This was really inspired and not well thought out of, the Department of Exiting the European Union and the rest of the Tories. Really didn’t care much for the estimates of the costs, nor the consequences in concerns of their amended Bill to Parliament. Prime Minister Boris Johnson wants to just pursuit the ending without doing the proper work. This is shoddy, disrespectful work, which he wanted to be over within 3 days or so. Within the parameter of when he wanted to suspend the Parliament.
So, his acts and his vision is blurry, as the whole law and amendments of it. Is substantial and needs time to be addressed properly, that is if, the Brexit process and withdrawal of membership has consequences. Which it does, but apparently it is more important to leave, than to know why your leaving.
I have today looked through the Impact Assessment Report on the bill, which in itself is a sad report. A disgraceful attempt of justification and proving the possible outcomes of the withdrawal. Apparently, that didn’t matter, because my quotes are very striking. Take a look!
“There could be costs to business associated with the arrangements in the Northern Ireland/Ireland Protocol. But these are inherently uncertain in their nature and intensity, as such, these costs have not been quantified” (Impact Assessment, 2019).
“Businesses in Great Britain and Northern Ireland may face familiarisation costs in adapting to the new customs processes, such as the requirements for customs declarations, in particular if they have not undertaken such processes before” (Impact Assessment, 2019).
This isn’t rocket science and will cost both the state and the businesses. It will cost both time and money, to fill forms and secure the movement accordingly to the regulations on both sides of the customs.
“Northern Ireland will be required to align with certain EU VAT and excise rules. VAT collected in Northern Ireland will be retained by the UK. Specific practical arrangements will be the subject of discussions within the Joint Committee, and it is not therefore possible to assess costs or benefits at this stage” (Impact Assessment, 2019).
The taxation on goods will be an issue and how its issued. This will add prices possibly on the consumer and also on the businesses. But the HM Government don’t know to what extent and how to operate. That is clearly a smooth transition.
“No tariffs will be paid on goods moving from Great Britain to Northern Ireland unless they are deemed to be at risk of entering the EU. The appropriate UK tariff will be paid on goods moving from outside the UK or EU to Northern Ireland unless they are deemed to be at risk of entering the EU. The Joint Committee will agree the criteria to be used in determining whether goods are not considered to be at risk of entering the EU” (Impact Assessment, 2019).
So, there will certain cost of moving goods into the EU as per the tariffs stipulated by the Joint Committee. This means, the UK-EU on accord will find the fitted prices on movement of goods form the UK into EU. That means, the goods moving across the borders will cost more, than today, as there is no-tariff on lots of products crossing the borders at this very moment.
Agri-Foods from GB to NI:
“Agri-food goods moving from Great Britain into Northern Ireland would need to be notified to the relevant authorities before entering Northern Ireland and would be subject to checks including identity, documentary and physical checks by UK authorities as required by the relevant EU rules. These processes would introduce additional costs, both from one-offfamiliarisation and ongoing compliance, to businesses compared to current arrangements” (Impact Assessment, 2019).
This will surely cost and make it more time consuming. Not making it easy or smooth either. Surely, all of this is hardening the trade of this to NI.
Manufactured goods from GB to NI:
“To ensure regulatory compliance, businesses in Great Britain selling to Northern Ireland may incur additional costs from product testing and corresponding administrative processes. The nature of the costs will depend on the product-specific requirements in EU law and on a business’s current approach to meeting these requirements. These costs may be passed through to businesses in Northern Ireland” (Impact Assessment, 2019).
Here the costs will be put on the consumer in Northern Ireland for the goods coming from Great Britain. The manufactured goods will not be cheaper, but more time consuming to get and has to follow other protocols, than the ones coming from Ireland/EU. This means for the NI it will be more profitable to get EU goods, than GB goods, because of the cost. That is simple calculation.
We can all see, that the Withdrawal Agreement and new legal text makes business, movement of goods and borders to the Northern Ireland more harder. That without swimming into the legal text nor the statutes of the Withdrawal Agreement. Because, this is just the mere chip-shape of the impact assessment of it all.
The whole thing is lazy and that makes me grim. Because, this shows the people releasing it. Didn’t do their job and show the real estimates nor the possible costs of doing business. Only that it might cost more, which it most likely will do, because you have more things to do before doing business. Peace.
European Union (Withdrawal Agreement) Bill – Impact Assessment, 21.10.2019