- Party management - To settle the growing Eurosceptic faction within the Conservative Party
- Democratic legitimacy - The UK had never voted on EU membership since major treaties changed the nature of the organization (no referendum since 1975)
- Renegotiation opportunity - A chance to renegotiate Britain's relationship with the EU and then put the new deal to voters
- Electoral strategy - To win back Conservative voters who were drifting to UKIP (a political party for those who have forgotten)
- Internal Conservative Party rebellion - In June 2012, over 100 Conservative MPs signed a letter demanding a referendum commitment. In 2011, 81 Tory MPs defied Cameron's three-line whip to vote for a public-backed referendum initiative.
- UKIP's rising popularity - By 2013, UKIP was polling at 10% nationally, though importantly, Cameron made the referendum commitment before UKIP became a major electoral threat.
- Growing Euroscepticism - Long-building sentiment within the Conservative Party dating back to Thatcher's era, fuelled by concerns about sovereignty, immigration, and EU regulations.
- Cameron's miscalculation - He believed he could win the referendum easily and use it to silence critics permanently. He vastly underestimated both the Leave campaign's effectiveness and his own party's willingness to defy him.
- This was the dominant theme throughout the campaign
- Claims that EU free movement was overwhelming to public services
- Warnings about Turkey/ Turkiye joining the EU (with implicit fears about Muslim immigration)
- The infamous poster showing refugees with "Breaking Point" messaging
- Leavers argued that immigration was causing "unsustainable pressures on our public services"
- The iconic red bus slogan: "We send the EU £350 million a week, let's fund our NHS instead"
- This figure was demonstrably incorrect (the actual net contribution was much lower)
- The claim was designed to "neutralize" economic arguments, according to campaign director Dominic Cummings
- It suggested building a new fully-staffed hospital every week with the "savings"
- Nearly half of Leave voters cited wanting "decisions about the UK to be taken in the UK" (!)
- Claims that EU judges controlled British citizenship
- Arguments about "unelected Brussels bureaucrats" making UK laws
- The European Court of Justice undermining British sovereignty
- EU membership prevented Britain from making its own trade deals with major economies (US, India, Japan)
- EU bureaucracy and red tape harmed small businesses
- EU regulations were inflexible and slow
- Common Fisheries Policy harmed British fishing industry
- Britain's borders would be more secure outside the EU
- Full border controls would improve domestic security
- Vote Leave – was led by Johnson and Gove, presented a more "liberal" pro-Brexit message focused on sovereignty, NHS funding, and managed immigration
- Leave.EU - Led by Farage, used more explicitly anti-immigrant rhetoric and the "Breaking Point" poster
- Immigration → as to putting a strain on NHS
- Immigration → as to loss of control
- EU membership → the inability to control borders
- Turkish EU membership → Muslim immigration threat
- Sovereignty → immigration control
- Boris Johnson - Then-Mayor of London, became the face of the campaign after announcing support on February 21, 2016
- Michael Gove - Justice Secretary and Lord Chancellor
- Gisela Stuart - Labour MP, served as chairman of Vote Leave
- Dominic Cummings - Campaign Director (strategist behind the scenes)
- Iain Duncan Smith - Secretary of State for Work and Pensions
- Chris Grayling - Leader of the House of Commons
- Priti Patel - Minister of State for Employment
- Andrea Leadsom - Minister at Department of Energy and Climate Change
- Nigel Lawson - Former Chancellor (interim chairman)
- Matthew Elliott - Co-founder with Cummings
- Nigel Farage - UKIP Leader (now known for Reform campaigns), the face of the more nativist messaging
- Aaron Banks - Zee wealthy insurance magnate who poured millions into Leave.EU's controversial advertising
- Administration of the poll, £94.5 million: This involved the running of over 40,000 polling stations, issuing and opening postal votes, counting the votes and the costs of staff for Counting Officers across the UK
- Designated campaign grants, £1.2 million: £600,000 each to the two designated lead campaigns (Vote Leave and Britain Stronger in Europe). The intention of these sums were to reflect the equivalent value given to campaigns in the 1975 referendum.
- Campaign mailings, £25.4 million: “Free” Royal Mail delivery for each designated campaign to send materials to every household in the UK, which covered only delivery not the production costs.
