News

Brexit - Frequently Asked Questions

Posted: 9th October 2019

Brexit - Frequently Asked Questions

Updated 6th January 2021

Outline of the Trade and Cooperation Agreement

• The United Kingdom and the European Union have concluded a Trade and Cooperation Agreement (TCA) on the terms of their future relationship.
• The UK left the EU on 31 January 2020 and entered a ‘transition period’ while it negotiated its future relationship with the European Union. 
• Both parties announced that they had agreed a deal on their new relationship on 24 December 2020, with its terms taking effect immediately after the transition period concluded on 31 December 2020. The TCA has many implications for the screen sectors.

Co-Productions

• The UK will remain a party to the European Convention on Cinematographic Co-Production as this is a Council of Europe treaty not an EU treaty. However UK nationals will no longer be counted as European Economic Area (EEA) nationals which will impact on certain bilateral agreements.
• This is expected to impact particularly on the Irish / Canada bi-lateral and we are currently in discussion with the UK and Canada.
• This section will be updated over the coming weeks as further detail becomes available.

Status of European Works originating in the UK

• Works originating in UK will continue to be viewed as European Works because the AVMSD states a work can qualify if the work originates in a European third state party to the European Convention on Transfrontier Television which is a Council of Europe convention and not EU.
• The AVMSD directive was fully transposed into UK law and entered into force in the UK on 1 November 2020.

Movement of People

• Both UK and Irish Governments have operated a Common Travel Area (CTA) which pre-dates the Irish and UK membership of the EU and is not dependent on it. The CTA has been reiterated in a Memorandum of Understanding signed by both governments in May 2019.
• The CTA means that Irish and British citizens can move freely between, and live in, either country and provides for associated rights and privileges in both countries including access to healthcare, education, social benefits and the right to vote in certain elections.
• For example, under CTA British citizens can work in Ireland without an employment permit, including on a self-employed basis. Irish citizens will continue to travel freely between UK and Ireland in same manner as before.
• Those moving from an EU country (other than Ireland) to the UK for temporary work (such as to join a television or film production) must now apply for a UK visa under the UK’s tier 5 (creative and sporting) visa system which previously applied only to non-EEA nationals.”
• Under the TCA, both the UK and the EU have agreed to provide visa-free travel for certain kinds of short-term visits in respect of their nationals in accordance with their domestic law.
• For long-term immigration to the UK, a points-based immigration system now applies to both EEA and non-EEA nationals.
• Information on the impact of Brexit on UK nationals and non-EEA family members residing in Ireland can be found at the following here.

Movement of Goods and Equipment

• The TCA confirms that both the UK and EU will exempt the temporary admission of certain professional equipment (specifically including cinematographic equipment) from import duties and taxes and without application of import restrictions or prohibitions of economic character.
• Temporary import of goods can be done via a number of methods including use of ATA Carnets. The Dublin Chamber of Commerce is the national issuing and guaranteeing association in Ireland under the ATA Carnet Scheme.

Data Protection and Privacy

• The TCA provides for an extension period to allow the EU time to conclude its adequacy assessment of the UK’s data protection laws. This extension period allows for the export of personal data from the EU to the UK to continue freely for up to six months beyond the end of the transition period being 1 January 2021.
• The Commission’s conclusion will determine rules for personal data transfers beyond this point. If UK protections are deemed adequate, personal data transfers may continue as they currently do. If they are found to be inadequate, data transfers will only be able to take place if further steps are taken by both parties. This includes the use of EU Standard Contractual Clauses by EU data exporters.  While both the EU and the UK have expressed a desire to grant data protection adequacy status to the UK, it is by no means guaranteed. It therefore remains important to use the extension period to consider which data transfer mechanisms and technical, organisational and contractual measures may need to be implemented to provide for transfers of data to the UK.

General

• The TCA provides for zero tariffs and zero quotas on all goods that comply with the appropriate rules of origin set out in the TCA which determine the origin of goods for the purpose of application of preferential tariff treatment under the TCA and setting out related origin procedures.
• In line with other EU trade deals, audio-visual services are excluded from the sections on services and investment and on digital trade in the TCA.
• The UK is no longer bound by the EU State aid regime, save for specific exceptions in Northern Ireland. Generally, the UK will follow WTO subsidy rules and other international commitments from 1 January 2021. However, the TCA states that the Chapter on Subsidy Control does not apply to subsidies related to the audio-visual sector.

These FAQs will be updated over the coming weeks as further detail and clarity becomes available.

The above FAQs contain general information. Any legal information is not to be considered advice and should not be treated as such. Any legal information in this document is provided without any representations or warranties, express or implied, in particular we do not warrant that any information is true, accurate, complete, current or non-misleading.

If you have any questions about any legal or finance matter contained in this document, you should consult your own solicitor or finance professional.