Brexit & Beyond newsletter

21 May 2025

Welcome to the 21 May 2025 Brexit & Beyond newsletter

This week, attention was focused on the UK-EU summit in London. Reports indicate that negotiations continued late into Sunday night before an agreement was unveiled on Monday at the summit, which was attended by EU leaders Ursula von der Leyen and António Costa, as well as UK Prime Minister Keir Starmer. The Prime Minister was supported by Foreign Secretary David Lammy, Minister for European Union Relations Nick Thomas-Symonds, and Chancellor Rachel Reeves.


At the Assembly, the Windsor Framework Democratic Scrutiny Committee considered legal advice and departmental evidence in relation to two proposed EU Acts. The Committee for Economy heard departmental evidence on the legislative consent motion for the Product Regulation and Metrology Bill.

 

UK and EU Agree to Closer Cooperation at First Post-Brexit Summit

The UK and EU held their first post-Brexit summit on 19 May, where they agreed on a “reset” in their relationship and committed to improving cooperation across several areas. Notably this comes four years after the original post-Brexit Trade and Cooperation Agreement between the two sides came into force.

The summit resulted in the approval of three documents the contents of which had been negotiated by officials ahead of the leaders meeting. The three documents are: Joint Statement; Common Understanding, and Security and Defence Partnership.

UK negotiating team sitting at a table opposite the EU negotiating team during the summitUK and EU leaders at the first UK-EU Summit in London on 19 May 2025

As reported by the Financial Times, European Commission president Ursula von der Leyen said the agreement marked a “new chapter” in the EU’s relationship with the UK, while the Prime Minister Keir Starmer hailed it as a “common sense, practical” solution that moved on from the “stale old debates” about Brexit.

Minister for European Union Relations and lead Government negotiator, Nick Thomas-Symonds 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.”

Minister for European Union Relations and lead Government negotiator, Nick Thomas-Symonds sits down with his EU counterpart, Commissioner Maroš Šefčovič Minister for European Union Relations and lead Government negotiator, Nick Thomas-Symonds sits down with his EU counterpart, Commissioner Maroš Šefčovič

Speaking yesterday of the Summit, his EU counterpart, Commissioner Maroš Šefčovič said: 

“It marks the beginning of a new chapter in our relationship as we launch a new strategic partnership

and a renewed agenda for cooperation between the EU and the UK.

The EU and the UK are like-minded partners.”

He added: “we are building on this solid foundation with an ambitious and meaningful package to further strengthen our relations.”

What was agreed:

• A Security and Defence Partnership, though it does not currently include UK participation in the EU’s Defence Industrial Strategy – an issue still to be negotiated.

• A fisheries access deal, lasting until 2038.

• A commitment to hold regular UK-EU summits going forward.

Further detail is provided on this UK government UK EU Summit explainer.

However, The i Paper’s Arj Singh hears that British defence companies may still be excluded from the EU’s €150 billion rearmament fund, despite Sir Keir Starmer’s efforts to reset Brexit relations. A European diplomat told Singh that access for UK firms to the SAFE fund will be subject to “conditions” aimed at maintaining a “European preference” in rearmament efforts.

Meanwhile, Tony Diver in The Telegraph reports that the Prime Minister and the EU are preparing to launch a global defence bank aimed at “rearming the West against Vladimir Putin.” The proposed “defence, security and resilience bank,” modelled on institutions like the World Bank, could command up to £100 billion in funding from Western governments. He writes that Whitehall sources say, this week’s Security and Defence Partnership lays the groundwork for an official announcement later this year. 

The bank is expected to complement the EU’s €150 billion Security Action for Europe Fund, part of which will be used to procure equipment from UK firms under the new UK-EU agreement.

 

 

Devolved Matters

When it comes to devolved matters, one of the most important agreements is the Common Understanding on a renewed EU-UK agenda. It covers key areas like fishing, travel and mobility, emissions trading, and rules around food and plant safety. 

Regarding fishing, the Prime Minister said:

“And it puts the fishing industry on a stable footing…

Protecting our access, rights and fishing areas…

With no increase in the amount that EU vessels can catch in our waters. 

And our fishing industry will also benefit from that new SPS agreement, slashing costs and red tape.

So this a new deal for a new era…

One that will bring huge benefits to the British people.”

