European Commission figures exceed UK government's estimates in Brexit divorce bill
London and Brussels are once again locked in a new Brexit dispute after the European Union suggested that the UK should pay the EU 47.5 billion euros (£40.8 billion) as part of its post-Brexit arrangements. Under the "draft divorce bill" announced by the European Commission, the UK government would have to pay around €6.8 billion by the end of the year. However, the UK Treasury insisted that the Brexit deal should remain in the range of between 35 and 39 million pounds. "This is only an accounting estimate and does not reflect the exact amount the UK is expected to pay to the EU this year," a UK government spokesman said.
These UK financial debts were created when the UK was still a member state of the European Union and during the Brexit process, which was finalised at the end of December when London officially left the EU.
This agreement has been the first and most relevant part of the negotiations between Brussels and London after the 2016 British referendum to leave the EU. It has also been one of the most difficult issues to resolve as the sum reached by Brussels, to be paid over a period of several years, exceeds the British government's estimates. It should also be noted that the UK contributed to the EU budget as if it were a member state until the end of the Brexit process on 1 January 2021. It also received funding from Brussels programmes during that time.
In addition to the divorce bill, Brussels and London have recently been at loggerheads over the so-called "sausage wars". This issue concerns Northern Ireland, which is part of the European common market, so its products, in this case meat products, must meet EU health requirements. However, the British government does not agree to join this protocol, so trade in meat products between the two sides should be banned. However, the agreement signed between Brussels and London left several months to negotiate this issue. The first date for reaching an agreement was 30 June, and since no results were achieved, the parties have decided to extend the negotiations until the end of September.
"This is a positive first step, but we still need to agree on a permanent solution: Northern Ireland is an integral part of the UK and its consumers should be able to enjoy the products they have been buying in the UK for years," said Lord Frost, the UK's Brexit minister. On the other hand, Ursula von der Leyen, President of the European Commission, insists that the Northern Ireland Protocol is the "only solution". "We have shown flexibility, we will show flexibility, but the protocol and the withdrawal agreement must be fully implemented," she said. Boris Johnson, British Prime Minister, has assured that they will seek a solution that "guarantees the economic and territorial integrity of the whole of the United Kingdom".
Northern Ireland is one of the main problems facing the British government. Last April, riots broke out in the region due to the consequences of Brexit and the ongoing tension between Belfast and London.