You are using an older browser version. Please use a supported version for the best MSN experience.

Everything you need to know about the impact of a 'no-deal' Brexit broken down

The i logo The i 14/09/2018 i Team
a man in a suit standing in front of a building © Provided by Johnston Publishing Ltd The second tranche of technical notices giving guidance on the impact of a no-deal Brexit has been released by the Government. More than two dozen documents were published on Thursday, following 24 last month. Each of the papers sets out some of the problems that would need to be overcome, though ministers remain confident a deal will be agreed.

They regard publication of the technical papers as “duty” of a government that is preparing “for all eventualities” rather than a likelihood. Here is what the papers say:

Download the all-new Microsoft News app – available now on iOS and Android

Driving licences

a car parked in a parking lot © Provided by Johnston Publishing Ltd Britons could have to obtain an International Driving Permit (IDP) to drive their own car or a hire vehicle in the EU. Without a permit, which will be available from Post Offices for £5.50, drivers risk being stopped at the border or fined. Those driving to more than one EU nation in one trip could be required to purchase a different permit for each country. UK citizens moving to an EU country would not have the automatic right to exchange their British licence for an EU one and may have to retake their driving test.

Mobile roaming

The Government cannot guarantee no additional roaming charges for UK customers but it promised to enforce a cap of £45 per month (inset). The papers outlined, however, that major operators 3, EE, O2 and Vodafone have already said they have no plans to change their approach to mobile roaming after the UK leaves the EU. There is also a risk of a spike in charges close to the Irish border.

Advice for telecoms companies

a large crowd of people © Provided by Johnston Publishing Ltd

The Government does not expect a significant impact on telecom businesses, the papers state, regardless of whether a deal is agreed. The market is regulated under EU rules but through UK law, meaning it would stay much the same. In the case of no deal, UK-based operators would be able to continue to work across borders and in the EU.

Broadcasting and video on demand

UK broadcasters that have operations across Europe would no longer be covered by the Audiovisual Media Services Directive. Broadcasters may need to move part of their workforce to an EU country to ensure they are still licensed to broadcast there. More than half of the channels licensed in the UK broadcast to overseas countries, not to the UK. Editorial decision makers and head offices could move, so hundreds of domestic TV jobs could be lost.

ECB policy unchanged; BOE holds course, sees more Brexit uncertainty (Reuters)


Merger review and anti-competitive activity

Competition and Markets Authority and regulators such as Ofcom will continue to investigate possible breaches of UK competition law. UK businesses that conduct business in the EU will continue to be subject to EU competition law.

The European Commission will no longer begin investigations into the UK aspects of mergers or cases involving anti-competitive conduct in the UK. Media and tech giants operating in the UK could escape concerted EU-wide merger and anti-trust investigations. UK regulators would need to show more teeth.

Travelling to the EU

a close up of text on a white background © Provided by Johnston Publishing Ltd Under current rules, Britons can travel to the EU Schengen area on a valid UK passport without taking into account when the passport is up for renewal. Should Britain crash out of the EU without a deal, however, travellers will need to have a least six months remaining on their passports. It means anyone wishing to travel to the Schengen area from 30 March 2019 with a passport issued before 1 October 2009 may not be allowed to enter. The Government is advising people to renew their passports if they fall outside of this criteria and intend to travel to Europe after Brexit day.

Travelling within the Common Travel Area

a group of people standing in front of a crowd © Provided by Johnston Publishing Ltd British and Irish citizens have been able to travel freely between Ireland and the UK via the Common Travel Area without any checks since the Ireland Act came in to force in 1949. The Government has already agreed that this will remain in place as it falls outside the European Union remit. If Britain leaves without a Brexit deal then British and Irish citizens will not be required to take any action. But it will mean any non-British or non-Irish citizen travelling from Ireland into the UK will be subject to the usual British immigration rules.

Civil legal cases

The UK is signed up to a string of EU rules when it comes to civil, commercial or family law, including how a judgment obtained in one country should be determined in another. These would cover cases such as cross-border insolvency and family law cases, including maintenance recognition and wrongfully retained or abducted children. Without a deal, the UK would repeal most of the existing civil judicial cooperation rules and apply domestic law. The Government states that existing conventions, such as the Hague Convention would cover many existing EU instruments.

