Non-regression definition
Non-regression means that the level of protection must not fall below that existing in both parties at the end of the transition period (i.e. on 31 December 2020) in such manner as to affect trade or investment. The role of determining whether such an effect has been produced is entrusted to a panel of experts.19 The rebalancing mechanism will apply where future policies and priorities in respect of labour, social, environmental or climate protection result in significant divergences capable of having an impact on trade or investment. For the purposes of subsidy control, and to ensure non-regression or enable rebalancing, special procedures are laid down by this title, allowing the Party that considers that its interests have been affected to take unilateral remedial action, with a right for the other Party to challenge such action under variants of the general dispute settlement mechanism of the TCA (see below). It is further provided that if one party considers after four years that there have been too many breaches of the level playing field provisions (or if one measure that has a material impact has been in place for a year), then they can trigger a review of the entire trade part of the treaty.20