Agenda and minutes

            Apologies for inability to attend was reported from Councillors Dorrian, Reynolds and Dudgeon.

            The minutes of the meeting of 20th September were taken as read and signed as correct.  It was reported that those minutes had been adopted by the Council at its meeting on 1st October. 

No declarations of interest were recorded.

The Committee considered the following report:

“1.0      Purpose of Report or Summary of main Issues

            The purpose of this report is to bring to the attention of Members the analysis that CBI NI has undertaken of NI migration and the publication of UK Migration Advisory Committee (MAC) report on EEA migration in advance of the CBI presenting to the Brexit Committee. A representative from the CBI is in attendance and will address the Committee on this issue, if they so wish.

2.0       Recommendations

            Members are asked to note the report.

3.0       Main report

            Key Issues

            The CBI (Confederation of British Industry) Northern Ireland have been carrying out research and analysis to understand the potential impact of migration as a result of the UK’s decision to leave the EU.  They recently launched a new report ‘All Together Better: Accessible Labour – a Necessity for Regional Economic Prosperity’ which provides an analysis on how restricting migration would impact population growth and subsequent real GDP in Northern Ireland. It highlights the acute need for local private and public-sector employers to have continued access to the people and skills they need to succeed post-Brexit.

            The CBI also provided an analysis of the UK’s Migration Advisory Committee’s report on European Economic Area (EEA) migration which was published on 18 September. 

            (the MAC report is available: https://www.gov.uk/government/publications/migration-advisory-committee-mac-report-eea-migration and the CBI analysis and summary of key findings is available at: http://www.cbi.org.uk/cbi-prod/assets/File/pdf/cbi-mac-analysis.pdf)

            The CBI has been engaging with multiple UK Government departments, across all levels, to influence the upcoming White Paper on migration (due in the Autumn). Key messages which the CBI has been making include:

·        Any new system must be easily accessible to all firms– The current Tier 2 non-EU immigration system is highly bureaucratic and hard for firms to navigate, but particularly difficult for small and medium sized business, which constitute most of Northern Irish industry. Radically reforming the existing process of ‘employer sponsorship’ is required to have a global system which is accessible.

·        Firms require access to all levels of skill, not only ‘the brightest and best’– The £30,000 salary threshold is a major barrier preventing firms from accessing both mid and lower-skilled roles. The MAC’s own analysis shows 60% of mid-skilled jobs wouldn’t qualify; this is a figure that would be exacerbated in Northern Ireland. Furthermore, lower-skilled migrant labour supplies industries in Northern Ireland that have a relatively high multiplier effect, such as agriculture and agri-food. Firms must be able to recruit workers from overseas below this salary level under any new system.

·        Migration should be part of trade negotiations, starting with the EU – Despite media coverage focussing on an end to preferential treatment for EU nationals, the MAC made clear it was not making a decision on including migration as part of future trader deals. If Government chooses to implement a single global system, having this flexibility to take a more open approach to migration where we have close trade and economic relations is key.

·        Any new  ...  view the full minutes text for item 2.

            The Committee was reminded that, at its meeting on 9th August, it agreed to the holding of a workshop to host external stakeholders in order to help identify the potential impact of Brexit on the Council, community organisations, the business and other sectors.

            A list of potential invitees to the workshop was tabled at the meeting. The Committee noted the date and details for the external workshop and noted that additions could be made to the invite list via the Business Research and Development Manager.

            The Committee was reminded that, at its meeting on 9th August, it was agreed that a report be submitted to a future meeting considering possible scenarios for the Belfast services industry if Article 56 `freedom to provide services’ of the Treaty on the functioning of the EU does not apply to that sector following the UK’s departure from the European Union.

The Committee considered the following report:

“1.0      Purpose of Report or Summary of main Issues

1.1       Trade in services increasingly dominates the global economy and there is recognition of the inter-connectedness of the financial, legal and professional services markets.  The Committee is aware that a full understanding of the potential implications of Brexit remains uncertain while negotiations between the UK government and EU continue to determine the future relationship.

1.2       As requested by the Committee, given the importance of the services sector for the Belfast and the regional economy, this report summarises the main considerations if Article 56 ‘freedom to provide services’ of the Treaty on the functioning of the EU does not apply to that sector following the UK’s departure from the European Union. 

2.0       Recommendations

2.1       The Committee is asked to note the content of this report.

3.0       Main report

3.1       Key Issues

            At the initial meeting of the Brexit Committee, the Committee requested further information on the options to be considered in the event of Article 56 `freedom to provide services’ of the Treaty on the functioning of the EU not applying to that sector when the current negotiations between the UK government and the EU conclude. 

