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EU-UK FTA leaves open the prospect of future conflict

Thursday, December 31, 2020

Significance

The agreement offers zero quotas and tariffs on most goods, but there is little coverage on services while trade flows face disruption from significant non-tariff barriers.

Impacts

  • The deal will make it slightly easier to reach a UK-US free trade agreement, though strong divisions remain.
  • The strict conditionality associated with the FTA suggests Euroscepticism will remain an important feature of UK politics.
  • The process and costs associated with Brexit makes it less likely that Eurosceptic member states will attempt to leave the EU.

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