- Electoral Commission public awareness campaign, £6 million: Including multimedia campaign starting May 15, 2016, the advertising, voting guides, public relations informing people how to vote (of course not on who to, just how…).
- Government pro-Remain leaflet: £9.3 million (separate from above):
- The cost of production was £458,500
- then £5.94 million to print and deliver to 27 million homes
- and finally £2.89 million for the accompanying website and digital promotion
- Conservatives: £7 million limit
- Labour: £5.5 million limit
- UKIP: £4 million limit
- Liberal Democrats: £3 million limit
- Actual spending: £7,449,079 (from this the legal limit was £7 million and overspending was nearly half a million pounds over the limit)
- BeLeave was supposed to be independent but was operating from Vote Leave's office
- Vote Leave built BeLeave's website, provided infrastructure, filming facilities, legal support
- All the money went directly to AggregateIQ (a Canadian tech firm) for targeted Facebook ads
- The Electoral Commission found "significant evidence of joint working" under a "common plan"
- This should have counted toward Vote Leave's spending limit
- Had nearly £234,501 reported incorrectly
- Missing invoices for £12,849.99 of spending
- £61,000 (£20,000 of this for refusing to cooperate with investigation)
- Darren Grimes/BeLeave: £20,000 (maximum individual fine allowed)
- Veterans for Britain: £250
- Liberal Democrats: they had inadequate receipts and invoices in estimated value of £18,000
- Britain Stronger in Europe (Official Remain Campaign, also renamed to Open Britain): Fined £1,250 in December 2017 for failing to provide invoices and for declaring some spending in aggregate rather than as individual payments.
- European Movement UK (Pro-Remain Group): Fined £8,750 in October 2017 for submitting an "incomplete and inaccurate" spending return, which included missing payments and incorrectly included other payments.
- Best for Our Future (Pro-Remain Group): Fined £2,000 in 2018 for inaccurate reporting.
- Campaign for an Independent England (Pro-Remain/Pro-EU Group): Fined £1,000 for a "significantly late" return.
- DUP (Democratic Unionist Party): Fined £4,000 for inaccurate spending returns, which included duplicated payments.
- Trade Unions (e.g. UNISON £ 1,500, GMB £ 500): The Electoral Commission reported that two trade union donors were fined for inaccurate reporting, sources citing different figures, so go figure.
PART 4: LEGAL COSTS FROM INVESTIGATIONS – digging under the surface layer
What majority of the population doesn’t seem to realise that there is more to the actual costs than what is shown at first. So in the following we can’t miss out on the Electoral Commission’s legal costs (and would propose having a look at this report and eye a bit with those pension benefits, just rest a bit your brain whilst soaking the reality in)
· Approximately £228,000 in legal fees investigating Darren Grimes
· Plus £300,000 paid to Grimes when he successfully appealed his fine in July 2019
· Vote Leave paid the Commission £180,000 in legal costs
· Ongoing investigations and court cases through 2018-2019.
THE GRAND TOTAL (Direct Measurable Costs)
Conservative estimate: £170-180 million
- £129.09 million (official referendum administration)
- £32.64 million (campaign spending)
- £9.3 million (government leaflet)
- ~£1-2 million (fines and legal costs)
WHAT IS NOT INCLUDED?
- Opportunity costs (!) - Government officials' time spent on referendum instead of other work
- Economic impact during campaign - Pound sterling volatility, FTSE fluctuations
- Private sector costs (!) - Businesses preparing for either outcome
- Media coverage costs (!) – Even though broadcasters had legal obligations to cover it
- The actual IMPLEMENTATION costs of Brexit - Which would run into billions
THE SPENDING LIMITS CONTROVERSY
Here's what really is a particularly problematic scenario: the maximum fine the Electoral Commission could impose was £20,000 per offence.
Think about that: Vote Leave overspent by £449,079 and was fined £61,000. That's only 13.6% of their illegal overspending. From a cost-benefit perspective, it was financially rational to break the law.
As legal expert Jolyon Maugham QC argued: "Financial penalties must be 'swingeing to create a real deterrent.'"
