UK-EU Summit Paves Way for Irish Sea Border Reset, 'Major Game Changer' for Northern Ireland's Economy
In a significant development, a UK-EU summit is expected to pave the way for a deal that could substantially reduce the impact of the Irish Sea border on Northern Ireland's economy. The UK wants to reset its post-Brexit relationship with the European Union, and Monday's summit is likely to include an "agreement to agree" on trade issues, including the trade in food and agricultural products.
A new agri-food deal could potentially eliminate most physical checks on goods sent from GB to Northern Ireland, bringing an end to "Not for EU" labelling. Businesses in Northern Ireland, already struggling with the current border arrangements, are welcoming the possibility of relief.
Laura Graham-Brown, co-owner of Arcadia Deli in Belfast, said that new sea border rules on parcels have made the situation much worse in the last month. "Our partners in England have decided they are not supplying Northern Ireland until further notice until they can get some clarification on how to make it easier," she said.
The reset could be a major game-changer for Northern Ireland's economy, with support among unionists dwindling as the current Brexit deal has been met with increasing resistance. A poll from Queen's University Belfast suggests that unionist support for the Windsor Framework has fallen from 51% to 26% over the last year.
The UK government had made a manifesto commitment to seek a new agri-food agreement with the EU, which would aim to "eliminate most border checks created by the Tory Brexit deal". The Centre for European Reform (CER) said that an agri-food deal would not be of "great macroeconomic significance" for the UK as a whole but that Northern Ireland would be a "major beneficiary".
The Irish Sea border, established in 2019 under the Windsor Framework, has already had an impact on Northern Ireland's politics and economy. Goods coming from the rest of the UK into NI face checks and controls to ensure they meet EU rules, with nationalists seeing this as necessary for maintaining good relations with the Republic of Ireland.
Stuart Anderson from the NI Chamber of Commerce said businesses would take time to analyse the detail of any deal, but added that NI Chamber has been calling on the UK government to reach an agreement that is ambitious enough to substantially reduce bureaucracy for all operators in the agrifood supply chain.
A Swiss-style agri-food deal, where GB food products entering NI could be effectively ended, is expected to face opposition from Brexit supporters who say it would involve surrendering powers. However, recent weeks have seen ministers cautiously embracing this option.
The agreement to reach a new post-Brexit relationship will be a significant step forward for Northern Ireland's economy and businesses. As one business owner said, "All we want to do is sell cheese and olives. In order to keep stocking our shelves we need something to happen fairly quickly."