Written answers

Friday, 7 September 2018

Department of Foreign Affairs and Trade

Brexit Issues

Photo of Lisa ChambersLisa Chambers (Mayo, Fianna Fail)
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84. To ask the Minister for Foreign Affairs and Trade the status of Ireland's contingency planning in the event of a no-deal Brexit; the specific actions that have been taken since the Government announced in July 2018 that it was stepping up their preparations for a no-deal Brexit, in particular the recruitment of extra officers for ports and airports; the progress made to date in this regard; and if he will make a statement on the matter. [36906/18]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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The Government’s contingency planning for Brexit was initiated well in advance of the UK referendum in June 2016 and since my appointment as Minister for Foreign Affairs and Trade in May 2017 I have overseen a sustained intensification of these efforts. To this end, co-ordination of the whole-of-Government response to Brexit is being taken forward through the cross-Departmental coordination structures chaired by my Department and on 18 July I presented a detailed Memorandum to the Government on Brexit Preparedness and Contingency Planning.

Contingency planning for a no-deal or worst-case outcome, bringing together the detailed work being undertaken by individual Ministers and their Departments on issues within their policy remit, was identified as an early priority and is now well advanced. Its focus is on the immediate economic, regulatory and operational challenges which would result from such an outcome. It assumes a trading relationship based on the default WTO rules, but also examines the possible effects on many other areas of concern.

This work has provided baseline scenarios for the impact of Brexit across all sectors, which can then be adapted as appropriate in light of developments in the EU-UK negotiations. This is enabling the modelling of potential responses under different scenarios, such as one where a withdrawal agreement, including a transitional arrangement, is concluded and where a Free Trade Agreement is the basis for the future relationship between the EU and the UK.

On the basis of this work, relevant Departments have now been tasked by the Government to rollout detailed Action Plans with a view to advancing, as appropriate, the mitigating measures which have been identified in the areas of their responsibility from the planning to the implementation phase.

In line with this approach, the Government has already approved a number of key Brexit preparedness measures focused on East-West trade and has mandated the presentation to Government before the end of September of detailed and costed proposals on the staffing, IT, infrastructural and operational requirements for the implementation at ports and airports of the necessary customs controls and sanitary and phytosanitary checks required as a result of the UK’s withdrawal from the EU.

All of this work is in addition to measures that have already been put in place to get Ireland Brexit ready. Dedicated measures were announced in Budget 2018, including a new €300m Brexit Loan Scheme for Business and a €25m Brexit Response Loan Scheme for the agri-food sector. Capital expenditure of €116bn over the coming decade under Project Ireland 2040 will also allow the State and its agencies to properly plan major infrastructure projects while ensuring that communities and businesses can plan ahead. There was also increased funding provided to my Department in Budget 2018 for the opening of six new diplomatic missions. A further seven new Missions will be opened as part of the next phase of expanding Ireland’s global footprint. These thirteen new Missions will be located in Europe, Asia, Africa, South America, North America, and Oceania and will contribute to helping our exporters find new markets.

Our Government’s enterprise agencies continue to work with companies, helping them to deal with Brexit – making them more competitive, diversifying market exposure, and up-skilling teams. In total 46 reports analysing the effects of Brexit across a broad range of sectors and in some cases setting out responses have been published to date by Government Departments. All these reports are available on a dedicated Brexit webpage on my Department’s website.

In addition to the work at home, we are engaging actively with the European Commission’s Article 50 Taskforce and its Brexit Preparedness Unit on areas where the lead policy role lies with the EU.

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