Brexit highlights—20 November 2020

Brexit highlights—20 November 2020

These Brexit highlights bring you a summary of the latest Brexit news and legislation updates from across a range of LexisNexis® practice areas, collated on 20 November 2020.

General Brexit headlines

This section contains key overarching Brexit news headlines.

Brexit Bulletin—future UK-EU relationship negotiations suspended following positive coronavirus (COVID-19) test

The future UK-EU relationship talks have been suspended at high-level ‘for a short period’, after an EU negotiator tested positive for coronavirus (COVID-19). Staying ‘in close contact’, both delegations will continue work ‘in full respect of the guidelines’. With just six weeks until the end of the Brexit transition period on 31 December 2020 (IP completion day), the suspension of high-level talks has added new uncertainty to the negotiations, which have missed the original deadlines outlined for conclusion and ratification of a deal on time.

See: LNB News 19/11/2020 121.

Brexit Bulletin—UK warns future UK-EU relationship negotiations ‘may not succeed’ as talks resume

In remarks following the third week of intensive negotiations on the future UK-EU relationship, UK chief negotiator, David Frost had warned the talks ‘may not succeed’. While Lord Frost reported ‘some progress in a positive direction’ working on the basis of ‘common draft treaty texts’, he acknowledged a lack of an agreement in ‘significant elements’. EU chief negotiator, Michel Barnier, signalled the EU’s intention to remain ‘determined, patient and respectful’ towards securing ‘open, but fair in all areas’ future co-operation. Talks resumed in Brussels on 16 November 2020, while UK Prime Minister, Boris Johnson, entered a two-week self-isolation period under coronavirus (COVID-19) rules. Meanwhile, preparations are being urged for all scenarios at the end of the Brexit transition period on 31 December 2020 (IP completion day), including changes taking effect in any event.

See: LNB News 16/11/2020 120.

Brexit Bulletin—second meeting of the Specialised Committee on Gibraltar

On 18 November 2020, the UK and EU held the second meeting of the Withdrawal Agreement Specialised Committee on implementation of the Protocol on Gibraltar. The parties exchanged updates on progress made concerning citizens’ rights, environmental matters, police and customs co-operation and fiscal policy. The government issued a statement following the meeting, noting that ‘significant progress has been made throughout the year towards fulfilling the commitments outlined in the Protocol and the MOUs’.

See: LNB News 19/11/2020 84.

Brexit Bulletin—Committee reports on EU policy areas of UK significance including pact on migration and asylum, and EU customs union action plan

The European Scrutiny Committee (ESC) has published its 28th report on recent draft EU legislation and policy documents deposited in Parliament by the government. The ESC gauges the legal and political importance of each legislative proposal and, where appropriate, inquires further on its implications and/or recommends it for debate. Issues identified as legally and/or politically important include the Home Office’s new pact on migration and asylum and HMT’s EU customs union action plan.

See: LNB News 17/11/2020 87.

Brexit Bulletin—Committee reports on amended schedules to the WTO Government Procurement Agreement entering into force for Switzerland

The House of Lords European Union Committee (EUC) has published its scrutiny of international agreements on amended Schedules to the WTO Government Procurement Agreement entering into force for Switzerland. This is EUC’s 25th report on treaties, or international agreements, laid before Parliament in accordance with section 20 of the Constitutional Reform and Governance Act 2010, and the third report prepared by the International Agreements Sub-Committee under the EUC’s revised Terms of Reference ‘to consider matters relating to the negotiation and conclusion of international agreements’.

See: LNB News 13/11/2020 38.

Policy equality statement on the EU settlement scheme published

The Home Office has published a policy equality statement on the EU settlement scheme, in line with its ongoing public sector equality duty under section 149 of the Equality Act 2010. The policy equality statement sets out any potential equalities impacts in relation to the EU settlement scheme.

See: LNB News 18/11/2020 91.

End of the Brexit transition period—what will change?

In this insight, Stefano Fella, researcher at the House of Commons Library, explains some of the key changes after the transition period and how the UK and EU are preparing for them.

See News Analysis: End of the Brexit transition period—what will change?

Brexit legislation updates

This section contains Brexit news headlines relating to Brexit-related primary legislation and legislative preparation for Brexit generally.

Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020

This Act makes provisions to end rights to free movement of individuals under retained EU law, to repeal other retained EU laws relating to immigration, to confer power to modify retained direct EU legislation relating to social security co-ordination, and for connected purposes. It came into force partly on 11 November 2020, and comes into force partly on 11 January 2021, and fully on such day as the Secretary of State or the Treasury may by regulations made by statutory instrument appoint.

See: LNB News 13/11/2020 43.

Agriculture Act 2020

This Act makes provisions to authorise expenditure for certain agricultural and other purposes, about direct payments following the UK’s departure from the EU and about payments in response to exceptional market conditions affecting agricultural markets in England and Wales. It heralds the introduction of a new system for providing financial assistance to farmers in England after Brexit and marks the beginning of the end of direct payments to farmers. It came into force partly on 11 November 2020, and comes into force fully on such day as the Secretary of State and the Welsh minister may by regulations made by statutory instrument appoint.

See: LNB News 12/11/2020 61 and News Analysis: The impact of the Agriculture Act 2020.

Brexit Bulletin—Lords briefing and policy statements published on UK Internal Market Bill

The House of Lords Library has published a briefing on the United Kingdom Internal Market Bill, recapping on the Lords committee stage, ahead of the House of Lords report stage on the Bill. The briefing notes that the House of Lords voted by a majority to remove controversial clauses from Part 5 of the UK Internal Market Bill (which relate to the Northern Ireland Protocol). As the other clauses in part 5 were consequential to the removed clauses, the Lords agreed that the rest of Part 5 should be removed. The government plans to reintroduce the clauses and has also published additional policy documents on the Bill.

See: LNB News 18/11/2020 19.

Committee calls for parliamentary scrutiny of NLCS framework

The House of Lords Common Frameworks Scrutiny Committee has written to the Minister for Health, Edward Argar, to argue that the UK’s post-Brexit nutrition rules, in the form of the Nutrition Labelling, Composition and Standards (NLCS) framework, will require ongoing parliamentary scrutiny after the transition period has ended. The Committee has expressed concern regarding scrutiny of the framework, the lack of clarity surrounding its relationship with the United Kingdom Internal Market Bill, and the lack of consideration shown to the Northern Ireland Protocol to the Withdrawal Agreement. As a result, the Committee has suggested that the annual report on the NLCS Policy Group should be shown to the UK Parliament and devolved legislators rather than just Ministers in order to ‘ensure an appropriate degree of transparency’.

