Brexit Deal - Background Context
Great Britain now has successfully detached itself and left the European Union (EU) and officially became the very first country to leave an EU group of 28 members.
This detachment of the United Kingdom (UK) from the European Union (EU), came into effect after 2300 hours Greenwich Mean Time (GMT) on January 31st, 2020.
What is European Union or famously known as the EU?
The European Union (EU) is a collective effort to perform as a whole continent than as individual countries. It is a political and economic area of 28 countries together. European Economic Area (EEA) enables free trade, i.e. products, and goods can move freely between EU borders (i.e. member countries) without any further checks and restrictions, and any extra tax or charges. Not only products and goods, but the EU also allows people to move across borders, within the EU and let them work and live without any further restrictions. People from a member country of the EU can work in any country regardless of the language barrier or financial situation.
Earlier in this scenario, the United Kingdom (UK) joined the European Union (EU) in the year 1973, then known as European Economic Community. Moreover, Great Britain also took the honor (infamous) to leave the European Union (EU) or withdraw from the EU.
What to expect after the Brexit Day?
Great Britain's divorce from European Union (EU) is not a cold detachment, rather there are a series of talks, and meetings to be carried out followed by months of negotiations on several trades and varied policies.
Very gladly, the United Kingdom (UK) agreed to all the terms of the European Union (EU) for its detachment from the EU, and further talks are in progress on how relationships might look like ahead in the future.
The total transition period of Brexit is around eleven months, and during this transition, the United Kingdom (UK) is entitled to follow all European Union (EU) rules as before and the trade association will remain unchanged during the transition period.
What Needs to be Agreed?
The transition period of 11 months (eleven months) is meant to ease both sides (UK and EU) for a smooth transition while the introduction of new trade policies is negotiated.
The trade agreement, protocols, and policies are to be discussed during the Brexit transition because the United Kingdom (UK) is not only exiting the European Union (EU) but European Economic Area (EEA), one single market, and eventually the EU customs. EEA allows the movement of goods and products to move around the European Union (EU) without any further checks and any extra charges.
If new terms are not negotiated and agreed upon well before the time then the United Kingdom (UK) might face a hard hit of a no-deal from the European Union (EU), this means that all goods and products moving from the UK to the EU will have tariffs (taxes) with additional trade barriers.
Besides trade and trading policies, many other characteristics of the future UK-EU connections will also have put in place, such as ...
- Security and Law Enforcement
- Policies for data sharing
- Aviation protocols, standards, and safety
- Ocean routes and water access and fishing
- The Electric grid, supply of gas and energy
- Medical Licensing and cross border medicines regulations
What events triggered the Brexit?
Collectively there are three theories being compiled and considers that pushed UK for Brexit.
- Heavy pouring of immigrants from all around Europe and other countries, raised the eyebrows of the locals and made them worried, feel insecure about housing, their jobs, and fading English culture and way of life, and demanded their government cut down on immigration. This was the English way to rebel against unchecked immigration from Eastern European countries (mostly poor countries), the recent Syrian refugees' crises in the EU, and the European Union's (EU) plan to accommodate the Republic of Turkey as its newest member.
- Experienced decades of melancholy or uneasiness, lifeless wages or earnings, and economic suppression and impoverishment, in the former heartland of industrial growth, even since the upsurge of "Thatcherism" and acceptance of "Neoliberal" intentions by former PM Tony Blair's New Labour. The non-Londoners decided to pull their socks, to stand and rebel against the elite. Hence it isn't just against the European Union (EU), free trade across EEA, and migration within EU boundaries.
- The UK once ruled the entire world, and now being experienced with Brussels suffocating layers of red tape, the "English" decided to pull the tether and tack back the control of their own land, which is fair. These three theories mentioned above are interlaced and also stand contradictory to each other, hence it is to be seen and witness what gets negotiated during these 11 months of Brexit transition and Post-Brexit connections between EU and UK.
What is the Brexit Deal?
The 11 months transition period and other particulars of the UK's detachment with the EU were agreed upon in different titled "withdrawal agreement".
It is very remarkable, that most of these negotiations were made by Theresa May's (former PM of Great Britain) government. But soon after Boris Johnson (current Prime Minister) took the charge as PM (July 2019), he eliminated, the infamous controversial section - the backstop.
The Backstop: The Backstop was intended to safeguard the idea that there wouldn't be any international geographical border between Northern Ireland and the Republic of Ireland. It would have kept the UK in a regular trading relationship with European Union (EU).
Mr. Boris Johnson suggested and mentioned, an effective border between the United Kingdom and Northern Ireland, hence the goods entering Northern Ireland from the United Kingdom (UK) will face EU tariffs and taxes (import taxes). Moreover, these taxes are subjected to get refunded if these goods or products are intended to remain in Northern Ireland (not taken to the Republic of Ireland).