Beyond the Pandemic: More Integrated EU-wide Public Debt Instruments?

By Prof Albert Sanchez Graells, Professor of Economic Law (University of Bristol Law School)

Beyond its terrible death toll and massive public health implications, the COVID-19 pandemic and the lockdown measures put in place to try to contain or mitigate it are bound to have severe and long-lasting economic effects. The European Union (EU) and its economic and financial governance now face very significant challenges, possibly exceeding those of the 2008 crisis. The way in which these challenges are addressed will not only determine the path and speed of European (economic) recovery, but perhaps also pave the way for further changes beyond the pandemic. Here I reflect on some implications of the COVID-19 response for EU-wide public debt instruments. (more…)

Scoping the impact of Brexit for NHS procurement

By Dr Albert Sanchez-Graells, Senior Lecturer in Law (University of Bristol Law School).

NHS England spends over £20 billion every year on goods and services, which typically accounts for around 30% of the operating costs of each hospital. A significant part of the remainder of NHS non-salary budget involves the commissioning of health care services. This expenditure and commissioning is controlled by NHS procurement rules, which in part derive from EU law. Different procurement rules apply in different countries within the UK, and both Scotland and Northern Ireland both have separate regulatory schemes. Even though this post only focuses on the situation in England, some issues reflect broader concerns in the UK context. Generally, NHS procurement rules are regularly criticised for imposing excessive red tape and compliance costs on the NHS, and calls for NHS procurement reform to free it from such strictures are common.

In this context, Brexit could be seen as an opportunity to overhaul NHS procurement and to move away from the perceived excesses of EU law (see eg Cram: 2016). However, I think that it is far from clear that such reform could not fit within the blueprint of EU law, and that most of the constraints on NHS procurement rather derive from independent decisions adopted by the UK over the last 25 years. Moreover, from an economic perspective, Brexit will probably hurt the functioning of the NHS (including its procurement), with or without significant regulatory reforms.

This post is based on my presentation at the event Brexit, Regulation and Society, held by ManReg on 13 June 2017, and concentrates on two issues. First, does EU law prevent significant reforms of NHS procurement and, if so, can Brexit suppress such constraints? Second, is the way the Brexit process is unfolding conducive to an improvement of NHS procurement, both from an economic and a regulatory perspective? (more…)

Brexit may have negative effects for the control of public expenditure, particularly regarding subsidies to large companies

By Dr Albert Sanchez Graells, Senior Lecturer in Law (University of Bristol Law School).

image028In the current state of turmoil, it is difficult to speculate on the exact relationship between the EU and the UK that can result from the Brexit vote and the future negotiations to be held under Article 50 TEU, in case it gets triggered. However, in order to contribute to the debate of what that relationship should look like in the interest of taxpayers in the UK, it is important to consider the implications that a post-Brexit deal could have in terms of the potential disappearance of the EU rules applicable to the control of how public funds are spent. A reduction in the control mechanisms applicable to certain types of public expenditure could indeed diminish the effectiveness of policies funded by taxpayers in the UK and create shortcomings in public governance more generally. (more…)