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BREXIT
SOME CONSIDERATIONS
Presented by David Mundy
Partner
27 September 2016
BACKGROUND
On 23 June UK voted to leave
the EU
(17.4 million –v- 16.1 million)
Referendum advisory only:
no legal consequence
not legally binding
Political obligation:
Article 50 TFEU engaged
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ARTICLE 50
“in accordance with our constitutional
requirements”
notify intention to withdraw
EU obliged to negotiate agreements for
withdrawal and future relationship
EU law ceases to apply from (1) agreement or (2)
two years from notification or (3) unanimous
extension
no machinery for revoking
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“CONSTITUTIONAL REQUIREMENTS”
with an unwritten constitution technically we have
none
Government wants to invoke trigger under Royal
Prerogative – i.e. an act of the executive
others think that an Act of Parliament required
(case in the Divisional Court this month)
other constitutional hurdles e.g. devolution
legislation = Parliamentary engagement
consultation and debate
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CITIZENSHIP ISSUES
a national of a Member State is automatically a
citizen of the Union
EU citizenship is additional to and not a
replacement for national citizenship
brings rights – freedom of movement,
establishment, to conduct economic activity
Brexit will remove rights without replacement
agreement
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ENGAGEMENT
House of Lords EU Committee
“most complex, demanding and
important administrative and
diplomatic task facing Government
since WW2”
new department for “Exiting the
Union” with David Davis as
Secretary of State
support negotiations to leave
establish future relationship
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OUR ADVICE IN TERMS OF ENGAGEMENT
It’s never too early to get involved but can be too late
Build your contacts
Monitor policy developments
Understand the process – the structure and the timings
Go in at the right level
Build and support your argument
Know your opponents
Provide solutions – especially here
Tailor your messages
Use the media wisely
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POTENTIAL TIMELINE
23 June
2016 –
Referendum
result – UK
votes to
leave EU
Jan/Feb
2019 UK
exits unless
all member
States agree
extension
Jan/Feb
2017 Article
50
triggered?
13 July 2016
– Theresa
May
becomes
PM
2017-2019
negotiations
on terms of
exit – terms
to be agreed
by qualified
majority
2019
onwards –
continuing
negotiations
on trade
deals with
rest of the
world
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This presentation is not meant as a substitute for advice on particular issues and action should not be taken on the
basis of the information in this document alone.
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maintained by the FCA (www.fca.gov.uk/register) so that we can offer a limited range of investment services (including
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to provide. Mechanisms for complaints and redress if something goes wrong are provided through the SRA and the
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Bircham Dyson Bell LLP is a member of Lexwork International, an association of independent law firms.
www.lexwork.net
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