Alongside the new twelve-year fisheries access agreement, the UK Government announced it would launch a £360m Fishing and Coastal Growth Fund to drive growth and boost the sector. It said the “Fund will invest in new technology and equipment to modernise Britain’s fishing fleet, deliver new training and skills to back the next generation of fishers and promote the seafood sector to export our high-quality produce across the world. The government will work with the industry to target investment where it matters most.”

However, as the Independent reports, the Scottish Fishermen’s Federation has labelled this fishing deal “a horror show for the industry” after the Prime Minister agreed that European Trawler fleets will have 12 years of access to UK waters. 

Yesterday, Angus Robertson, the Scottish Government’s Cabinet Secretary for Constitution, External Affairs and Culture, criticised the deal in the Scottish Parliament, stating:

“It beggars belief that the agreement has been reached by selling out Scotland’s fishing communities. Labour promised those communities that their interests would be protected in the process, but, after years of Westminster’s broken promises, fishing communities in Scotland could now find themselves in the worst of all worlds...

    Given the importance of fishing to Scotland, it is ridiculous and deeply disrespectful that the Scottish Government was not even consulted. We urge the UK Government to urgently clarify how the new fishing and coastal growth fund will be administered and apportioned.”

According to Hans van Leeuwen, writing for the Telegraph, British ports have also made a request for £120million taxpayer-backed compensation after the new UK-EU agreement has removed the need for post-Brexit border posts. 

 

 

Key areas of future cooperation

Agri-food trade: The UK and EU agreed to work towards a deal that could significantly reduce checks on goods moving from Britain to Northern Ireland. This has been described as a major step forward for Northern Ireland and could ease post-Brexit trading rules more than any previous agreement.

Sanitary and phytosanitary (SPS) measures: Talks will be based on the principle of UK dynamic alignment with EU standards, overseen by the European Court of Justice, and likely involve a UK financial contribution. However, the details will be complex and challenging to negotiate.

Energy and emissions: The two sides will explore linking their emissions trading systems (ETS) and consider UK participation in the EU internal electricity market – a potentially significant expansion of cooperation beyond just goods trade.

Youth mobility: There was an agreement to “work towards” a youth experience scheme, though details are limited and key differences remain. Notably, both sides will also explore UK re-joining the Erasmus programme.

 

While the summit covered a wide range of topics and demonstrated political will, most of the outcomes are still at the “work towards” stage. 

For example, although British holidaymakers may have welcomed the announcement that they will be able to use e-gates when travelling to Europe, this is not yet guaranteed. Sarah Jones, the Minister for Industry, told Sky News that negotiations on e-gate access must continue with individual Member States. Furthermore, The Guardian reports that the government has conceded implementation will not begin until October and will be phased in over six months, running through to April 2026—meaning British travellers should still expect queues in the meantime.

Nevertheless, Laura Dubois and Jim Pickard report in the Financial Times that allowing British passport holders to use electronic passport gates across the EU would likely have happened regardless of Monday’s agreement. The change is expected to be part of a wider overhaul of the EU’s border system under the so-called Entry/Exit System (EES), which will introduce electronic checks for all non-EU nationals.

It will still be up to individual countries to install the new systems, and they will have discretion over who can use them.

British visitors to EU countries may also be disappointed to read reports in The Telegraph that the Prime Minister’s attempt to end roaming charges was blocked by the European Union during negotiations. 

The European Commission will now draft negotiation mandates, which must be approved by all EU member states before talks can begin. Officials have cautioned that, despite shared principles like dynamic alignment, final agreements may take time, pointing to similar negotiations with Switzerland that took over a year to conclude.

Looking at the economic impact of the new deal, the Financial Times reported that the Prime Minister claimed the reset could boost the UK economy by £9 billion a year by 2040. However, analysts pointed out that this would only recover a small fraction of the overall economic costs of Brexit.

The article notes that the Office for Budget Responsibility (OBR) still expects Brexit to cause a 4% long-term reduction in UK GDP, and to reduce both imports and exports by around 15%.

While the government estimates the reset deal will lead to a 0.3% increase in GDP by 2040, Paul Dales, UK economist at Capital Economics, said this would not be a “game-changer” for the broader economy.

 

 

Reactions to the Agreement 

Posting on X, the Secretary of State for Northern Ireland Hilary Benn said:

“Today’s new strategic partnership with the EU is good news for the whole of the UK, and in particular for Northern Ireland.  The agri-food agreement will remove SPS frictions, reduce costs and protect the UK’s internal market.”

