Dáil Éireann Debate, Friday - 7 September 2018
189. Deputy Joan Burton asked the Minister for Finance the level of preparedness if there is to be a hard Brexit, in particular the requirement to expand the customs and excise unit of the Revenue Commissioners; and if he will make a statement on the matter. [36966/18]
View answerThe Government’s contingency planning for Brexit was initiated well in advance of the UK referendum in June 2016. To this end, co-ordination of the whole-of-Government response to Brexit is being taken forward through the cross-Departmental coordination structures chaired by the Department of Foreign Affairs and Trade and on 18 July the Tánaiste presented a Memorandum to the Government on Brexit Preparedness and Contingency Planning.
Contingency planning for a no-deal or worst-case outcome, bringing together the detailed work being undertaken by individual Ministers and their Departments on issues within their policy remit, was identified as an early priority and is now well advanced. Its focus is on the immediate economic, regulatory and operational challenges which would result from such an outcome. It assumes a trading relationship based on the default WTO rules, but also examines the possible effects on many other areas of concern.
My Department, along with the Revenue Commissioners, is actively engaged in this planning work which has intensified in recent months and is now well advanced. The planning, as appropriate, includes any specific responses necessary according to regional needs and at the county level.
This work has provided baseline scenarios for the impact of Brexit across all sectors, which can then be adapted as appropriate in light of developments in the EU-UK negotiations. This is enabling the modelling of potential responses under different scenarios, such as one where a withdrawal agreement, including a transitional arrangement, is concluded and where a Free Trade Agreement is the basis for the future relationship between the EU and the UK.
On the basis of this work, relevant Departments have now been tasked by the Government to rollout detailed Action Plans with a view to advancing, as appropriate, the mitigating measures which have been identified in the areas of their responsibility from the planning to the implementation phase.
In line with this approach, the Government has already approved a number of key Brexit preparedness measures focused on East-West trade and by the end of September, detailed and costed plans will be presented to Government on additional full time customs staff to carry out relevant controls at ports and airports; and upgrading of infrastructure at ports and airports, in particular Dublin and Rosslare Ports, to facilitate increased customs and SPS controls.
Revenue’s priority to date has been on upgrading relevant IT systems to have the most advanced systems possible to support and facilitate smooth and efficient trade flows. Performance testing is well advanced and I am assured by Revenue that based on the work completed to date they are confident that the various IT systems will support the expected additional work load arising from Brexit, ensuring customs processes can continue to operate effectively and efficiently post-Brexit.
