Oireachtas Joint and Select Committees

Thursday, 28 November 2019

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach

Impact of Brexit on Ireland's Economy: Economic and Social Research Institute

Dr. Martina Lawless:

There could be an increase in checks over time. At the moment, the Revenue Commissioners carry out checks on the basis of risk assessment, even for products coming into Ireland from outside the EU where there are some regulatory differences. They do not open every single parcel that comes in from outside the EU. They have trusted relationships with traders that import regularly, or they might check different products depending on where they are from. On day one, assuming the UK does not sign a free trade agreement with other countries allowing products banned by the EU into the UK, there might only be light checks initially. If standards then diverge, the risk assessment of different products not up to EU standards will increase, and the level and intensity of checks and documentation could evolve over time. Much of that will depend on when the UK signs other free trade agreements that vary from EU arrangements. The quickest and easiest way for a UK-EU trade deal to be done would be for the UK to agree to keep its current standards in place going forward. That is somewhat unlikely given that the UK has explicitly said that part of its reason leaving the EU is so it can set its own standards, but it will not do that from day one. There would be a time period during which the level of standards and risks might evolve.

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