While there are no immediate changes to law, the likely changes are varied and complicated given the extensive overlap between national UK laws and EU law. The extent of these will only become clear over time.
Brexit and Ireland
Brexit has been described as Ireland’s biggest foreign policy challenge to date. The UK vote will not immediately alter the legal relationship between the UK and the EU. Disentangling the UK legal system from the EU in the coming years will create gaps which will need to be filled with replacement rules and regulations, many of which may have implications for Irish businesses. Businesses need to take time in considering the legal consequences for their operations and to plan for the post-Brexit future. In legal and practical terms, this will require our clients in Ireland and international jurisdictions to adjust business practices and arrangements in response to article 50 negotiations and changes to UK law and regulation. It will also require deep assessment of strategic plans for transactions and investment involving the UK.
Brexit opportunities
Aside from the legal consequences, there are real opportunities for Ireland to attract foreign direct investment away from the uncertain future of the UK and to promote Dublin as an alternative stable financial hub to London. Once the UK exit the EU, Ireland will be the only English speaking country in the EU with strong ties to the US so there are conceivable advantages for Ireland as a potential alternative location within the EU for UK-based financial institutions where EU passporting rights are central to their operations and for US businesses seeking an English speaking EU base.
Brexit guidance
We continue to assess the implications of Brexit for businesses in Ireland, which will become clearer as the negotiations between the UK and the EU progress.
In the meantime, we have outlined the possible changes for some sectors and legal practices in our dedicated Brexit section.