Brexit is issue for UK, not us

THE last four years have seen the States make difficult decisions, and face many new challenges.

It has been an honour to have had a number of roles during this time – as the minister for Social Security, as the chairman of the Policy Council's Alderney Liaison Group, and as deputy chief minister in the External Relations Group.

In that latter role I have watched closely the development of one of the most interesting debates in a generation as it takes centre stage in the UK – the EU referendum. I say that deliberately and carefully. It is a UK debate about a UK issue.

Let's be clear about a number of things. Guernsey is not part of the UK, and it is not part of the EU. We are not represented in the UK Parliament and we are not represented in the EU Parliament.

We do not pay UK taxes, we do not contribute to EU funds, and we have no right or expectation to benefit from those funds. We do not have to implement every EU Directive or Regulation emanating from Brussels, and nor do we have to take note of all rulings from its Court of Justice.

This is fundamentally why the UK's EU Referendum franchise is not extended to all islanders, or those in the Crown Dependencies.

Guernsey's constitutional relationship with the EU is a bolt-on to the UK membership agreement covering trade in goods called Protocol 3.

In 1973 Protocol 3 was important because it enabled trade in tomatoes and flowers, and importantly it protected the relationship between Guernsey and the UK. Forty-three years later the EU has changed enormously as has Guernsey's economy. Protocol 3 now only covers one small part of the EU's growing list of powers.

To help our finance sector to trade, and to enable other areas of cross border operations to function seamlessly, we have progressively negotiated many of our own relationships in many different areas with the EU as a third country. These standalone relationships will not be substantially affected by any possible changes in the UK-EU relationship. This brings inherent stability for Guernsey businesses, regardless of whether the UK decides to remain or leave.

The new deal that was negotiated by the UK in February is something that is interesting generally, but not that interesting for Guernsey specifically. It does not impact directly Protocol 3 or our EU 'third country' relationships.

If the UK decide to remain in the EU under the new deal there will be a reformed UK-EU relationship. This will benefit Guernsey insofar as Guernsey is a trading partner with the UK and is in the sterling zone. If the UK were to leave the EU, Guernsey will still maintain its close relationship with the UK, and will remain in the sterling zone. We will still have the relationship with the EU that we have built up as a 'third country'.

That is why our consistent position has been that Guernsey is not seeking to change its relationships with the UK or the EU, but that whatever the result of the referendum, we will seek to ensure that our interests are protected.

That is not to say Guernsey won't be affected by the uncertainty created around the UK's EU referendum. It is a strategic risk, and we are doing all we can to manage that risk effectively.

The UK's preparation for this referendum has been under way for many years and we have contributed to it. That is why the States engaged actively in the last UK Government's review of the role of the EU, and why we have sustained that engagement with the current UK Government as the negotiations have progressed.

The chief minister has met with the UK's Europe minister and the UK's ambassador in Brussels on a number of occasions, and a meeting with the Europe minister is scheduled next month. At each stage we have sought to ensure our interests are understood and taken into account and that our relationships are not undermined. This engagement will continue.

To those States candidates who will be canvassing diligently over the next few weeks, I urge some caution when debating this particular matter.

Our international reputation is hard earned and robustly defended, but can be easily damaged. It is not right for us to interfere in the debate of another jurisdiction. There is nothing to benefit from creating concerns where they don't need to exist, and speculating in a way to create uncertainty where there is none. It is right to debate our future and how it might evolve during the next term, but a possible change in the UK-EU relationship is a difficult decision for another place.

As the results come in during the UK's EU referendum in June, the next States Assembly will be facing its own challenges. Members of the new States can be assured that the outcome of the UK referendum is one of the challenges that we are in a good position to manage.