Covid-19: Future UK-EU Relationship — House of Commons, 2020-07-15
Topic: International Affairs
Ian Blackford (Scottish National Party, Centre-left): I beg to move, That this House welcomes the European Union’s openness to extend the transition period for negotiations; calls on the Government to immediately accept this offer and notes the Scottish Government’s publication of 3rd June entitled, "COVID-19: The Case for Extending the Brexit Transition Period", warning of the damage a no deal would cause to the economy in addition to the cost of the covid-19 health crisis The Prime Minister, like all of us here, could not have foreseen the covid-19 pandemic when his Government initiated the process of leaving the European Union. 2020 has become a year like no other, and this Government must adapt and do what is right by their citizens. Our priority must be dealing with this health emergency and the consequent economic challenge; it is definitively not business as normal. That is why my Government in Edinburgh, under the stewardship of Nicola Sturgeon, has prioritised dealing with the crisis above all else. We are demanding that the UK Government do the same—[Interruption.] Mr Speaker, it has started already. This is a serious subject, and what we get is laughing and guffawing from the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie). He really should show some respect and grow up The SNP is calling on the Government immediately to extend the Brexit transition period while we navigate the unprecedented health and economic crisis we currently face. The European Union has expressed its ongoing openness to extending the transition period for negotiations, and the UK Government now need to accept that offer. The Government will claim that this opportunity ended at the end of June, but we are dealing with realpolitik here. We know that while we are still in the transition period this House can legislate for an extension and the European Union would recognise the mutual benefit. It simply requires political will and leadership The Scottish Government have set out their position in "COVID-19: The Case for Extending the Brexit Transition Period", which sets out why it is vital, if we are to ensure the most rapid recovery possible from the covid-19 crisis, that the UK must immediately seek an extension to the Brexit transition period for two years. We are in unprecedented times: a health pandemic, an economic crisis, and the real threat of a second wave of covid-19 later this year. Now is the moment for the UK Government to recognise reality and to reconsider their position The United Kingdom is facing an unprecedented economic crisis. The Office for Budget Responsibility and the Bank of England have published various scenarios in which GDP falls by as much as 13% to 14% this year, which would be the largest decline in economic output in 300 years. By comparison, the most recent largest single-year fall in GDP was 4.2% on the back of the financial crisis in 2009. This overshadows anything that any of us we will ever face. At least 1 million jobs have already gone, and many more will go when the Government end the furlough scheme, which is needed as a bridge to secure employment until recovery takes hold. Indeed, we know from the Office for Budget Responsibility that close to 2 million of those on the furlough scheme could face unemployment. Just dwell on that: the threat of unemployment in the UK could perhaps increase to as many as 4 million people. Just dwell on the human misery—the families struggling to make ends meet and pay their bills; a sharp rise in poverty, and the human cost of that for families and their children. That is why a stimulus package is required to build confidence and get folk back to work.