EU initiates legal action against UK

EU initiates legal action against UK

The United Kingdom's failure to comply with Northern Ireland Protocol has forced the European Commission to send a legal notice under the EU Withdrawal Agreement

The United Kingdom (UK) is on the brink of being dragged to the European Court of Justice by the European Union (EU) following its failure to abide by the provisions of the EU Withdrawal Agreement.

The European Commission on 15 March 2021 sent a letter of formal notice to the UK for breaching the provisions of the Northern Ireland Protocol and its good faith obligation under the EU Withdrawal Agreement.

The EU notice asked the UK government to refrain from breaching the UK's international obligations under the Withdrawal Agreement. It has also called upon the UK to enter into bilateral consultations in the Joint Committee in good faith, to reach a mutually agreed solution by the end of March.

The notice follows the UK government's statement earlier this month that indicated its intention to unilaterally delay the full application of the Protocol on Ireland and Northern Ireland concerning the Movement of goods and pet travel from Great Britain to Northern Ireland. This would affect extending the grace period about implementing the new rules for exports from the British mainland to Northern Ireland.

The UK government had made a commitment at the EU-UK Joint Committee meeting in February this year in which the UK had promised to provide a new operational plan concerning supermarkets and their suppliers, alongside additional investment in digital solutions for traders in accordance with the Protocol.

The Protocol on Ireland and Northern Ireland is the only way to protect the Good Friday (Belfast) Agreement and to preserve peace and stability while avoiding a hard border on the island of Ireland and maintaining the integrity of the EU single market. The EU and the UK agreed on the Protocol together. We are also bound to implement it together. Unilateral decisions and international law violations by the UK defeat its very purpose and undermine trust between us. The UK must properly implement it if we are to achieve our objectives, Maroš Šefčovič, a Slovak politician serving as Vice-President of the European Commission and the EU's co-chair of the Joint Committee, said in a statement while justifying the move to serve the legal notice.

The UK has been given one month to submit its observations to the letter of formal notice, following which the EU Commission will decide whether to continue with the proceedings and request the European Court of Justice to impose a lump sum or penalty payment.

The EU is also contemplating providing another notice to commence consultations under Article 169 of the Withdrawal Agreement, which provides for a Dispute Settlement Mechanism process.

Failure to solve the Northern Ireland Protocol impasse could witness the issue being referred to binding arbitration, which in turn may impose financial sanctions by the arbitration panel.

This is the second occasion that the EU and the UK have locked horns over the implementation of the Withdrawal Agreement after the UK government attempted to adopt the Internal Market Bill (UKIMB), which would have unilaterally override parts of the country's Brexit deal with the EU.