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Intermediate

The EU and UK Government

Paper 2, 4.3 The aims, role and impact of the European Union (EU) on UK government

Aligned to the Pearson Edexcel 9PL0 specification

Level
Intermediate
Reading time
14 min
Published
9 September 2026
On this page
  1. 1.What the European Union Was Built to Do
  2. 2.The Four Freedoms of the Single Market
  3. 3.How Far the Four Freedoms Were Achieved
  4. 4.Political and Economic Union: Ambition Against Its Ceiling
  5. 5.Leaving the EU: What Actually Changed in Law
  6. 6.Did Leaving Restore Parliamentary Sovereignty?
  7. 7.Exam Focus: Scope and Common Mistakes

Key takeaways

  • The EU's founding aims were peace through economic integration, ever-closer union between its peoples, a single market built on the four freedoms, and progressive political and economic union.
  • The four freedoms let goods, services, capital and people move across the single market without discriminatory barriers; goods and capital went furthest, services least far, people the most politically contested.
  • Economic union advanced through the euro, used by nineteen member states when the UK left in January 2020, but the UK held opt-outs from both the euro and Schengen, so integration was uneven from the start.
  • The European Union (Withdrawal) Act 2018 converted EU law into domestic law, and the Retained EU Law Act 2023 ended its supremacy and renamed it assimilated law, which Parliament can now amend by ordinary statute.
  • Leaving restored Parliament's legal freedom to legislate, but much of the returning power reached ministers rather than MPs, through wide delegated powers to change assimilated law by statutory instrument.

What the European Union Was Built to Do

The European Union is a political and economic union of European states. Its aims were set out over six decades of treaties, and section 4.3 asks you to know those aims and judge how far they were achieved. It does not ask you to describe the EU's institutions or how it takes decisions.

The founding purpose was security, not commerce. Robert Schuman's declaration of May 1950 proposed pooling French and German coal and steel production so that war between them would become, in his phrase, materially impossible. Economic integration was the method; peace was the goal.

TreatyYear signedAim it advanced
Treaty of Rome1957Created the European Economic Community and committed members to "ever closer union among the peoples of Europe"
Single European Act1986Set a target of completing a single internal market by the end of 1992
Maastricht Treaty1992Created the European Union itself, EU citizenship, and a timetable for economic and monetary union
Lisbon Treaty2007Streamlined decision-making across a much enlarged union and extended majority voting

Four aims run through all of them:

  • Peace and reconciliation between states that had fought two continental wars in thirty years.
  • Ever-closer union — an open-ended commitment to deepening integration over time.
  • A single market in which the four freedoms operate across national borders.
  • Political and economic union — a shared currency, shared citizenship and common action in areas beyond trade.

The UK joined the European Economic Community on 1 January 1973 and confirmed membership in the referendum of 5 June 1975, in which 67.2% voted to stay on a turnout of 64.5%. It left the EU on 31 January 2020, leaving 27 member states.

The Four Freedoms of the Single Market

The four freedoms are the legal core of the single market and are named directly in the specification. Learn what each one covers and one concrete consequence of it.

FreedomWhat it meansConsequence for the UK while a member
GoodsProducts lawfully sold in one member state can be sold in another, with no internal tariffs and a common external tariffUK manufacturers exported into the bloc without customs declarations or rules-of-origin paperwork
ServicesA firm can supply services across a border, or establish itself in another member state on equal termsUK financial firms used "passporting" rights to sell services across the bloc from London
CapitalMoney, investment and credit can move freely between member statesCross-border investment into and out of the UK faced no exchange controls or discriminatory restrictions
PeopleCitizens can live, work and study in any member state, with equal treatment in employmentEU nationals could take UK jobs without a visa, and UK nationals could do the same across the bloc

The four freedoms are treated as a package. A state that wants full access to the single market for its goods is expected to accept free movement of people as well — which is precisely why the referendum debate about immigration and the debate about market access could not be separated.

A worked distinction students routinely get wrong. Free movement of people under EU law was not an unconditional right to migrate. It was a right to move to work, study, be self-sufficient or seek work for a limited period, with equal treatment once exercising it. That legal nuance mattered very little politically, because the practical effect was open labour markets between member states — and it is the political effect the specification asks you to evaluate.

How Far the Four Freedoms Were Achieved

The specification asks specifically about the extent to which the aims were achieved. The four freedoms were not achieved equally, and a strong answer ranks them.

Goods and capital — largely achieved

Internal tariffs were abolished, a common external tariff applied to imports from outside, and product standards were harmonised so that a single approval covered the whole market. Capital controls between member states were removed, and cross-border investment moved without discriminatory obstacles. Both freedoms functioned close to their design.

