Oireachtas Joint and Select Committees
Tuesday, 25 April 2023
Joint Oireachtas Committee on European Union Affairs
EU-UK Relations and the Windsor Framework: Engagement with European Commission Vice President
Mr. Maro? ?efovi:
I thank Deputy Harkin and appreciate her words and her assessment in this particular case.
The people do see these steps and this agreement as something that will help them in their daily lives. They see that their businesses will be in a better position to strive and develop thanks to this arrangement. This was my impression when I had the chance to have spontaneous encounters with people, be it in Ireland or Northern Ireland. In many of the encounters my team and I have had, a sense of relief was palpable about the fact that we found good solutions and that we are focusing on the positive resolution of the problem and the future. My team is in almost permanent engagement with stakeholders in Northern Ireland.
When it comes to the question about the level playing field, this was, of course, the big topic throughout the negotiations on the trade and co-operation agreement and when the big agreements were being negotiated and finalised. Over recent years we have seen that there might be challenges here and there and, therefore, some of the issues needed to be clarified. When it comes to Article 10 on state aid, as part of our joint committee proceedings we have agreed a Joint Declaration and common understanding of how state aid rules should be implemented and explained. We have full understanding I believe, and I do not think there will be any negative impact on Ireland because it was carefully negotiated. It is a balanced agreement and I believe it will work well for Ireland, the EU and the UK.
With regard to VAT, we deployed a bit of creativity. Once again we used the logic of goods that are not at risk of moving to the Single Market. For example, if the UK Government decided it would like to have a zero rate for photovoltaic panels built into buildings in Northern Ireland, it would not affect the Single Market or the economy in Northern Ireland. This is the same logic we applied to other areas, just to make sure we were being practical as possible. This practical approach has helped us to solve many very detailed and practical issues, from potato seeds to pets to VAT for photovoltaic panels. We got feedback from people on the ground. We have listened very carefully to everyone and we have been focusing on how to resolve the problems and, at the same time, to protect the integrity of the Single Market. I believe we have accomplished this.
If we look at the Windsor Framework and the protocol, the big focus of both of these agreements and documents is on how to arrange movement, especially from Great Britain to Northern Ireland. With the Windsor Framework we have been able to find solutions that are very important for identity issues and making sure that people find on their supermarket shelves the goods they are used to having. It will help to have equal access to medicines in Northern Ireland at the same time as in the rest of the UK. At the same time, we have ensured that if goods are at risk of moving into the Single Market the proper safeguards are in place. Therefore, I believe the arrangements we have put in place will bring more investment to Northern Ireland and better prosperity. We know that if our neighbour is doing well we are also doing well. I believe this will have a positive impact on the all-Ireland economy. I believe Ireland will also benefit from greater prosperity in Northern Ireland. This is how it should be between neighbours and especially on the island of Ireland. We know of the close ties between Northern Ireland and Ireland.