Brexit & Beyond newsletter

7 April 2025

 Welcome to the 7 April 2025 Brexit & Beyond newsletter

Last week, President Trump’s tariff announcement dominated news channels. The President announced tariffs of 10 percent on UK exports to the US while the EU was charged with 20 percent.

Since Wednesday, eligible Europeans have required an Electronic Travel Authorisation to travel to the UK.
The Assembly approved the draft Recognition of Professional Qualifications and Implementation of International Recognition Agreements (Amendment) (Extension to Switzerland etc.) Regulations (Northern Ireland) 2025 on Monday.

The deputy First Minister updated the Chamber about the Executive’s engagement activities in North America. The Minister for the Economy spoke to the EU regulations on Artificial Intelligence and Northern Ireland.

In the House of Lords, the Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs explained that after the fisheries adjustment period in the Trade and Co-operation agreement ends, access to UK and EU waters will be subject to annual renegotiation.

The Product Regulation and Metrology Bill was debated at second reading in the House of Commons.

Finally, the House of Lords European Affairs Committee continued work on its inquiry into the UK-EU reset by focusing on creative industries and professional services.

 

Tariffs, Trump, and trade

This week, commentators have examined the implications of President Trump’s “Liberation Day” announcement. Some have said the 10 percent tariff on UK exports — the joint-lowest applied to any country — “vindicates” the UK’s approach. The EU was charged 20 percent.

United States 100-dollar bill

Bernd Lange, Chairman of the European Parliament’s International Trade Committee, said on Wednesday:

“These unjustified, illegal and disproportionate measures can only lead to further tariff escalation and a downward economic spiral for the US and the world as a whole. Because of this decision, US consumers will be forced to carry the heaviest burden in a trade war. These tariffs will only make processes and manufacturing more inefficient. They have prompted damaging uncertainty in the investment climate. Stock markets could hardly be clearer in their reactions.

The EU will respond. We will do so through legal, legitimate, proportionate and decisive measures. As the EU we will consider which of the tools at our disposal are best suited for our response. We are not backing down. We will defend our sovereignty and we will not change legislation that we have shaped democratically and in the interest of EU citizens, even if this displeases some US billionaires. The countries that have been targeted by these measures must respond with a united front and send a clear message to the US to end this tariff madness.”

On Friday, the EU’s Commissioner for Trade and Economic Security, Maroš Šefčovič posted on X that he had a frank two-hour exchange with US Secretary of Commerce Howard Lutnick and Ambassador Jamieson Greer, US Trade representative in which he “was clear: US tariffs are damaging, unjustified.  The EU-US trade relationship needs a fresh approach. The EU's committed to meaningful negotiations but also prepared to defend our interests.”

Today EU foreign ministers are meeting in Luxembourg to discuss how to respond to the new tariffs.
Meanwhile the UK is not preparing imminent retaliation. The Prime Minister spoke to the French President Emmanuel Macron on Saturday following last week’s announcement that the US will impose additional tariffs. They agreed that a trade war was in nobody’s interests, but nothing should be off the table.

Yesterday, he spoke with international leaders including the President of the European Commission Ursula von der Leyen, German Chancellor Olaf Scholz and leader of the German Christian Democratic Union party, and incoming Chancellor. Friedrich Merz.

Discussing the announcement of additional tariffs by the United States, they all agreed that – as with defence and security - this is a new era for the global economy. The Prime Minister reiterated that he was disappointed by the new tariffs and stressed he will continue to act in the UK’s national interest — remaining calm while preparing for all eventualities.

Last night, the Prime Minister spoke to Prime Minister Carney of Canada. “They discussed their commitment to working together to maintain global economic stability in the wake of the announcement from the United States this week. An all-out trade war is in no-one’s interest, they agreed. “

Today the Prime Minister has set out plans to support British car manufacturers to give them “certainty, stability, and support” “in the face of global economic headwinds”. The Zero Emission Vehicle Mandate will be changed to make it easier for industry to upgrade to make electric vehicles, while delivering the manifesto commitment to stop sales of new petrol and diesel cars by 2030, which will help even more British consumers access the benefits of cheap to run electric vehicles.

In the Republic of Ireland, it is understood planning is under way for Tánaiste Simon Harris to travel to Washington next week to meet US Secretary of Commerce Howard Lutnick next week.

 

Electronic Travel Authorisation (ETA) Scheme

From Wednesday, 2 April, the requirement for an Electronic Travel Authorisation (ETA) to travel to the UK has been widened to include non-visa nationals from the EU, EEA and Switzerland. The ETA is a digital permission to travel – it is not a visa or a tax and does not permit entry into the UK – it authorises a person to travel to the UK. An ETA currently costs £10 and permits multiple journeys to the UK for stays of up to six months at a time over two years or until the holder’s passport expires – whichever is sooner. From 9 April 2025 an ETA will cost £16.

Last Monday, ahead of its scope being broadened, Emma Sheerin MLA made a Member’s Statement on the Electronic Travel Authorisation (ETA) Scheme. She reported the concerns of the tourism and hospitalities sectors commenting that “the scheme is set to cause more chaos for our Northern outlets. Added to the worry that our businesses feel is the fact that the price is increasing from £10 to £16 on 9 April.”

