Brexit & Beyond newsletter

1 April 2025

 Welcome to the 1 April 2025 Brexit & Beyond newsletter

This week, Lord Murphy invited written submissions from stakeholders to his independent review of the Windsor Framework.
 
At the Assembly, the Minister of Agriculture, Environment and Rural Affairs updated Members on his engagement with the UK Government on the potential for an SPS veterinary agreement with the EU.
 
In the House of Commons, Gregory Campbell MP secured a Westminster Hall debate on horticulture trade between Great Britain and Northern Ireland.
 
The House of Lords European Affairs Committee continued work on its inquiry into the UK-EU reset. The House of Lords Northern Ireland Scrutiny Committee heard from the Federation of Small Businesses and the Ulster Farmers' Union as part of its inquiry into Strengthening Northern Ireland’s Voice in the context of the Windsor Framework.
 
The House of Lords also approved the Ecodesign for Energy-Related Products and Energy Information (Amendment) (Northern Ireland) Regulations 2025.
 
The rapidly changing trade environment has dominated headlines this week and will continue to do so ahead of President Trump’s tariff announcements tomorrow.

 

 

The Independent Review of the Windsor Framework

As previously reported, the Secretary of State for Northern Ireland has appointed Lord Murphy of Torfaen to conduct the independent review of the Windsor Framework in line with provisions set out in Schedule 6A of the Northern Ireland Act 1998.  Lord Murphy will submit a report on the Windsor Framework's functioning to the UK Government within six months of 9 January 2025.

As part of the Independent Review, Lord Murphy is asking for input from stakeholders with relevant experience or opinions on the Windsor Framework. If you have insights, comments, or concerns, you’re invited to share them in writing so that a wide range of perspectives is considered. Feedback can be submitted until 31 May 2025. 

 

Sanitary and Phytosanitary (SPS) Veterinary Agreement

Last Tuesday during Question Time at the Assembly, the Minister of Agriculture, Environment and Rural Affairs told the Chamber that he has “had significant engagement with the UK Government on the potential for an SPS veterinary agreement. That significant engagement has included speaking with the Secretary of State for Northern Ireland, the DEFRA Secretary of State, DEFRA Ministers and Nick Thomas-Symonds from the Cabinet Office.” Minister Muir said that he has “been consistent in my messaging to those Ministers that the SPS veterinary agreement should be ambitious and comprehensive and benefit Northern Ireland.”

The Minister told Members that he “raised concerns last week with the UK Government about their pursual of gene editing and how that could end up excluding Northern Ireland from an SPS veterinary agreement and therefore increase friction in trade between GB and NI rather than reduce it.”  Minister Muir said he looks forward to meeting Daniel Zeichner MP, Minister for Food Security and Rural Affairs, DEFRA with the aim of having “a comprehensive and ambitious SPS veterinary agreement that can benefit Northern Ireland, result in the removal of the Northern Ireland retail movement scheme, further other schemes and contribute to growth across the UK economy.” 

 

Horticulture Trade between Great Britain and Northern Ireland

Last Tuesday at the House of Commons, Gregory Campbell MP (DUP) raised the horticulture trade between Great Britain and Northern Ireland in a Westminster Hall debate.  He said “Unfortunately, the original protocol agreement presented substantial difficulties for horticultural businesses based in GB in supplying Northern Ireland…in the time since then there have been some improvements, but unfortunately those improvements do not get us where we need to be.”

He agreed with Alex Easton MP (Independent) that the “sixfold burden on horticultural trade, encompassing regulatory divergence, sanitary and phytosanitary checks, certification requirements, increased costs and paperwork, is imposing an untenable strain on businesses across Northern Ireland”.

Mr Campbell referred to research carried out by the Consumer Council in Northern Ireland which looked at the “experiences of retailers that do not deliver to Northern Ireland, focusing on online marketplaces. It did a survey of over 1,000 Northern Ireland customers, and 76% of those surveyed stated that they had experienced online marketplaces that do not deliver to Northern Ireland. The second most common product category was garden plants, seeds and horticulture—38% of those surveyed said that they experienced the impossibility of getting plants and seeds delivered.”

Silver birch saplings

 Fleur Anderson MP, the Parliamentary Under-Secretary of State for Northern Ireland responded to the debate. She said: “The framework safeguards horticultural movements—generally—providing a sustainable long-term footing. However, I recognise that improvements need to be made in the areas raised by the hon. Members for Upper Bann and for East Londonderry, and by others. That is the focus of the horticultural working group…The group meets regularly to address issues, and I welcome the constructive and honest way in which it approaches its work. I am also very ready to meet any of its members; I met the Ulster Farmers Union last week.

