Ireland and the Netherlands are expected to be the main beneficiaries of the €5 billion adjustment reserve set up by the European Union to support the economic sectors most affected by the UK’s exit from the EU, according to information published by the European Commission on Wednesday 13 January.
A chart detailing the distribution of the fund among the EU27 was published on Twitter by the European Commissioner for Cohesion and Reform, Elisa Ferreira (https://bit.ly/3bA38yZ ).
The Commission adopted the proposal on 25 December 2020, forecasting around €4.245 billion in current prices in 2021 (€4 billion in constant prices in 2018) and €1.1 billion (€1 billion in constant prices) in 2024.
Of the first tranche (4.2 billion), Ireland should receive €1.052 billion (current prices), the Netherlands €757.4 million, Germany €455.4 million, France €420.8 million and Belgium €324.1 million.
The distribution has yet to be approved by the Member States and the European Parliament.
The proposal on the Brexit adjustment reserve was presented on Wednesday by the European Commission at a meeting of Member States’ ambassadors to the EU (Coreper). Some countries, such as Spain, are believed to have considered the amounts provided for the tourism sector, in particular, to be insufficient.
Of the €5 billion total, €600 million is earmarked for European fishermen, who will lose 25% (in value) of fish catches in British waters by 2025.
The allocation of these funds takes into account the significance of trade with the UK and the size of fisheries in the UK’s exclusive economic zone, according to the proposal.
The agreement on future EU/UK post-Brexit relations does not avoid new costs and red tape for European companies doing business with the UK. (Original version in French by Lionel Changeur)