The spending rules were designed to:
- Prevent an arms race between campaigns
- Stop wealthy donors from buying elections
- Ensure a level playing field
KEY TAKEAWAY
The referendum itself cost approximately £170-180 million in direct, measurable costs. However when the law allows to break the rules with little or no accountability for the political parties using sophisticated schemes to circumvent spending limits for example, and then imposing fines on them which are a fraction of the illegal overspending, essentially making lawbreaking a profitable strategy, then based on what are these laws legal, sustainable and fair?
This raises fundamental questions not only about the integrity of the referendum process, however also why spending limits are not only unenforceable but simply show items in the midst of a circus?
However, let’s avoid dwelling on this, as obviously it seems that no one really is bothered much about these and let’s move on to our next stage.
OPPORTUNITY COSTS & MEDIA COVERAGE COSTS: BREXIT CAMPAIGN & IMPLEMENTATION (2016-2020)
This is the point where the costs become truly staggering so I ask everyone who one day gets here to read these to learn from these figures and implement in your everyday day life this comparing measures too. In politics even the “free” has its own price, for which all tax payers paid for already. So it is not free, is it? One must just really check how much that “free” really is.
PART 1: CIVIL SERVICE OPPORTUNITY COSTS
1.A. STAFF EXPANSION COSTS
Civil Service Growth (Source: Institute for Government, UK in a Changing Europe):
In June 2016 there were an estimate 384,000 full-time equivalent FTE civil servants, whilst in December 2021 this number raised by 24% (91,000) to 475,000 FTE civil servants. Of which 25,000-27,500 civil servants were working directly on Brexit by 2019-2020.
Annual Cost Calculation:
- Estimated cost per civil servant: £45,000 (including salary, accommodation, pensions, NI contributions)
- With 91,000 additional staff × £45,000 = £4.095 billion yearly, and over 5 years (2016-2021): ~£20.5 billion in additional civil service costs. However as I want to be generous, let’s spread out the 91,000 across the 5 years with equal yearly incremental rate, even then, the total figure is around £12.3 billion over the period of 5 years. Which is more likely in line with the civil service website estimates, which says Brexit might have cost £3 billion per year in staff costs alone - potentially even more than the 60,000 employed by "Brussels" for all centralized EU functions. However what they seem to forget to mention that this additional estimated yearly £3 billion is the actual costs of the newly appointed civil servants only during the 5 year, and they seem to forget to mention all the existing staff’s costs involved in Brexit, as if they would have nothing to do with it. So let’s face the reality, no one has a clue how much yearly these costs actually were, and if they still have realistic figures I am certain it would be way above the estimated £3 billion (just by that simple known fact that majority of the civil servant jobs are outsourced to agencies, which is well practiced procedure across the market. They charge way more than what the actual cost would be, however they save the headache of keeping and if need be, firing the staff from their civil servant jobs for all government bodies). This rabbit hole is so deep, once you go down, you will find it extremely hard to unsee or unhear whatever you meet moving forward.
1. B. CONSULTANCY SPENDING BONANZA
This is particularly shocking, the government dramatically increased reliance on external consultants.