See: LNB News 18/11/2020 98.

Brexit SIs and sifting updates

This section contains updates on the latest final and draft Brexit SIs laid in Parliament, plus updates on proposed negative Brexit SIs laid for sifting.

Made Brexit SIs laid in Parliament

Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020 (Commencement) Regulations 2020

SI 2020/1279: This enactment is made in exercise of legislative powers under the Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020 in preparation for IP completion day. It came into force on 14 November 2020.

See: LNB News 16/11/2020 105.

Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020 (Consequential, Saving, Transitional and Transitory Provisions) (EU Exit) Regulations 2020

SI 2020/1309: This enactment is made in exercise of legislative powers under the Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020 in preparation for IP completion day. This enactment amends 20 pieces of UK primary legislation, 46 pieces of UK secondary legislation, and revokes two pieces of UK secondary legislation in relation to immigration and social security co-ordination. It comes into force partly at the time and on the date when Immigration and Social Security Co-ordination (EU Withdrawal) Act 2020, Sch 1 para 2(2), comes into force, partly immediately before that time and date, partly on 1 December 2020, and fully on 1 July 2021.

See: LNB News 20/11/2020 13.

Financial Services (Gibraltar) (Amendment) (EU Exit) Regulations 2020

SI 2020/1274: This enactment is made in exercise of legislative powers under the Financial Services (Gibraltar) (Amendment) (EU Exit) Regulations 2019 in preparation for IP completion day. This enactment amends one piece of UK secondary legislation in relation to financial services. It comes into force on 14 December 2020.

See: LNB News 17/11/2020 25.

International Tax Compliance (Amendment) (No 2) (EU Exit) Regulations 2020

SI 2020/1300: This enactment is made in exercise of legislative powers under the Finance Act 2013 in preparation for IP completion day. This enactment amends one piece of UK secondary legislation in relation to international tax. It comes into force on IP completion day.

See: LNB News 19/11/2020 20.

Blood Safety and Quality (Amendment) (EU Exit) Regulations 2020

SI 2020/1304: This enactment is made in exercise of legislative powers under the European Union (Withdrawal) Act 2018 (EU(W)A 2018) in preparation for IP completion day. This enactment amends one piece of UK secondary legislation in relation to blood safety and quality in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU, and give effect to the Northern Ireland Protocol to the Withdrawal Agreement, respectively. It comes into force immediately before IP completion day. (Updated from draft on 20 November 2020.)

See: LNB News 14/10/2020 34.

Seeds (Amendment etc) (EU Exit) Regulations 2020

SI 2020/1294: This enactment is made in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This enactment amends two pieces of UK secondary legislation, and revokes one piece of UK secondary legislation in relation to marketing of seed. It comes into force partly immediately before IP completion day, and fully on IP completion day.

See: LNB News 18/11/2020 20.

Electricity (Risk-Preparedness) (Amendment etc) (EU Exit) Regulations 2020

SI 2020/1299: This enactment is made in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This enactment amends one piece of retained EU legislation in relation to electricity to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force on IP completion day. (Updated from draft on 20 November 2020.)

See: LNB News 18/09/2020 54.

Nutrition (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2020

SI 2020/1252: This enactment is made in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This enactment amends one piece of Welsh secondary legislation in relation to nutrition in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force immediately before IP completion day.

See: LNB News 13/11/2020 49.

Education (Student Finance) (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2020

SI 2020/1302: This enactment is made in exercise of legislative powers under the Education (Fees and Awards) Act 1983 in preparation for IP completion day. This enactment amends eight pieces of Welsh secondary legislation, and revokes two pieces of Welsh secondary legislation in relation to education. It comes into force partly immediately before IP completion day, and fully on IP completion day.

See: LNB News 20/11/2020 17.

Agriculture (Retained EU Law and Data) (Scotland) Act 2020 (Commencement No 2) Regulations 2020

SSI 2020/373: Certain provisions of the Agriculture (Retained EU Law and Data) (Scotland) Act 2020 come into force in Scotland on 1 December 2020 and 1 January 2021.

See: LNB News 13/11/2020 52.

Food and Feed (EU Exit) (Scotland) (Amendment) Regulations 2020

SSI 2020/372: This enactment is made in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This enactment amends eight pieces of Scottish secondary legislation in relation to food and feed in order to address failures of retained EU law to operate effectively arising as a result of the withdrawal of the UK from the EU and implement the Northern Ireland Protocol to the Withdrawal Agreement. It comes into force partly immediately before IP completion day, and fully on IP completion day.

See: LNB News 13/11/2020 39.

Immigration (Isle of Man) (Amendment) Order 2020

SI 2020/1214: This enactment amends the Immigration (Isle of Man) Order 2008, which are equivalent to amendments previously made to UK immigration legislation, thus maintaining the Isle of Man’s integrated approach to immigration policy with the UK. It comes into force on IP completion day.

See: LNB News 19/11/2020 1.

Antarctic Act 1994 (Convention for the Conservation of Antarctic Marine Living Resources) Regulations 2020

SI 2020/1251: This enactment is made in exercise of legislative powers under the Antarctic Act 1994 in preparation for IP completion day. This enactment implements into UK law key provisions of the Convention for the Conservation of Antarctic Marine Living Resources (the ‘Convention’), following the UK’s departure from the EU. The Regulations will ensure the UK meets its obligations under the Convention, and complies with legally binding conservation measures as adopted by the Commission for the Conservation of Antarctic Marine Living Resources (the ‘Commission’) relating to authorising vessels to fish. It comes into force partly immediately before IP completion day, partly on the day following the day on which they are registered by the Royal Court of Guernsey or the day on which they come into force in the UK, partly on the day following the day on which they are registered by the Royal Court of Jersey or the day on which they come into force in the UK, whichever is the later, and fully on the day on which they come into force in the UK.

See: LNB News 17/11/2020 4.

Yemen (Sanctions) (EU Exit) (No 2) Regulations 2020

SI 2020/1278: This enactment is made in exercise of legislative powers under the SAMLA 2018 in preparation for IP completion day. This enactment amends one piece of UK secondary legislation, and revokes three pieces of UK secondary legislation, and one piece of retained direct EU legislation in relation to international sanctions. It comes into force in accordance with regulations made by the Secretary of State under SAMLA 2018, s 56.

See: LNB News 18/11/2020 14.

Chemical Weapons (Sanctions) (Overseas Territories) Order 2020

SI 2020/1267: Provisions are made to extend with modifications the Chemical Weapons (Sanctions) (EU Exit) Regulations 2019 as amended from time to time to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 17/11/2020 11.

