What does the post -Brexit reinstalctive deal for the United Kingdom mean?

The European Union and the United Kingdom announced a “reset” of their relationship about four years after the start of the post -Britain trade and cooperation agreement between the European Union between the two sides.

The deal consisting of three parts of obligations includes working together on a new security and defense partnership and measures to improve trade in agricultural and electricity business.

General economic impact

Sir Kerr Starmer said that the “reset” deal will strengthen the economy by 9 billion pounds over the next fifteen years, yet analysts said that this will only recover a small part of the costs of Britain’s exit from the European Union.

The budget responsibility office continues to predict that Brexit will get a long -term increase by 4 percent to GDP, and will reduce the UK imports and export them by 15 percent.

The government estimated that the GDP of the “reset” deal increased by 0.3 percent in 2040-an increase in Paul Dalis, UK economist at Capital Econic, was not “a change in games” of the economy.

He added that the deal was only “cutting” the costs of leaving the European Union market. “You do not reflect Britain’s exit from the European Union in terms of economic changes.”

Andrew Godwin of Oxford Economic in Oxford added that the benefits are limited through the red lines imposed by the government that prevents the United Kingdom from joining the unified market or the customs union.

Others were more optimistic: The Border Research Group has suggested the “deep” organizational economy to trade the goods to increase GDP by 1.5 percent-although such a wide reorganization seems far away.

Reducing food and plant exports

A veterinary agreement between the two sides – the most important element in the deal – will reduce the need for costly tests and certificates on animal and factory products, reducing the red tape of exporters and reducing consumer prices.

Food and drink exports to the European Union have decreased by more than a third since 2019, as companies have struggled to meet the requirements of the mass, according to Food and Drink Federation Group Group

However, Aston University Ticket It is estimated that agricultural exports in the UK to the European Union can be strengthened by more than 20 percent as a result of a high -all -coalition veterinary agreement.

Producers and retail dealers in the United Kingdom who continued to export to the European Union complained that matching the rules of post -Britain from the European Union added thousands of pounds to the costs for each load shipment.

Supermarkets hope that a deal will be completed early next year, according to an executive director of retail, allowing them to close the compliance departments for trade after Britain’s exit from the European Union, which cost millions of pounds annually.

The United Kingdom will need to be compatible with the European Union’s rules on animal health and plant health, which prompts the opposition parties to accuse the government of action in Starmer again, making the United Kingdom “trained” from Brussels.

But Peter Hardwick, a commercial policy consultant at the British Meat Association, said that this is a “common misunderstanding” because the UK must actually adhere to the European Union standards for export to the bloc.

Hunting concessions

The main concession witnessed that the UK provides access to fishing in the European Union to British waters for 12 years, a decision called by the Scottish fishermen union as “catastrophic”.

The deal is strengthened by the current agreement, which has seen that the European Union holds the UK waters a quarter in five years.

The negotiators in the United Kingdom initially offered to reach only four years, but they agreed to 12 years after late night talks to win the largest economic prize for the veterinary agreement.

Food and drink exports in the UK to the European Union were 14 billion pounds in 2024. In contrast, fish hunting represents only 0.03 percent of economic production. The UK is even a net fish importer, its fleet has almost half over the past thirty years.

Starmer argued that the concession deserves all this effort to secure the veterinary deal, which will allow salmon and shellfish producers to export more easily to the European Union.

The UK confiscated about 1.2 billion pounds of fish and shellfish to the European Union in 2023, According to To the statistics of the UK government – which is the number that the Salmon Scotland, said it will be strengthened by the deal.

Reconsidering the energy market in the European Union

In a concession to London, Brussels committed to work to reintegrate the United Kingdom in European Union The internal energy market, allowing smooth trading of electricity between member states.

Separate energy auctions after Britain from the European Union require the United Kingdom to cost about 400 million pounds. The presence of one internal market would reduce costs and enhance the investment issue for renewable energy projects in the North Sea.

BARINGA Consultations estimated that the total savings for consumers from an integrated market could reach 44 billion euros annually.

In a surprise to this industry, the two sides agreed to solve the “necessary parameters” to join the United Kingdom.

“It is a real coup,” Adam Berman, deputy director of the Lobby Energy UK industrial group, said, “It is a real coup”, which would give “an immediate feeling that the UK and the European Union are ready to take barriers away from (renewable energy) projects.”

There are also talks on linking emissions systems in the United Kingdom and the European Union, although it is unclear whether it will be completed in a timely manner to the United Kingdom to avoid the new carbon boundaries tax called CBAM and which enters into force next January.

Security and defense partnership

The new security and defense partnership-which was not part of the original post-Brexit deal-is another step forward in rebuilding the European Union’s relationship.

The wide range of the European Union signed with six other countries, including Japan, South Korea, and Northern Macedonia, opens the door to restore the institutional cooperation torn by Britain’s exit from the European Union.

The UK Foreign Minister and an external affairs representative in the European Union will have two meetings and regular calls to the European Union High meetings, including the quarterly peaks of the European Council.

The document determines a long list of aspirations for the relationship, including the dialogue on cybersecurity. The agreement also opens the door to the United Kingdom to negotiate participation in the European Union 150 billion euros Loan Fund for WeaponsWhich will be a victory for the United Kingdom’s defense industries, which creates 10 billion pounds in annual exports, according to the ads of the lobby group.

However, the conditions of the deal, as the CEO of ADS, Kevin Cravin described the agreement as “somewhat frustrated in the lack of details.”

But Lord Peter Ricks, a former national security adviser in the United Kingdom, said there was a great value to restore institutional relations with the European Union. “We have lost countless opportunities to influence their thinking and plan the issues that concern us. The new agreed dialogue host will bring us a role in forming the decision.”

Youth and professional movement

Political challenges for “re -appointment” are clear in the hesitation of the Labor Party to embrace Brussels’s request Youth transportation scheme To empower children between the ages of 18 and 30 years of living and working more freely across the European Union and the United Kingdom.

The document leaves the issue of the issue of the size of any such plan, saying only that the number of participants should be “acceptable to both sides”, which puts difficult negotiations to come.

There is no symptom of commercial artists, which is a statement of the Labor Party. In the transfer of business, there is only a mysterious commitment to “creating custom dialogues” on business visas and recognizing professional qualifications, another promise.