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<p>The proposed terms for the UK's participation in EU agencies and bodies until the
end of 2020 are set out in Article 128 of the Withdrawal Agreement.</p><p> </p><p>As
outlined in the Political Declaration, the UK will seek an Administrative Arrangement
with the European Defence Agency (EDA) that would enable us to participate in EDA
projects and programmes where it is of mutual benefit, to further our defence cooperation
opportunities.</p><p> </p><p>The Political Declaration provides the option for the
UK to participate in capability projects through the European Defence Fund, subject
to conditions in Union Law. Any UK participation in EDF projects would be aligned
with our requirements and represent value for money.</p><p> </p><p>The UK has not
joined Permanent Structured Cooperation (PESCO), but recognises its potential to support
increased defence investment in Europe and the development of capabilities that contribute
to NATO. The Government is scrutinising the current list of PESCO projects to identify
which of those we might have an interest in, or be able to add value to, as a third
country. Our future participation is subject to the rules governing third country
access that are still being negotiated by PESCO Participating Member States.</p>
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