Britain will have a bright new future now that the trade agreement has been signed, those who voted to leave the European Union have promised. From freedom to strike deals across the globe, to set its own rules on immigration and to be free to make rules on issues from farming to environment laws … that at least will be the hopes of those who voted for Brexit after the deal just concluded between Britain and the EU. If the deal is ratified by all 27 EU states then it will mark an end to four years of rancour and could even lead to greater unity between Britain and EU.
Britain has, even the most diplomatic continental will admit, been quite a painful partner in the European project, vetoing much of the more federalist policies and remaining generally aloof.
The two regions will now go their separate ways. Europe, which became more unified during the Brexit period, will seek ever greater federalisation without Britain holding it back. Curiously, with a deal in place the relationship could actually become warmer as a result of the amicable divorce. By contrast, the fallout from the rancour of a no-deal would potentially have lasted decades and affected the wealth and well-being of both sides.
Reaching a deal means that the British government has avoided having to enforce the controversial Northern Irish clauses of the Internal Market Bill, which would have led to Britain breaking international law. Europe would then have argued, with justification, how could it negotiate with a country that reneged on its promises?
If after all 500 pages of the agreement are forensically examined and it is seen by both sides as a reasonable deal, this could be a good long-term strategy for the EU if at some future point Britain’s dreams of a going it alone went awry. Less acrimony means an easier path back to Europe in any future referendum.
The final Brexit deal will have an impact on many areas of life. From fishing, farming and finance to Scotland, immigration and legislation. In Brexiteers' minds it signals a bright new future, allowing Britain to forge its own place on the global stage. The question remains as to whether the country will fade into obscurity as a major international player or create a new Britain of stature and wealth.
The major selling point of Brexit was that it would give back sovereignty to the British rule-makers in Parliament, allowing more control of laws and regulations, without European policies forcefully imposed.
Arch-Brexiteer Suella Braverman MP, writing earlier this year before she was promoted to Attorney General, made this point: “Leaving the EU marks the beginning of a renaissance for our nation, enabling us to rethink our trade and immigration policy and restoring democratic accountability. With our break from the EU, British voters will once again know exactly who is responsible for what. British voters will be empowered.”
Pitfalls
The deal will have to be formally agreed on by all 27 EU states who will meet next month to sign it off. It could take only one country’s objections for the agreement to unravel.
Being the leading Brexiteer in Whitehall, Boris Johnson should not have a problem getting the deal past his cabinet and he is understood to have consent of the hardline Brexiteers.
Singapore-on-Thames
In brightest of Brexiteer imaginations, this is nirvana to which Britain will arrive in a few years, achieving the high GDP growth and low-tax entrepreneurship of Singapore. The financial hub of London’s Square Mile could help stimulate free enterprise of the efficient city state that combines cultural diversity with low unemployment and low crime. Brexiteers would like to see Britain cast aside Europe’s “snail’s pace” of growth and wealth creation.
Trade
Britain will be able to use its newfound freedom from the EU customs union to link its exporters to global centres of dynamic growth, such as the Gulf region and east Asia. There is already demand for British services and goods in these new markets, which will account for nine-tenths of world growth over the next decade. This could encourage lower prices.
Britain will hope to establish numerous bilateral trade deals – setting its own tariffs with countries such as Japan, Canada and in South America, although the big prize of the US might be more of struggle with pro-European Joe Biden becoming president.
Fishing
Despite fishing being worth a mere 0.12 per cent to British GDP, it was a totemic battleground on which the deal almost foundered. French President Emmanuel Marcon was keen to satisfy the strong French fishing lobby, as were the Belgians and Danes who were loath to see their fleets diminished.
The deal required Europe to recognise the UK’s ability to control fishing in its own waters but also allow the major EU fishing nations access to Britain’s rich fishing grounds. The EU has conceded to reduce by 25 per cent the amount it catches in British waters.
Scotland
The United Kingdom will face the greatest challenge to its 300-year union in the immediate years. Scotland voted 62 per cent in favour of remaining in the EU in the 2016 referendum and therefore feels it is being taken out of the partnership by force. This has built up resentment and agitation for another referendum on its independence by which it could then re-join the EU. The strength of the Scottish National Party is growing and Boris Johnson is deeply unpopular north of the border, with a second independence vote seeming possible. But with a deal done, calls for a referendum might diminish. In 2014, Scots voted by 55 per cent to 45 per cent to remain part of the UK.
