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

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

“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

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

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

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

POTENTIAL TIMELINE 23 June 2016 – Referendum result – UK votes to leave EU 13 July 2016 – Theresa May becomes PM Jan/Feb 2017 Article 50 triggered? 2017-2019 negotiations on terms of exit – terms to be agreed by qualified majority Jan/Feb 2019 UK exits unless all member States agree extension 2019 onwards – continuing negotiations on trade deals with rest of the world

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