The prime minister seems intent on reprising David Davis’s ultimately fruitless 2017 tour of EU capitals in an attempt to divide the EU ahead of the Brexit negotiations. Theresa May tried the same ruse in 2018 when trying to salvage what was left of the deal she tried to force through parliament. That also failed. Brussels saw them both coming.
Resetting the UK/EU relationship
Britain’s latest prime ministerial tribute act Keir Starmer (a smile, a song and a begging bowl) is trying a new tack as he tries to ‘reset the relationship’ with the EU, otherwise known as desperately struggling to escape the worst consequences of the David Frost/Boris Johnson trade deal which has hobbled British exports since 2021.
At the start of the week Starmer gave a speech in the Downing Street rose garden, telling us things would get worse before they get better. He then scooted off to Germany and France with talk of ‘resetting relations’ with the EU and a new bilateral agreement on trade and defence with Germany while vowing to “turn the corner” on Brexit.
The contradictory backdrop to it all being a pledge by the PM that this was not a reversal of Brexit, his flat rejection of a youth mobility scheme, and a restatement of Labour’s red lines. He appears to be trying to turn a corner with the steering wheel bolted in the straight-ahead position.
A Times article then claimed that ‘a source’ in the UK government said talks with Germany were aimed at securing “preferential access for British businesses to the German market”. Nothing like aiming high, eh?
With considerable understatement the piece added: “There will also be questions about how comfortable Brussels would be with Germany striking a direct agreement with Britain, given its membership of the single market.” Yes, I can see that might be a bit of a fly in the ointment.
Another ‘source’, this time in the EU, said: “It is good to see Starmer in the European capitals but he must, as I am sure he does, realise that any access to the EU’s single market comes with obligations on mobility and alignment with European laws, on food safety for example.”
In France they may be echoing Charles-Maurice de Talleyrand’s scathing 1814 assessment of the Bourbons, the French Royal family in exile: “Ils n’ont rien appris, ni rien oublié.” The Labour government has also learned nothing and forgotten nothing. Starmer is just the latest British premier to attempt some high-wire cherry picking which will also likely end in failure.
This last two weeks, we added 17 downsides bringing the total so far to 1,954.
The latest Brexit downsides
Trade
Carolina Fransen, co-founder Alvica, a distributor of medical devices from Germany, says: “Like many other small businesses trading with the EU, Brexit has had significant implications. Increased bureaucracy, customs delays, and additional costs – like VAT – have all added layers of complexity to what was previously a streamlined process.”
Meanwhile, Glasgow-based Executive Shaving Ltd, a business supplying high-class men’s grooming products, has announced it is closing down due to Brexit. In a Facebook post, the company said: “The impact of Brexit significantly reduced our monthly sales by an average of £10k monthly, and as the UK economy continued to decline, we faced mounting financial challenges that we could no longer overcome.”
And the head of Make UK (formerly the Engineering Employers Federation), Stephen Phipson, has called the trade deal negotiated by Lord Frost, “the worst possible deal we could get as an industrial country. It is a disaster and continues to be a disaster”.
Citizens
A mother has had to spend £400 getting an emergency passport after she realised a post-Brexit rule change meant her own document was invalid. Carolyn Pellatt, 57, told inews she had to travel more than 400 miles from Southampton to Glasgow to get a new passport sorted just five days before her dream cruise holiday to the Norwegian fjords.
The Daily Telegraph reports the cuts to the winter fuel allowance will not affect 35,000 retirees in 23 countries across Europe, who will still be able to carry on claiming the allowance up until April next year. The number includes those living in Germany, Ireland, Italy, Belgium and the Netherlands.
A cross-party House of Lords’ committee has called on the government to “use all diplomatic efforts” to persuade Brussels to defer the introduction of the EU’s entry/exit system later this year. The committee says has warned of “serious delays for passengers” at London St Pancras, the Eurotunnel terminal at Folkestone and the Port of Dover unless the European Union postpones the launch of the new system later this year.
