement, both sides lose, but Great Britain - to a greater extent.

“The EU made concessions, but London also lost a lot.

For example, the British lost their visa-free regime with the EU, they can stay there without visas for only 90 days.

The issue of financial markets, which are now not consolidated, remains a painful one.

There will not be a single labor market, this is also a minus, ”the expert noted.

Independence squared

Recall that a referendum on the withdrawal of the United Kingdom from the EU was held on June 23, 2016.

51.9% of citizens voted for the exit, 48.1% against, while the turnout was 72%.

Geographically, preferences were unevenly divided - residents of London, Scotland and Northern Ireland voted to retain EU membership, the rest of England and Wales - to leave.

The initiator of the referendum was British Prime Minister David Cameron, who headed the Conservative government.

The decision to hold a plebiscite was made against the backdrop of the growth of Euroscepticism in the country - the leadership of the Conservative Party feared to lose some of the votes.

At the same time, during the preparation for the plebiscite, Cameron spoke out against Brexit.

After the results of the referendum were announced, he resigned.

Theresa May headed the British government.

However, London was able to start negotiations with Brussels on the terms of Brexit only in the summer of 2017.

The British side had filed a formal withdrawal notice several months earlier, in March.

• Referendum on Britain's withdrawal from the European Union

• AFP

• © ADRIAN DENNIS

According to the provisions of the Lisbon Treaty, two years are given to agree on the terms of the country's exit from the European Union, after which the membership is terminated.

For the UK, this deadline expired in March 2019, but the parties agreed to extend it first until May and then until autumn.

Subsequently, the United Kingdom required another delay, this time until 31 January 2020.

In July 2019, Theresa May was replaced by Boris Johnson as British Prime Minister.

The negotiations were complicated by a number of contradictions both within Great Britain and between London and Brussels.

Thus, the issue of preserving a common customs space with the EU became the subject of a dispute between the Laborites and the Conservatives in the British Parliament.

Labor insisted on maintaining a customs union with European partners, while the Conservatives considered unacceptable the demands of Brussels on financial payments, as well as on the Irish border.

Recall that in 1921 most of Ireland gained independence from London, and only six northern counties remained in the United Kingdom.

This region is now called Northern Ireland.

Armed clashes continued here until 1998, when the Good Friday Agreement was signed.

It guaranteed, among other things, the absence of a full-fledged border with checks and border controls.

Dublin angered the prospect of restoring a rigid border between the Republic of Ireland and Northern Ireland, and Brussels supported the requirement to maintain the transparency of the land border.

For its part, the British leadership saw the preservation of the previous border regime in Northern Ireland as a threat to the sovereignty of the kingdom. 

The UK and the EU were able to resolve this dispute during the official Brexit in early 2020.

As reported in January 2020 on the website of the European Commission, “Northern Ireland will continue to follow a limited set of EU rules related in particular to goods.”

“In addition, the customs code of the European Union will apply to all goods imported into Northern Ireland.

These measures will help to avoid border and customs checks and controls on the island of Ireland, ”the report says.

At the same time, in relation to goods imported into the region from other parts of the United Kingdom, "the necessary checks and controls will be carried out."

Including border control points will operate.

"EU customs duties will apply to all goods imported into Northern Ireland, except in cases where there is no risk of these goods entering the EU internal market," the statement said.

“London is committed to enforcing the Belfast Agreement and keeping the Irish border transparent.

Northern Ireland will now be more closely tied to the Republic of Ireland, customs checks will be carried out in the Irish Sea.

Such conditions will remain in effect until another solution is found to preserve the Belfast Agreement, ”explained Kira Godovanyuk.

According to Alexander Tavda-Burmuli, the parties came to a difficult compromise on the Irish border.

“Formally, Northern Ireland remains in the EU customs zone.

Northern Ireland goods will enter the rest of the kingdom without customs checks, while European goods will go through customs, ”the expert added.

• Rally for the independence of Scotland

• Reuters

• © Russell Cheyne

Another problem for London after Brexit may be the growth of separatist sentiments in Scotland.

Edinburgh has repeatedly declared its desire to hold a new referendum on independence.

As Scottish First Minister Nicola Sturgeon said in January 2020, if such an opportunity is presented, the Scots will vote to leave the United Kingdom.

So far, a new plebiscite is being blocked by London.

As Kira Godovanyuk noted, Scotland is unhappy with Brexit, nationalist sentiments are growing in the region.

“The leading Scottish National Party (SNP) is using this to talk about a new independence referendum.

This is a painful and difficult question.

If Boris Johnson does not make certain concessions, for example, to expand the powers of local authorities, the SNP will increase pressure on the center, ”the expert said.

According to Alexander Tevda-Burmuli, the growth of such sentiments was one of the consequences of Brexit.

“The Scots are unhappy with Brexit and are accumulating strength to hold a referendum on independence,” the expert explained.

"A chance for development"

It is too early to say whether the UK won or lost as a result of Brexit, experts say.

“Brexit can now be regarded as a mistake because it has generated a lot of costs for the UK.

But, perhaps in the long term, the country will use this as a chance for development.

So far, this is an open question, ”Alexander Tevdoy-Burmuli explained.

A similar point of view is shared by Kira Godovanyuk.

According to the expert, now the main challenge for the UK will be the disruption of trade chains with the EU, which is inevitable when leaving the union.

• London Brexit Protest

• Reuters

• © Toby Melville

“Even the agreement signed by the parties cannot stop the economic costs that will follow after the final withdrawal.

The general dynamics of trade will decrease, difficulties will arise for European and British businesses, ”Godovanyuk said.

According to the expert, even the Conservative Party of Great Britain could not answer the question about the consequences of Brexit now.

“The question is complex and simple at the same time.

Of course, in principle, conservatives will never be able to admit that Brexit was a mistake, because it became part of their political program.

But they themselves were not ready for this program to take on real shape.

Brexit has become a living materialization of political slogans.

Yes, now London calls the exit from the EU a victory and the return of independence, of its own path.

But how successful this path will be for Great Britain - only time will tell, ”Kira Godovanyuk summed up.