After the establishment of the Withdrawal Agreement Bill (“WAB”) and the approval of the European Parliament on January 29, 2020, the UK will leave the EU today, January 31, 2020, at 11.00 pm GMT. In this alert we would like to provide you with an update on the status of the Brexit and the consequences thereof.
The WAB is the foundation for the relationship between the EU and the UK during the coming transition period, which will run up to December 31, 2020 11.00 pm GMT (the “Transition Period”). The WAB determines that the UK government cannot extend the Transition Period.
The purpose of the Transition Period is to give the European Commission, which will act on behalf of the 27 remaining EU member states, and the UK enough time to negotiate new regulations and further consequences of the Brexit. Within the Transition Period, amongst many other things, the UK-EU trade deal and law enforcement have to be established. If they fail to come to an agreement, there will be a No Deal-Brexit.
During the Transition Period, all the current treaties, laws and other regulations between the UK and the EU will remain in force. This means that, effectively, nothing will change for the public (including all EU and UK companies) until the Transition Period has ended. In eleven months we will know whether the negotiations between the European Commission and the UK were successful or whether there will be a No Deal-Brexit.
Should you in the meantime have any questions with regard to the impact of the Brexit for your organization, please do not hesitate to contact us: