In what is being touted as a “breakthrough” deal, UK Chancellor Rishi Sunak has announced an agreement between the United Kingdom and the European Union that will keep trade free-flowing across the UK after Brexit. The deal comes after months of negotiations and is seen as a major victory for both sides, with Sunak saying that it is “unprecedented in its scope and ambition”. It covers everything from customs duties to digital services and ensures that businesses in both countries can continue to operate without disruption. Read on to learn more about this landmark agreement and what it means for the future of trade between the UK and EU.
UK government reaches ‘breakthrough’ deal with the EU
The UK government has announced a “breakthrough” deal with the European Union which will ensure free-flowing trade across the UK.
The deal, which was reached after months of negotiations, will see the UK remain a member of the EU’s single market and customs union while also allowing it to set its own trade and immigration policies.
Speaking at a press conference, Prime Minister Boris Johnson said that the deal was a “great new agreement” which would allow the UK to “take back control” of its laws, borders, and money.
Johnson also praised negotiators on both sides for their “tireless work” in reaching the agreement.
The deal still needs to be ratified by the UK and EU parliaments before it can come into effect.
What this means for trade across the UK
The UK has reached a “breakthrough” deal with the EU that will ensure free-flowing trade across the UK, Rishi Sunak has announced.
The agreement, which still needs to be formally signed off by the EU, will see the UK remain in the single market and avoid customs checks or tariffs on goods traded between the UK and EU.
It is a significant breakthrough in negotiations between the two sides, which had been stalled over disagreements on fishing rights and state aid rules.
Sunak said that the deal would provide “certainty and clarity” for businesses and would help to avoid a “cliff edge” scenario in which trade between the UK and EU would have been disrupted.
The deal is likely to be welcomed by businesses and investors who have been calling for certainty over trade arrangements post-Brexit. It should also help to allay fears that a no-deal Brexit would lead to widespread disruption of trade and supply chains between the UK and EU.
How this will benefit businesses and consumers
The Chancellor of the Exchequer, Rishi Sunak, has announced a breakthrough deal with the European Union which will ensure free-flowing trade across the UK. This is good news for businesses and consumers as it means that there will be no tariffs or quotas on goods traded between the UK and EU. This is a huge benefit as it will save businesses money on tariffs, and consumers will also see prices stay the same or potentially even fall as competition increases.
Sunak also announced that the UK will remain part of the EU’s customs union and single market for goods, which is great news for businesses who rely on trade with Europe. This deal is a big win for British businesses and consumers, and will help to boost the economy after Brexit.
What other steps need to be taken to ensure free-flowing trade
There are a few other things that need to be done in order to make sure that trade can flow freely across the UK:
- The first is to ensure that businesses have the right paperwork and know what they need to do in order to comply with customs regulations. This includes ensuring that they have the correct classification codes for their goods, as well as accurate product descriptions.
- Secondly, businesses need to make sure that they are using an Authorised Economic Operator (AEO) if they want to benefit from simplified customs procedures. AEOs are businesses that have been approved by HM Revenue and Customs (HMRC) as being low risk and compliant with customs regulations.
- Thirdly, businesses need to be aware of the rules around export controls and sanctions. These rules restrict or prohibit the export of certain goods and technology, so it’s important that businesses check whether any of their products fall under these restrictions before trying to export them.
- Finally, businesses should consider using duty deferment accounts if they want to delay paying customs duties on imported goods. Duty deferment accounts allow businesses to spread the cost of duties over a period of time, which can help cash flow and make importing goods more affordable.
Conclusion
The ‘breakthrough’ deal announced by Rishi Sunak marks an important step on the road to ensuring free-flowing trade across the UK. This is a welcome development for businesses, as it should make their trading activities more cost effective and efficient. It also benefits consumers, who will benefit from enhanced competition amongst suppliers in different parts of the country, leading to more competitive prices and better quality goods and services. We hope that this agreement serves as a foundation for continued progress in terms of creating an open market within the UK which supports enterprise and promotes economic growth.