Cyber (Sanctions) (Overseas Territories) (No 2) Order 2020

SI 2020/1270: Provisions are made to extend, with modifications, the Cyber (Sanctions) (EU Exit) Regulations 2020, as amended from time to time, to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 13/11/2020 6.

Afghanistan (Sanctions) (Overseas Territories) Order 2020

SI 2020/1284: This enactment is made in exercise of legislative powers under the United Nations Act 1946, and the Sanctions and Anti-Money Laundering Act 2018 in preparation for IP completion day. This enactment amends one piece of UK primary legislation and one piece of UK secondary legislation in relation to sanctions. It comes into force on IP completion day.

See: LNB News 19/11/2020 5.

Burma (Sanctions) (Overseas Territories) Order 2020

SI 2020/1264: Provisions are made to extend with modifications the Burma (Sanctions) (EU Exit) Regulations 2019 as amended from time to time to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 17/11/2020 7.

Bosnia and Herzegovina (Sanctions) (Overseas Territories) Order 2020

SI 2020/1268: Provisions are made to extend with modifications the Bosnia and Herzegovina (Sanctions) (EU Exit) Regulations 2020 as amended from time to time to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after the Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 17/11/2020 14.

Burundi (Sanctions) (Overseas Territories) Order 2020

SI 2020/1263: Provisions are made to extend with modifications the Burundi (Sanctions) (EU Exit) Regulations 2019 as amended from time to time to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 17/11/2020 6.

Central African Republic (Sanctions) (Overseas Territories) Order 2020

SI 2020/1286: This enactment is made in exercise of legislative powers under the United Nations Act 1946, and the Sanctions and Anti-Money Laundering Act 2018 in preparation for IP completion day. This enactment amends one piece of UK primary legislation and one piece of UK secondary legislation in relation to sanctions. It comes into force on IP completion day.

See: LNB News 19/11/2020 9.

Democratic Republic of the Congo (Sanctions) (Overseas Territories) Order 2020

SI 2020/1281: Provisions are made to extend the Democratic Republic of the Congo (Sanctions) (EU Exit) Regulations 2019, as amended from time to time, to all British overseas territories (except Bermuda and Gibraltar which implement sanctions through their own domestic legislation) with the modifications required to enable implementation and enforcement of the sanctions regime by the authorities in those territories. It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) Regulations 2020 and the Sanctions (EU Exit) (Miscellaneous Amendments) (No 3) Regulations 2020 come into force in the UK.

See: LNB News 19/11/2020 2.

Guinea (Sanctions) (Overseas Territories) Order 2020

SI 2020/1266: Provisions are made to extend, with modifications, the Guinea (Sanctions) (EU Exit) Regulations 2019, as amended from time to time, to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 13/11/2020 5.

Iraq (Sanctions) (Overseas Territories) Order 2020

SI 2020/1260: Provisions are made to extend, with modifications, the Iraq (Sanctions) (EU Exit) Regulations 2020, as amended from time to time, to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). It comes into force on IP completion day.

See: LNB News 13/11/2020 2.

Republic of Belarus (Sanctions) (Overseas Territories) Order 2020

SI 2020/1271: Provisions are made to extend with modifications the Republic of Belarus (Sanctions) (EU Exit) Regulations 2019 as amended from time to time to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). This Order comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 17/11/2020 17.

Somalia (Sanctions) (Overseas Territories) Order 2020

SI 2020/1285: This enactment is made in exercise of legislative powers under the United Nations Act 1946, and the Sanctions and Anti-Money Laundering Act 2018 in preparation for IP completion day. This enactment amends one piece of UK primary legislation and one piece of UK secondary legislation in relation to sanctions. It comes into force on IP completion day.

See: LNB News 19/11/2020 8.

South Sudan (Sanctions) (Overseas Territories) Order 2020

SI 2020/1287: This enactment is made in exercise of legislative powers under the United Nations Act 1946, and the Sanctions and Anti-Money Laundering Act 2018 in preparation for IP completion day. This enactment amends one piece of UK primary legislation and one piece of UK secondary legislation in relation to sanctions. It comes into force on IP completion day.

See: LNB News 19/11/2020 10.

Venezuela (Sanctions) (Overseas Territories) Order 2020

SI 2020/1262: Provisions are made to extend, with modifications, the Venezuela (Sanctions) (EU Exit) Regulations 2019, as amended from time to time, to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). This Order comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 13/11/2020 3.

Zimbabwe (Sanctions) (Overseas Territories) Order 2020

SI 2020/1272: Provisions are made to extend, with modifications, the Zimbabwe (Sanctions) (EU Exit) Regulations 2019, as amended from time to time, to all British overseas territories except Bermuda and Gibraltar (which implement sanctions under their own legislative arrangements). This Order comes into force immediately after both the Sanctions (EU Exit) (Miscellaneous Amendments) (No 2) Regulations 2020 and Sanctions (EU Exit) (Miscellaneous Amendments) (No 4) Regulations 2020 come into force in the UK.

See: LNB News 13/11/2020 16.

Lebanon (Sanctions) (Assassination of Rafiq Hariri and others) (Overseas Territories) Order 2020

SI 2020/1282: This enactment is made in exercise of legislative powers under the United Nations Act 1946, and the Sanctions and Anti-Money Laundering Act 2018 (SAMLA 2018) in preparation for IP completion day. This enactment amends one piece of UK primary legislation and one piece of UK secondary legislation in relation to sanctions. It comes into force immediately after the Sanctions (EU Exit) (Miscellaneous Amendments) (No 3) Regulations 2020 have come into force in the UK.

See: LNB News 19/11/2020 4.

Regulation (EC) No 1370/2007 (Public Service Obligations in Transport) (Amendment) (EU Exit) (Northern Ireland) Regulations 2020

SR 2020/252: This enactment is made in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This enactment amends one piece of retained direct EU legislation in relation to public service obligations in transport in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force on IP completion day.

See: LNB News 18/11/2020 6.

Draft Brexit SIs laid in Parliament

Draft Medical Devices (Amendment etc) (EU Exit) Regulations 2020

SI 2020/Draft: This draft enactment replaces the previous draft SI published on 15 October 2020. This draft enactment is laid in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend three pieces of UK secondary legislation in relation to medical devices in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU, and in order to give effect to the Protocol on Northern Ireland in the withdrawal agreement, respectively. It comes into force partly on the day after the day on which these Regulations are made, and fully immediately before IP completion day. This draft enactment was re-laid with technical corrections.

See: LNB News 20/11/2020 10.

