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Irish Times
20-05-2025
- Business
- Irish Times
EU-UK deal a ‘lost opportunity' that could have gone further, says Varadkar
The reset deal agreed by the European Union and the United Kingdom was a 'lost opportunity' that could have gone much further than it did, former taoiseach Leo Varadkar has said. The former Fine Gael leader said the agreement struck earlier this week was 'underwhelming', partly because the UK Labour government appeared afraid of arch-Brexiteer Nigel Farage . The EU and UK agreed a deal to 'reset' the tumultuous relationship of the Brexit era. It extends EU fishing access in British waters, reduces border checks on agri-food products, includes closer co-operation on energy supply and defence spending, and will allow British travellers to use electronic passport gates when entering EU states, so to avoid lengthy queues. 'What we saw yesterday was very positive. After nine years of the EU and the UK drifting apart, we're now drifting slowly closer together again,' Mr Varadkar told a panel talk in Brussels. READ MORE There was a concern that a different UK government elected in several years could unravel some of what was agreed, he said. 'Fear of Nigel Farage and reopening the Brexit debate is so strong in Britain that that's determining the pace, and I think that's really regrettable,' he said. Reform UK leader Nigel Farage speaking during an election campaign event last year in Newton Abbot, England. Photograph: Finnbarr Webster/ Getty Images However, if British prime minister Keir Starmer turned around his low poll numbers and was re-elected for a second term, he might be 'braver' and drop some existing red lines, such as refusing to rejoin the EU customs union. The former politician said the new deal could have been more ambitious. 'I think it is a lost opportunity; it could have gone much further,' he said. Reflecting on the Brexit years, Mr Varadkar said former British prime minister Boris Johnson was 'not trustworthy', which made negotiations between the EU and UK difficult. 'I think there is trust now, I've seen the relationship change since the new government was elected in Britain,' he said. The panel talk was organised by Penta, a US consultancy firm, who hired Mr Varadkar to work in an advisory role earlier this year. Mr Varadkar said he feels it is likely some deal will be struck between the EU and US president Donald Trump to scale back trade tariffs introduced by the White House. The former taoiseach said that whatever was agreed would still be 'less favourable' than the trading arrangements before Mr Trump returned to office.
The Guardian
19-05-2025
- Business
- The Guardian
Deal with EU will make food cheaper and add £9bn to UK economy, says No 10
A deal clinched between the UK and EU to remove checks on agrifoods will add £9bn to the UK economy and lower food prices, No 10 has said, as the last-minute agreement was clinched early on Monday morning. The deal – which will grant EU fishers access to British waters for an additional 12 years – will remove checks on a significant number of food products as well as a deeper defence partnership and agreements on carbon taxes. The UK said the deal would make 'food cheaper, slash red tape, open up access to the EU market'. But the trade-off for the deal was fishing access and rights for an additional 12 years – more than the UK had offered – which is likely to lead to cries of betrayal from the industry. Officials have hit back at the criticism, arguing that the food standards deal will have huge benefit for fish and seafood exports. The two sides will also begin talks for a 'youth experience scheme', first reported in the Guardian, which could allow young people to work and travel freely in Europe again and mirror existing schemes the UK has with countries such as Australia and New Zealand. The UK said it would be 'capped and time-limited', though there is no agreement yet from the EU on the details. Keir Starmer and the European Commission president, Ursula von der Leyen, shook hands on the reset deal at Lancaster House just hours after negotiators finished the final three texts. 'It's time to look forward. To move on from the stale old debates and political fights to find common sense, practical solutions which get the best for the British people,' Starmer said. 'We're ready to work with partners if it means we can improve people's lives here at home. 'So that's what this deal is all about – facing out into the world once again, in the great tradition of this nation. Building the relationships we choose, with the partners we choose, and closing deals in the national interest. Because that is what independent, sovereign nations do.' Central to the agreement is the new agrifoods deal, known as an SPS agreement, which removes red tape on food and drink exports, removing some routine checks on animal and plant products completely. In return, the UK will accept some dynamic alignment on EU food standards and a role for the European court of justice in policing the deal. The deal will not be time-limited, as had originally been demanded by the EU. It was for this that the UK made a major concession for a longer-term deal on fishing, extending the current access for European fishing