Dr Barry Scannell

The European Commission yesterday formally proposed adding the EU AI Act to the list of legislation which continues to apply in Northern Ireland post-Brexit.

The decision on whether to add the landmark law to Annex 2 of the Windsor Framework will be made by a joint EU-UK committee when it next meets.

The move “is arguably more symbolic than strictly necessary from a commercial standpoint, given that any company in Northern Ireland already intending to place AI products on the EU market must comply with the Regulation’s requirements”, Dr Barry Scannell told Irish Legal News.

However, Dr Scannell, a partner in the technology department of Irish law firm William Fry, added: “The move may raise political concerns, as it further embeds Northern Ireland into the EU’s legal order in a sensitive and fast-moving area of technological regulation.

“While it avoids a hard border on the island of Ireland, it deepens the regulatory gulf between Northern Ireland and the rest of the UK — given the deregulation route the UK is taking with AI.

“This could have the effect of reinforcing a dual-rule system that could, over time, challenge the coherence of the UK’s internal market.

“It potentially puts an AI company operating in Belfast at a disadvantage to one operating in Brighton.”

The EU AI Act, formally known as Regulation (EU) 2024/1689, entered into force in August 2024 and is being phased in over the next two years.

Under its risk-based approach, different types of AI systems are subject to different levels of regulation based on their associated risk.

The Northern Ireland Office has been contacted for comment.