Public sector contracts

As part of the EU, UK contractors and suppliers publish procurement opportunities on the bloc’s Official Journal of the European Union (OJEU) via Tenders Electronic Daily (TED). The Government has said in a no-deal scenario it will make a new UK-specific e-notifications service available as soon as the UK leaves the EU. UK suppliers will still be able to

Satellites and space programmes

© Provided by Johnston Publishing Ltd

Galileo is the Global Navigation Satellite System (GNSS) that is being created by the European Union through the European Space Agency (ESA). One of its aims is to provide EU autonomy in high-precision positioning, navigation and timing.

The UK would no longer play

 any part in the development of Galileo or European Geostationary Navigation Overlay programmes. This means that UK-based businesses, academics and researchers will be unable to bid for future EU GNSS contracts and may face difficulty carrying out and completing existing contracts.

The Government will invest £92m from the Brexit readiness fund on an 18-month programme to design a UK GNSS. This will inform the decision to create an independent system as an alternative to Galileo.

a satellite in space © Provided by Johnston Publishing Ltd

For the public and most UK, EU and other commercial satellite navigation users, there should be no noticeable impact if the UK were to leave the EU with no agreement in place. All devices that currently use Galileo and European Geostationary Navigation Overlay, such as smartphones, will continue to be able to do so.

Another, unexpected, effect of a no-deal departure would be the UK may get less warning about space debris such as old satellites plummeting towards the Earth.

That’s because warning comes in a briefing paper on space and satellites, which notes the UK’s involvement in the EU Space Surveillance and Tracking programme.

Industrial emissions standards (‘best available techniques’)

The UK is committed to maintaining environmental standards after we leave the EU. The EU Withdrawal Act 2018 maintains established environmental principles and ensures that existing EU environmental law will continue to have effect in UK law. It should be business as usual.

Reporting CO2 emissions for new cars and vans

© Provided by Johnston Publishing Ltd

CO2 emissions from new passenger cars and light commercial vehicles registered in Europe each year are governed by regulations which sets limits.

If Britain left with no deal this would no longer be the case. The EU rules would be brought into UK legislation and the Department of Transport would aim to correct any “deficiences” – areas that no longer work as originally intended.

In theory, the transition shouldn’t change anything significant.

Upholding environmental standards

The UK Government says it is committed to maintaining environmental standards. Initially, the EU Withdrawal Act 2018 will ensure all existing EU environmental law continues to operate in UK law and the Government will establish a new, independent statutory body to hold government to account on new and existing environmental standards.

Before Brexit: Britain's biggest exports may surprise you (lovemoney)

Appointing nominated persons to your business

Manufacturers can appoint nominated persons to carry out certain tasks on their behalf, defined by EU product legislation.

In the event of no deal, any UK-based nominated person will no longer be recognised under EU law.

To minimise disruption immediately after exit, existing authorised representatives based in an EU country will continue to be recognised in the UK for a time-limited period. However, new authorised representatives will need to be based in the UK to be recognised under UK law.

Travelling with a European firearms pass

The European Firearms Pass is a form of passport for firearms and is designed for use by those who are travelling with their firearms between EU countries.

If the UK leaves the EU with no deal, EFPs would no longer be available to UK residents wishing to travel with their firearms to EU countries. Gun owners would have to comply with whatever licensing requirements each EU country decides to impose.

Trading under the mutual recognition principle

© Provided by Johnston Publishing Ltd Some manufactured goods such as furniture, textiles, bicycles and cooking utensils are subject to national regulations rather than EU-wide rules.

In the event of a no-deal, UK businesses will need to meet the national requirements of the first EU country to which they export.

Trading goods regulated under the ‘New Approach’

For certain products EU legislation sets out the rules, or “essential safety requirements”, which products must meet before they are placed on the EU market.

The results of conformity assessment carried out by UK notified bodies will no longer be recognised in the EU. Retesting and re-marking will be required by an EU recognised conformity assessment body.

Vehicle Type Approval

Vehicle and component manufacturers must currently show they comply with safety and environmental standards before they can place a product on the market for sale. This process is known as type-approval.

