Proposed Irish withdrawal from the European Union

This article discusses a hypothetical political decision to take Ireland out of the EU, and to a political conversation in Ireland on the subject provoked by the 2016 British decision (Brexit), to withdraw from the European Union. Withdrawal had little political support in Ireland as of 2016.

A hypothetical Irish withdrawal from the European Union is sometimes referred to as Eirexit or Irexit, based on Brexit, a name for the British withdrawal from the European Union.

History

Brexit is expected to have a dramatic, negative impact on the Irish economy.[1] Anticipation of the effect of Brexit on the Irish economy led to speculation about a possible Irexit in the lead-up to the British referendum.[2] Cliff Taylor of the Irish Times explained that the question has arisen because in addition to being a member of the EU, and the fact that participation in the EU single market is "vital" to the Irish economy, Ireland's interactions with the economy of Britain are also "vital," leaving Ireland's economy in a potentially awkward position.[3]

The Daily Express newspaper reported that a group called "Ireland Exit" had set-up a website to promote a debate on whether the country should leave the EU.[4] The Irish Post newspaper highlighted that the group were "faceless" and of unknown size and backing, noting that a planned announcement of the "campaign team" had (as of July 2016) not occurred.[5]

By November 2016, Harry McGee reported that the idea of leaving the EU had "gained some momentum of late", with "a small but growing band of public figures questioning the basis of Irish EU membership".[6] McGee's report identified the Socialist Workers Party and Socialist Party as groups that would support an exit, with TD Paul Murphy quoted as indicating that, were a referendum on the topic to be held, the Socialist Party "would support a Leave vote".[6]

Impact of Apple Corp. tax ruling

In August 2016 the European Commissioner for Competition ruled that Ireland's long-standing favourable taxation treatment of Apple Inc. amounted to illegal state aid and that consequently the company owed the state 13 billion euros in back taxes.[7] The enormity of that figure relative to the scale of the Irish economy caused speculation by a representative of the Northern Trust Corporation that the ruling might influence an Irish vote on leaving the EU.[8]

Minister of Finance, Michael Noonan said he disagreed "profoundly with the commission's decision",[9] Following Brexit Irish MEP, Brian Hayes (Fine Gael, European Peoples Party) said Ireland would only leave the EU if it were to interfere with corporation tax. He said it is an "absolute red line issue" and "if any attempt is made to cajole us, as far as I'm concerned, we're out the door,"[10] Irish MEP, Brian Hayes also criticised the decision saying the EU had "overstepped its role and its mandate".[11] Apple said the decision was "an effort to rewrite Apple's history in Europe, ignore Ireland's tax laws, and upend the international tax system in the process."[11] The previous holder of the Competition portfolio, Neelie Kroes, said that state-aid rules should not apply to tax matters:'EU member states have a sovereign right to determine their own tax laws.'[12] In response to this there was calls for an Irexit by Irish journalist, Tom McGurk, British MP, Tim Loughton and UK Conservative Party blog, Guido Fawkes.[11]

Opinion polls

A Red C poll, commissioned by European Movement Ireland in January 2013, found most Irish people would opt for Ireland to remain inside the EU (66%) even if the UK decided to leave. Just 29% of those asked said that Ireland should leave if the UK does.[13]

Following Brexit a poll commishioned by public relations firm, PR360 found that 77% of those polled believed EU membership was good thing . It also found that If a referendum on EU membership were held in Ireland, 80% would vote remain, 13% leave with 7% undecided[14]

See also

References

  1. ↑ "Ireland may suffer the most from Brexit". The Economist. 29 October 2016. Retrieved 2 December 2016.
  2. ↑ "A terrible problem is born". The Economist. 26 March 2016. Retrieved 2 December 2016.
  3. ↑ Taylor, Cliff (1 July 2016). "Who fears to speak of Irexit?". The Irish Times. Retrieved 2 December 2016.
  4. ↑ "Ireland could be next to leave EU as IREXIT campaign group launched". Express.co.uk. Retrieved 2 December 2016.
  5. ↑ "Faceless 'Ireland Exit' campaign group is set up to get Ireland out of the EU following Brexit". Irish Post. 14 July 2016.
  6. 1 2 McGee, Harry (12 November 2016). "Eirexit: Could Ireland follow Britain out of the EU?". The Irish Times. Retrieved 2 December 2016.
  7. ↑ State aid: Ireland gave illegal tax benefits to Apple worth up to €13 billion.  – European Commission
  8. ↑ Clinch, Matt (31 August 2016). "Apple's EU tax ruling has sparked talk of an 'Ir-exit'". CNBC. Retrieved 2 December 2016.
  9. ↑ Minister Noonan disagrees profoundly with Commission on Apple  – Irish Government Department of Finance, Press Release
  10. ↑ EU big guns warned corporation tax is 'red line' in Brexit talks
  11. 1 2 3 Eurosceptics are salivating at the idea of 'Irexit' after Apple's shock €13 billion EU-Ireland tax bill  – Business Insider UK, 31 August 2016
  12. ↑ Apple tax ruling is unfair, says former European commissioner  – The Guardian, 1 September 2016
  13. ↑ "European Movement: Two-thirds of Irish People Would Choose to Stay in the EU Even if the UK Leaves". Europeanmovement.eu. 18 January 2013. Retrieved 4 January 2014.
  14. ↑ Over 60% of people say the EU is more important to Ireland than the UK
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