“When these new arrangements are finalised there will be:

- no need for SPS paperwork

- an end to mandatory checks

- the lifting of bans on ‘high risk’ plants

- no more restrictions on chilled/frozen meats moving into NI.”

“The security and defence deal will strengthen our security and support NI defence businesses, and cooperation on law enforcement will help prevent crime and bring perpetrators to justice. And linking our ETS schemes will help avoid hikes in bills and prices.”

Speaking in the House of Commons, Kemi Badenoch, the Leader of the Opposition said: “This renegotiation should have been an opportunity to improve terms for our country, but the terms are improved for the EU. The Prime Minister can dress it up as much as he wants, but he has failed. It is bad for bills; it is bad for jobs; and it is bad for borders.

This is not a deal made for Britain; this deal is made for Labour’s public relations, to show Labour on the world stage, but it is a stitch-up for our country in return for short-term headlines.”

Commenting further she said: 

“The truth is that most of what was announced yesterday was not a deal. There was no binding agreement on anything. Most of the items outlined are simply agreements to enter into further discussions, which we are already having. The Prime Minister is boasting that we will now avoid airport queues because we will get access to EU e-gates. It sounds great, except it is not true; some airports already allow that, and this deal does not guarantee it anywhere, as each country still has to agree. That sums up this deal perfectly: it is a lot of spin to disguise the terrible substance.”

The BBC reported the reactions of Northern Ireland politicians. The First Minister Michelle O’Neill MLA said of the agreement: “"Anything that protects the all-island economy, anything that maximises our access to both markets in terms of trade, anything that removes barriers for trade, then that's something that we would obviously very much welcome,"

DUP Leader Gavin Robinson MP was quoted as saying ""in superficial terms" some progress has been made, but that it was "too early" to give a definitive outcome about what it would mean for Northern Ireland.”

According to The Irish Times, Tánaiste Simon Harris described it as “a very positive day” for EU-UK relations and “a good day for Northern Ireland.” He said that reaching a broad-based agreement on sanitary and phytosanitary (SPS) measures—which cover agrifood safety and checks on animals and plants—would bring real benefits for both businesses and consumers in Northern Ireland, as well as help the Windsor Framework run more smoothly.

The Irish Times also reports that Stuart Anderson, Director of Public Affairs at the NI Chamber, called the development “hugely significant.” Meanwhile, Professor Ursula Lavery, Chair of the Northern Ireland Food and Drink Association, described it as a positive step towards easing the administrative burden on businesses and helping to offset some of the major costs companies have faced in recent times.

 

Windsor Framework Democratic Scrutiny Committee

On Thursday 15 May, the Democratic Scrutiny Committee (DSC) considered legal advice and departmental evidence in relation to two proposed EU Acts: 

• COM/2023/770 Proposal for a Regulation on the protection of animals during transport and related operations

• COM/2023/451 Proposal for a Regulation on circularity requirements for vehicle design and on management of end-of-life vehicles

 

COM/2023/770 Proposal for a Regulation on the protection of animals during transport and related operations

As part of the Farm to Fork Strategy, the European Commission plans to update the EU’s animal welfare laws, including rules about how animals are treated during transport. This update is included in the Commission’s 2023 work programme.

The EU has been creating animal welfare laws since 1974. The current law on animal transport was introduced in 2004. It is known as Regulation (EC) No 1/2005, or the Transport Regulation.

The DSC heard that the key objectives of this proposal include: reducing journey times; increased levels of space; improved conditions of transport of vulnerable animals; avoiding transport in extreme temperatures; new technologies to facilitate better monitoring; and, better protection for cats and dogs transported in connection with an economic activity – with a minimum age of 12-weeks for transport.

The DSC is gathering evidence on a proposed EU Regulation regarding the protection of animals during transport and related operations and wants to hear your views. You can submit your views to the online survey which closes on 12 June.

