What Is Meant By The Backstop Agreement
Written by Staff on December 20, 2020
In order to avoid a border between Northern Ireland and the rest of the United Kingdom, Article 6 of the Northern Ireland Protocol proposes that the United Kingdom and EU customs officers act as one from the end of the transition period (December 31, 2020) until the parties agree on a satisfactory alternative for both parties.  The single customs territory between the UK and the EU does not apply to fish products: for example, fish transported from Britain to Northern Ireland would be subject to EU tariffs in the absence of a separate fishing agreement.  In July 2019, Theresa May resigned and Boris Johnson became Prime Minister, boris Johnson saying he wanted to replace the Irish backstop as part of the withdrawal agreement.  On 19 August, in a letter to the President of the European Council, the Prime Minister declared that the agreement was “undemocratic and incompatible with the sovereignty of the United Kingdom”.  He stressed that this was “not compatible with the UK`s desired end goal” for its relations with the EU. Its third reason for the unsurability of the backstop is that it “weakens” the Good Friday Agreement and the peace process in Northern Ireland. Tusk said opponents of the deal, without “realistic alternatives,” supported the re-establishment of a hard border on the island of Ireland. That`s the reality, “even if they don`t admit it,” he added. “The backstop is an insurance to avoid a hard border on the island of Ireland, unless an alternative is found,” Tusk tweeted.  The Irish Government considered that “the real objective of the backstop was to maintain the status quo by guaranteeing freedom of movement and not a hard border on the island of Ireland; which is of paramount importance to the GFA. The reality is that Brexit is a threat to the GFA.  On 17 October 2019, it was announced that NEGOTIATORs from the UNITED Kingdom and the EU had reached a “new” or “revised” agreement on the Irish border, which put an end to the Irish “backstop” proposal. You can read the new rules for Northern Ireland here.
Reality check: what do the Brexit backstop proposals mean? Brexit: Michel Barnier questions Theresa May`s `backstop plan`. He says we have to find an alternative to backstop and last week German Chancellor Angela Merkel gave him 30 days to do so. They feared that the backstop would be used to permanently lure the UK into the EU customs union and prevent the country from concluding its own trade deals. If the UK were to leave the EU without “any agreement” (if the draft withdrawal agreement is not approved by Parliament), Northern Ireland (under the UK) would have different customs and regulatory standards than Ireland (under the EU). This means that customs controls on goods must be imported at the border, which could create a “hard border” with physical infrastructure such as cameras or guard posts. This would undermine the principle of North-South cooperation as defined in the Good Friday Agreement. When the entity supplying the backstop is an investment bank, the sub-insurers representing the investment firm enter into an agreement with the company. This agreement is referred to as a fixed-term contract or contract and provides general support to the offer by committing to purchase a number of unsold shares. When the technical insurance agency takes possession of shares, as stated in the agreement, the shares belong to the organization, which must be managed as needed. Shares are treated like any other investment acquired by normal market activity.