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Mark’s Brexit Week for Transport – Carpe Diem!

Transport companies and organisations have a tremendous opportunity to shape their future regulatory framework if they seize the moment. Given the Government’s aim is to ‘take control of our own affairs’ it is perhaps ironic much of the future framework for transport will be determined during the Brexit negotiations. That’s because in 8 key areas of transport policy (and in many other areas according to JP Morgan) the UK Government does not have a clear negotiating position. As a result, what the Government calls the ‘New Partnership’ will be determined by the UK, the 27 Member States of the EU, and the European Parliament. To help influence the negotiations, UKTiE has identified 8 questions transport that companies and organisations should answer. UKTiE will be co-ordinating the responses to these questions and making a submission to the UK Government, the EU institutions and the Member States, as part of our lobbying efforts. Let us know if you wish to make a submission, or answer the 8 key questions, that will help UKTiE shape the New Partnership for transport during the course of the Brexit negotiations. The European Parliament is likely to adopt their negotiating position in April and the Council in May, so we don’t have long. Carpe Diem!

1. UK Parliament to vote on Brexit Bill this week – negotiating mandate to be decided
Another busy Brexit week ahead with the Third and final Reading of the European Union (notification of withdrawal) Bill in the UK Parliament, with on-going speculation about whether amendments (such as a requirement for tariff- and impediment-free access to the single market) will be adopted, as well as when and how MPs will have a say on the deal itself.

2. High level talks in Brussels involving UK representatives – Vote on Brexit Red Lines in European Parliament anticipated 27 April
High level talks on negotiating positions are underway in Brussels and involve UK representatives. Despite the impression the UK is excluded from the negotiations, this only applies to the UK Government. Other UK representatives are actively involved in the European Parliament, and to some extent in the European Commission. Reliable sources suggest the European Parliament will vote on its Brexit red lines on 27 April. UKTiE has a handy list of the UK representatives involved the negotiations. Contact us for more information.

3. There are 8 key questions transport needs to answer to help shape the New Partnership during the course of the Brexit negotiations
UKTiE has identified 8 key questions transport needs to answer to help shape the New Partnership during the course of the Brexit negotiations. In many key areas the UK Government does not have a negotiating position, and so the new relationship will be determined during the discussions between the UK, the 27 Member States and the European Parliament (Membership of Agencies or the new Customs arrangements for example). UKTiE will be co-ordinating the response to these questions from Members to submit to the UK Government, and as part of our lobbying efforts here in Brussels to the Council, Barnier’s team, MEPs and Perm Reps. Let us know if you wish to answer the 8 key questions that will help shape the New Partnership for transport during the course of the Brexit negotiations.

4. Confusion on Customs Union. In or out?
Even though the Brexit White Paper advocates the option of the UK remaining a signatory to some of the elements of the existing arrangements, the Secretary of State has caused some confusion by indicating that the UK is “definitely leaving the customs union.” I guess the interpretation is – first we leave, then potentially re-join , at least bits of it. UKTiE will be making a specific submission on our objectives for the new customs agreement. Let us know if you wish to participate.

5. The European Parliament’s Constitutional Affairs Committee published a report — “Brexit and the European Union”
The European Parliament’s Constitutional Affairs Committee published a report — “Brexit and the European Union: General Institutional and Legal Considerations”, which looks at the various options available to the U.K. post-Brexit. The Report says “We have to consider [Prime Minister Theresa May’s Brexit] speech to constitute a basic negotiation objective, and its announcements, with its inherent contradictions, to be a part of negotiating tactics pursued by the U.K. government.” Let us know if you wish a copy of UKTiE’s summary and analysis.

6. UK needs massive investments to cope with post Brexit Britain
Whitehall sources revealed that UK customs IT system will not be able to cope with the increase in numbers following Brexit. Although the current system (with a capacity of 50 million filings a year) is to be replaced by a new one by 2019 which will increase numbers to 100 million, the figures expected after the UK leaves the EU are much greater – 390 million. But customs is not the only area in which investment is needed. According to an opinion piece published in the Financial Times, the transport sector will need significant investment so as to be able to develop equally amongst the regions and not risk the UK breaking up due to unequal wealth levels, concentrated in the south.

7. Every UK sector is important, but some are more important than others
Representatives of the maritime sector have held a roundtable with the UK’s Financial Secretary to the Treasury to discuss methods to ensure the UK remains a key destination for global maritime business. Those present were content with the Minister’s approach in recognising the importance of the maritime sector and the potential opportunities that come with Brexit. One may wonder if the phrase ‘your sector is amongst the most important to our economy’ has not become a slogan much as ‘Brexit means Brexit’ in the meetings held with industry representatives, as a means to maintain calm and support in light of upcoming negotiations. It remains to be seen just how important each transport sector will be during Brexit talks. UKTiE will produce a transport brief to ensure that concerns across the transport modes are heard by the EU policy makers. Let us know should you wish you contribute.

Mark Watts
Co-ordinator
UK transport in Europe (UKTiE)

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