Services — the least complete

Services account for roughly three-quarters of the EU's economic output but a far smaller share of trade between member states. Professional qualifications, licensing rules and national regulators continued to fragment the market, and the Services Directive agreed in 2006 was substantially diluted before adoption. Even at its most integrated, the single market in services fell well short of the single market in goods.

People — legally achieved, politically the most contested

The freedom worked as designed in law, and became the sharpest political issue in the UK. When ten states joined in May 2004, most existing members imposed transitional restrictions on workers from the eight central and eastern European accession countries. The UK, Ireland and Sweden opened their labour markets immediately.

Research commissioned by the Home Office before enlargement had estimated net migration from the new member states at roughly 5,000 to 13,000 a year. Actual arrivals ran far above that range. The projection failed largely because it assumed most other member states would open at the same time, which they did not.

Why this matters for the exam. It gives you a precise, dated worked example of a founding aim being achieved technically while generating the political backlash that ended UK membership. Free movement did what the treaties intended. The unpredicted concentration of that movement in three countries turned a functioning freedom into a domestic political crisis.

Political and Economic Union: Ambition Against Its Ceiling

Beyond the single market, the treaties committed members to deeper political and economic union. Progress here was real but uneven, and the UK stood outside the two largest projects.

Economic union — substantial but incomplete. The euro launched as an accounting currency in 1999, with notes and coins in 2002. Nineteen member states used it when the UK left in January 2020. Monetary union was achieved; fiscal union was not. Member states kept control of tax and spending, so the eurozone had one interest rate and nineteen budgets. The debt crisis that began around 2010, most severely in Greece, exposed exactly that gap, and the response required emergency mechanisms that the founding treaties had not provided.

Political union — advanced, then stalled. Maastricht created EU citizenship and extended cooperation into foreign policy and justice. Successive treaties widened qualified majority voting, reducing the number of areas where a single state could veto. But union stopped well short of statehood: there is no EU army, no EU power to levy taxes on citizens, and unanimity is still required for treaty change, for taxation and for the most sensitive foreign-policy decisions.

Three moments mark the ceiling:

  1. The UK's opt-outs. The UK secured an opt-out from the single currency at Maastricht in 1992 and stayed outside the Schengen passport-free travel area. Integration was therefore uneven across member states from the 1990s onwards, which weakens any claim that ever-closer union was a single, uniform path.
  2. The rejected constitution. A draft Constitutional Treaty was defeated in referendums in France on 29 May 2005 and in the Netherlands on 1 June 2005. Its substance largely returned in the Lisbon Treaty, but the political signal was unmistakable: electorates would not endorse a constitution for the union.
  3. Withdrawal. On 23 June 2016 the UK voted to leave by 51.9% to 48.1% on a turnout of 72.2%. Ever-closer union had been treated as a one-way process; a member state reversing it showed that it was not.

A sharp evaluative line: the EU achieved most of what it set out to do in markets and least of what it set out to do in politics. The four freedoms are largely in place across 27 states; the political union that was supposed to follow from them stalled well short of its stated destination.

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Leaving the EU: What Actually Changed in Law

Section 4.3's second bullet is narrow and precise: the impact of leaving on UK parliamentary sovereignty in relation to policy making. That means the legal mechanics, not the negotiations.

StageDateEffect
Referendum23 June 2016Advisory in law, decisive in politics: 51.9% Leave on 72.2% turnout
Miller ruling24 January 2017The Supreme Court held that ministers could not use prerogative powers to start withdrawal
Notification of Withdrawal ActMarch 2017Parliament authorised notice, given on 29 March 2017
EU (Withdrawal) Act 2018June 2018Converted the existing body of EU law into domestic "retained EU law" so there would be no legal vacuum
Withdrawal31 January 2020The UK ceased to be a member state; a transition period ran to 31 December 2020
Retained EU Law Act 2023June 2023Ended the supremacy of retained EU law from the end of 2023, renamed it "assimilated law", and gave ministers powers to revoke or reform it

(Extra context — the European Communities Act 1972, which gave EU law effect in the UK and was repealed on exit day, was removed from Component 2 section 1 of this specification and is not assessable content. It is included here only because the repeal is the mechanism by which withdrawal changed the UK's legal order.)

The constitutional point is contained in that final row. Assimilated law now sits in the ordinary hierarchy of UK law. Parliament can amend or repeal any part of it by ordinary statute, with no special procedure and no external court able to disapply the result. That is parliamentary sovereignty operating exactly as A. V. Dicey described it.

Did Leaving Restore Parliamentary Sovereignty?

This is the shape a 30-mark essay on section 4.3 takes, and it has a genuinely balanced answer.