She called on the UK Government to “stop using the scheme and rethink the damage that they are doing.”
The Centre for Cross Border Cooperation has published a Briefing Note on the Electronic Travel Authorisation scheme and the Windsor Framework.

 

The draft Recognition of Professional Qualifications and Implementation of International Recognition Agreements (Amendment) (Extension to Switzerland etc.) Regulations (Northern Ireland) 2025

Last Monday the Assembly approved the draft Recognition of Professional Qualifications and Implementation of International Recognition Agreements (Amendment) (Extension to Switzerland etc.) Regulations (Northern Ireland) 2025. The regulations put into effect the agreement between the UK and Switzerland, signed in June 2023, on recognizing professional qualifications. They require UK regulators, such as the Law Society of Northern Ireland and the Bar Council of Northern Ireland, to recognize Swiss qualifications that are equivalent. These regulations also give regulators the legal authority to do so.

The Minister for Finance assured “the Assembly that, under the draft regulations, it remains the regulators' responsibility to set standards for the profession and to decide who meets those standards. Regulators will need to decide whether a qualification from Switzerland is comparable to our qualifications”.

 

 

Engagement in the United States

During Question Time last Monday, the deputy First Minister told the Chamber about how she and the First Minister led a Northern Ireland Chamber of Commerce and Industry delegation to North Carolina. She said it “deepened the economic and innovation partnership… with North Carolina's highly successful research triangle.” They asked the governor to visit Northern Ireland to see what we have to offer, especially when it comes to collaboration with North Carolina.

The deputy First Minister travelled on to Washington DC, where she “continued to promote greater understanding of Northern Ireland in meetings with the President of the United States, Members of Congress and other powerful stakeholders such as the US Chamber of Commerce.”

The deputy First Minister speaking in the Chamber last MondayThe deputy First Minister speaking in the Chamber last Monday

The deputy First Minister reflected that:

“Promoting Northern Ireland in the US has a number of benefits in the short term and for Northern Ireland's economic future in the longer term. Promoting Northern Ireland through ministerial visits, inward visits and the work of the Northern Ireland Bureau focuses attention amongst investors and decision makers on our economic opportunity. It also ensures that issues, such as the impact of tariffs or the benefit of a special economic envoy, are better understood.”

Regarding the work of the NI Executive in Washington DC, the deputy First Minister said: “the Northern Ireland Bureau in North America is developing a plan for engagement across the US and Canada. The plan will take into account the Programme for Government, the emerging priorities of the Trump Administration and our core strengths in relevant areas such as cyber and tech, creative industries, the Open and Ulster-Scots links to the 250th anniversary of the Declaration of Independence. The plan will maintain Northern Ireland's bipartisan support by engaging with the next generation of leaders from both main parties to promote Northern Ireland's exceptional cultural, political and economic offer.”

 

EU regulations on Artificial Intelligence and Northern Ireland

On Tuesday, the Minister for the Economy was asked to outline any work that has been undertaken in relation to whether EU regulations on Artificial Intelligence will hinder that sector's growth in Northern Ireland compared to rest of the United Kingdom (AQO 1813/22-27). The Minister set out that current situation stating:

“the EU Artificial Intelligence Act applies in the North in respect of articles 103 to 107 and 109, as they amend legislation listed in annex 2 to the Windsor framework. The EU notified the British Government of those articles' application under article 13(3) of the Windsor framework, following the Act's publication on 12 July 2024. In its explanatory memorandum of 17 July, the British Government considered that the provisions would have limited, if any, impact in practice. The British Government and the EU continue to discuss the potential application of the remaining provisions of the EU AI Act under the Windsor framework.

The remaining provisions of the Act are set out as new provisions, so their application in the North would require notification via the process set out in article 13(4) of the Windsor framework, and that is a matter for the British Government. No notifications under article 13(4) have been made at this stage. It is important to note, however, that businesses and developers outside the EU will have to comply with the AI Act, if their AI system is sold in the EU or if, when deployed, its output is used in the EU. That applies to businesses in Britain in the same way as it does to businesses in Ireland, North and South.”

The Minister told Members that as part of the Programme for Government, the Executive Office is “establishing an AI task force and the forthcoming office of AI and digital.”

 

UK Fishers: EU Agreement

In the House of Lords last Monday, Baroness Hayman of Ullock, the Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs explained that after the fisheries adjustment period in the Trade and Co-operation agreement ends, access to UK and EU waters will be subject to annual renegotiation. She noted that “the EU wants a new multiannual access agreement” and said “[w]e will listen to what it has to say and will work tirelessly to achieve the best possible outcome for the UK economy and coastal communities.”

Baroness Ullock said “we need long-term strategies to give greater stability to the fishing sector.” Speaking for the UK Government she said:  “We are also very keen that we develop our policy in this area by working with the industry and talking to fishers and their representatives, so that they have direct input into how we move forward and that we understand, from their perspective, how best we can support them.”

