In a little more than a year’s time, the United Kingdom will have formally cut its ties to the European Union (EU). Now, following talks between representatives of the government of Prime Minister Theresa May and officials from Brussels, a series of agreements have been reached, at least for now, for a further transition period of 21 months. By December 31, 2020, the UK will have cut ties fully with the EU, and the extra transition time allows for both sides to come to terms with the consequences of the UK’s decision to leave the 28-member economic and political bloc.
For businesses in the UK that trade with European firms and factories, the transition deal provides a greater degree of certainty and at least allows for all to reach a new trading relationship. Significantly, however, the deal comes at a great political cost to May and it remains to be seen if she can indeed convince the hard Brexiteers in her party that she hasn’t given too much away. Certainly, the British made concessions on the rights of new arrivals coming to the UK after the Brexit deadline next March, and they have also conceded that the rulings of the European Court of Justice and other bodies in the EU structure will apply to the UK until 2020. Fishing rights have been curtailed under the new deal, though.
Most significantly, however, the UK government has committed itself to recognising that Northern Ireland will receive special treatment from the EU.
Now all Prime Minister May has to do is sell that red rag to the bulls in the Northern Irish Democratic Unionist party on which she relies on to rule.