The Port of Dover echoed that, saying the EU’s new entry/exit system could leave the port unable to cope with passenger demand beyond Easter next year. CEO Doug Bannister told inews that while the port should be able to handle the initial influx of passengers, when the rules change in November it will not be adequate for handling “the full volume of traffic that we’re anticipating for next summer”.
The Independent reports that British travellers to the EU and wider Schengen Area will need to apply in advance for an online permit to visit from November 2025, according to current plans in Brussels. The electronic travel information and authorisation system (ETIAS) will become optional in May 2025 and mandatory from November. Travellers will need to pay €7/£6 for an ETIAS authorisation which will be valid for three years or until the passport expires, whichever is shorter.
Borders
As if the existing paperwork mountain wasn’t enough, starting from 31 October 2024, new legislation will require all hauliers entering the UK to submit an entry summary declaration for all goods imported by all modes of transport. This is a mandatory document that provides UK customs authorities with advance information about goods being imported.
The UK government is also providing another £10.5mn for UK ports to help them prepare for enhanced EU border checks ahead of the bloc’s new entry/exit system coming into force in November, according to The Daily Mail.
Culture
The owner of an art gallery and picture framing business says that Germany was her business’s third-biggest customer pre-Brexit, but interest from the country has almost dropped off entirely since January, 2020. Summer Obaid who runs Nestoligy said: “We are a unique art gallery based in west London and we created all of our own art, prints and frames. Before Brexit, Germany was our third-biggest customer, but things have really slowed down since we left the EU. The new rules and regulations that the decision brought have been a complete headache for us to be honest and they have caused us lots of issues.”
The campaigning group Best for Britain says while the number of British musicians playing major EU festivals has exceeded pre-Brexit levels this summer, difficulties persist particularly for up-and-coming artists. Industry insiders say administration and paperwork, as well as costs, had all increased as a result of Brexit.
Brexit has also made the movement of equipment and merchandise far more difficult and it is now much harder for smaller and emerging artists to deal with the challenges of touring Europe.
Northern Ireland
The North of Ireland Veterinary Association (NIVA) has issued a warning that the province is at risk of losing 30% of animal medicines by December 2025, said to be a “significant concern due to potential effect on animal and human health”. The NIVA told The News Letter that the issue has serious implications for Northern Ireland’s public health, regional food supplies, animal welfare – including that of pets – and trade and is a consequence of the Northern Ireland protocol.
Aso in The News Letter, a dog breeder in Northern Ireland has been advised that Nestle Purina, a pet food manufacturer based in Sudbury, Suffolk, will no longer supply customers of the Breeder Connect scheme in the province because of “new trade regulations and logistics challenges that have arisen from” the Windsor Framework deal. Purina has not confirmed what specific part of the trade deal is problematic – but in a statement, a spokesperson referenced “parcel services to professional breeders”.
Some Northern Ireland businesses are becoming concerned about the next implementation phase of the region’s Brexit deal at the end of September, the BBC reports. Customs processes will apply to business-to-business parcels for the first time while parcel carriers will also have to be signed up to a new trusted trader scheme. The Northern Ireland Chamber of Commerce has called on the government to help with the looming changes and re-engage with wider Brexit issues there.
Food
Nigel Jenney, CEO of the Fresh Produce Consortium (FPC), has warned the government that failure to delay checks on fruit and vegetables imported from the EU will add £200m to the industry’s annual costs, which firms will be forced to pass on to consumers. The checks, due to begin next January, should be delayed until July 2025 to avoid fuelling inflation, the FPC say. In 2022, the UK imported more than half its fruit and vegetables, nearly 80% of which comes from the EU.
The British Meat Processors Association (BMPA) said the maximum common user charge of ‘£145 per truck’ claimed by ministers for goods imported to the UK could end up costing up to £870 depending on the product lines and consignments being carried.
Peter Hardwick, BMPA’s trade policy adviser, said many firms are in for a shock and the whole concept of a common user charge is now just another added cost of Brexit with no added benefit. “The fact is that this is a tax, as it is charged on every consignment passing through Dover and Eurotunnel”, he said.