Draft Plant Health (Amendment etc) (EU Exit) Regulations 2020

SI 2020/Draft: This draft enactment replaces the previous draft SI published on 15 October 2020. This draft enactment is laid in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend one piece of UK primary legislation, three pieces of UK secondary legislation, and 10 pieces of retained EU legislation, and revoke two pieces of UK secondary legislation, and 40 pieces of retained EU legislation in relation to plant health in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force partly immediately before IP completion day, and fully on IP completion day. This draft enactment was re-laid with technical corrections.

See: LNB News 20/11/2020 11.

Draft Common Agricultural Policy (Less Favoured Area Support) (EU Exit) (Scotland) Amendment Regulations 2020

SSI 2020/Draft: This draft enactment replaces the previous draft SI published on 5 November 2020. This draft enactment is laid in exercise of legislative powers under the EU(W)A 2018 and the Agriculture (Retained EU Law and Data) (Scotland) Act 2020 in preparation for IP completion day. This draft enactment is proposed to amend one piece of UK secondary legislation and one piece EU retained legislation in relation to common agricultural policy to provide the basis for the continuation of the Less Favoured Area Support Scheme (LFASS) from 2021 by amending retained EU law, and to correct a deficiency in that law. It comes into force partly immediately before IP completion day and fully on 1 January 2021. This draft enactment was re-laid with technical corrections.

See: LNB News 20/11/2020 3.

Draft Public Procurement etc (EU Exit) (Scotland) (Amendment) Regulations 2020

SSI 2020/Draft: This draft enactment replaces the previous draft SI published on 4 November 2020. This draft enactment is laid in exercise of legislative powers under the European Communities Act 1972 (ECA 1972) and the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend one piece of Scottish primary legislation, six pieces of Scottish secondary legislation, one piece of retained direct EU legislation, and to revoke three pieces of Scottish secondary legislation in relation to public procurement in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force partly immediately before IP completion day, partly on IP completion day, and fully 12 months after IP completion day. This draft enactment was re-laid with technical corrections.

See: LNB News 20/11/2020 1.

Draft Invasive Non-native Species (EU Exit) (Scotland) (Amendment etc) Regulations 2020

SSI 2020/Draft: This draft enactment replaces the previous draft SI published on 3 November 2020. This draft enactment is laid in exercise of legislative powers under the ECA 1972, and the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend one piece of UK primary legislation, one piece of retained direct EU legislation, and to revoke three pieces of retained direct EU legislation in relation to invasive non-native species in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU. It comes into force on IP completion day. This draft enactment was re-laid with technical corrections.

See: LNB News 20/11/2020 2.

Draft Cross-border Health Care (EU Exit) (Scotland) (Amendment) Regulations 2020

SSI 2020/Draft: This draft enactment is laid in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend one piece of Scottish secondary legislation in relation to National Health Service (NHS) in order to address failures of retained EU law to operate effectively and other deficiencies in the field of cross-border health care arising from the withdrawal of the UK from the EU. It comes into force immediately before IP completion day.

See: LNB News 19/11/2020 46.

Draft Trade in Animals and Related Products (EU Exit) (Scotland) (Amendment) Regulations 2020

SSI 2020/Draft: This draft enactment is laid in exercise of legislative powers under the EU(W)A 2018 in preparation for IP completion day. This draft enactment is proposed to amend three pieces of Scottish secondary legislation in relation to trade in animals and related products in order to address failures of retained EU law to operate effectively and other deficiencies arising from the withdrawal of the UK from the EU and to implement the Northern Ireland Protocol to the Withdrawal Agreement. It comes into force partly immediately before IP completion day, and fully on IP completion day.

See: LNB News 18/11/2020 29.

Draft Brexit SIs laid for sifting and sifting committee recommendations

Brexit SI Bulletin—latest drafts and sifting committee reports, 20 November 2020

The Commons European Statutory Instruments Committee (ESIC) and the Lords Secondary Legislation Scrutiny Committee (SLSC) are responsible for the sifting process under the European Union Withdrawal Agreement Act 2018 (EU(W)A 2018). These committees scrutinise proposed negative Brexit SIs and make recommendations on the appropriate parliamentary procedure before the instruments are laid in Parliament. This bulletin outlines the latest updates and recommendations, collated on 20 November 2020.

See News Analysis: Brexit SI Bulletin—latest drafts and sifting committee reports, 20 November 2020.

Brexit SI Bulletin—drafts laid for sifting on 19 November 2020

Under the European Union (Withdrawal) Act 2018 (EU(W)A 2018), before certain statutory instruments are formally laid in Parliament, they have to go through a preliminary sifting process to determine the appropriate parliamentary procedure. The latest draft Brexit SIs laid for sifting are reported here. Subjects covered include amendments to legislation in the field of environment to make operability changes to food information laws, including the alignment of EU retained and HM Revenue and Customs (HMRC) legislation that will cease to operate after IP completion day, and ensure that the appropriate rules providing for movement and control of wine products from both a regime and excise perspective are maintained after the end of the Brexit transition period. The amendments are described as ‘minor’.

See News Analysis: Brexit SI Bulletin—drafts laid for sifting on 19 November 2020.

Brexit transition guidance

Brexit Bulletin—BEIS outlines key actions for sectors to prepare for end of transition period

Secretary of State for Business, Energy and Industrial Strategy (BEIS), Alok Sharma, has written to a number of UK business sectors outlining key actions they need to take to prepare for changes taking effect from 1 January 2021, after the end of the Brexit transition period. Each letter contains high level reminders of key actions to be taken with links to related government guidance and its online transition checker tool.

See: LNB News 18/11/2020 82.

Climate change requirements—further Brexit transition guidance from BEIS

BEIS has published further guidance on meeting climate change requirements from 1 January 2021 to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 16/11/2020 23.

Chemicals sector—new Brexit transition webpage from BEIS

BEIS has published a fresh webpage for UK businesses and organisations in the chemicals sector collating existing stakeholder and sectoral guidance on preparation for changes coming into effect after the end of the transition period. Subjects covered include various chemicals regulations, importing and exporting goods, trading with the EU, new immigration policies for workers, using personal data and intellectual property rights. The guidance within the new webpage is not new but has been collated by sector for ease of reference and bookmarking. Some of the guidance may change as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 17/11/2020 8.

Trading with the EU—updated Brexit transition guidance from the Cabinet Office

The Cabinet Office has published updated guidance on trading with the EU from 1 January 2021 to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 17/11/2020 99.

