UK should accept ‘direct effect and supremacy’ of EU law during Brexit transition, say MPs

Accepting the supremacy of EU law during a Brexit transition period is essential if the Government is to avoid a no-deal scenario, according to MPs.

A Treasury Select Committee (TSC) report said there is an urgent need for an agreement on transition, as delays could put a dent in the UK economy.

The report said the TSC “strongly supported” the Prime Minister’s push for a comprehensive free trade deal, as such an arrangement would help keep borders as “frictionless” as possible.

However, it also said reaching that point could see the European Court of Justice retain supremacy over UK laws during an implementation period.

The report was agreed unanimously by the MPs making up the cross-party TSC.

Committee chair and Conservative MP Nicky Morgan said: “Speed is of the essence. Delays to agreements caused by arguments over arcane points of principle could damage the economy.

“The Government should be prepared to accept the terms on which transition is offered by the EU 27.”

She added that it could include “accepting EU rules beyond those of the single market and the customs union”, such as temporarily retaining the jurisdiction of the European Court of Justice and “the direct effect and supremacy” of EU law.

Speaking further, Ms Morgan said such a move would be “a price worth paying for stability and certainty after March 2019”, as it would be “dramatic and damaging” if the UK were to fail to reach an agreement.

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