UK Invests 550 Billion KRW to Remove Trade Barriers Between Northern Ireland Due to Brexit

UK Government Supports Resolution of Various Documentation Procedures Required for Goods Trade

[Image source=AP Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] The UK government will provide various document procedures, including import and safety declarations, free of charge to Northern Ireland companies importing goods from mainland UK starting this September.

This measure aims to minimize confusion caused by the customs and tariff border to be established between mainland UK and Northern Ireland ahead of the end of the Brexit transition period, which is set to expire at the end of this year.

According to AFP and other sources on the 7th, Michael Gove, the UK Chancellor of the Duchy of Lancaster, is scheduled to visit Northern Ireland and announce the "Trade Agreement Support Service."

Under this plan, from September, the UK government will support ?200 million (approximately 310 billion KRW) for various necessary paperwork, including import, safety, and security declarations for goods moving from the UK to Northern Ireland. Additionally, it plans to invest another ?155 million (approximately 240 billion KRW) in developing digital technologies to simplify these processes.

Chancellor Gove described it as "a service that handles import procedures free of charge for all businesses."

Last month, the UK government announced an investment of ?705 million (approximately 1.1 trillion KRW) to establish a border management system in preparation for the UK’s complete departure from the European Union (EU), stating that a separate plan would be presented regarding Northern Ireland.

After the UK left the EU at the end of January, a customs and border control will be established between Ireland, an EU member state, and Northern Ireland, which belongs to the UK, starting next year. As the entire UK, including Northern Ireland, exits the EU Customs Union next year, a legal customs border will be created.

However, both sides agreed to effectively establish the customs border between the UK and the island of Ireland, meaning goods will undergo customs procedures upon entering Northern Ireland from mainland UK.

Furthermore, goods moving from mainland UK to Northern Ireland will be checked for regulatory alignment with the EU.

Separately from customs support, the UK government announced it will provide an additional ?300 million (approximately 470 billion KRW) to the Peace, Prosperity, and Reconciliation project on the island of Ireland.