European Union (Notification of Withdrawal) Bill — House of Lords, 2017-03-01
Topic: International Affairs
Dianne Hayter (Labour, Centre-left): My Lords, Amendment 21 would underpin the involvement of devolved Administrations in the Brexit process. It would both formalise and strengthen the arrangements that the Government have already put in place through the joint ministerial committee, whose terms of reference commit the Government to seek to reach consensus on their negotiating position with the devolved Administrations. The amendment does not ask for the Government to do anything more than they have already undertaken other than to report on what is going on to Parliament, but we need it in the Bill, not least because the undertakings given by the Government have already been honoured more in the breach than in the observance Neither the content of the Prime Minister’s Lancaster House speech nor the White Paper was discussed at the JMC; indeed, the devolved Administrations were given virtually no notice that either was imminent. This is particularly regrettable given that the Prime Minister convened a full JMC at heads of government level on 30 January, just three days before the White Paper. The gentle encouragement and legal requirement in the amendment are, therefore, needed Amendment 21 also requires Ministers to consult the devolved Administrations on any agreement, both on our exit from and on our future relationships with the EU, and to report on such discussions. That is the least that this House would expect before we form our own view of those agreements. As the Supreme Court recognised in the Miller case, leaving the European Union has profound implications for the devolved Administrations, because they have direct responsibility for some of the areas—such as agriculture, fisheries, the environment and economic development—that are most regulated or influenced by the EU This has been explored helpfully in relation to the environment by our Select Committee on the EU in its thoughtful report Brexit: Environment and Climate Change, which devoted a whole chapter to devolution. While acknowledging Andrea Leadsom’s admission that, in relation to the great repeal Bill, perhaps a third of the environmental regulations will not be easy to transpose, our committee considered that, in the absence of an overarching EU framework, the four parts of the UK could see considerable divergences in their environmental law. As we know, rivers flow, winds blow and the sea covers many shores, so it will be essential that the Government’s negotiations in this area are completely harmonised with the thinking in the devolved Administrations Furthermore, changes relating to non-devolved policies will have huge significance for devolved Administrations, particularly if the Government whisks the UK out of the customs union. Needless to say, any such decision could threaten the open border in Ireland, as we discussed on Monday. With the UK Government free to develop their own trade policy, that could undermine key policies of the devolved Administrations. As the Welsh Cabinet Secretary for Environment and Rural Affairs pointed out, a free trade agreement with New Zealand that permitted tariff-free imports of lamb could completely undermine Welsh hill farming and, with it, the environmental well-being of the Welsh uplands. I just realised that I lost my daffodil, today of all days This modest amendment, asking the Government to commit to consult the devolved Administrations and report on that, is wholly in the spirit of the Sewel convention, which requires Parliament to consult those bodies on legislation that affects their competences. I understand from the somewhat weasel words of the White Paper that the Government believe that they should take powers currently exercised by the Commission to themselves over areas that are wholly devolved, such as agriculture and environment. Needless to say, that would be absolutely unacceptable to the Scottish and Welsh Governments, as well as inconsistent with devolution legislation, because that qualifies the devolved legislatures’ freedom to act only by requiring them to do nothing that conflicts with EU legislation. Clearly, that is going to be meaningless post our exit from the EU This was recognised by the Supreme Court, which said: "The removal of the EU constraints on withdrawal … will alter the competences of the devolved institutions unless new legislative constraints are introduced. In the absence of such new restraints, withdrawal from the EU will enhance the devolved competence" Should the Government, however, wish to introduce such constraints, this could provoke—as it was kindly called in one of the meetings that I went to—a constitutional fracas, which we can ill afford just when Brexit provides the most significant political challenge in a generation The White Paper Securing Wales’ Future, issued jointly by the Labour-led Welsh Government, which includes the Liberal Democrat from my home seat of Brecon and Radnor, and Plaid Cymru, sets out an alternative, which would both preserve the devolution settlement and recognise legitimate concerns about potential market distortions if each part of the UK acts independently on things such as farm subsidies, emissions or pollution once they are no longer regulated by the EU. The Welsh White Paper argues for a new set of constitutional arrangements based on voluntary agreements in devolved areas between all four Governments, supported by independent arbitration. There would be similar structures for the non-devolved issues such as trade agreements and state aid, which have major implications for devolved polices We on this side have not had time to consider these matters in detail, but the Government should now turn their attention to them. Amendment 21 therefore suggests joint ministerial committees only as one vehicle. Another constitutional settlement looks to be necessary and there may be another way forward. I urge the Government both to prove that they are earnest in their commitment to working with the devolved Administrations on the many complex issues and to look forward to how in future they can all work together. I beg to move.