There is guidance and support available to help businesses in Great Britain understand the schemes that can be used for moving goods from GB to Northern Ireland. The horticultural working group membership worked with UK Government officials to revise that guidance, which was published earlier this year.

In addition, the framework and our improved relationships with our European Union counterparts continue to facilitate the movement of high-risk plants… Through that constructive engagement, we are seeing results. Last month, we lifted the ban on a further two species of plant—silver and downy birch”.

As previously reported, the Horticultural Trades Association submitted written evidence to the Northern Ireland Affairs Committee, which said: “There is no solution on offer for plants sold from GB online or mail order retailers to Northern Irish consumers, who will either find it impossible or difficult and costly to order plants from British based online sellers and mail order companies. This is due to the requirement for phytosanitary certificates remaining for parcels of plants sent from GB businesses to NI consumers, with no easements in place for parcels going business to consumer, only for privately sent parcels. GB mail order & online businesses are being asked consistently by NI consumer customers who wish to resume buying from these outlets but cannot fulfil their requests. While the NI Horticulture Working Group is looking at this as an issue, the only solution is for businesses to pay for a NI distribution centre for their goods, and despatching consumer packs from there. There is no solution that is available for this issue that does not involve significant investment and cost for businesses, if they are even willing to make that investment, as NI may not necessarily be the largest market for that business.”

 

The UK-EU reset

As part of its inquiry into the UK-EU reset, the House of Lords European Affairs Committee heard evidence on Tuesday from: Silke Goldberg, Partner, Herbert Smith Freehills; Matt Hinde, Head of EU Affairs, National Grid; and, Adam Berman, Director of Policy and Advocacy, Energy UK.

Asked about the current state of the relationship between the UK and EU on energy and climate change, Silke Goldberg said: “From a legal perspective, there has not been a huge amount of change. The TCA [EU-UK Trade and Cooperation Agreement], as the basis of the relationship between the UK and the European Union, has never been fully implemented, or has been implemented only hesitantly.”

Silke Goldberg highlighted that “there is no institutional framework around this which, in very highly technical areas such as energy and emission trading, actually makes finding a way to co-operate quite complicated.”

Adam Berman observed: “the TCA is limited in terms of how it touches on key elements of the energy system and climate action. This is an area where there is an incredibly high level of alignment on both sides. There is a legally binding net zero target; they call it climate neutrality in Brussels. There are intermediary targets and there are policy mechanisms that look almost exactly the same on both sides of the Channel. However, we have maintained complete independence from one another in terms of co-operation between those different mechanisms. The TCA structure has allowed some limited dialogue between both sides on a working level, so we have a Specialised Committee on Energy which meets about twice a year.”

Adam Berman noted the influence of the “political climate…If the political climate says there is no progress to be made, the Specialised Committee cannot do anything”. Matt Hinde commented that his “understanding is that the Government are prioritising this [energy issues] in terms of the reset. In the run-up to the 19 May summit, there was a statement from the Department for Energy Security and Net Zero saying that emissions trading linkage was on the agenda”.

The evidence also touched on the impact of the EU’s Carbon Border Adjustment Mechanism (CBAM) which comes into effect on 1 January 2026. Touching on Northern Ireland, Adam Berman said it would have “really substantial implications”. He continued “You will see exports from GB to Northern Ireland facing a new regulatory barrier as they move from the green lane to the red lane. You will see exports from Northern Ireland into the Republic of Ireland and into the single market more broadly facing a new regulatory barrier for the Northern Irish economy.”

In a letter to the Chair of the Northern Ireland Affairs Committee on 25 January, the Exchequer Secretary to the Treasury said: “the Government plans to apply the UK CBAM across the whole UK, including in Northern Ireland, from 2027. The UK will continue to work with international partners, including the EU, to ensure our approach is implemented in a way that works for businesses.”

He continued: “the EU’s CBAM could only apply in Northern Ireland with the agreement of the UK and in line with the democratic safeguards of the Windsor Framework. We have not received any formal notification in relation to the EU’s CBAM, and therefore any such scenario remains hypothetical.”

The deadline for written submissions to this inquiry is Wednesday, 2 April. 

 

Fishing negotiations

During a Westminster Hall debate on the impact of quota negotiations on the UK fishing fleet in 2025 on Wednesday, Jim Shannon MP (DUP) raised the upcoming negotiations between the UK and the EU, commenting, “The Northern Ireland industry’s priority for the negotiations is not necessarily quota; it is access to the Republic of Ireland’s 6 to 12 nautical mile zone, which we lost through Brexit…In the original withdrawal agreement, France was granted access to UK waters—specifically, English waters on the south coast—on the basis of grandfather rights. There is therefore, I believe, a precedent for offering access to limited named vessels in the negotiations.”