Data protection and data flows—updated Brexit transition guidance from DCMS

The Departments for Digital, Culture, Media & Sport (DCMS) and Business, Energy & Industrial Strategy (BEIS), along with the Office for Civil Society (OCS) and Information Commissioner's Office (ICO) have collectively published updated guidance on data protection and data flows to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 16/11/2020 108.

Food supply chain—new Brexit transition guidance from DfE

The Department for Education (DfE) has published new guidance on preparing for food supply chain changes for schools, further education colleges and local authorities to help stakeholders prepare for the end of the transition period and beyond. The Department for Education has also updated guidance on school food standards to help schools plan and provide healthy food in schools. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 18/11/2020 41.

Local authority children’s services—updated Brexit transition guidance from DfE

The DfE has published updated guidance on preparing for food supply chain changes for local authority children’s services to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 17/11/2020 80.

Retained blocking regulation—new Brexit transition guidance from DIT

The Department for International Trade (DIT) has published new guidance setting out how protection of trading interests (the retained blocking regulation) will work in the UK from 1 January 2021 to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 19/11/2020 55.

Transporting goods—new Brexit transition guidance from DfT

The Department for Transport (DfT) has published new guidance on transporting goods between Great Britain (GB) and the EU from 1 January 2021 to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 18/11/2020 95.

Fluorinated gases and ozone-depleting substances—further Brexit transition guidance from Defra and EA

The Department for Environment, Food & Rural Affairs (Defra) and Environment Agency (EA) have published further guidance on fluorinated gas (F gas) and ozone-depleting substances (ODS) to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 16/11/2020 83.

Nutrition-related labelling, composition and standards—new Brexit transition guidance from DHSC

The Department of Health and Social Care (DHSC) has published new guidance for businesses on practical changes that will be made to domestic and retained nutrition legislation from 1 January 2021 to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued depending on the precise terms upon which the UK leaves the EU, so stakeholders are advised to monitor these pages for updates.

See: LNB News 18/11/2020 8.

Customs declarations for sending and receiving goods—new Brexit transition guidance from HMRC

HM Revenue & Customs (HMRC) has published new guidance on what customs declarations may be required when sending goods from the UK and bringing or receiving goods into the UK from 1 January 2021 to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 16/11/2020 52.

Changes to legal rulings for the classification of goods from 1 January 2021—new Brexit transition guidance from HMRC

HMRC has published new guidance in relation to changes to legal rulings for the classification of goods from 1 January 2021.

See: LNB News 13/11/2020 48.

Claiming VAT refunds—updated Brexit guidance from HMRC

HMRC has published updated guidance on claiming VAT refunds on goods and services sold in the UK to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 13/11/2020 59.

Importing equines from the EU—new Brexit transition guidance from APHA

The Animal and Plant Health Agency (APHA) has published new guidance on importing equines from the EU to Great Britain (GB) from 1 January 2021 to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 18/11/2020 13.

Marine fishery products—updated Brexit transition guidance from MMO

The Marine Management Organisation (MMO) has published updated guidance on marine fishery products to help stakeholders prepare for the end of the transition period and beyond. Further new and updated guidance may be issued as the transition period progresses, so stakeholders are advised to monitor these pages for updates.

See: LNB News 17/11/2020 52.

Product safety and metrology regulations—further Brexit transition guidance from OPSS

The Office for Product Safety and Standards (OPSS) has published new guidance on specific product safety and metrology regulations for businesses placing goods on the market in Great Britain and in Northern Ireland from 1 January 2021 to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued depending on the precise terms upon which the UK leaves the EU, so stakeholders are advised to monitor these pages for updates. The guidance for Northern Ireland is to published imminently.

See: LNB News 16/11/2020 109.

Licence security—further Brexit transition guidance from RPA

The Rural Payments Agency (RPA) has published a new notice on information on import and export licence security to help stakeholders prepare for the end of the transition period. Further new and updated guidance may be issued depending on the precise terms upon which the UK leaves the EU, so stakeholders are advised to monitor these pages for updates.

See: LNB News 17/11/2020 50.

FCA updates webpage for firms preparing for end of Brexit transition period

The Financial Conduct Authority (FCA) has updated its webpage for firms preparing for the end of the Brexit transition period, with considerations for UK firms and for EEA firms conducting business in the UK.

See: LNB News 12/11/2020 36.

Notice 60: Intrastat general guide updated

HMRC has updated the August 2018 version of Notice 60: Intrastat general guide with information in relation to the submission of Intrastat declarations from 1 January 2021.

See: LNB News 13/11/2020 50.

Beyond Brexit

Beyond Brexit—HMRC urges more traders to sign up to TSS

HMRC has announced that more than 7,000 traders have registered for the free-to-use Trader Support Service (TSS) in the lead up to the Brexit transition period ending on 31 December 2020. TSS is designed to help traders by completing digital processes on behalf of all businesses moving goods under the Northern Ireland Protocol to the Withdrawal Agreement and provides full guidance and support on the next steps from 1 January 2021. The government is urging more traders to register now and take advantage of the scheme’s comprehensive package of support and guidance.

See: LNB News 18/11/2020 88.

Beyond Brexit—government reiterates ‘NHS is not on the table in any future trade deal’

The government has reiterated its trade policy and objectives in a Westminster Hall debate on an e-petition relating to trade deals and the NHS. The petition, which raised over 111,000 signatures, highlighted concerns that a trade deal between the UK and the US might not exempt the NHS, ‘leaving it vulnerable to privatisation and in direct contradiction to promises this would not happen’. In response to the petition, and in the debate, the government restated its commitment to the guiding principles of the NHS and reiterated its policy position as stated in the UK-US trade negotiation objectives, which said that the NHS, its services and the price it pays for drugs would not be on the table in trade negotiations. In addition, the government insists that it will not be making changes to UK intellectual property rights that would lead to future rises in the price of medicines for the NHS, nor would it compromise on high standards of data protection for health and care data.

See: LNB News 17/11/2020 108.

Beyond Brexit—bidding process opens for freeports in England

HMT has launched the bidding process to establish at least seven new freeports in England. Freeports should ‘boost the economy,’ create thousands of jobs and ‘turbo-charge’ post-Brexit trade by attracting domestic and international investment through tax reliefs and simplified customs procedures. HMT is encouraging all sea, air and rail ports across England to apply for freeport status by 5 February 2021. The Chancellor of the Exchequer, Rishi Sunak, said that freeports will be key to delivering ‘lasting prosperity to the British people’.

See: LNB News 16/11/2020 74.

Beyond Brexit—bilateral agreement on air travel signed by UK and US

DfT has announced the signing of a new bilateral agreement between the UK and the US, on 17 November 2020, to safeguard the future of air travel between the two nations. The new bilateral arrangement will replace the current EU agreement and contribute to a trade relationship worth over £230bn.

