What does brexit mean

What is Brexit?

Brexit is a portmanteau of the words "British" and "exit," and it signifies the United Kingdom's departure from the European Union (EU). The EU is a unique economic and political union comprising 27 European countries. The UK had been a member of the EU (and its predecessor, the European Economic Community) since 1973.

The Road to Departure

The decision for the UK to leave the EU was made through a referendum held on June 23, 2016. In this referendum, 51.9% of voters chose to leave the EU, while 48.1% voted to remain. This result triggered a process for the UK to formally withdraw from the bloc. The UK government officially triggered Article 50 of the Treaty on European Union on March 29, 2017, setting a two-year deadline for negotiations on the terms of withdrawal. However, the process proved complex, with several extensions granted. The UK finally left the EU on January 31, 2020, entering a transition period.

The Transition Period and New Agreements

The transition period lasted from February 1, 2020, to December 31, 2020. During this time, the UK continued to follow EU rules and regulations while negotiations took place for a future relationship. On December 24, 2020, the UK and the EU reached a Trade and Cooperation Agreement, which largely governs their relationship from January 1, 2021, onwards. This agreement ensures tariff-free and quota-free trade for most goods, but it does introduce new customs checks and regulatory hurdles.

Impacts of Brexit on Daily Life

Brexit has had a significant impact on various aspects of daily life for UK citizens and residents, as well as for EU citizens living in the UK and vice versa. Some of the key areas affected include:

Trade and Economy

New customs procedures and regulations mean that businesses trading between the UK and the EU face additional paperwork, checks, and potential delays. This can affect the cost and availability of imported goods. While the Trade and Cooperation Agreement aims to facilitate trade, it has introduced friction compared to the frictionless trade that existed when the UK was an EU member. The broader economic impact is a subject of ongoing analysis and debate, with varying assessments on its effect on GDP, inflation, and employment.

Travel

For UK citizens traveling to EU countries, there are now more checks at borders. While short-term tourist visits (up to 90 days in any 180-day period) generally do not require a visa, longer stays for work or study may necessitate visas and work permits. Passports are now checked more thoroughly, and travelers may need to show proof of onward or return travel. Mobile roaming charges have also changed; while many UK providers no longer guarantee free roaming in the EU, some do offer it as part of their plans.

Immigration and Rights

The principle of free movement of people, which allowed UK citizens to live and work freely in EU countries and vice versa, has ended. UK citizens now need visas or permits to work or study in EU countries, and EU citizens require similar arrangements to do so in the UK, subject to specific agreements. The rights of EU citizens already living in the UK, and UK citizens living in EU countries, have been protected under the Withdrawal Agreement, allowing them to continue living, working, and accessing public services. However, new arrivals face different immigration rules.

Services and Regulations

The UK is no longer subject to the jurisdiction of the European Court of Justice. It can now set its own regulations in areas such as environmental standards, workers' rights, and product safety. While the Trade and Cooperation Agreement includes provisions to prevent a 'race to the bottom' in these areas, there is potential for divergence over time. This can affect businesses that operate across both the UK and the EU, requiring them to comply with two different sets of rules.

Northern Ireland Protocol

A specific arrangement, known as the Northern Ireland Protocol, was put in place to avoid a hard border on the island of Ireland, which could have jeopardized the Good Friday Agreement. This protocol means that Northern Ireland effectively remains aligned with EU rules for goods and continues to apply customs checks on goods entering Northern Ireland from Great Britain. This has created unique challenges and political complexities for Northern Ireland.

Ongoing Developments

Brexit is not a static event; its long-term consequences are still unfolding. The UK and the EU continue to manage their new relationship, and adjustments to policies and agreements are likely to occur. Understanding the specifics of how Brexit affects different sectors and individuals remains an ongoing process.