Ibec meets PM Theresa May and UK Cabinet on Brexit
Dear Member
This morning I met the British Prime Minister Theresa May, Brexit Secretary David Davis and Business Secretary Greg Clark in Downing St to discuss Irish business concerns in relation to Brexit. As part of a small delegation of key EU business federations, Ibec was the only Irish business representative in attendance.
The message to the UK government was clear, business is increasingly frustrated and concerned at the lack of progress in negotiations. To move past the first phase of talks, which covers Ireland, the financial settlement and citizens’ rights, we need practical solutions and firm commitments, not just rhetoric.
At the meeting I set out a number of immediate and specific Irish business concerns:
* EU and UK businesses will need an extended transition period to plan and adapt to any new EU-UK trading relationship. This period should ensure continuity with existing trading terms. Short-term and short-sighted political pressures must not overtake the overriding and obvious economic rationale for such arrangements.
* The UK has yet to match its stated commitment to a soft border on the island of Ireland with practical proposals to achieve this. A new approach is needed. The creation of new customs and regulatory barriers on the island of Ireland must be avoided. Safeguarding the Good Friday Agreement and the future functioning of the all-island economy must not be just an Irish/EU priority, the UK must step up to the mark.
* The East-West aspect of the Good Friday Agreement, which covers the "totality of relationships" between Ireland and Britain, received limited attention over the years because our shared EU membership meant close business and economic cooperation was taken for granted. However, Brexit changes that. It is imperative that the legally enshrined commitment to promote greater cooperation between the UK and Ireland is not a casualty of Brexit. A concerted, structured focus is now needed to safeguard this intrinsic aspect of the Agreement.
While the meeting itself is testimony to an increasing recognition in Downing St that business and economic concerns need to better inform the UK approach, the unstable political backdrop remains a concern. The polarised and fraught nature of the British debate is not conducive to the sophisticated compromises needed to steer the country away from a divisive, damaging divorce.
During the course of the day I will speak to all key media outlets. I have also been briefing government and other UK and Brussels based stakeholders over recent days in preparation for the meeting and I will again take the opportunity to engage with them on the outcome. I will continue to make every effort to coordinate the Irish effort on Brexit negotiations and ensure the Irish business view is centrefold.
EU-UK relations have and will continue to come under strain as negotiations progress and important to remind ourselves that UK fortunes will be linked to those of the EU, even after Brexit. The closest possible future relationship is in all our interests. As negotiations progress, Ibec will continue to make a constructive contribution and set out practical solutions on the way forward. Our detailed proposals are available at www.ibec.ie/brexit.
While we hope and actively work towards the best outcome, we must also plan for the worst. The launch of a European Commission working group last Friday to look specifically at the impact of Brexit on Irish business, and possible state aid implications, is an important development. It follows intensive lobbying by Ibec over recent months on the issue. This will continue until we have a comprehensive Irish and EU approach agreed.
Right across Ibec, our policy experts and sectors associations continue to work on all the aspects of Brexit that affect you and your business. We are working to ensure the best possible outcome and support businesses as you prepare. I’ll keep you updated.
All the best
Danny
Monday, 13 November 2017