What is Brexit ? U.K., EU agree on Brexit agreement draft. Know every thing related to it

The News

• The British Cabinet is set to have a crucial meeting soon, after U.K. and EU negotiators agreed on the text of a draft withdrawal agreement in Brussels on 13th November 2018.
• The development will put the spotlight firmly on the internal battles within the U.K. government over the terms under which Britain will leave the EU.

Key Highlights

• This is a significant step as it raises the prospect of a summit of EU leaders in November to further discuss the terms on which Britain will exit, heightening chances of other steps — including a parliamentary approval process — proceeding in time for March 29, 2019 when Britain is set to leave the EU formally.

Obstacles

• The length of time over which the Irish backstop — to prevent the development of a hard border between Northern Ireland and the Republic of Ireland — would apply. While some are eager for a near and definite end to the backstop, others have been concerned about the risk that inadequate back-up mechanisms could have on peace on the island.
• There are questions around whether the terms in the document will be agreed on by individual EU member states and by a majority within the U.K. Parliament.
• Crucially, there is the question of whether the government can command the support of the Democratic Unionist Party, on whose votes it would be reliant to get legislation through Parliament.

About Brexit

• Brexit is a term used to define United Kingdom coming out of EU.
• Recently in a referendum conducted in United Kingdom, UK voted by a narrow margin in favour of Brexit.
• Negotiations are undergoing currently between United Kingdom and European Parliament to negotiate the terms of the exit deal.
• Constitutional Provision of Brexit
  • Lisbon Treaty (Article 50) provides for exit of member countries from European Union. For any country to come out of European Union, it has to negotiate a deal with EU. The deal will provide for a settlement between EU and UK

About European Union

• European Union or EU is an experiment to transform the relations between nations based on functionalist ideology.
• It envisages to transform the relations between nations by enmeshing them in economic, social, cultural, political partnership.
• EU is currently a block of 28 countries and 19 countries have formed Eurozone.
• Formation of European Union is an outcome of Single European Act, 1991.
• Mashtricht Treaty converted the EU into a monetary union.
• Lisbon Treaty strengthened political, foreign affairs and security integration of policies of countries of European Union

What is the Irish backstop?

• The “Irish backstop” is effectively an insurance policy in UK-EU Brexit negotiations.
• It’s meant to make sure that the Irish border remains open (as it is today) whatever the outcome of the UK and the EU’s Brexit negotiations.
• It would mean the UK (or possibly just Northern Ireland) continuing to follow all the rules and regulations of the EU single market and customs union.
• The reason the backstop is in the news a lot is that the details of it haven’t been agreed on by the UK and the EU yet.
• The backstop would kick in if no deal had been struck on the future of the Irish border by the end of the "transition period" (the period after we officially leave the EU in March 2019, during which we can continue to negotiate a future deal with the EU).
• But there is disagreement over whether the backstop should be for a limited period of time or not, and whether it should apply to the UK as a whole, or just Northern Ireland.
• For the moment, there is no backstop solution which is agreeable to all the main parties involved.
• If no backstop can be agreed, the UK will almost certainly leave the EU with “no deal” in March 2019, meaning a probable return to physical checks on the Irish border.

Why is there a backstop specifically for the Irish border?

• The Irish border is singled out by both the UK and the EU for a backstop because of its importance for the Northern Irish peace process.
• The 1998 Good Friday Agreement was a key part of this peace process. One of the agreement’s three main points was creating the infrastructure for “North-South co-operation” between the Irish government and the newly-created Northern Irish Assembly.
• This cross-border cooperation was a part of a strategy of “‘normalisation’ of relations between Protestant and Catholic communities within Northern Ireland and across the border”.
• A key part of this ‘normalisation’ and cooperation process was the opening up of the border, which had previously been manned by British soldiers.
• Today, there are no checks at all on people or goods as they move either way between Northern Ireland and the Republic of Ireland, and trade across the border was worth £4 billion in 2016.
• The Irish government has said that the open border is “the most tangible symbol of the Peace Process”.
• Both the UK and EU agree that, in negotiating a deal on the relationship after Brexit, keeping the border open and upholding the terms of the Good Friday Agreement is of critical importance.
• That’s why they’ve committed to the principle that, even if all other negotiations fail, there should be provisions in place to ensure that the border remains open, as it is today. That principle is the Irish backstop.

What are the reasons for Brexit ?

• Economic reasons: The primary contention was that economically, Britain loses more than what it gains from European Union .
  • Membership fees paid – about 340 pounds per year per household
  • It was said that EU’s policies were too protectionist and did not favour competitiveness to the extent that would be beneficial for the British economy
  • Post the Sovereign Debt Crisis, EU introduced Fiscal Compact and tighter control on national budgets. Britain was not comfortable with these ideas
  • Germany’s proposal to impose taxes on financial transactions also did not find favour with London, which is an important financial hub

• Immigration issues
  • Half of British legal migrants come from EU. There is this feeling that they have a negative impact on UK born workers. Adding credence to local fears was the fact that since 1997, 3/4th of jobs created are taken up by EU immigrants
  • EU’s obligation on its members to accommodate more refugees also did not find favour with UK. Especially at a time when the refugee influx in Europe is at an all time high in light of multiple crisis in Middle East and Africa
  • There is also this perception that immigrants pose a threat to national security

• Sovereignty Issue
  • EU is a transformative idea in many senses. One of the things that it leads to is the weakening of national sovereignty.
  • EU has been pushing for creation of an Ever Closer Union which would accord greater decision making powers to European Parliament, while, limiting the authority of British Parliament.