Prime Minister Rishi Sunak has announced a "decisive breakthrough" in post-Brexit rules for Northern Ireland's trade barriers in the Irish Sea.
The so-called "Windsor framework" was finalised with the European Union on Monday, which Mr Sunak said will help deliver smooth trading and safeguard sovereignty. The Prime Minister met with the President of the European Commission, Ursula von der Leyen, this afternoon to discuss the new deal.
Ms Leyen has described the Windsor Framework as "historic" and declared that it would allow both sides to begin a "new chapter".
At a press conference in Windsor Guildhall, the Prime Minister said: “I’m pleased to report that we have now made a decisive breakthrough. Together we have changed the original protocol and are today announcing the new Windsor framework.
“Today’s agreement delivers smooth-flowing trade within the whole United Kingdom, protects Northern Ireland’s place in our union and safeguards sovereignty for the people of Northern Ireland.”
Mr Sunak said he believes the deal is a “turning point for Northern Ireland” that addresses the concerns of the DUP, and is now hoping they will back it and restore powersharing in Stormont.
Referencing changes to customs and VAT rules, Mr Sunak added: “This means we have removed any sense of a border in the Irish Sea.”
How will the new deal affect the UK?
From what we have been informed regarding the new deal, one of the key highlights is the removal of "any sense of border in the Irish sea". This essentially means there will be less bureaucracy dictating trade in the region which should theoretically make trade far easier in Northern Ireland through a new 'green lane'
The so-called green lane would be expanded to include food retailers - including supermarkets - and hospitality businesses, reducing SPS (Sanitary and Phytosanitary) checks and paperwork which the government claims will widen consumer choices on supermarket shelves.
Mr Sunak claimed that anything made to UK rules would be clear to be “sent to and sold” in NI. That includes sausages, one of the foodstuffs hit by protocol changes and which grabbed the attention of politicians in Belfast and Westminster alike.
Mr Sunak also spoke of a "landmark settlement" with Northern Ireland concerning the availability of British products in the region such as medicine. Therefore, under the new deal, drugs approved by UK regulators could be swiftly made available in Northern Ireland.
As part of the deal, the legal text of the protocol has also been amended on VAT. Under current arrangements, EU VAT and excise rules for goods generally apply in Northern Ireland - but the ammended protocol would allow the UK Government to “make critical VAT and excise changes for the whole of the UK”.
This means the cost of a pint for example could fall in Northern Ireland.
Meanwhile, Mr Sunak also stressed the protection of Northern Ireland's sovereignty through a 'Stormont Brake' - a hot debate that has been at the centre of much debate around a post-Brexit deal with with the nation. Mr Sunak said the NI Assembly would have the power to stop EU goods laws being applied in Northern Ireland, however, Ms Leyen stressed that this was an emergency mechanism with the European Court of Justice having the final decision on single market issues.
The UK parliament will have a vote on the deal at a yet undecided time, with Mr Sunak stating the vote "will be respected".
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