Brexit in Air Transport after 2020

Abstract

Research background: The authors are providing an update to the ongoing process of Brexit and the negotiations between the UK and the EU, following their own previous research in this area. Purpose of the article: In 2019, the aviation sector in the UK ranked as the third largest in the world. London Heathrow, a hub to many UK airlines, ranked as Europe’s busiest airport and seventh busiest in the world. [1] Brexit negotiations between the UK and the EU, in the context of globalization and the existing deep ties within the EU institutions, presents a complex task. Following the Brexit referendum in June 2016, where the majority of the electorate decided that Britain should leave the EU, events have progressed significantly by the UK leaving the EU formally at 23:59 on the 31st January 2020. However, negotiations are still ongoing and when it comes to Aviation, the outcome in many key areas is still uncertain. Methods: The article is based on data and information collation as well as the authors’ experience within the industry. Findings & Value added: Once the transition period terminates on the 31st December 2020, Brexit will have a significant influence on trading in the European domestic market and globally on the international market. This paper discusses available options for the UK and the EU that follow from existing decisions in the Brexit bill, as well as outlining possible future developments. Furthermore, in light of the existing threats to the Aviation industry from the ongoing COVID-19 pandemic and the cessation of air travel for many weeks, adjustments to the Brexit plan might be required.