Tashkent, Uzbekistan (UzDaily.com) – On 24 December 2020, after 10 months of debate and controversy, the UK and the European Union have entered into a post-Brexit trade deal.

Negotiations between London and Brussels on the provisions of the trade agreement "skidded" for several months, but eventually ended in a "final breakthrough" in the last week after active negotiations between Ursula von der Leyen and Boris Johnson. The parties managed to avoid a "hard" exit of Great Britain from the EU.

Negotiations on Brexit conditions between the UK and the EU started in June 2017 and were originally designed for 2 years, but were extended several times. The UK left the EU on February 1 this year, agreeing on a transitional period that will end on 31 December 2020.

I. The Draft Agreement on Trade and Cooperation consists of three main blocks:

1. Free Trade Agreement. As part of the first block, the parties agreed on "zero tariffs and zero quotas for all goods" covered by the agreement. This part of the document concerns not only the exchange of goods and services, but also cooperation in energy, tax and investment spheres, in the field of fishing and visa-free travel.

The issue of fishing, that is, keeping EU fishermen from entering British waters, has caused one of the biggest controversies. As a result, the EU is giving up 25% of the quota that it fished in UK waters, but this is much less than London originally demanded (50%). The system will operate for 5.5 years, until June 2026, after which the quotas will be revised.

Economically, EU fishing is about 650 million euros per year, and this issue was especially important for the coastal states.

2. Agreements on "a new partnership for the safety of citizens." This part of the agreement lays down a new framework for cooperation between UK and EU law enforcement and judicial authorities in criminal and civil law matters. At the same time, interaction may be interrupted if London violates the European Convention on Human Rights or departs from its implementation within the country.

3. Provisions concerning control over the execution of the transaction stipulate mechanisms for control over the implementation of the agreement. They, in particular, are designed to provide "maximum legal certainty for businesses, consumers and citizens."

The parties plan to establish a Joint Partnership Council, which will monitor compliance with the deal and facilitate discussion of controversial issues.

In addition, it is planned to coordinate the sanctions policy. At the same time, as noted by Reuters, London has ensured that the European Court will not have power in resolving disputes that may arise in the future between the UK and the European Union.

At the same time, issues of cooperation in the field of foreign policy are not spelled out in the deal, "since the UK did not want to negotiate on this issue."

II. European leaders welcomed the agreement.

After signing the agreement, U.F. Leyen said the deal was "fair and balanced." The head of the EC added that "the UK remains a reliable partner of the EU, we are long-time allies, we share common interests and views." Ursula von der Leyen confessed that she felt "satisfaction and relief" and noted that "Brexit can finally be left behind and our future is in Europe."

Boris Johnson called the free trade agreement "not only as an economic and social benefit, but also as a moment of political" catharsis "(relief) for the country." According to him, "the partnership agreement with the EU is the most important deal, since the UK was able to regain control over a number of industries, while retaining the ability to trade with the Union on a duty-free basis."

German Chancellor A. Merkel called the signing of the agreement a "historic" event and stressed that "with this agreement the parties create the basis for a new chapter in relations."

In turn, French President E. Macron said that by signing the deal, "European solidarity has demonstrated its strength." According to the French leader, "the EU is moving forward and can look into the future in a unified, sovereign and strong way."

At the same time, some members of the European Parliament, including President D. Sassoli, expressed dissatisfaction with the late conclusion of the deal, because of which there was no time for the strict ratification process provided for by EU legislation. As he confirmed, Parliament will hold hearings in the relevant committees and put the deal to a vote in 2021, after the approval of the leaders of all member countries of the Union.

III. In general, political and economic observers assess the signing of the agreement with "warm" rhetoric.

According to the British publication The Economist, the agreement is "the largest bilateral trade deal, covering a combined market of US$909 billion as of 2019."

According to the BBC, the concluded free trade agreement "can be safely called a pragmatic solution" in relations between the EU and the UK.

Politico notes that "the deal for the Johnson government is undoubtedly a political victory" amid harsh criticism of the prime minister in connection with the pandemic.

A similar opinion is shared by the German edition Taggesschau, noting that the British side, personally the Prime Minister was pressured because of the failures with the pandemic and the recent problems with interruptions in cargo in the Channel Tunnel.

Meanwhile, analysts at the European Center for International Political Economy believe that Brussels has achieved the main goals after all, as a whole "did not retreat to the whims of London", which managed to preserve its single market and avoid the border between the Republic of Ireland and Northern Ireland.

At the same time, experts believe that it is too early to talk about resolving the entire "tangle" of contradictions between Great Britain and the EU. According to the Economist, the trade agreement did not affect the service sector, which accounts for 80% of the British economy. The publication emphasizes that the transaction does not contain solutions to such important issues as the regulation of financial markets and the exchange of personal data. This will thus restrict London’s access to European databases and the Europol system.

The British Guardian agrees, noting that while the deal avoids a "worst-case scenario", there are many areas where the EU and the UK are severing relations, such as the termination of UK firms’ rights to obtain European financial passports, and the UK’s withdrawal from the Erasmus program. ...

In general, the EU and the UK were able to reach an agreement, refuting the forecasts of a number of experts regarding a tough Brexit. At the same time, according to a number of observers, the agreement leads not to the strengthening, but to the weakening of Britain’s economic ties with European countries, while maintaining controversial issues between the parties.