Brexit Adjustment Reserve
The Brexit Adjustment Reserve aims to help the Member States and sectors worst affected to counter the adverse economic and social consequences of Brexit. The initial allocation is valued at €5.4bin in current prices. Further funding of €1.1bn in current prices will be made available to the EU-27 in 2024.
Ireland is the biggest beneficiary of the Reserve and the first Member State to receive pre-financing. This funding will help Ireland's economy to mitigate the impact of Brexit through support to regions and economic sectors including job creation and protection, such as short-time work schemes, re-skilling, and training.
Ireland will receive €361.5m in 2021, €276.7m in 2022 and €282.2m in 2023. The funding can cover expenses directly relating to Brexit since 1 January 2020.
Overall, Reserve funding will be distributed in two rounds:
- the majority through pre-financing in 2021, calculated on the basis of the expected impact of the end of the transition period on each Member State's economy, taking into account the relative degree of economic integration with the UK, including trade in goods and services, and the negative implications on the EU fisheries sector,
- smaller additional support in 2024, in case the actual expenditure exceeds the initial allocation, thus justifying the need for additional solidarity from the EU.
The Reserve can support measures related to:
- economic sectors, businesses and local communities, including those dependent on fishing activities in the UK waters,
- employment, including through short-time work schemes, re-skilling and training,
- ensuring the functioning of border, customs, sanitary and phytosanitary and security controls, fisheries control, certification and authorisation regimes for products, communication, information and awareness raising for citizens and businesses.
For further information visit the Brexit Adjustment Fund.