On Wednesday, the Fisheries committee will also debate the implementation of the EU-UK TCA with the European Commission, who will present its implementation reports 2023 and 2024 and the state of play of fisheries issues. 

 

Product Regulation and Metrology Bill

As previously reported, the  Product Regulation and Metrology Bill completed its House of Lords scrutiny last month. Last Tuesday, it was debated at second reading in the House of Commons. The Bill has sparked a lot of debate in Westminster and the devolved administrations, mainly because it gives the Secretary of State for Business and Trade the power to decide whether to align with European Union (EU) regulations.

Speaking during the debate, the Secretary of State for Business and Trade Jonathan Reynolds MP said: “It is something we need in our toolkit…it is a pragmatic, practical proposal.”

Sammy Wilson MP indicated that the DUP will oppose the legislation because it believes “it is not in the interests of the United Kingdom and does not address the problems that are faced in Northern Ireland.”


The Bill has now been sent to a Public Bill Committee which will scrutinise the Bill line by line and is expected to report to the House of Commons by Tuesday 20 May 2025.

 

The UK-EU reset

Last Tuesday, the House of Lords European Affairs Committee continued work on its inquiry into the UK-EU reset by focusing on creative industries and professional services, and the impact that leaving the EU has had on those sectors.

Deborah Annetts (Independent Society of Musicians) reported that the situation for musicians has not improved and is, in fact, worse than before. She said, “The situation as regards carnets, cabotage, musical instrument certificates, and all the issues we had with the HMRC and the A1 forms remain exactly the same, if not worse. Apparently, it is now taking HMRC six months to issue an A1 form, which is vital if you wish to work in any capacity, even as a freelancer, in the EU.”

“in 2019, the EU was our largest market in relation to touring musicians. That has fallen. The next market after the EU was the US. The level of earnings has dropped significantly. Musicians have given up touring. About 30% have had no work at all since the TCA came into full force with Brexit.”

“Musicians have lost on average between £500 and £450,000 as a result of not being able to tour. The issues around Schengen, which is the 90-out-of-180-day requirement for the Schengen area, mean that musicians are having to fly backwards and forwards to hold on to the allowance of 90 days that they have to work in some but not all EU states.”

Marco Cillario (The Law Society) said that for the legal sector, “Professional mobility is the biggest of all the issues that the profession is facing when practising in the EU. At the moment, professional mobility is regulated partly by provisions in the Trade and Co-operation Agreement, the TCA, and those aspects which are not regulated by the TCA are regulated at member state level; again, we are dealing with 27 different regimes.

Under the TCA, it is possible by and large for professionals, including lawyers, to travel on business to the EU for up to three months in a six-month period without a visa or a work permit. However, the activities that professionals can carry out under such conditions are very limited and, crucially for lawyers, they do not expressly include the ability to provide legal advice to clients when travelling on business. Again, under the TCA it is possible for UK businesses, including law firms, to send staff on secondment to an office in the EU. However, we hear from law firms all the time that visa processing times are so lengthy that they no longer have the business case, in many cases, to send professionals on secondment to the EU, so they suspended secondment programmes.”

 

Other news

 

  • Having received correspondence from the motor industry in Northern Ireland, the Chair of the House of Lords NI Scrutiny Committee has written to the Secretary of State for Northern Ireland to convey a number of concerns about the application of EU law on type-approval of motor vehicles to Northern Ireland under the Windsor Framework. The Chair understands that once the current transitional arrangements expire at the end of 2025, the requirement for manufacturers to comply with two different type-approval regimes to sell vehicles into both Great Britain and Northern Ireland will have a detrimental impact on Northern Ireland.                 
  • The Financial Times reports that the whiskey sector in Northern Ireland is facing confusion over the new US tariffs, as ingredients are sourced from both sides of the border.      
  • The European Parliament Research Service has published he briefing notes that, while the institutional structures established under the TCA are functioning and technical progress has been achieved, implementation remains uneven. Persistent tensions have been present in areas such as fisheries, SPS measures, rules of origin, labour mobility, and mutual recognition of qualifications. The first formal review of implementation of the TCA is to be held in 2026.       
  • China said Friday that it will impose reciprocal 34% tariffs on all imports from the United States from 10 April.     
  • Giovanna Faggionato reports that finance ministers from EU countries plus the UK Norway, and Switzerland will discuss setting up a new intergovernmental fund, called the European Defense Mechanism (EDM), for speeding up common purchasing of military equipment in Warsaw this week.   
  • The European Parliament’s delegation for relations with the United States will travel to the US capital from Wednesday to Friday for talks with representatives of the US Congress.
  • The European Parliament Foreign Affairs and International Trade committees will hold a joint hearing tomorrow on the EU-UK Trade and Cooperation Agreement (TCA), which has been in force since 1 May 2021. At the meeting, the Commission will present to MEPs its annual reports of 2024 and 2025 on the implementation and application of the Agreement. This will be followed by a debate with a panel of four expert speakers on the Agreement’s implementation and the prospects for future developments. The public hearing will feed into the preparation of the AFET-INTA joint implementation report on the EU-UK Trade and Cooperation Agreement.