Brexit: What will change for Greece from January 1st

January 1, 2021, marks major changes in both trade and economic relations. United Kingdom with the European Union, since one day earlier, on 31/12/20, the transition period set out in the withdrawal agreement at the beginning of the year will also come to an end.

Even after the principle UK-EU Trade and Cooperation Agreement (Trade and Cooperation Agreement, TCA) of December 24, it is expected that new developments will emerge in the new year, as the UK will leave the Single Market and the EU customs union, particularly in the areas of trade, customs, road transport, customs procedures and border controls, persons and goods, as well as in tax, health and phytosanitary matters, is noted.

Although national preparations depend on and are inextricably linked to preparations at European Union level, the Greek government emphasises in the same announcement that it has been preparing intensively throughout the previous period to mitigate the immediate consequences of the UK's withdrawal from the EU Single Market and Customs Union, whether or not an agreement was ultimately reached.

Specifically, it states that the Greek government's objective was:

– national legislative and administrative emergency measures should be ready to be implemented immediately if no agreement is ultimately reached.

– to fully and timely implement those provisions of the Withdrawal Agreement that will enter into force on January 1, 2021, and

– adequately inform citizens and businesses about the changes that will occur at the end of the transition period, with or without an agreement.

In this context, it should be noted that the Greek government's interventions focused on three areas: legislation, administration, and informing interested citizens and businesses.

A) Legislative preparation

1. Law 4652/2020 on Brexit was submitted by Deputy Minister of Foreign Affairs Miltiadis Varvitsiotis and adopted on January 23, 2020, regulating the key issues of national competence arising from the entry into force of the Withdrawal Agreement (citizens' rights, separation issues). In addition, it provides for the strengthening of the AADE's human resources in order to address delays and problems in trade and customs procedures at the end of the transition period. It also includes provisions for the event of a no-deal Brexit in the financial, tourism, insurance, and transport sectors.

2. Pursuant to the above law (N. 4652/2020), on October 19, 2020, Joint Ministerial Decision and interpretative circulars of the Ministries of Citizen Protection and Migration on the residence rights of British beneficiaries of the Withdrawal Agreement.

3. At the same time, a circular was issued by the Ministry of Labor on social security coordination issues, based directly on the relevant articles of the Withdrawal Agreement.

4. The latest bill of 2020 submitted by the Ministry of Health and passed on December 21, 2020 (regarding COVID-19) included the following amendments:

– possibility of adopting separate Joint Ministerial Decisions (Ministers of Finance, Foreign Affairs, Health, and Labor) to continue coordinating social security and medical coverage for beneficiaries of the Withdrawal Agreement; and

– an amendment that would allow the uninterrupted continuation of financial services until December 31, 2021, in the event that no agreement is reached (no-deal scenario).

5. In addition, a joint ministerial decision by the Ministry of Foreign Affairs and the Ministry of Infrastructure and Transport (and a related exchange of letters between Greece and the UK) to regulate the exchange of driving licenses at the national level without re-examining the qualifications of British citizens in Greece and Greek citizens in the UK, in case the issue is not regulated for all EU citizens by the UK-EU Trade and Cooperation Agreement.

6. The Ministry of Shipping and Island Policy has adopted an amendment that keeps British-owned ships in the Greek registry until 2024, with the possibility of extension, in order to give them time to follow the procedures required to remain in the Greek register.

7. Finally, by joint ministerial decision of the Ministry of Foreign Affairs and the competent ministries, two interministerial Project Monitoring Groups will be set up immediately to resolve emerging issues relating to citizens' rights and intellectual property and geographical indications, as provided for in the Withdrawal Agreement and the recent UK-EU Trade and Cooperation Agreement.

B) Administrative preparation (at national and European level)

In order to better inform and prepare the Greek public administration regarding what will apply at the end of the transition period, the Ministry of Foreign Affairs, as noted in the same announcement, has intensified its coordination with the relevant ministries and agencies since June 2020 through coordination teleconferences. The aim was to regularly assess the level of preparedness of the ministries, examine potential problems in each sector separately, and take decisions on the necessary legislative, administrative, technical, organizational, and informational measures.

