Dáil Éireann Debate, Tuesday - 15 June 2021
403. Deputy Bernard J. Durkan asked the Minister for Finance the extent to which he remains confident that adequate provision has been made or is in course thereof to offset any negative impact from Brexit; and if he will make a statement on the matter. [32085/21]
View answerThe Trade and Cooperation Agreement (TCA) between the EU and UK remains a positive conclusion to the transition period. However, the new agreement still represents a break from previously existing arrangements, and thus a permanent shock to the Irish economy. Therefore, Brexit will still have a negative economic impact on the Irish economy and living standards compared to the previous relationship.
Effective implementation of the TCA is a priority. Ireland, as part of the EU, will play our full part in realising the full potential of TCA for citizens and businesses. The EU continues to engage intensively with the UK to find solutions to the difficulties following Brexit, including implementation of the Ireland Northern Ireland Protocol, which safeguards the Good Friday Agreement, avoids a hard border and protects the Single Market, and Ireland’s place in it.
I remain satisfied that the Government’s response to Brexit has been well-managed. We have invested significantly in new infrastructure, systems and staff, and provided a range of supports to assist businesses. We have also continued to engage intensively with stakeholders.
The Government has put in place extensive financial supports for sectors over recent years to assist businesses prepare for and mitigate the impacts of Brexit, including various financial, advisory, and upskilling supports. The Government has also invested heavily in our port infrastructure, as well as working closely with businesses to navigate the new customs arrangements. A range of Government support is available to Irish exporters, including training and grants, to help businesses deal with these changes. It is vital that business prepare for the further changes which will arise over the coming months due to the UK’s new import controls.The successful negotiation of the Protocol on Ireland / Northern Ireland, as part of the Withdrawal Agreement, delivered key economic objectives for Ireland. The Protocol secures Ireland’s place within the Single Market, avoids a hard border on the island, protects the all-island economy, and provides Northern Ireland with unique access to both the British internal market and the EU single market.In the months since the end of the transition period on 31 December 2020, a level of trade friction has been evident. Given the phased basis of the new import controls which are being applied by the UK, it will take time for these to feed through to overall exporting activity, and to assess any associated economic impact. The Government remains focused on protecting our economic and financial interests, and will continue to work to minimise the disruption that Brexit will have on the economy and peoples’ livelihoods to the greatest extent possible.