See: LNB News 18/11/2020 12.

Beyond Brexit—committee issues report on UK–Japan Comprehensive Economic Partnership Agreement

The International Trade Committee has issued its report on the new UK trade deal with Japan, which is due to take effect when the transitional arrangements governing UK–Japan trade (under the existing Japan–EU Economic Partnership Agreement) comes to an end at the end of the Brexit transition period. The Committee’s report on the UK–Japan Comprehensive Economic Partnership Agreement (CEPA) provides background on the agreement and the Committee’s role in scrutinising it. It then examines various provisions of the agreement, including but not limited to: trade in goods, technical barriers to trade, trade in services, digital data, investment, intellectual property, customs and trade facilitation, anti-corruption, and agreement implementation and government. The Committee welcomes the agreement, which is intended to provide continuity and certainty to UK businesses involved in trade with Japan under the transitional arrangements.

See: LNB News 19/11/2020 109.

Beyond Brexit—committee publishes report on UK-Japan Comprehensive Economic Partnership Agreement

The International Agreements Sub-Committee has published a report on the UK-Japan CEPA. The report scrutinises the UK-Japan trade agreement considering key chapters where CEPA varies from the EU-Japan Economic Partnership Agreement (JEEPA) including tariffs, rules of origin and cumulation, trade in services, digital trade, and intellectual property. It also considers where CEPA is identical or near identical to JEEPA, before considering practical matters such as the government’s presentation of CEPA and ways of working with Parliament.

See: LNB News 20/11/2020 37.

Editor's picks—the practice area/sector view

This section contains key Brexit news hand-picked by Lexis®PSL lawyers from their own practice areas.

Banking and Finance

LMA Brexit note and EU legislative references destination tables published

The Loan Market Association (LMA) has published a note entitled ‘Documentary implications of the end of the Brexit transition period for LMA facility Documentation’, which consolidates and updates the earlier Brexit notes published in September 2016 and April 2019, as well as two EU legislative references destination tables.

See: LNB News 18/11/2020 81.

For the latest LMA developments, see Practice Note: Loan Market Association (LMA)—latest news on documentation.

ISDA responds to joint consultation paper on UK withdrawal from the EU

The International Swaps and Derivatives Association (ISDA) has responded to a joint Bank of England and Prudential Regulation Authority (PRA) consultation paper on the UK withdrawal from the EU and changes before the end of the transition period. ISDA has asked the PRA to ‘retain the existing scope of qualifying indices for the purposes of detailed rules on liquidity horizons in the new market risk rules on the Fundamental Review of the Trading Book’. Additionally, the response calls for the PRA to clarify the position regarding UK phase-in of phases five and six of the initial market requirements in relation to the binding technical standard on the risk-mitigation techniques.

See: LNB News 19/11/2020 103.

ISDA chief urges EU to take action on equivalence for trading venues

The International Swaps and Derivatives Association (ISDA) has published the latest edition of derivatiViews, in which CEO Scott O’Malia provides informal comments on how cross-border derivatives business between UK and EU participants will work after the Brexit implementation period ends on 31 December 2020. O’Malia highlights the issue of equivalence for trading venues, which has not been addressed by either the UK or the EU.

See: LNB News 17/11/2020 68.

For further updates from Banking and Finance, see: Banking and Finance weekly highlights—overview.

Construction

Architects told to prepare for end of transition period

The Royal Institute of British Architects (RIBA) and the Architects Registration Board (ARB) have jointly called on architects in the UK to prepare themselves for the end of the UK-EU transition period. With one in five architects in the UK having qualified in the EU and the EU being the second largest market for the export of UK architectural services worldwide, the new rules on professional qualifications, immigration and the importing of materials will have a significant impact on the sector.

See: LNB News 17/11/2020 27.

For further updates from Construction, see: Construction weekly highlights—overview.

Corporate

Financial Services and Economic and Monetary Policy (Consequential Amendments) (EU Exit) Regulations 2020

SI 2020/1301: These Regulations are made in exercise of legislative powers under the European Union (Withdrawal Agreement) Act 2020 in preparation for IP completion day. They amend 49 pieces of UK secondary legislation in relation to financial services and economic, and monetary policy. Provisions are made to update references to ‘exit day’ and ‘exit’ so that they refer instead to ‘IP completion day’. The Regulations come into force on 30 December 2020.

For further information, see: LNB News 18/11/2020 38.

For further updates from Corporate, see: Corporate weekly highlights—overview.

Corporate Crime

UK’s sanctions regime requires unique compliance efforts

The UK’s transition out of the EU will end on 31 December 2020 and following its departure, the UK’s sanctions regime will come into effect. The domestic sanctions regime will transpose those restrictions that are currently imposed by the EU sanctions regime. Satindar Dogra, partner, Mikhail Vishnyakov, managing associate and Irene Obahiagbon, associate at Linklaters LLP discuss the UK’s future sanctions regime.

See News Analysis: UK’s sanctions regime requires unique compliance efforts.

Brexit—loss of access to EU law enforcement systems could have significant impact

The loss of access to operational tools such as the European arrest warrant (EAW), European investigation order (EIO), European Criminal Records Information System (ECRIS), Schengen Information System (SIS), Europol and Eurojust, and the Prüm DNA Exchange Programme in a no deal scenario will have significant consequential impacts in terms of a loss of intelligence, and fewer instruments available for authorities to use operationally, experts have said.

See: LNB News 18/11/2020 65.

Draft Law Enforcement and Security (Separation Issues etc.) (EU Exit) Regulations 2020 approved by House of Commons committee

On 18 November 2020, the House of Commons Seventh Delegated Legislation Committee held a brief debate on, and subsequently approved, the Draft Law Enforcement and Security (Separation Issues etc.) (EU Exit) Regulations 2020. The draft regulations amend both the Law Enforcement and Security (Amendment) (EU Exit) Regulations 2019, SI 2019/742, and the Criminal Justice (Amendment etc.) (EU Exit) Regulations 2019, SI 2019/780, to reflect transitional provisions in Article 62 of the Withdrawal Agreement relating to certain EU instruments for law enforcement co-operation and the processing of data before the end of the implementation period. They also amend the Extradition Act 2003 (Designation of Part 2 Territories) Order 2003, SI 2003/3334, to designate Norway and Iceland as Part 2 territories. The approval of the draft regulations completes the final step before they are formally made, and will come into force immediately before IP completion day.