America
President Biden is expected to strengthen ties with Germany and France possibly at the expense of Britain, forcing it to collaborate more closely with the EU. Democrats do not particularly see Britain as the centre of gravity in the Transatlantic relationship.
While paying attention to its long alliance with Britain, Mr Biden will seek to repair the damage done to Europe by Donald Trump’s presidency.
Trump was a keen supporter of a no-deal Brexit and perhaps Mr Johnson’s agreement was in part driven by Mr Biden’s pro-EU stance and refusal to accept a hard border in Northern Ireland. Some close to Mr Biden question how a Britain outside the EU can make itself relevant in the 'Great Powers' struggle of China, Russia and America, alongside India.
CAP
The Agriculture Act that became law last month allows Britain to phase out the EU’s Common Agricultural Payment to farmers over the next seven years. With Britain no longer having to contribute £4 billion to the CAP it hopes to spend more on environmental projects although a well-considered plan is still lacking. Currently farmers receive a subsidy of £233 per hectare and the CAP can account for 55 per cent of their income.
Immigration
Britain will now have near total autonomy on how it manages low-skilled immigration with labourers from the EU no longer having an automatic right to work in Britain. It will introduce an immigration law based on skills and talent that Britain will be able to manage.
However, the pandemic demonstrated how reliant Britain is on low-skilled foreign labour, particularly in the NHS.
MEYDAN RESULTS
6.30pm Baniyas (PA) Group 2 Dh125,000 (Dirt) 1,400m
Winner ES Ajeeb, Sam Hitchcock (jockey), Ibrahim Aseel (trainer).
7.05pm Maiden (TB) Dh165,000 (D) 1,200m
Winner Galaxy Road, Antonio Fresu, Musabah Al Muhairi.
7.40pm Maiden (TB) Dh165,000 (D) 1,400m
Winner Al Modayar, Fernando Jara, Ali Rashid Al Raihe.
8.15pm Handicap (TB) Dh170,000 (D) 1,900m
Winner Gundogdu, Xavier Ziani, Salem bin Ghadayer.
8.50pm Rated Conditions (TB) Dh240,000 (D) 1,600m
Winner George Villiers, Tadhg O’Shea, Satish Seemar.
9.25pm Handicap (TB) Dh175,000 (D)1,200m
Winner Lady Parma, Connor Beasley, Satish Seemar
10pm Handicap (TB) Dh165,000 (D) 1,400m
Winner Zaajer, Fernando Jara, Ali Rashid Al Raihe
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
What is safeguarding?
“Safeguarding, not just in sport, but in all walks of life, is making sure that policies are put in place that make sure your child is safe; when they attend a football club, a tennis club, that there are welfare officers at clubs who are qualified to a standard to make sure your child is safe in that environment,” Derek Bell explains.
Race card
1.30pm: Handicap (PA) Dh 50,000 (Dirt) 1,400m
2pm: Handicap (TB) Dh 84,000 (D) 1,400m
2.30pm: Maiden (TB) Dh 60,000 (D) 1,200m
3pm: Conditions (TB) Dh 100,000 (D) 1.950m
3.30pm: Handicap (TB) Dh 76,000 (D) 1,800m
4pm: Maiden (TB) Dh 60,000 (D) 1,600m
4.30pm: Handicap (TB) Dh 68,000 (D) 1,000m
Sukuk explained
Sukuk are Sharia-compliant financial certificates issued by governments, corporates and other entities. While as an asset class they resemble conventional bonds, there are some significant differences. As interest is prohibited under Sharia, sukuk must contain an underlying transaction, for example a leaseback agreement, and the income that is paid to investors is generated by the underlying asset. Investors must also be prepared to share in both the profits and losses of an enterprise. Nevertheless, sukuk are similar to conventional bonds in that they provide regular payments, and are considered less risky than equities. Most investors would not buy sukuk directly due to high minimum subscriptions, but invest via funds.