In a no-deal scenario, type-approvals issued in the UK would no longer be valid for sales or registrations on the EU market. EC type-approvals issued outside of the UK, would no longer be automatically accepted on the UK market. Manufacturers would need to ensure that they have the correct type-approval for each market.

Europe's biggest port, Rotterdam, sounds alert on Brexit (Reuters)


Connecting Europe Facility energy funding (CEF)

UK organisations benefiting from CEF energy grant awards – awarded to projects that help to achieve broader energy policy objectives – will be able to continue without disruption. The Department for Business, Energy and Industrial Strategy will be in contact with relevant project promoters if the guarantee needs to be put into effect.

European Regional Development Funding

UK organisations would be unable to access EU funding for European Regional Development Fund (ERDF) projects after exit day.

Chancellor Philip Hammond announced in August and October 2016 that the Government would guarantee certain EU projects agreed before leaving the EU in a no-deal exit.

European Social Fund (ESF) grants

As with the ERDF, UK organisations would be unable to access EU funding for European Social Fund projects after exit day. The fund provides funding for employment schemes, education and training, to support society’s most disadvantaged people and help them acquire relevant skills to support entry into employment and progression in work.

Funding for UK LIFE projects

The fund supports environmental, nature conservation and climate action projects throughout the EU. The UK Government has guaranteed to fund LIFE project bids submitted by UK organisations and approved by the European Commission while the UK is still a member of the EU. This covers ongoing projects, and those awarded funding before the end of 2020.

"Former Bank of England boss Lord Mervyn attacks government's 'incompetent' no deal Brexit preparatoins" (The Independent)


Data protection

Ministers have pledged to maintain a free flow of data from the UK to organisations in the remaining 27 EU states in the event of Britain leaving without a deal. But the Department for Digital, Culture, Media and Sport (DCMS) said transfers of digital information in the other direction were dependent on a decision by the European Commission, which has said the issue cannot be settled until after March 29.

The DCMS has urged companies to make their own preparations to allow exchanges to continue smoothly.

Trading in drug precursors

Drug precursors are chemicals that can be used in the illicit manufacture of narcotic drugs. They also have legitimate commercial uses and are legally used in a wide variety of industrial processes, such as medicines (inset bottom left), flavourings and fragrances.

They are divided into four categories, depending on their sensitivity or use. Producers would need the same licences and registration to trade with the EU as they currently need to trade with non-EU countries. They would also have to apply for a licence or registration depending on what category the drugs precursor falls into.

Running an oil or gas business

The established regime for hydrocarbon licensing and environmental issues will continue to operate after March 2019. The Government will amend the relevant legislation to ensure broad continuity.

“The legislative changes will have no impact on energy sector businesses, whose residual obligations under the legislation covered will remain unaltered,” according to the Brexit paper. UK and EU businesses will not be required to take any action.

Getting an exemption of maritime security notifications if there is no Brexit deal

Under Article 6 of EC Regulation 725/2004, shipping companies, including ferries carrying passengers and lorries, are required to submit security information before entering an EU port.This document (also referred to as a pre-arrival notification) can sometimes include the last 10 ports of call and a list of the crew and passengers.

Article 7 allows EU countries to issue exemptions to provide this information to companies operating scheduled services between ports located in their territory, or between ports within their territory and that of another EU country.

Shipping companies holding these exemptions “should prepare for a scenario after exit in which submission of security pre-arrival information would be required before their vessels were permitted to enter the ports of an EU country”. This requirement would come into effect as soon as the UK leaves the EU.

Recognition of seafarer certificates of competency

At present, the international standards of training, certification and watchkeeping convention (STCW) mandates that crew members carrying out certain duties must have a certificate of competency (COC). A COC must be renewed every five years.

EU legislation has harmonised the way that EU countries apply the STCW requirements. This has led to two different EU procedures for recognising seafarers’ qualifications.

If there is no deal, endorsements currently issued by EU countries to seafarers holding UK certificate of competency would continue to be valid until they expire.

EU countries that wish to continue accepting new UK certificate would need to write to the European Commission. Assessment of certification is expected to be “straight forward, but it may take some time”.


More from The i

image beaconimage beaconimage beacon