See: Law Enforcement and Security (Separation Issues etc) (EU Exit) Regulations 2020, LNB News 20/10/2020 21 and Hansard, 18 November 2020.

For further updates from Corporate Crime, see: Corporate Crime weekly highlights—overview.

Financial Services

HM Treasury, the PRA and the FCA publish joint statement on the implementation of prudential reforms contained in the Financial Services Bill

HM Treasury, the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) published a joint statement on the implementation of prudential reforms contained in the Financial Services Bill. As the Financial Services Bill continues its progress through Parliament, HM Treasury, the FCA and the PRA consider it appropriate to update industry on planned timelines for introducing the UK’s Investment Firms Prudential Regime (IFPR) and implementation of those Basel III reforms which make up the UK equivalent to the outstanding elements of the EU’s second Capital Requirements Regulation.

See: LNB News 16/11/2020 62.

For further information, see: Impact of Brexit: CRR and prudential regulation—quick guide.

PRA statement on the application of TTP to CRD V and BRRD II derived legislation

The PRA has published a statement confirming that no additional exceptions from the application of the temporary transitional power (TTP) are expected to be required in relation to onshoring changes to new rules and legislation implementing Directive (EU) 2019/878 (CRD V) and Directive (EU) 2019/879 (BRRD II).

See: LNB News 13/11/2020 103.

PRA CEO discusses proposed simplification of UK small bank regulation

The PRA published a speech by its CEO, Sam Woods, in which he discussed the direction of UK financial regulation post-Brexit and the Treasury’s proposal to delegate responsibility for the implementation of firm requirements to the regulators. This would mean that ‘the vast majority of the updated banking regime will be implemented in PRA rules’, and Woods discussed in his speech the potential to use the new powers to simplify the regulation of smaller UK banks.

See: LNB News 13/11/2020 88.

TheCityUK examines UK financial services exports

TheCityUK has published a report saying financial services are the biggest exporting service sector in ‘every British region and nation apart from the South East and the East of England’. The report finds that all regions and nations in Britain saw growth in financial and related professional services exports in 2019, with the industry’s exports rising overall by 8.2% year-on-year.

See: LNB News 12/11/2020 73.

For further updates from Financial Services, see: Financial Services weekly highlights—overview.

Immigration

International trade agreements and UK immigration policy

Seema Farazi, partner in the global immigration financial services at Ernst and Young LLP, participated in a recent joint report with The CityUK on International trade agreements and UK immigration, and summarises its findings here. The report makes several recommendations, including in relation to business visitors, service delivery, youth mobility and intra-company transfers. According to its conclusions, policymakers must ensure that ‘the UK’s immigration system is agile enough to support the development of business-friendly free trade agreements post-Brexit’.

See News Analysis: International trade agreements and UK immigration policy.

For further updates from Immigration, see: Immigration monthly highlights—overview.

Information Law

ICO plans webinar for data protection post-Brexit

The Information Commissioner’s Office (ICO) has announced that it is running a webinar for small and medium sized organisations to discuss the impact of IP completion day on data protection, including specific new requirements to consider. Further, the webinar will cover the ICO’s role, how data will ‘continue to flow to and from the UK’, how Schrems II has impacted the data protection landscape and new requirements for EU Representatives. Attendees will also have the opportunity to raise any queries related to data protection post-IP completion day. The webinar will take place at 10.30 am, Thursday 3 December 2020.

See: LNB News 20/11/2020 16.

For further updates from Information Law, see: Information Law weekly highlights—overview.

Insurance & Reinsurance

Lloyd’s seeks court approval of post-Brexit policies transfer

Lloyd’s of London (Lloyd’s) urged a court on 18 November 2020 to approve the transfer of its European insurance business to a new Brussels subsidiary ahead of the UK’s departure from the EU at the end of the year and the loss of its members’ passporting rights.

See News Analysis: Lloyd’s seeks court approval of post-Brexit policies transfer.

For further updates from Insurance & Reinsurance, see: Insurance & Reinsurance monthly highlights—overview.

Life Sciences

Brexit Bulletin—DHSC updates medical suppliers on preparations

The Chief Commercial Officer of the Department of Health and Social Care (DHSC), Steve Oldfield, has written a letter to medicines and medical product suppliers providing an update on the plans ahead of the end of the transition period on 31 December 2020. The letter follows a previous letter sent on 3 August 2020 which concerned the uninterrupted supply of medicines, medical devices, clinical trial supplies and vaccines.

See: LNB News 18/11/2020 9.

For further updates from Life Sciences, see: Life Sciences weekly highlights—overview.

Personal Injury

Brexit’s impact on cross border personal injury and clinical negligence claims

Sarah Prager, barrister at 1 Chancery Lane, offers her thoughts on how Brexit has and will continue to affect road traffic accident claims, personal injury and clinical negligence claims.

See News Analysis: Brexit’s impact on cross border personal injury and clinical negligence claims.

For further updates from Personal Injury, see: Personal Injury weekly highlights—overview.

Public Law

UK Parliament’s role in ratifying a UK-EU future relationship treaty

The UK’s post-Brexit transition period expires at 11 pm on 31 December 2020. The UK and EU are in negotiations to agree a new treaty-based relationship before then, so that co-operation in key areas can continue in mutually beneficial ways. However, unless one or more treaties can be ratified before the end of 2020, many of the current arrangements automatically end. In this insight, Graeme Cowie, constitutional law researcher at the House of Commons Library, explains that, although the UK Parliament normally has a statutory period to scrutinise and potentially debate any new UK-EU treaty, it will not necessarily vote on whether to approve it. The UK government could also reduce or remove that scrutiny period if it wished.

See News Analysis: UK Parliament’s role in ratifying a UK-EU future relationship treaty.

Scotland publishes European Structural Funds replacement plans for after Brexit

The Scottish Government has published plans for replacing European Structural Funds after Brexit, which establish the new Scottish Shared Prosperity Fund (SSPF). The SSPF is to focus on addressing and reducing economic and social disparity. The plans show that regional partners will play an important role in the SSPF regarding allocation of funding and programme development for their area and have been developed following 12 months of consultation.

See: LNB News 19/11/2020 50.

For further updates from Public Law, see: Public Law weekly highlights—overview.

Restructuring and Insolvency

Brexit materials for restructuring and insolvency practitioners (November 2020)

This News Analysis highlights the Brexit materials available on Lexis®PSL Restructuring & Insolvency as at 16 November 2020 and sets out our preparations for implementation period (IP) completion day on 31 December 2020.

See News Analysis: Brexit materials for restructuring and insolvency practitioners (November 2020).

