The impact of Brexit on Ireland (2024)

The Withdrawal Agreement includes a binding Protocol on Ireland and Northern Ireland that’s primarily designed to prevent a hard border on the island.

The protocol was a major priority during Withdrawal Agreement negotiations and a creative, workable solution to protect the all-island economy, the Single Market and the Good Friday (Belfast) Agreement was required.

Brexit has made frictionless trade between the EU and the UK impossible, but the Protocol is a complex system that allows Northern Ireland to remain in the UK customs territory and, at the same time, benefit from access to the Single Market for the movement of goods.

It contains provisions that protect unique circ*mstances on the island of Ireland, such as continuation of the Common Travel Area between Ireland and the UK.

It also allows for North-South cooperation in areas of mutual benefit, such as agriculture, transport, education, tourism, and the Single Electricity Market.

The PEACE funding programmes that support peace and reconciliation and promote economic and social progress in Northern Ireland and the Border Regions of Ireland are also continuing under Withdrawal Agreement commitments.

Despite the EU and the UK reaching agreement on the Protocol, problems emerged when it came to applying the new rules.

Complicated customs checks on goods imported from Britain but destined to stay in Northern Ireland were causing frustration on the ground, and there were issues with measures regarding agri-food, medicines, State aid and VAT.

However, the Protocol was designed to be amendable so that unforeseen challenges to its implementation can be addressed by EU-UK Joint Committees.

This allowed for further EU-UK negotiations, which in March 2023 led to the formal adoption of an agreement called the Windsor Framework that addresses practical difficulties in implementing parts of the Protocol.

The Framework introduces the concept of green and red lanes to reduce the number of checks required on goods arriving from Great Britain into Northern Ireland ports.

British goods staying in Northern Ireland will use green lanes reserved for pre-registered ‘trusted traders’, who face minimal paperwork and no routine physical checks.

Goods moving south and into the Single Market will be directed to red lanes and subjected to customs processes and other checks.

The UK is granting EU officials near real-time access to its computerised customs systems and databases so the Single Market continues to be fully protected.

Apart from the Protocol, Ireland has received EU assistance to help mitigate the financial consequences of Brexit through the Brexit Adjustment Reserve. This €5.37 billion funding source provides support to the Member States, regions and sectors worst affected by Brexit.

Ireland was allocated in the region of €1 billion, which is 20% of the entire reserve and the biggest share of the fund. It received €361.5 million in 2021, €276.7 million in 2022 and €282.2 million during 2023.

“The Windsor Framework was made possible by genuine political will and hard work guided by the fundamental principle that the interests and needs of people should always come first. Supporting and protecting the hard-earned gains of the Good Friday (Belfast) Agreement was the prerequisite of our endeavour. Today, our achievement allows us to put forward definitive solutions that work for people and businesses in Northern Ireland and that protect our Single Market. It also allows us to turn the page towards a bilateral relationship that mirrors the one of close allies standing shoulder to shoulder in times of crisis.”

President Ursula von der Leyen - 27/02/2023

Protocol/Windsor Framework highlights

  • The protocol guarantees that there won’t be a hard border on the island of Ireland, including any physical infrastructure or related checks and controls.
  • Goods entering Northern Ireland from Britain that are destined for the EU or at risk of entering the EU are subject to full checks and controls. However, pre-registered ‘trusted traders’ will undergo minimal processes.
  • EU officials will have near real-time access to UK systems and databases so risk assessments on imported goods can be performed, and trusted trader schemes will be subject to robust monitoring.
  • The Windsor Framework allows these schemes to be suspended or terminated in certain circ*mstances to safeguard the Single Market.
  • The Windsor Framework also sees more consultation and engagement between Northern Ireland stakeholders, including citizens and businesses, and EU-UK Joint Committees.
  • EU animal and plant health rules still apply on agri-foods entering Northern Ireland from Great Britain, but the UK will deploy fast-track, permanent sanitary and phytosanitary (SPS) inspection facilities at Northern Ireland ports by 2025, and provide EU officials with access to their databases.
  • Products shipped from Britain but destined to remain in Northern Ireland will be labelled ‘not for EU’ to help ensure they don’t enter the Single Market.
  • Pet owners can travel with their microchipped pets from Great Britain to Northern Ireland with a simple travel document, and a declaration that the pet will not go to the EU.
  • A last-resort mechanism called the Stormont Brake allows the Northern Ireland Legislative Assembly to prevent the application of new or amended EU laws. The mechanism can only be triggered if at least a third of Assembly members from at least two political parties request it.
  • Implementation of the Protocol is overseen by UK-EU Withdrawal Agreement Joint Committees. Bodies established through the Good Friday (Belfast) Agreement such as the North-South Ministerial Council, feed into the work of these committees.

Protocol on Ireland and Northern Ireland

Windsor Framework: Questions and Answers

PEACE funding programmes

Brexit Adjustment Reserve

The impact of Brexit on Ireland (2024)
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