London confirms proposed changes to Brexit for Northern Ireland

London. The British government formally presented a bill before Parliament on Monday aimed at unilaterally modifying the post-Brexit customs provisions applied to Northern Ireland, despite threats of retaliation from the European Union.

The bill seeks to empower the UK to unilaterally rewrite most of the Northern Ireland protocol.

The presentation of the text, which according to London does not violate international law, launches a legislative approval process of several weeks that seeks to significantly modify the so-called “Northern Ireland protocol”, negotiated with Brussels in the framework of Brexit.

The European Commission threatened the British government with legal action on Monday after London introduced a bill unilaterally questioning Northern Ireland’s customs status after Brexit.

“We note with great concern the decision taken today by the UK government to introduce a bill that overrides key elements of the protocol,” Commission Vice President Maros Sefcovic said, raising the possibility of resuming infringement proceedings against London.

Potential EU retaliation

However, the legislation is expected to draw ire in Brussels, where the European Commission can unfreeze infringement procedures, which were suspended during negotiations over how the protocol works. That could ultimately lead to the imposition of financial sanctions on the UK.

The European Union could also suspend its trade deal with Britain, halt privileged access British businesses have to the single market, and halt talks over the status of Gibraltar, according to a person familiar with the matter.

The bill contains a provision to be replaced by a negotiated agreement, should an agreement be reached with the EU. “Meanwhile, the dire situation in Northern Ireland means we cannot allow the situation to get sidetracked,” Truss said.

Here is what the bill intends to do:

• Introduce green and red trade channels, separating goods flowing between Britain and Northern Ireland from goods destined for the EU.
• Allow Northern Ireland businesses to choose whether to follow UK or EU standards or both, for goods.
• Extend UK subsidy controls and tax exemptions, including changes to value-added tax to Northern Ireland
• Strip the European Court of Justice of its role in resolving Brexit disputes in the region, instead of allowing an independent arbitration panel to oversee legal matters.

The Johnson Administration argues that the current deal threatens the peace agreement because the Democratic Unionist Party refuses to participate in Northern Ireland’s shared executive power until the protocol is changed, effectively blocking the formation of a new regional government.

Truss outlined her plan to publish the legislation in a phone call with her Irish counterpart, Simon Coveney, on Monday. During the 12-minute call made at the UK’s request, Coveney warned that the move would be “deeply damaging” to Britain’s relations with Ireland and the EU, according to a statement from the Irish Foreign Office.