These teleconferences took place between June and November 2020, initially between Deputy Minister of Foreign Affairs Mr. Varvitsiotis, who acted as lead coordinator in his capacity as minister responsible for European affairs and Brexit, and the secretaries-general of the ministries. This was followed by a series of 13 thematic teleconferences of the interministerial Brexit committee.

At the same time, numerous teleconferences and meetings took place between Greek authorities on the one hand and British and European organizations on the other, so that Greek public administration officials could resolve any queries and observe best practices for the better implementation of the country's contractual and administrative obligations.

Thus, to date, the following have been carried out under the coordination of Deputy Minister of Foreign Affairs Mr. Varvitsiotis:

– Two teleconferences with the Secretaries General of the Ministries.

– 1 plenary teleconference of the interministerial committee on Brexit

– 13 thematic teleconferences of the interministerial Brexit committee

– 1 teleconference of the Interministerial Committee with the relevant European Commission officials on the preparation of Member States for the end of the transition period,

– 1 e-workshop of the Brexit Interministerial Committee with the British side on citizens' rights.

– 4 teleconferences of the FREEMO Group

– 6 meetings/teleconferences of the Special Committees of the Withdrawal Agreement

– 2 meetings/teleconferences of the EU Administrative Committee for the coordination of social security systems

– Two teleconferences between the British CAA and the Greek CAA.

Indicatively, it is noted that among the issues examined were:

• the rights of British citizens in Greece and Greek citizens in the UK
• customs and tax procedures after the end of the transition period,
• changes in air, road (freight and passenger), rail, and maritime transport,
• the impact on the tourism sector
• the impact on the financial sector
• the impact on intellectual property and geographical indications
• the management of freight flows to and from the UK
• future police and judicial cooperation in the event of a no-deal scenario
• education and culture,
• digital policy issues
• energy, environment, and climate issues, etc.

C) Informing interested citizens and businesses

To prepare Greek citizens and Greek businesses for the United Kingdom's withdrawal, the Ministry of Foreign Affairs:

* In 2019, it co-organized, with the Central Union of Greek Chambers of Commerce, the Athens Chamber of Commerce and Industry, and the Thessaloniki Chamber of Commerce and Industry, three workshops to prepare Greek businesses for the no-deal scenario, with the participation of the Deputy Secretary-General of the European Commission, Ms. Gauer, the Deputy Minister of Foreign Affairs, Mr. Varvitsiotis, and the Deputy Minister of Foreign Affairs, Mr. Fragogiannis. The first workshop was held in Thessaloniki on 11 September 2019, with the participation of the Deputy Secretary General of the European Commission, Ms Gauer, the Deputy Minister of Foreign Affairs, Mr Varvitsiotis, and the Deputy Minister of Foreign Affairs, Mr Fragogiannis.

* In 2020, it organized three e-webinars, in collaboration with the relevant UK customs and border authorities, to present the new UK customs model that will come into effect on January 1, 2021.

* He created the website Brexit.gov.gr, which he constantly updates with information about Brexit and through which he answers questions from citizens (British and Greek) and businesses.

* It also frequently posts information about businesses on the Agora website, through the London Economic and Commercial Office. Specific thematic information has also been posted on the websites of other ministries and agencies (Ministry of Infrastructure, Transport and Networks, Ministry of Migration, Ministry of Transport, Independent Authority for Public Revenue, Ministry of Development and Investment, General Chemical State Laboratory, etc.) with the Brexit.gov.gr banner.

* Between January and June 2021, a digital information campaign will also run on social media for British citizens in Greece.

* In January 2021, there are plans to hold an e-conference or digital information campaign to inform businesses about what will ultimately apply to customs and other procedures, based on the recent UK-EU trade agreement.