Windsor Framework talks: UK business secretary Kemi Badenoch pours cold water on rumoured divergence deal

Kemi Badenoch, the UK business secretary, has opposed the idea that Great Britain would keep regulations close enough to the EU regulations applicable in Northern Ireland to avoid divergence within the UK – saying there would be “no point” in such an approach.
By David Thompson
Published 25th Jan 2024, 13:45 BST
Updated 25th Jan 2024, 15:19 BST
Business and Trade Secretary Kemi Badenoch says she was not a participant to Northern Ireland’s “political process” and so could not comment, but also stressed the need to find a “comparative advantage” over the EU in terms of regulation in order to “seize the benefits of Brexit”.Jonathan Brady/PA WireBusiness and Trade Secretary Kemi Badenoch says she was not a participant to Northern Ireland’s “political process” and so could not comment, but also stressed the need to find a “comparative advantage” over the EU in terms of regulation in order to “seize the benefits of Brexit”.Jonathan Brady/PA Wire
Business and Trade Secretary Kemi Badenoch says she was not a participant to Northern Ireland’s “political process” and so could not comment, but also stressed the need to find a “comparative advantage” over the EU in terms of regulation in order to “seize the benefits of Brexit”.Jonathan Brady/PA Wire

Northern Ireland is currently tied to EU standards on goods while Great Britain is not – the root of trade friction and the Irish Sea border.

The Daily Telegraph has reported that as part of a deal with the DUP, the government is promising that all legislation would have to be accompanied by a ministerial statement confirming it did not have a “significant adverse effect” on internal UK trade.

Brexiteers have reacted angrily to the suggestion.

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Pro-Brexit Kemi Badenoch did not deny when challenged that the Government has pledged that all future regulatory law changes will be screened to ensure that they do not create extra trade barriers in the Irish Sea.

Conservative former cabinet minister Theresa Villiers said: “Is she in a position to deny a report in The Telegraph today that the Government has pledged to introduce a requirement that all future regulatory law change will be screened to ensure that they don’t create extra trade barriers in the Irish Sea? Because that could be a significant impediment in the way of divergence from EU laws.”

Ms Badenoch said: “I can’t, of course, comment on the Northern Ireland political process which is ongoing, and which I am not a participant to.

“However, what I will say is that we retain the ability to diverge. That is clear. And I do agree with her that if we are really to seize the benefits of Brexit we need to find that comparative advantage in our regulations with the EU, otherwise there would be no point.”

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She pointed to her own record on the issue of EU regulation, adding: “I do understand her concerns, I will speak to colleagues across departments and make sure they are raised at the highest level.”

Such a scheme could effectively tie GB to similar rules to the European Union, critics argue.

Trade friction and the Irish Sea border is caused by Northern Ireland being in a different regulatory system for goods to Great Britain. This would not change that.

However, it could lessen the practical impact and the need for more checks on goods travelling within the UK.

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It could also mean that Great Britain is limited in the nature of the deals it strikes internationally.

Tory MP Sir Jacob Rees-Mogg, a former business secretary and arch Brexiteer, said: “This means we will not diverge at all, and we will have ended up with Theresa May’s Chequers deal in all but name.

“I voted against the Windsor Framework because it subordinates part of the UK to the EU. This mechanism would restore part of the EU hegemony over us.”

Sir Iain Duncan Smith said that the plan was “a real problem” – and that the Windsor deal itself needs to go.

He added: “The Windsor Framework is the back door to the EU holding on to the UK and stopping us diverging. It should be replaced.”

Related topics:Kemi BadenochNorthern IrelandIrish SeaJacob Rees-MoggGovernmentIain Duncan Smith

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