Jim Shannon MP (DUP) speaks during a Westminster Hall debate on fishing on WednesdayJim Shannon MP speaks during a Westminster Hall debate on fishing on Wednesday

The Minister for Food Security and Rural Affairs Daniel Zeichner MP responded to the debate and said: “The temporary adjustment period for fisheries access ends in 2026, as was agreed in the UK-EU trade and co-operation agreement. The Government are absolutely committed to a reset with the European Union, but I assure the House of my determination that we get a good outcome for the fisheries sector. We have proven our ability to build a strong relationship with the EU on fisheries matters, including through the quota negotiations. We have had five years of annual negotiations, and we have built strong foundations on which to take forward future agreements that benefit our shared fish stocks and our respective industries.” 

 

Strengthening Northern Ireland’s Voice in the context of the Windsor Framework

Last Wednesday, the House of Lords Northern Ireland Scrutiny Committee heard from Roger Pollen of the Federation of Small Businesses (FSB) and Alexander Kinnear of the Ulster Farmers' Union (UFU), as part of its inquiry into Strengthening Northern Ireland’s Voice in the context of the Windsor Framework. Roger Pollen highlighted that business owners in Northern Ireland aren’t being “effectively heard.”

On the topic of stakeholder engagement, Alexander Kinnear said that, in his view, voices are being listened to “at a very high level.” He pointed out that meetings with stakeholders are taking place every few months ahead of the UK-EU Joint Consultative Working Group. Roger Pollen recounted that earlier that week he and Alexander had attended an engagement with European Commission officials about forthcoming EU legislation in its work programme, which will have an impact on Northern Ireland. However, they were told the details could not be disclosed. He questioned the value of the engagement under these terms. When the Windsor Framework was announced in February 2023, the European Commission published a statement on ‘enhanced engagement with Northern Ireland stakeholders’, which included engagement with Northern Ireland stakeholders on the Commission Work Programme each year.

Alexander Kinnear suggested that the Office of the Northern Ireland Executive in Brussels should be better resourced, so it can serve as the main hub for information and act as a bridge between the EU and Northern Ireland. Meanwhile, Roger Pollen proposed that the UK Government should address this issue with more “heft,” recommending the creation of an Office of Regulatory Divergence to help businesses across the UK receive timely notification about upcoming changes.

When asked about engagement with Stormont, Roger Pollen reflected that the FSB had been asked to engage with the Democratic Scrutiny Committee on “unacceptably short notice, because they had been asked to do a piece of work with unacceptably short notice”, which he felt “is not a good way for the process to operate.” 

 

Ecodesign for Energy-Related Products and Energy Information (Amendment) (Northern Ireland) Regulations 2025

Last Wednesday, the House of Lords approved the Ecodesign for Energy-Related Products and Energy Information (Amendment) (Northern Ireland) Regulations 2025. Lord Hunt, the Minister of State, Department for Energy Security and Net Zero told the Lords this instrument “forms an important part of the Government’s commitment to ensuring that energy-related products are sustainable and efficient by enabling new regulations to be enforced as they apply in Northern Ireland. Ecodesign policies aim to reduce the environmental impact of energy-related products by reducing their energy consumption and use of material resources, reducing carbon emissions and saving businesses and consumers money on their energy bills. Energy labelling regulations help better inform consumers and encourage them to purchase more efficient products.”

He continued to say that it is “required to enable market surveillance authorities properly to enforce the latest EU rules which apply in Northern Ireland, ensuring legal consistency and fulfilling the UK’s international obligations. The instrument will update both the Ecodesign for Energy-Related Products Regulations 2010 and the Energy Information Regulations 2011 with respect to Northern Ireland. These updates will ensure that the specific Northern Ireland tables in the 2010 and 2011 regulations accurately reflect the latest product-specific ecodesign and energy labelling measures and enable these measures to be enforced by the relevant market surveillance authorities.”

Baroness Hoey moved a regret amendment (which was later withdrawn). She commented that “[t]hese regulations really will hit home with people going about their day-to-day lives. They affect electrical household goods, household tumble dryers, smartphones, mobile phones and numerous other goods in everyday use.”

Lord Hunt responded saying “The ecodesign and energy labelling laws will update the pre-existing enforcement regime in accordance with what was agreed in the Windsor Framework. If we do not update regulations with respect to Northern Ireland, market surveillance authorities would not be able to enforce the law and we would then risk breaching our obligations under the Windsor Framework. We think that consumer products, ecodesign and energy labelling go hand-in-hand with providing consumers with valuable information, enabling them to make an informed choice and eventually driving the market towards more energy-efficient products.” 

