UK Internal Market Bill (UK)

A highly complex bill was introduced yesterday at First Reading. This bill is here.

Explanatory Notes for the bill are here.

The Institute for Government has a useful explainer here.

I Blog posted about the possibility of an Internal Market Bill earlier this year. In the meantime, the UK Government published a policy paper and conducted a short consultation.

From 1 Jan 2021, the UK government and the devolved administrations will no longer be collectively bound by EU law. As powers over key policy areas return to the UK government and the devolved administrations, there is a possibility that different parts of the UK may in future make different rules. This could create barriers to trade between constituent parts of the UK.

The UK Internal Market (UKIM) Bill would rely on the principles of mutual recognition and non-discrimination to ensure there are no new barriers for businesses trading across the UK.

The UK government argues that this bill will be necessary to underpin the functioning of the UK internal market after the end of the transition period – but the Scottish and Welsh governments are opposed to this approach. Instead, they would prefer to manage any possible new barriers to trade through mutually-agreed common frameworks in specific policy areas.

The government is also using this bill to give ministers powers to amend how the UK could implement the Ireland/Northern Ireland Protocol of the EU-UK Withdrawal Agreement – if it can’t reach key decisions with the EU. The government has said that it will use the forthcoming Finance Bill (not yet published) to give ministers further powers with relation to the Northern Ireland protocol.

Clauses set out new monitoring responsibilities of the internal market for the Competition and Markets Authority (CMA), which will be exercised through an Office for the Internal Market (OIM).

The CMA will have powers to monitor and report on the effectiveness of the internal market, under its own initiative or at the request of the UK or devolved governments. Although its remit will be limited to regulations which fall within the scope of the earlier parts of the bill (and will exclude anything giving effect to the Northern Ireland protocol).

The government plans to pass the UK Internal Market Bill before the UK leaves the transition period at 11pm on 31 December – this means there will be limited time for parliament to scrutinise this constitutionally significant piece of legislation.

It will need to pass both the Commons and the Lords before it can become law, and both Houses will be able to table amendments.

Manufactured Goods (UK from 1st Jan 2021)

On 1st Sept 2020, the UK issued instructions for persons placing manufactured goods on the UK market after 1 Jan 2021. These instructions are here.

The instructions detail the situation for the GB market, separate links access instructions for GB companies placing goods on the EU market, and for Northern Ireland. Please follow those links and read the information set out there.

Separate rules apply to chemicals, medicines, vehicles and aerospace. Follow the links for the latest information. Medicines is well elaborated.

There are also rules for goods that are not covered by EU rules. Follow those links for the latest information there.

Finally, some other categories have particular rules, follow those links.

Please read my separate Blog post on UKCA marking. Note, UKCA marking will not be recognised in the EU or Northern Ireland markets. Products currently requiring a CE marking for sale in the EU will continue to need a CE mark.

Note, distributors of EU goods in the UK will become importers from 1 Jan 2021.

Queries should be sent to BEIS.

UKCA Mark (UK from 1st Jan 2021)

On 1st September, the UK issued instructions for manufactured goods (and some other classes of goods), together with instructions on the UKCA mark applicable from 1st Jan 2021.

The UKCA mark instructions are here.

The instructions for manufactured goods are here.

The instructions for medical devices are here (note CE marked goods can circulate in GB until 30 June 2023).

The instructions for construction products are here.

The instructions for explosives are here. (HSE)

The instructions for rail interoperability are here. (dating from 1st July 2020)

UKCA (UK Conformity Assessed) marking is a new UK product marking that will be used for goods being placed on the market in Great Britain (England, Wales and Scotland). It covers most goods which previously required the CE marking, and aerosol products. I Blog posted some time ago about UKCA marking coming in.

UKCA marking alone cannot be used for goods placed on the Northern Ireland market, which will continue to require CE marking or UK(NI) marking.

The technical requirements (‘essential requirements’) and the conformity assessment processes and standards that can be used to demonstrate conformity – will be largely the same from 1st Jan 2021 as they are now.

UKCA marking can be used from 1 January 2021. However, CE marking will be permitted until 1 January 2022 in most cases.

CE marking will only be valid in Great Britain for areas where GB and EU rules remain the same. If the EU changes its rules and the product carries the CE mark on the basis of those new rules, CE marking will not be permitted for sales in Great Britain even before 31 December 2021. Please look out for Blog posts.

UKCA marking will not be recognised on the EU market. Products currently requiring a CE marking will need a CE marking for sale in the EU from 1 January 2021. [note from 1 Jan 2021, CE marks must be issued by legal entities based in the EU]

UKCA marking does not apply to existing stock, for example if the good was fully manufactured and ready to place on the market before 1 Jan 2021. In these cases the good can be sold in Great Britain with a CE marking even if covered by a certificate of conformity issued by a UK body.

On 1 Jan 2021 UK standards will be the same in substance and with the same reference as the standards used in the EU. However, they will use the prefix ‘BS’ to indicate that they are standards adopted by the British Standards Institution as the UK’s national standards body.

From 1 Jan 2022, CE marks will not be recognised in Great Britain for areas covered by the UKCA mark instructions and the UKCA marking. However, a product bearing the CE marking would still be valid for sale in the UK so long as it was also UKCA marked and complied with the relevant UK rules. Separate rules apply to medical devices (see the link above).

Product areas covered by the UKCA marking

• Toy safety

• Recreational craft and personal watercraft

• Simple pressure vessels

• Electromagnetic compatibility

• Non-automatic weighing instruments

• Measuring instruments

• Lifts

• ATEX

• Radio equipment

• Pressure equipment

• Personal protective equipment

• Gas appliances

• Machinery

• Outdoor noise

• Ecodesign

• Aerosols

• Low voltage electrical equipment

• Restriction of hazardous substances

All enquiries should be to BEIS.

This is a summary, please follow the links and read the instructions in full.