What is the Brexit Adjustment Reserve?

Brexit has a negative impact on all Member States, but in different ways. Some Member States, regions, sectors, or local communities are more affected than others. The Brexit Adjustment Reserve (BAR) of €5.4 billion has been put in place to support all Member States while ensuring a strong concentration on those most affected. The financial contribution from the reserve to a Member State will be implemented under shared management. It does not need advanced programming or planning of measures and provides flexibility in the implementation in line with the subsidiarity principle. 

The BAR will support measures specifically set up in relation to the withdrawal of the UK from the Union. They can include the following:

• support to economic sectors, business and local communities, and organisations, including small-scale coastal fisheries,  dependent on fishing activities in the UK waters;
• support to job creation and protection, including through short-time work schemes, re-skilling and training;
• measures aimed at the re-integration of Union citizens as well as persons having the right to reside on the territory of the Union who left the United Kingdom, as a result of the withdrawal of the United Kingdom from the Union
• ensuring the functioning of the border, customs, sanitary and phytosanitary and security controls, fisheries control, certification, and authorisation regimes
• measures for communication, information, and awareness-raising of citizens and businesses about changes to their rights and obligations stemming from the withdrawal of the United Kingdom from the Union.

What does it mean for Ireland?

Ireland is the biggest beneficiary of the Brexit Adjustment Reserve with a total allocation of €920.4 million. This funding will help Ireland’s economy in mitigating 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.