Overall Consultancy Spending Growth (Source: Tussell data):
- 2016: £700 million in consultancy contracts
- 2021: £2.5 billion in consultancy contracts
- Growth: 257% increase over 5 years
- Total Brexit consultancy fees: £450-600 million (conservative estimate)
McKinsey & Company:
- £1.9 million (April-October 2017) - DExEU implementation of 800 Brexit plans
- £680,000 (2018) - HMRC customs proposals (rejected by EU)
- Part of £43 million to MBB firms (McKinsey, BCG, Bain) collectively
- £147 million (2019-2020) - up from £40 million (2017-2018) [268% increase]
- Up to £100 million contract from HMRC for post-Brexit customs
- £486,473 for EU exit coordination
- £2 million (Summer 2018) - cross-government delivery coordination
- £750,000 (2018) - additional EU exit coordination (3 payments)
- £10 million (April-August 2019) - 40 consultants for 4 months
- £750,000 (2018) - similar to BCG agreement
- £106 million (2019-2020) in government fees
- £10 million each in various Brexit contracts
- Total Big Four (Deloitte, PwC, EY, KPMG): £300+ million (2017-2020)
- £180 million over 2 years (with option to extend to £360 million)
- Awarded to McKinsey, Bain, KPMG, Accenture, Deloitte, PwC
- Note: Previous 2 years had cost £88 million - this quadrupled the spending
- £75 million in Brexit contracts to 9 firms (before April 2019)
- Individual consultant rates: £7,000-£14,000 per day
1. C. MANAGEMENT TIME & PRODUCTIVITY COSTS
Between November 2018 and January 2019:
- 10% of CFOs spending 6+ hours per week on Brexit preparations
- 6% of CEOs spending 6+ hours per week on Brexit preparations
- Over 70% of both CFOs and CEOs spending some time on Brexit prep
- Average: Nearly 10% spending 6+ hours/week, 25% spending 1-5 hours/week
- Over 500 Brexit-related work streams in government
- Similar number of legislative changes required
- Deloitte 2016 leaked memo: Warned of need for 30,000 additional civil servants
- Civil servants working overnight shifts preparing Brexit briefings
- Papers arriving at 18:00, departments had 3 hours to compile briefings
- Briefings to senior civil servants by 21:30, who worked overnight
PART 2: BUSINESS OPPORTUNITY COSTS
2. A. SMALL BUSINESS PREPARATION COSTS
Direct Costs (Source: FSB, Enterprise Nation):
- Only 21% of SMEs expecting negative impact made preparations
- 63% said they couldn't plan at all (lack of information, shifting deadlines)
- Those who prepared: Average cost £3,000 per firm
- Extra stock
- Legal advice
- New paperwork systems
- Compliance preparations
- One-third saw profitability decline due to Brexit preparations alone
2. B. BUSINESS INVESTMENT DEPRESSION
Investment Impact (Source: CEPR, Economics Observatory, Bloomberg Economics):
- Brexit reduced investment by approximately 11% over 3 years post-referendum
- Business investment was essentially flat 2016-2019 (normally grows 6% annually)
- By 2020/21: Business investment was 23% lower than it would have been without Brexit
- By 2022: Business investment 10% below counterfactual
- If business investment should have grown at historical 0.5% per quarter
- Lost growth represents tens of billions in foregone investment
2. C. ONGOING ECONOMIC DRAG
Bloomberg Economics Analysis (January 2023):
- Brexit costs UK economy: £100 billion per year in lost output
- Effects span hiring, business investment, trade
- Since 2016: At least 30% of firms consistently identified Brexit as top 3 concerns
- Peaked at 55% in 2020
- This ongoing uncertainty continues to suppress investment and growth
- FDI inflows dropped 37% between 2016-2022
- Foreign investors relocated to EU to preserve single market access
- UK lost £1 trillion in potential FDI (half of UK's FDI stock comes from EU)
2. D. PRODUCTIVITY LOSSES
Measured Productivity Decline (Source: CEPR, NBER):
- Productivity decreased 2-5% over 3 years following referendum
- Caused by:
- Management time diverted to Brexit planning
- Reduced R&D spending due to uncertainty
- Reduced software and training investment
- Innovation suppression
- Services exports: 9.2% annual drop (2016-2019) = $146.8 billion USD loss
- 2021: Number of UK businesses exporting goods to EU fell 33%
- From 27,000+ in 2020 to ~18,000 in 2021
- UK-EU exports dropped 22.9% in first 15 months post-Brexit
- 42% of product varieties disappeared from exports
- Seafood sector: 83% collapse in first month due to new checks
PART 3: MEDIA COVERAGE COSTS
BBC Funding Context:
- BBC annual revenue: ~£5 billion (75% from TV license fees)
- License fee: £159/year (2016-2020 period)
- The BBC commands 32% of UK TV audience share
- It's part of their statutory news obligations
- Editorial staff are on salaries regardless of what they cover
- It displaced other coverage rather than adding new costs
- From 2016 onwards, Brexit dominated news cycles
- BBC created dedicated programs: "Brexitcast," "Reality Check" unit
- Continuous coverage 2016-2020 across TV, radio, online
- European elections 2019 entirely Brexit-focused
- Multiple live referendum results shows, leadership contests, parliamentary votes
- 10-20% of BBC News output over 4 years (2016-2020)
- BBC News budget is roughly 15-20% of total BBC budget
- 20% of £5 billion = £1 billion × 4 years = £4 billion total
- Brexit portion (10-20%): £400-800 million over 4 years
- ITV, Sky News, Channel 4 also provided extensive coverage
- Similar resource allocation
- Combined commercial broadcaster spending: Estimated £200-400 million (2016-2020)
- Newspapers devoted front pages, special supplements
- Investigative journalism, Brussels correspondents
- Estimated additional costs: £100-200 million across sector
PART 4: OTHER OPPORTUNITY COSTS
Parliament & Legislative Costs:
- Over 500 statutory instruments needed to be drafted
- Thousands of hours of parliamentary debate
- Multiple failed votes, leadership contests
- Three prime ministers' resignations partly due to Brexit
- DExEU (Department for Exiting EU): Entire new department created, then disbanded
- Department for International Trade: 3,200 new staff
- Home Office: Added 8,400 officials (immigration system)
- DEFRA: Added ~5,000 staff
- BEIS: Added ~5,000 staff
GRAND TOTAL: OPPORTUNITY & MEDIA COSTS
|
Category |
Amount |
|
Additional
Civil Service Staff |
£15 billion |
|
Consultancy
Fees |
£450-600
million |
|
Business
Investment Lost |
£50-100+
billion |
|
Media
Coverage |
£700 million
- £1.4 billion |
|
Management
Time (businesses) |
Tens of
billions (unquantified) |
|
SUBTOTAL |
£70-120+ billion |
Other KEY SOURCES information can be found at:
- UK in a Changing Europe - Civil service Brexit analysis
- CEPR/NBER - Business investment and productivity studies
- Bank of England Decision Maker Panel - Firm uncertainty surveys
- Enterprise Nation/FSB - SME preparation costs
- Consultancy.uk - Multiple reports on specific contracts 1, 2 and 3
- Byline Times, UCL - Consultancy investigations
The Brutal Reality:
The Cherry on the Cake: DID THE UK ACTUALLY "CUT TIES" WITH THE EU?
An Evidence-Based Analysis
The UK has NOT definitively cut ties with the EU as promised in the referendum campaign. And now let’s see the evidence systematically. And before anyone coming and turning around and telling me or anyone else that this is non-sense, first read the following, then dig yourself into the data as well and when you have found evidence that it is reality, be kind and make others to get it too.
SECTION 1: ONGOING LEGAL OBLIGATIONS
A. THE TRADE AND COOPERATION AGREEMENT (TCA)
Status: Legally binding international treaty
- Signed: 30 December 2020
- In force since: 1 May 2021
- Scope: 1,240+ pages governing UK-EU relations
|
Area |
Obligation |
Source |
|
Partnership Council |
Regular meetings to oversee implementation |
TCA, House of Commons Library |
|
19 Specialized Committees |
Most met at least once 2023-2024 |
UK Govt Implementation Report 2024 |
|
Dispute Settlement |
Binding arbitration panels with cross-retaliation powers |
House of Commons Library CBP-9139 |
|
Level Playing Field |
Subsidy controls, labor standards, environmental
regulations |
TCA Part 2 |
|
Fisheries Management |
Joint management of fish stocks, ongoing negotiations |
EU Council |
|
Data Adequacy |
UK must maintain GDPR-equivalent protections or lose data
flows |
European Parliament 2025 |
|
Law Enforcement Cooperation |
Shared databases, judicial cooperation (with suspension
clauses) |
TCA Part 3 |
|
Energy Cooperation |
Interconnection, security of supply working groups |
UK Govt Report 2024 |
B. NORTHERN IRELAND: STILL SUBJECT TO EU LAW
This is the smoking gun that proves Brexit was incomplete.