ZAYED SUSTAINABILITY PRIZE
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
Learn more about Qasr Al Hosn
In 2013, The National's History Project went beyond the walls to see what life was like living in Abu Dhabi's fabled fort:
Two products to make at home
Toilet cleaner
1 cup baking soda
1 cup castile soap
10-20 drops of lemon essential oil (or another oil of your choice)
Method:
1. Mix the baking soda and castile soap until you get a nice consistency.
2. Add the essential oil to the mix.
Air Freshener
100ml water
5 drops of the essential oil of your choice (note: lavender is a nice one for this)
Method:
1. Add water and oil to spray bottle to store.
2. Shake well before use.
Company%20profile
%3Cp%3E%3Cstrong%3ECompany%20name%3A%3C%2Fstrong%3E%20Letswork%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202018%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%3Cbr%3E%3Cstrong%3EFounders%3A%20%3C%2Fstrong%3EOmar%20Almheiri%2C%20Hamza%20Khan%3Cbr%3E%3Cstrong%3ESector%3A%3C%2Fstrong%3E%20co-working%20spaces%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%3C%2Fstrong%3E%20%242.1%20million%20in%20a%20seed%20round%20with%20investors%20including%20500%20Global%2C%20The%20Space%2C%20DTEC%20Ventures%20and%20other%20angel%20investors%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%20about%2020%3C%2Fp%3E%0A
How to help
Call the hotline on 0502955999 or send "thenational" to the following numbers:
2289 - Dh10
2252 - Dh50
6025 - Dh20
6027 - Dh100
6026 - Dh200
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The story in numbers
18
This is how many recognised sects Lebanon is home to, along with about four million citizens
450,000
More than this many Palestinian refugees are registered with UNRWA in Lebanon, with about 45 per cent of them living in the country’s 12 refugee camps
1.5 million
There are just under 1 million Syrian refugees registered with the UN, although the government puts the figure upwards of 1.5m
73
The percentage of stateless people in Lebanon, who are not of Palestinian origin, born to a Lebanese mother, according to a 2012-2013 study by human rights organisation Frontiers Ruwad Association
18,000
The number of marriages recorded between Lebanese women and foreigners between the years 1995 and 2008, according to a 2009 study backed by the UN Development Programme
77,400
The number of people believed to be affected by the current nationality law, according to the 2009 UN study
4,926
This is how many Lebanese-Palestinian households there were in Lebanon in 2016, according to a census by the Lebanese-Palestinian dialogue committee
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
The specs
Engine: 2.0-litre 4-cyl turbo
Power: 247hp at 6,500rpm
Torque: 370Nm from 1,500-3,500rpm
Transmission: 10-speed auto
Fuel consumption: 7.8L/100km
Price: from Dh94,900
On sale: now
Labour dispute
The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.
- Abdullah Ishnaneh, Partner, BSA Law
Banthology: Stories from Unwanted Nations
Edited by Sarah Cleave, Comma Press
The 12
England
Arsenal, Chelsea, Liverpool, Manchester City, Manchester United, Tottenham Hotspur
Italy
AC Milan, Inter Milan, Juventus
Spain
Atletico Madrid, Barcelona, Real Madrid
FIGHT CARD
Sara El Bakkali v Anisha Kadka (Lightweight, female)
Mohammed Adil Al Debi v Moaz Abdelgawad (Bantamweight)
Amir Boureslan v Mahmoud Zanouny (Welterweight)
Abrorbek Madaminbekov v Mohammed Al Katheeri (Featherweight)
Ibrahem Bilal v Emad Arafa (Super featherweight)
Ahmed Abdolaziz v Imad Essassi (Middleweight)
Milena Martinou v Ilham Bourakkadi (Bantamweight, female)
Noureddine El Agouti v Mohamed Mardi (Welterweight)
Nabil Ouach v Ymad Atrous (Middleweight)
Nouredin Samir v Zainalabid Dadachev (Lightweight)
Marlon Ribeiro v Mehdi Oubahammou (Welterweight)
Brad Stanton v Mohamed El Boukhari (Super welterweight
Step by step
2070km to run
38 days
273,600 calories consumed
28kg of fruit
40kg of vegetables
45 pairs of running shoes
1 yoga matt
1 oxygen chamber