 

Trade with the US

Ahead of Donald Trump’s "Liberation Day" tomorrow, there is much discussion about the imposition of tariffs or taxes on imports.

From 3 April, there will be an additional 25 percent tariff on imported cars and auto parts. Responding to the announcement in a statement, Ursula von der Leyen, President of the European Commission said: “I deeply regret the US decision to impose tariffs on European automotive exports… As I have said before, tariffs are taxes – bad for businesses, worse for consumers equally in the US and the European Union… The EU will continue to seek negotiated solutions, while safeguarding its economic interests.”

The European Commission has presented countermeasures to retaliate against those announced by the US but delayed their introduction until mid-April.

With a new and expanded set of Trump-era tariffs approaching, the Commission is adopting a firmer stance, indicating that its response will have no predetermined limits.

As reported by the Times, the US is the UK’s second largest car export market, after the EU, with exports of more than 101,000 units in 2024. The Office for Budget Responsibility (OBR) has said the threat of US tariffs of up to 20 per cent on UK exports could wipe 0.6 per cent off GDP growth by 2026, with the economic hit increasing to one per cent of GDP with the government’s retaliatory tariffs.

The Prime Minister spoke to President Trump on Sunday evening. They discussed the productive negotiations between their respective teams on a UK-US economic prosperity deal, agreeing that these will continue at pace this week. Speaking to BBC Breakfast today, the Secretary of State for Business and Trade Jonathan Reynolds MP said that ongoing talks with the Trump administration meant the UK was in the "best possible position of any country" to have tariffs reversed. 

 

UK-EU relations: Coalition of the Willing

The Prime Minister co-hosted a meeting of the Coalition of the Willing alongside President Macron in Paris on Thursday. The Prime Minister underlined that all leaders must come together to support Ukraine to remain in the fight and back US efforts to make real progress despite continued Russian obfuscation.

NATO Secretary General Mark Rutte, President of Ukraine Volodymyr Zelenskyy, President of France Emmanuel Macron and the UK Prime Minister Keir Starmer speaking in Paris.NATO Secretary General Mark Rutte, President of Ukraine Volodymyr Zelenskyy, President of France Emmanuel Macron and the UK Prime Minister Keir Starmer speaking in Paris.

After the meeting, European Commission President Ursula von der Leyen said it was “another demonstration of European unity”, adding that the coalition has become “bigger, stronger and very determined”. 

 

AI and the EU

In June 2024, the EU adopted the world’s first rules on AI. Last Monday, the European Commission officially proposed adding the EU AI Act to the list of EU legislation that applies in Northern Ireland post-Brexit.

Article 13(4) of the Windsor Framework sets out the process for new EU laws to be added to the Windsor Framework. The EU must inform the UK in the EU-UK Joint Committee if it considers a new EU law to be within the scope of the Framework. It can only be added to the list of EU laws which apply under the Framework if the UK agrees. The Government introduced changes to how such new laws are added to the Framework: the Windsor Framework (Democratic Scrutiny) Regulations 2024 inserted a new Schedule 6B (EU Withdrawal: Windsor Framework democratic scrutiny) into the Northern Ireland Act 1998. Provisions in this schedule prohibit the Government from agreeing in the Joint Committee to add a new EU law to the Framework, unless the Assembly has indicated cross-community support by passing an ‘applicability motion’. Read more about applicability motions.

Dr Barry Scannell (a Partner in William Fry’s Technology department) told the Irish Legal News that the move “is arguably more symbolic than strictly necessary from a commercial standpoint, given that any company in Northern Ireland already intending to place AI products on the EU market must comply with the Regulation’s requirements”. 

 

Other news

 

  • The Royal Mail has is asking customers to familiarise themselves with new requirements – in effect from 1 May – under the Windsor Framework.                                                                                                                                                                                                  
  • EU Trade Commissioner Maroš Šefčovič travelled to Beijing on Thursday for two days of meetings. During his trip he met with European businesses represented in the European Union Chamber of Commerce in China, the Vice Premier of China He Lifeng and Minister of Customs Sun Meijun. He also met with China’s Minister of Commerce Wang Wentao.                                                                                                                                                                                        
  • The sixth round of negotiations on an enhanced Free Trade Agreement (FTA) with Switzerland took place in Switzerland between 3 and 10 March 2025. Any organisations or individuals interested in speaking to the Department for Business and Trade about negotiations with Switzerland should do so by emailing ch.fta.engagement@businessandtrade.gov.uk.