3.2      Article 56 of the Treaty on the functioning of the EU states that restrictions on ‘freedom to provide services’ within the Union are prohibited in respect of nationals of Member States who are established in a State other than that of the person for whom the services are intended. This paper summarises the proposals and main considerations identified in the existing policy documents. 

3.3       The HM Government white paper ‘The Future Relationship between the UK and EU’ (July 2018) proposes that a new relationship between the UK and EU will be structured around an economic partnership, which will see the UK leave the Single Market and the Customs Union and be broader in scope than existing relationships between the EU and a third country.  It notes that this will be informed by the UK and EU meeting their shared commitments to NI, by protecting the peace process and avoiding a hard border. 

3.4       The white paper proposes the establishment of a free trade area for goods that would sit alongside new arrangements for services, acknowledging that ‘there will be more barriers to the UKs access to the EU market than is the case today’.  These proposals would allow the UK to negotiate new international trade agreements in line with its priorities and interests covering goods, services, investment etc.

3.5       In terms of the services and digital sectors, the HM Government’s vision for the economic partnership is  ...  view the full minutes text for item 4.

            The Committee noted the content of the report and that further updates would be provided to future meetings of the Committee.

            The Committee was reminded that, at its meeting on 9th August, it was agreed that Members would undertake a study visit to the Port Health Unit and that a report be submitted on the potential impact of Brexit on the Port Health Unit. 

            The Members had visited the Port Health Unit facility on Friday 28th September at 12 noon and an update was provided to the Committee regarding the tour of the facility. 

Noted.

The Committee was reminded that, at its meeting on 20th September, it was agreed that an all-Party delegation from the Council undertake a visit to Brussels to engage with EU officials to represent the views of the Council in relation to Special Designated Status, remaining in the single market and the Council’s position on the Backstop, and to engage with EU funding bodies about our future participation in EU funding programmes.

The Committee considered the following report:

“1.0      Purpose of Report or Summary of main Issues

            The purpose of this report is to outline for Members the proposed objectives and logistics for a delegation to visit Brussels. 

2.0       Recommendations

            Members are asked to consider the proposals for the visit, as outlined in this report, and recommend it to the Strategic Policy and Resources Committee for agreement.

3.0       Main report

            Key Issues

            Members are reminded that at the September meeting of this Committee it was agreed:

            ‘That an all-Party delegation from the Council undertake a visit to Brussels to engage with EU officials to represent the views of the council in relation to Special Designated Status, remaining in the single market and the Council’s position on the Backstop; and to engage with EU Funding Bodies about our future participation in EU Funding Programmes.’

            Following on from this agreement the Council’s Commissioner for Resilience met with the Head of NI Executive Office in Brussels, while in the city for the EU Week of Regions and Cities, and discussed a proposed approach for the visit.

            Objectives of a Delegation to Brussels

            The following objective are proposed for the visit:

·        To receive an update on negotiations on UK withdrawal for EU – meeting with the UK representation on the negotiations.

·        To gain an understanding - from an EU perspective - on the options for a future relationship with the UK, following withdrawal.

·        To discuss in detail the particular issues concerning the withdrawal agreement for Northern Ireland, and for Belfast in particular.

·        To meet members from EFTA countries and the EEA and discuss management of the relationship with the EU e.g. Canton delegation in Switzerland, embedded in the mission from Switzerland.

·        To meet senior staff from the EU Committee of the Regions.

·        To meet lead staff from other UK cites with a permanent presence in Brussels, regarding preparation for Brexit at city level. 

            Logistics

·        It is proposed that the delegation travel in early December - at this point it is expected that negotiations will have passed a critical milestone.  The visit will be well timed irrespective of the outcome of negotiations - if the EU and UK have agreed terms, it will allow the delegation the opportunity to consider the detail of those terms and what it might mean for city planning.  If terms have not been agreed, members will be in a position to discuss potential implications for the UK and for the city of Belfast. 

·        It is hoped that the NI Executive Office in Brussels will help to host meetings and arrange introductions  ...  view the full minutes text for item 7.

            The Senior Democratic Services Officer informed the Committee that he had received information that representatives of the Senate would be in Belfast on 8th October and would be seeking to meet with the Council’s Brexit Committee. 

            Pending an official request, it was felt appropriate to make Members aware of the potential visit, in order to seek Committee’s view on whether it would wish to accede to a request from the Senate, should it be received.

            The Committee agreed to this course of action.