 

COM/2023/451 Proposal for a Regulation on circularity requirements for vehicle design and on management of end-of-life vehicles

The DSC also heard evidence from Department of Infrastructure officials on COM/2023/451 Proposal for a Regulation on circularity requirements for vehicle design and on management of end-of-life vehicles. The DSC were told that end of life vehicle policy is a devolved matter for which the Department of Agriculture, Environment and Rural Affairs is responsible. The proposal seeks to repeal Directive 2000/53/EC on end-of-life vehicles (ELV Directive) which officials said was outside the scope of the Windsor Framework. However, both the EU's vehicle type approval regulation, Regulation (EU) 2018/858 which the Proposal seeks to amend and Directive 2005/64/EC on the type-approval of motor vehicles with regard to their reusability, recyclability and recoverability, which the Proposal seeks to repeal, appear in Annex 2 of the Windsor Framework.

The DSC were told that type approval is a reserved matter and so responsibility for the content and operation of a type approval scheme rests with the Department for Transport (DfT).

Officials said DfT provided the DSC with an initial assessment in April when it advised the EU has not notified the UK of its intention so it's unclear which elements it will seek to apply.  

 

The Product Regulation and Metrology Bill

At the Assembly on Wednesday, the Committee for the Economy, had a departmental briefing on the legislative consent motion (LCM) for the Product Regulation and Metrology Bill. Legislative consent is the process by which the UK Parliament seeks the agreement of the Assembly to legislate on a subject matter which is devolved to the Assembly.  Convention requires the agreement of the Assembly before Parliament may pass such legislation. You can follow the Assembly's consideration of each LCM that has been laid here. 

As regular readers know, this Bill will give the UK Government the power to set product regulations. The Bill’s Explanatory Notes state this is to ensure “that the law can be updated to allow a means of recognising new or updated EU product requirements, with the intention of preventing additional costs for businesses and provide regulatory stability.”

The Committee heard that, although the Bill had initially conferred largely unchecked powers on the Secretary of State to make regulations related to products, concerns were raised about this. These concerns have now been addressed by a devolution amendment tabled for the committee stage in Parliament.

The Departmental Official advised that this amendment means any exercise of the powers in areas of devolved competence would require the consent of the relevant devolved administration. The devolution amendment applies to all three devolved administrations and includes separate clauses for each. 

The LCM was approved by the Executive on 30 April. The Economy Committee will report this week.

At Westminster, the Public Bill Committee has now completed its work and has reported the Bill with amendments to the House of Commons. The Product Regulation and Metrology Bill is now due to have its report stage and third reading on a date to be confirmed. 

 

Access to medicines in Northern Ireland after EU Exit and under the Windsor Framework

In response to Assembly Question AQW 26203/22-27 about the impact of Brexit on the availability of cancer medicines and treatments, the Health Minister explained that from 1 January 2025, all medicines placed on the Northern Ireland (NI) market will be authorised by the UK’s Medicines and Healthcare products Regulatory Agency (MHRA) and packaged for the entire UK. As a result, the Department does not expect any issues with the availability of cancer medicines specifically related to the EU Exit.

However, between the EU Exit on 31 January 2020 and the implementation of the Windsor Framework on 1 January 2025, new and innovative medicines—including some cancer treatments—were authorised differently in NI compared to Great Britain (GB). Because medicines were approved and packaged separately, some treatments available in GB were not available in NI.

To address this, a system was put in place. If a medicine was needed for a patient in NI but only available in GB packaging, it could be added to the Northern Ireland MHRA Authorised Route (NIMAR) list. This allowed GB-authorised medicines to be supplied in NI when no NI-compliant stock was available, ensuring patients in NI had fair access to the same medicines as those in GB.

 

Other news 

  • Last week, the Belfast Telegraph published an opinion by Hannah Martin, an economist at Danske Bank, which examined the potential impacts of recent global news events for the Northern Ireland economy.                                                  
  • The think tank, UK in a Changing Europe, published its report, “Regulating after Brexit”. This examines how much the UK has diverged from EU rules since leaving the bloc. The report also analyses the change in regulatory approach under the current Labour government.                                                                                                                                                            
  • Today the Senedd will debate the Welsh Government’s approach to international relations after the Culture, Communications, Welsh Language, Sport and International Relations Committee found again that information on delivery and spending is lacking and calls for improvements with just ten months left to go before the 2026 election. The report traces key moments in the Committee’s scrutiny of the Welsh Government in 2024 – from its International Strategy and priority relationships, to funding and legislation. It issued six conclusions and eight recommendations designed to improve transparency of the Welsh Government’s international activity.                                                                                         
  • At the Assembly this afternoon, the Committee for the Executive Office will hear from departmental officials about the work of the Executive Office’s overseas bureaus Beijing, Washington and Brussels.