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Professional Services in the EU under the New Trade Agreement

11 January 2021

On 1 January 2021, the UK entered a “brand new partnership” with the European Union. Irrespective of your opinion of Brexit, it was inevitably going to change how business was done in Europe. This blog examines the short-term entry requirements and the transferability of professional qualifications now that UK professionals no longer have the ability to automatically work in the EU.

Entry Requirements and Short-Term Business Visitors

Subject to certain conditions and qualifications under the Trade and Cooperation Agreement (“the Agreement”), Member States will continue to allow the entry and temporary stay of short-term business visitors (“SBVs”) from the UK. Annexes in the Agreement list a limited number of permitted “visa-free activities” for SBVs. These include, attending meetings, conferences, trade fairs and exhibitions. However, some Member States have imposed additional restrictions on UK business visitors. For example, Croatia, Cyprus and Denmark all require a “work permit, including economic needs test in case [SBVs] supply a service”.

    Jeremy Glen

 Jeremy Glen
Partner

    Ibinabo David-West

 Ibinabo David-West
Trainee Solicitor

You may also need a visa or other documentation if you plan on carrying out certain activities, these include:

  • ‘staying for longer than 90 days in a 180-day period;
  • providing services in another country as a self-employed person;
  • transferring from the UK branch of a company to a branch in a different country (‘intra-corporate transfer’), even for a short period of time; or
  • carrying out contracts to provide a service to a client in another country that your employer is not established in’.

Recognition of Professional Qualifications

The Agreement provides for the adoption and development of measures that require UK professionals to obtain national recognition of their qualifications in each EU Member State where they want to work. The mechanisms used for the recognition of professional qualifications may differ within the same country depending on the circumstances. Where there is a “substantial divergence in the scope of practice and the professional qualifications required to practise”, a choice of compensatory measures may be given to applicants to remedy such divergence. Examples of a compensatory measure might include a temporary limitation of the scope of practice or a period of supervised practice in the host country.

In summary, if you are a UK business or professional providing services in the EU, Iceland, Liechtenstein, Norway or Switzerland, it is essential that you check and follow the national regulations of the country you are doing business in. The new rules do not have a ‘one size fits all’ approach, so it may even be highly advisable to seek further guidance from the relevant bodies such as non-governmental organisations of that country.

Contacts

Jeremy Glen, Partner jsg@bto.co.uk / 0141 221 8012

Ibinabo David-West, Trainee Solicitor ida@bto.co.uk / 0141 221 8012

 

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