The sovereignty balance after withdrawal
What leaving returned
The case that sovereignty was restored
  • EU law no longer takes precedence over Acts of Parliament, and assimilated law can be repealed by ordinary statute.
  • The Court of Justice of the EU no longer has general jurisdiction over UK law.
  • Parliament can legislate on trade, tariffs, agriculture, fisheries and immigration without treaty constraint.
  • The ability to repeal the 1972 Act by an ordinary Act arguably shows legal sovereignty was retained throughout membership.
What leaving did not return
The case that the change is overstated
  • Wide delegated powers in the withdrawal legislation and the 2023 Act let ministers change assimilated law by statutory instrument, so power moved to the executive rather than to MPs.
  • The trade agreement in force since May 2021 and the Windsor Framework of February 2023 impose continuing obligations the UK chose to accept.
  • Returning powers over farming, fishing and the environment landed in devolved areas, creating new friction inside the UK.
  • Legal freedom is not the same as practical influence: a mid-sized economy trading with a large bloc still faces its standards.

The devolution dimension. Pearson's guidance states that students need the impact of withdrawal on the relationship between Westminster and the devolved administrations, so this belongs in your answer. Powers returning from Brussels in agriculture, fisheries and environmental standards fell inside devolved competence. Westminster passed the UK Internal Market Act 2020 to keep trade flowing across the four nations by requiring each to recognise the others' standards. The Scottish Parliament and the Senedd both refused legislative consent, and Westminster legislated anyway. It could do so because the Supreme Court had confirmed in Miller (2017) that the Sewel Convention, however politically weighty, cannot be enforced by a court.

Reaching a judgement. The defensible conclusion is that withdrawal restored legal sovereignty in full while redistributing political power in three directions at once: some to Parliament, a great deal to ministers through delegated powers, and a new source of tension to the devolved institutions. An answer that treats "took back control" as either simply true or simply false has missed the interesting part.

Exam Focus: Scope and Common Mistakes

1. Writing the essay this specification stopped asking for

Section 4.3 is deliberately narrow. Assessable content is the aims of the EU, the four freedoms, political and economic union, how far these were achieved, and the impact of leaving on parliamentary sovereignty. EU institutions, EU decision-making, individual EU policies and the withdrawal negotiations are outside it. Pearson's own guidance states that the EU now plays a reduced role in this qualification. Pages of detail on how the EU makes law are not what this section assesses.

2. Treating the four freedoms as equally achieved

Rank them. Goods and capital went furthest, services least far, and people worked as designed while generating the politics that ended UK membership. That ranking is the analysis the question wants.

3. Confusing the EU with the European Convention on Human Rights

They are separate bodies with separate courts. The UK left the EU in January 2020 and remains a party to the Convention, which the Human Rights Act 1998 gives effect to domestically. Muddling them undermines every point you make about sovereignty or rights.

4. Assuming sovereignty was lost and then simply regained

The stronger argument is that legal sovereignty was retained throughout membership — proved by the fact that Parliament could and did legislate to leave — while political sovereignty was pooled. Say which of the two you are talking about each time you use the word.

5. Forgetting the devolution consequences

Returning powers over farming, fishing and the environment landed in devolved competence, and the UK Internal Market Act 2020 passed without the consent of the Scottish Parliament or the Senedd. Pearson's guidance names this relationship explicitly, so it is examinable content rather than background.

6. Using undated claims about the EU

The EU has 27 member states; it had 28 while the UK was a member. Nineteen states used the euro at the point of UK withdrawal in January 2020, and the number has changed since. Attach a date to any figure that moves.

7. Answering without a judgement

Evaluate carries 10 of its 30 marks for AO3. Decide how far the aims were achieved, or how far sovereignty was restored, and defend the line you have taken rather than leaving both sides on the page.

Key terms

European Union (EU)
A political and economic union of European states that pool authority over agreed areas of policy through common institutions and shared law.
Four freedoms
The free movement of goods, services, capital and people that together define the EU's single market.
Single market
An area in which member states remove internal barriers to trade and apply common rules, so that commerce across borders works much like trade inside one country.
Economic and monetary union
The programme of tying member states' economies together through coordinated policy and a shared currency, the euro.
Pooled sovereignty
An arrangement in which states agree to exercise certain powers jointly through shared institutions rather than individually.
Retained and assimilated EU law
The body of EU-derived rules kept in force domestically after withdrawal, which lost its special status at the end of 2023 and can now be changed like any other UK law.

Frequently asked questions

The free movement of goods, services, capital and people between member states. They are the legal core of the single market: a product, an investment, a service provider or a worker lawful in one member state should be able to move to another without discriminatory barriers.

In law it removed the supremacy of EU law and returned full legislative freedom to Parliament. In practice much of that power went to ministers, who can amend assimilated law by statutory instrument, and the UK still accepts constraints through the treaties it signed after leaving.

They are separate. The EU is a political and economic union the UK left in January 2020. The European Convention on Human Rights belongs to the Council of Europe, and the UK remains a party to it; the Human Rights Act 1998 gives it effect in domestic law.

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