For further updates from Restructuring and Insolvency, see: Restructuring and Insolvency weekly highlights—overview.

Tax

HM Treasury announces tax reliefs for freeports

HM Treasury has announced the introduction of a bidding process to establish at least seven new freeports in England. The new freeports policy includes a new customs model, built on the UK’s current customs arrangements while taking inspiration from international best practice. Under the new policy a company can import goods into a freeport without paying tariffs, process them into a final good and then either pay a tariff on goods sold into the domestic market, or export the final goods without paying UK tariffs.

HM Treasury states that those granted freeport status will benefit from: ‘a wide package of tax reliefs, simplified customs procedures, a streamlined planning processes to boost redevelopment and government support to promote regeneration and innovation’ including:

● SDLT relief on land purchases within freeport tax sites

● enhanced structures and buildings allowance

● enhanced capital allowances

● employer national insurance contributions relief, and

● business rates relief

See: LNB News 16/11/2020 74.

Changes to VAT margin scheme after transition cause alarm for Northern Ireland businesses

Changes to the operation of the VAT margin scheme in Northern Ireland after the end of the transition period may result in increased VAT liabilities for traders purchasing stock in Great Britain and selling in Northern Ireland. HMRC states in its guidance that ‘in line with EU rules, margin schemes involving goods, such as the second-hand margin schemes, will not usually apply for sales in Northern Ireland where the stock is purchased in Great Britain. The VAT on these sales will be subject to the normal rules and must be accounted for on the full value of the supply.’ It is understood that the Joint Committee on the Northern Ireland Protocol is aware of the issue and is considering it.

See: LNB News 19/11/2020 7.

European Parliament approves proposal to amend VAT rules to identify Northern Ireland businesses

The European Parliament has approved the proposal for a Council Directive amending the VAT Directive (2006/112/EC) as regards the identification of taxable persons in Northern Ireland. Under the proposal distinct VAT identification numbers will be used for Northern Ireland from 1 January 2021 to address the fact that Northern Ireland will remain under EU VAT legislation for supplies of goods but will be outside EU VAT legislation for supplies of services. It is anticipated that the European Council will now formally adopt the new Council Directive so that it can be implemented before the end of the transition period.

See: European Parliament legislative resolution of 11 November 2020 on the proposal for a Council directive amending Directive 2006/112/EC on the common system of value added tax as regards the identification of taxable persons in Northern Ireland.

For further updates from Tax, see: Tax weekly highlights—overview.

TMT

Fintech regulation in a post-Brexit landscape

Tom Bohills, founder and principal of Chronos Law, discusses what the regulation of fintech may look like after the end of transition and the impact it may have on UK fintech companies accessing EU markets.

See News Analysis: Fintech regulation in a post-Brexit landscape.

For further updates from TMT, see: TMT weekly highlights—overview.

Brexit content and quick links

For further updates, this section contains quick links to popular trackers and practical guidance content on Brexit:

● Brexit Bulletin—key updates, research tips and resources—this Brexit Bulletin provides a quick reference Brexit research aid and updating tool. It answers key questions on Brexit and includes helpful Brexit updates, research tips and resources

● Brexit timeline—this Practice Note tracks key events during the transition/implementation period, focussing in particular on negotiations between the UK and EU on the terms of their future relationship post-Brexit

● Brexit legislation tracker—this Practice Note tracks the progress of UK legislation introduced in connection with Brexit. It includes a Brexit SI database collating details of draft and enacted Brexit SIs, as well as draft Brexit SIs laid for sifting

● Brexit toolkit—for ease of reference, this toolkit collates practical guidance on the specific legal and practical implications of Brexit across a range of practice areas. The Brexit toolkit brings all of the core content together for ease of reference and also provides essential background information, trackers and analysis on the process of withdrawing from the EU and negotiating new trade relationships with the EU and third countries

Latest Q&A

● What is the definition of a 'transfer' under Chapter V of the General Data Protection Regulation, Regulation (EU) 2016/679 (the EU GDPR)? Is it limited to actual movement of personal data from one place to another? If UK staff access, view and amend personal data held on a server in the EU (doing all such things on EU servers) from the UK following the end of the Brexit implementation period could that be a 'transfer' of personal data outside the EEA subject to Chapter V of the EU GDPR?

LexTalk®Brexit: a Lexis®PSL community

Collaborate and network with a community of expert lawyers

LexTalk® is an online community forum which gives Lexis®PSL subscribers the opportunity to post questions, hold conversations, participate in discussions and share best practice. It has been designed to provide a secure place for legal professionals to discuss legal developments, offer and receive peer support, and gain a sense of up-to-date market practice and advances in real-time. You can access and post questions on all of the dedicated practice area forums, including a dedicated community for Lexis®PSL Brexit.

Click here to sign up and meet like-minded community members, create a profile, connect, share, and start participating today! Alternatively, you can access LexTalk® on the key resources tab on your Practice Area home page.

Useful information

The following recent journal articles are available subject to subscription:

● Up Front: Ireland blow to Brexit rights: In this article, John Hyde highlights the Law Society of Ireland’s announcement, ‘Practising certificates and solicitors outside the jurisdiction’, confirming a ‘physical presence’ requirement for solicitors intending to practise in Ireland. See: Law Society Gazette (2020) LS Gaz, 16 Nov, 3 (1)

● Drafting for Brexit in finance documents: In this article, Avril Forbes considers the drafting of EU legislative references, construction clauses, bail-in clauses and jurisdiction clauses in finance documents after IP completion day, covering the documentary changes necessary to address the UK’s departure from the EU and the creation of retained EU law. See: Journal of International Banking and Financial Law (2020) 11 JIBFL 727

● Is there a better way? In this article, Neil Warren estimates how the end of the Brexit transition period will affect a UK business buying or selling services, appreciating it will be 'status quo' in most cases, albeit with some important exceptions. See: Taxation, 19 November 2020, 20

Please feel free to contact the Lexis®PSL team with your comments, queries or suggestions: Contact us.

We are also on Twitter—you can follow us: @LexisNexisUK.


Related Articles:
Latest Articles:
About the author:
Holly joined LexisNexis in July 2014 and works primarily on the PSL Public Law module. Holly read law at university and qualified as a solicitor in private practice. Before starting her legal career, she gained experience working in local government and spent a year studying politics. Prior to joining LexisNexis, Holly worked in the Global Technology and Sourcing team at BP, supporting a variety of global procurement and compliance projects. Upon joining LexisPSL, she worked in the Commercial and LexisAsk teams before assisting with the development and launch of the PSL Public Law module. Holly looks after a number of core public law subject areas, including Brexit.