Windsor Framework (Updated Northern Ireland Protocol)
|
EU Law Application |
Details |
Source |
|
308 EU acts still apply to Northern Ireland |
Down from 338 in 2019 but still substantial |
Queen's University Belfast, Dynamic Alignment Review 2024 |
|
EU Single Market for Goods |
NI remains aligned with EU rules |
House of Commons Library CBP-9548 |
|
EU Customs Code |
Applied to all goods entering/exiting NI |
European Commission |
|
Dynamic Alignment |
EU laws apply "as amended or replaced" - NI
automatically follows new EU regulations |
Windsor Framework Article 13(3) |
|
European Court of Justice |
Still has jurisdiction over disputes relating to NI
Protocol |
Withdrawal Agreement |
|
Irish Sea Border |
De facto customs border between GB and NI |
Wikipedia - Windsor Framework |
What This Means:
- Northern Ireland is effectively still in the EU Single Market for goods
- Part of the UK is still subject to EU law that the UK Parliament cannot change
- ECJ still has authority over part of UK territory
- House of Commons Library Research Briefing CBP-9548 (updated recently)
- Windsor Framework official EU documentation
- Northern Ireland Assembly briefings
C. THE "DIVORCE BILL" - ONGOING PAYMENTS TO EU
Total Financial Settlement: £30.2 billion (as of March 2024)
|
Metric |
Amount |
Source |
|
Already
paid (by Dec 2023) |
£23.8 billion |
Wikipedia -
Brexit Divorce Bill |
|
Further
paid (2024) |
£2.4 billion |
UK in a
Changing Europe, Sept 2024 |
|
Total paid
(by end 2024) |
~£26.2
billion |
GOV.UK EU
Finances Statement 2024 |
|
Outstanding
as of Jan 2025 |
£5.7 billion
(€6.8bn) |
GOV.UK EU
Finances Statement 2024 |
|
Payment
deadline |
Until 2065 |
House of
Commons Library CBP-8822 |
|
Average
annual payment post-2024 |
~£95
million/year |
Facts4EU /
ONS data |
Breakdown of What UK Is Still Paying:
- RAL payments (Reste à Liquider - outstanding EU budget commitments): £15.3 billion already paid, £5.2 billion more expected
- EU pension liabilities for UK nationals who worked for EU
- Share of EU agency commitments made during membership
Sources:
- Wikipedia: Brexit Divorce Bill (updated March 2025)
- House of Commons Library CBP-8822 (updated recently)
- GOV.UK European Union Finances Statement 2024
- UK in a Changing Europe analysis
SECTION 2: WHAT THE REFERENDUM PROMISED VS. REALITY
|
Promise |
Reality (2025) |
Status |
|
"Take back control" |
19 TCA committees + ongoing EU obligations |
❌ BROKEN |
|
"Take back control of our laws" |
308 EU laws still apply in NI; ECJ still has
jurisdiction |
❌ BROKEN |
|
"Take back control of our borders" |
NI has different rules; Irish Sea border created |
❌ BROKEN |
|
"Take back control of our money" |
Paying EU £95m/year until 2065 |
❌ BROKEN |
|
"No payments to EU" |
Already paid £26.2bn, £5.7bn outstanding |
❌ BROKEN |
|
"Complete independence" |
Bound by 1,240-page TCA with dispute mechanisms |
❌ BROKEN |
|
"Get Brexit done" |
Ongoing negotiations, 5-year reviews, constant
committee meetings |
❌ BROKEN |
SECTION 3: THE 2024 "RESET" - GETTING CLOSER TO EU
Major Development: Under PM Keir Starmer (elected July 2024), UK is actively seeking "closer EU ties"
UK-EU Summit (19 May 2025):
|
Agreement |
Implication |
Source |
|
"Strategic
Partnership" Common Understanding |
Commitment to
"reset" relationship |
UK Govt TCA
Implementation Report 2024 |
|
Regular UK-EU
Summits |
Institutionalized
ongoing relationship |
European
Parliament Report 2025 |
|
RED LINES
MAINTAINED |
No single
market, no customs union, no freedom of movement |
UK
Govt/European Parliament |
|
Three
cooperation pillars |
1) Foreign
policy, defence, security 2) Safety of citizens 3) Growth and trade |
Consilium
Europa |
Quote from UK Government Report 2024:
"On 4 July 2024, the British people elected a new government on a manifesto which included a commitment to reset the UK's relationship with the EU", which contradicts the entire premise of "getting Brexit done".
