What happens if the UK leaves the EU with no deal? | September 2018

This is a summary of notices relevant to land and farming businesses that are in the first batch of 25 technical notices that the Government published on 23 August 2018.

This is a summary of notices relevant to land and farming businesses that are in the first batch of 25 technical notices that the Government published on 23 August 2018.

UK government’s preparations for a ‘no deal’ scenario

A ‘no deal’ scenario is one where the UK leaves the EU and becomes a third country at 11pm GMT on 29 March 2019 without a Withdrawal Agreement and framework for a future relationship in place between the UK and the EU .

In a ‘no deal’ scenario there would therefore be no agreement to apply any of the elements of the Withdrawal Agreement. The EU intends to treat the UK as a third country for all purposes, including applying regulations and tariffs, customs controls and sanitary standards at borders.

The Government says that it is unclear what mitigation measures the EU might choose to adopt, if any, to maintain stability for a temporary period.

Farm payments if there’s no Brexit deal

Support for UK farming will remain at the same cash total until the end of this parliament, expected in 2022, including funding provided under Pillar 1 and Pillar 2. However, this is caveated by the current level of funding for Pillar 1 only being guaranteed until 2020.

Farmers will have to comply with same standards as they do currently, including inspections, until new British agricultural policies are introduced.

Trading with the EU if there’s no Brexit deal

The free circulation of goods between the UK and EU would cease, and trade would happen on the same terms as with a country outside of the EU, including import declarations, customs checks and customs duties.

Rural development funding if there’s no Brexit deal

Any projects where funding has been agreed before the end of 2020 will be funded for their full lifetime / until they finish.

Schemes will remain open to new applications during 2019 and 2020.

If the UK leaves the EU without a deal, the Government has said it would ensure an uninterrupted flow of funding to farmers, rural businesses and communities, administered through existing national and local arrangements.

EU-funded programmes if there’s no Brexit deal

The Government has guaranteed funding for EU projects if there’s no Brexit deal for:

Any funding awarded while the UK remains in the EU (so until 29 March 2019).

Any funding awarded where UK organisations are able to participate as a third country until the end of 2020.

The full 2014-20 Multiannual Financial Framework allocation for structural and investment funds

Genetically modified organisms if there’s no Brexit deal

All current EU requirements would be maintained across the UK in equivalent terms.

The release of GMOs would continue to require prior authorisation, and this would only be granted if there are no safety concerns.

Regulatory decisions on proposed GMO trials will continue to be made within the UK as they are now on a devolved basis.

Regulatory decisions on marketing GMOs will be made within the UK rather than at EU level, but the same risk assessment process will be applied. This may happen on a UK-wide basis or separately in England, Wales, Scotland and Northern Ireland.

Producing and processing organic food if there’s no Brexit deal

There is no plan to introduce substantive policy changes.

The certification and traceability of organic food and feed products will continue to be required.

The UK expects to continue to accept EU organic products.

UK businesses would only be able to export to the EU if they were certified by an organic control body recognised and approved by the EU; this approval process can take up to 9 months so alternative approaches are being explored.

Ireland

The Irish government has said that it would need to discuss arrangements in the event of no deal with the European Commission and EU Member States.

Find out more at gov.uk/government/collections/how-to-prepare-if-the-uk-leaves-the-eu-with-no-deal