Answer to Written Question: Request for clarification on the Commission proposal establishing the Brexit Adjustment Reserve
(Source: European Parliament)
Answer given by Ms Ferreira
on behalf of the European Commission
1. Pursuant to Article 5 of the Commission’s proposal for a Brexit Adjustment Reserve (the Reserve), the measures taken by Member States will have to directly contribute to countering the adverse consequences of the United Kingdom’s withdrawal from the Union, take into account the varied impact on different regions and local communities and focus support on those most affected, respect the applicable law and avoid double funding.
2. The allocation in the form of pre-financing of EUR 4 billion in 2018 prices will be paid in 2021 on the basis of the allocation method described in Annex I to the proposed Regulation. After the end of the reference period for the implementation of measures (31 December 2022), Member States will submit to the Commission their applications for a financial contribution from the Reserve by 30 September 2023, detailing the measures implemented and related expenditure. The Commission will assess these applications in a package, guaranteeing equal treatment of all Member States, against the relevant elements contained in the implementation reports, notably the ones referred to under points (a), (b), (c) and (d) of the second paragraph of Article 10. The final payments of additional amounts, comprising the EUR 1 billion (in 2018 prices) together with any recovered amounts from the pre-financing, will be made in 2024 on the basis of the expenditure declared by the Member States in their applications for a financial contribution from the Reserve submitted in 2023 and accepted by the Commission.
 The allocation method for the pre-financing is based on the most recent publicly available statistics ensuring reliability and comparability of data and takes into account the importance of trade in goods and services with the United Kingdom and the importance of fisheries in the United Kingdom waters. The description of the method for allocating the pre-financing is available in Annex I to the proposal:
The statistical data used and the resulting distribution are available in the fiche: