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Germany is expected to receive compensation of around £560million to mitigate the economic damage suffered because of Brexit. As the Council of the European Union announced in Brussels, the so-called Brexit Fund and the provisional distribution of funds were finally decided on Tuesday.
It could now support public and private companies facing additional costs, losses or other adverse economic and social effects following the UK’s exit from the EU.
Additional costs could arise, for example, for customs controls and new administrative procedures.
In Germany, among other things, the money will benefit fishermen who are dependent on fishing in British waters.
Short-time work benefits, as well as retraining or training, can be financed with it. “Our goal is to help those most affected in a difficult time to adapt to the consequences of Brexit,” commented Zvonko Černač for the current Slovenian Presidency.
A total of €5.47billion will be distributed via the Brexit fund.
Brexit news: Germany will receive EU funds as Brexit ‘compensation’
The largest amounts, after the indicative allocation, will go to Ireland, France and the Netherlands.
Around €1.2 billion is expected to go to Ireland, €886million to the Netherlands and €736million euros to France.
This is followed by Germany, which is also very badly affected by Brexit.
The bottom line is that the Federal Republic will probably end up paying significantly more money into the Brexit fund than it will get out of it.
The German share of funding in the next EU budget is estimated to be around 24 percent.
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The €647 million, however, only correspond to about 12 percent of the Brexit fund, which is financed with the budget.
It comes as Britain was accused of playing politics with post-Brexit fishing rights on Wednesday after London and the Channel Island of Jersey refused dozens of French fishing boats licences to operate in their territorial waters.
The UK said it was open to further discussion with the boats it had rejected, adding that they had not submitted evidence of their history of operating in the waters which was needed to continue fishing in the 6-12 nautical mile zone.
France’s maritime minister Annick Girardin said Britain was not complying with the Brexit agreement.
“It’s a new refusal by the British to implement the conditions of the Brexit agreement despite all the work we have done together,” she said in a statement.
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Brexit news: EU funds will benefit fishermen who are dependent on fishing in British waters
“French fishing should not be taken hostage by the British for political ends.”
President Emmanuel Macron’s government threatened retaliatory measures.
Jean-Pierre Pont, a lawmaker from the northern French port of Boulogne, said fishermen could block trucks from boarding Channel Tunnel trains headed to Britain.
“Our fishermen want to be out at sea fishing under the terms agreed during Brexit,” Pont said.
Fishing and the control of British waters was a hot topic during Britain’s 2016 referendum to leave the EU. But British fishermen have since accused the government of selling them out by allowing international boats to continue fishing in them.
Britain said it had granted licences to almost 1,700 vessels to fish in the 12-200 nautical mile zone, and a further 105 licences were issued for vessels to fish in the 6-12 nautical mile zone where evidence supported a track record.
Britain and France both deployed maritime patrol vessels to the waters off Jersey earlier this year after a flotilla of French trawlers sailed in protest to the Channel island, saying they were being unfairly excluded from the rich fishing grounds.
Jersey said it was issuing 64 full permits and 31 temporary ones on top of the 47 vessels already licensed earlier this year, but had rejected applications by 75 fishing boats.
All unlicensed boats will have to stop fishing in Jersey waters in 30 days time. The island, a self-governing British Crown Dependency, sits 14 miles (23 km) off the northern French coast and 85 miles (140 km) south of Britain’s shores.
“Those boats with an economic dependence on Jersey waters, who’ve fished here regularly before and have demonstrated it, will receive licences,” the Channel Island’s environment minister John Young said in a statement.
Additional reporting by Monika Pallenberg