"UK Preparing Domestic Legislation Weakening Agreement with EU... Impact Expected on Trade Negotiations"

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] The UK government is reportedly set to draft a bill that would allow it to disregard parts of the Brexit withdrawal agreement it made with the European Union (EU) concerning trade across the Northern Ireland border.

According to major foreign media on the 6th (local time), multiple sources indicated that the UK government is expected to remove the legal enforceability of certain aspects of the withdrawal agreement, including government subsidies and Northern Ireland customs issues, through the Internal Market Bill scheduled for the 9th. One source stated, "The bill will clarify that by establishing UK law contrary to obligations under the withdrawal agreement, the government has the right to create its own system and is fully aware that this will violate international law."

In July, the UK government outlined the Internal Market Bill in a 100-page white paper, stating that it aims to ensure smooth trade between England, Wales, Scotland, and Northern Ireland after leaving the EU single market by the end of this year. However, foreign media reported that some provisions effectively nullify parts of the Northern Ireland Protocol agreed upon in the withdrawal agreement signed last October.

According to the withdrawal agreement, the UK government must notify the EU of any government subsidy decisions affecting the Northern Ireland goods market and require companies to submit customs documents when sending goods to other parts of the UK. However, under the Internal Market Bill, UK courts would prioritize domestic law over agreements with the EU, reducing the EU's ability to intervene in the UK's government subsidy policies, foreign media reported.

Sources also indicated that the autumn Finance Bill is expected to include references to customs issues at the Northern Ireland border.

As a result, ongoing trade negotiations between the UK and the EU are likely to face setbacks. Michel Barnier, the EU's Brexit negotiation chief, recently emphasized that "full implementation of the withdrawal agreement" is key to the success of trade talks and a core issue for mutual trust. Foreign media reported that "UK-EU trade negotiations are at risk of collapse."

This content was produced with the assistance of AI translation services.