to UK waters until 2038, having originally offered until 2030. The original trade deal with the EU had suggested there would be annual negotiations from 2026, but the government said this fixed deal would give certainty. A UK government official said the deal for the UK fishing industry was about 'protecting their rights and long-term security instead of the merry-go-round of yearly renegotiations that would never plausibly see EU boats leave UK waters'. The government said it would put £360m of modernisation support back into coastal communities as part of the deal, a tacit acknowledgment of the concession. But UK officials said the SPS deal would be a major win for British consumers and should lead to lower food prices and more choice in the supermarkets. It will mean certain products are allowed to be sold in the EU for the first time since Brexit, such as some burgers and sausages, after the 21% drop in exports and 7% drop in imports seen since Brexit. Another agreement reached before the Lancaster House summit will be on linking emissions trading, which the UK said would avoid businesses being hit by the EU's carbon tax due to come in next year. The deal also protects British steel imports from new EU tariffs through a bespoke arrangement, saving about £25m a year. British holidaymakers will also be able to use European gates at airports, ending long holiday queues to use the gates for non-European citizens, and pet passports will be introduced to eliminate the need for animal health checks on each trip. The UK will also now enter formal talks on a number of key topics, including a youth mobility deal, to grant visas for younger Britons and Europeans as well as re-entry to the Erasmus scheme. There will be future talks, too, on access to the EU facial recognition data, a key ask of Starmer as a way of tackling cross-border crime and people-trafficking gangs. But there will be no immediate entry for the UK to the EU's €150bn defence fund to allow UK arms companies to bid for contracts – though the UK said the deal struck on Monday would pave the way for that to happen in the coming months. The UK's chief negotiator, Nick Thomas-Symonds, the cabinet office minister, said: 'Today is a historic day, marking the opening of a new chapter in our relationship with the EU that delivers for working people across the UK. 'Since the start of these negotiations, we have worked for a deal to make the British people safer, more secure and more prosperous. Our new UK-EU Strategic Partnership achieves all three objectives. It delivers on jobs, bills and borders. 'Today is a day of delivery. Britain is back on the world stage with a government in the service of working people.'
BreakingNews.ie
19-05-2025
- Business
- BreakingNews.ie
Starmer strikes post-Brexit reset deal with EU
UK prime minister Sir Keir Starmer has agreed a deal with the EU ahead of a major summit with the bloc, the PA news agency understands. After the UK government sources said talks were 'down to the wire' on Sunday, there was a major breakthrough. Advertisement The deal has now been approved by the EU ambassadors' committee, it is understood. The UK has reportedly agreed to 12 years of fishing access for EU boats in UK waters. There will be no change to current access to fish for coastal communities and no reduction in the British quota or increase in the quota the EU is allowed to catch, it is understood. Further details of the deal are expected to be announced at the first UK-EU summit on Monday, at which Sir Keir will meet European Commission president Ursula von der Leyen. Advertisement Sir Keir Starmer will meet Ursula von der Leyen for the second time in four days as he aims to secure an agreement on the UK's relationship with the EU. Photo: Leon Neal/PA. Other issues under discussion included defence and security, with reports of talks on a potential agreement allowing British firms access to a €150 billion EU defence fund. Deals on allowing British travellers to use e-gates at European airports, cutting red tape on food exports, and setting up a youth mobility scheme with the EU, were also thought to be on the table. Business Secretary Jonathan Reynolds described the deal as a 'solid eight' out of 10. 'I'm not the kind of man to get hyperbolic about these things, but look, this is a good deal for borders, for bills, for security in the UK and for jobs,' he told GB News. Advertisement Conservative leader Kemi Badenoch criticised the fishing agreement, saying: '12 years access to British waters is three times longer than the Government wanted. 'We're becoming a rule-taker from Brussels once again.' Mrs Badenoch and Reform UK leader Nigel Farage had already described the deal as a 'surrender' before knowing the details. World UN official says 20 aid trucks with food are waiti... Read More Youth mobility could prove a major sticking point for the Opposition, and Mrs Badenoch said she feared it would involve a return to free movement 'by the back door'. Advertisement The Tories have also set out a series of 'red lines' on fishing rights, including ensuring exclusive access to Britain's territorial sea and resisting 'a multi-year agreement which only benefits France'. The Liberal Democrats meanwhile have called for a new UK-EU customs union.