Source: GOV.UK Trade and Cooperation Agreement Implementation Report 2023-2024
SECTION 4: AREAS WHERE UK IS STILL TIED TO EU
Regulatory Alignment (Forced Convergence):
|
Sector |
Status |
Source |
|
Medicines
(NI) |
Dual
regulation - MHRA approves but must align with EU for NI access |
Windsor
Framework |
|
Data
Protection |
Must maintain
GDPR-equivalent or lose EU data adequacy |
European
Parliament |
|
Financial
Services |
No
equivalence granted; UK must shadow EU rules for access |
Winston &
Strawn analysis |
|
Chemical
Regulation |
NI subject to
EU REACH regulations |
Queen's
University Belfast |
|
Agricultural
Products |
NI follows EU
SPS (sanitary/phytosanitary) standards |
European
Commission |
|
State Aid |
UK bound by
TCA subsidy control provisions |
TCA Part 2 |
The Reality: UK claims regulatory divergence as a "Brexit benefit" but in practice faces passive regulatory convergence - must stay aligned or lose market access
SECTION 5: INSTITUTIONAL TIES
Permanent UK-EU Governance Structures:
- Partnership Council - Regular meetings (met 16 May 2024)
- 19 Specialized Committees including:
- Trade Specialised Committee
- Energy Specialised Committee
- Fisheries Specialised Committee
- Law Enforcement Specialised Committee
- Social Security Coordination Specialised Committee
- Joint Consultative Working Group (NI-specific) with 5 sub-groups
- Withdrawal Agreement Joint Committee
- Dispute Settlement Panels (independent arbitration)
Source: UK Government TCA Implementation Report 2023-2024; European Commission
SECTION 6: TRADE DEPENDENCY
The UK economy remains structurally dependent on EU trade despite Brexit
|
Metric |
Figure |
Source |
|
UK exports to
EU |
42% of total |
Bruegel 2024 |
|
UK imports
from EU |
52% of total |
Bruegel 2024 |
|
UK trade
performance vs other G7 |
Only G7
country not recovered from pandemic |
NIESR,
Bruegel |
|
Goods exports
since 2019 |
Down 13.2% |
Bruegel
citing Fry 2024 |
|
Services
trade since 2019 |
Up 14% |
Bruegel |
CONCLUSION: THE VERDICTS
Is the UK still tied to the EU?
ANSWER: YES
Evidence Summary:
✅ Legal ties:
- 1,240-page Trade and Cooperation Agreement binding until at least 2026
- 308 EU laws still apply to Northern Ireland
- ECJ still has jurisdiction over part of UK
- Dispute settlement mechanisms with cross-retaliation powers
- Ongoing payments until 2065 (£5.7bn outstanding)
- Already paid £26.2bn+
- 19+ permanent committees
- Regular summit commitments
- Binding arbitration panels
- Irish Sea border (part of UK subject to different rules than rest of UK)
- NI effectively still in EU Single Market
- Forced convergence on data, medicines, chemicals, agriculture
- Level playing field obligations on subsidies, labor, environment
Was Brexit "delivered" as promised?
ANSWER: NO
The referendum promised:
- Complete independence ❌
- No EU payments ❌
- Full control of laws ❌
- Full control of borders ❌
- Sovereignty restored ❌
- Created complex treaty relationship requiring constant management
- Ongoing payments for decades
- Part of UK still under EU law
- Created internal UK border
- Limited sovereignty (bound by international treaty)
My Assessment: "Brexit was a show and actually it is still an ongoing process that no one sees the end of it"
VERDICT: CORRECT
Supporting Evidence:
- 2024 "Reset" - Government actively seeking closer EU ties
- 2026 TCA Review - Major renegotiation coming
- Ongoing committee work - Constant engagement on implementation
- Regulatory reviews - Continuous alignment pressures
- NI consent vote (December 2024) - Can trigger 2-year renegotiation
Some relevant direct resources:
- https://ukandeu.ac.uk/brexits-impact-on-the-uk-economy/
- https://ukandeu.ac.uk/how-much-has-brexit-cost-the-uk-economy/
- https://ukandeu.ac.uk/levelling-up-by-levelling-down-the-economic-and-political-costs-of-brexit/
- https://ukandeu.ac.uk/the-continuing-search-for-a-workable-brexit/
- https://ukandeu.ac.uk/expecting-brexit/
- https://www.bruegel.org/policy-brief/trade-policy-framework-european-union-united-kingdom-reset
- PDF: https://www.bruegel.org/sites/default/files/2024-11/PB%2030%202024.pdf