EU Tariffs: United States and Northern Ireland Economy Debate

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Department: Northern Ireland Office

EU Tariffs: United States and Northern Ireland Economy

Julian Smith Excerpts
Tuesday 8th April 2025

(6 days, 15 hours ago)

Commons Chamber
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Hilary Benn Portrait Hilary Benn
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We are all having to navigate this new uncertainty as a result of the decision that the US Administration have made. It is certainly true that leaving the European Union has created new complexities. The reason why there is a Windsor framework is that there are two entities—the United Kingdom and the European Union—with different trading rules but an open border, and some method therefore had to be found to deal with the consequence of that. As I have said to the House before, trying to wish away that basic fact has not really worked.

Julian Smith Portrait Sir Julian Smith (Skipton and Ripon) (Con)
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It is important that we keep cool heads. There will be attempts, subsequent to my question, to relitigate the Brexit wars. The fact of the matter is that the 2019 Brexit deal and the Windsor framework give Northern Ireland a unique competitive advantage: 10% exports and access to the single market. Will the Secretary of State consider a rapid automatic reimbursement scheme, as the shadow Secretary of State alluded to? That scheme is at the centre of easing tensions should there be retaliation on the EU side.

Hilary Benn Portrait Hilary Benn
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The right hon. Gentleman is absolutely right about the benefits that the Windsor framework has given businesses in Northern Ireland in terms of access to the EU market. I would just say to him that, in the event of EU retaliatory tariffs, “rapid automatic” does not quite square with the needs of businesses in Northern Ireland that import American goods, because they have to demonstrate that those goods are not then moving on to the European Union. That requires them to provide evidence to HMRC in order to get the tariff reimbursed.