Trade Bill — House of Lords, 2020-10-13
Topic: Foreign Trade
Nicholas Trench (Crossbench, Unknown): My Lords, in speaking in strong support of the amendment moved by the noble Lord, Lord Fox, I will concentrate on the work aspect of this amendment, in particular in services and the British industry side of any reciprocal agreement that might be made. I acknowledge also the importance of study One would not think that, as individual groups, lorry drivers and lawyers necessarily have a great deal in common. But they do. They are both part of our huge services industry—our largest sector, providing 80% of the UK’s GDP and, according to the ONS, £95.2 billion-worth of exports to the EU, from the UK, in 2018. Looking back at the debates early last year on the almost identical amendment in the previous incarnation of the Trade Bill, it is clear that little has really changed in terms of the arguments that need to be made, or indeed with the extent to which the Government have addressed, or rather not addressed, the concerns of the sector. What has changed are the circumstances of Brexit, so that, if anything, the need for a mobility framework as 2021 rapidly approaches has become even more urgent Services depend inherently on a mobility framework. As our closest customer geographically, Europe is hugely important as a market and always will be. Yes, we can try to develop our services trade elsewhere, but putting impediments on our trade with Europe will inevitably result in a significant net loss when that trade starts to fall off, as indeed it has already as a result of a future mobility framework not already being in place—and this effect was observable before Covid. It should not be a case of either European or global trade, although that is sometimes the impression given. If anything, there is an argument that causing such impediments with Europe will detrimentally affect such trade with the rest of the world, such are the connections between countries and blocs of countries globally The loss of free movement on 1 January 2021 will directly impact on the effectiveness of this sector and consequently on the livelihoods of its many and various services providers, including IT, engineering, aviation, translation, and creative services. Many of these workers are self-employed and resident in both the UK and the EU. A survey by British in Europe found that 58% of respondents felt that their livelihoods would be affected by their loss of mobility rights. This finding was backed up for creative services by the Arts Council survey quoted last week on Report of the immigration Bill by the noble Baroness, Lady Bull, which stated that the continuation of short-term mobility was a top priority—even more important than the loss of EU funding The UK-EU cross-border services working group, for whose briefing I am indebted, has identified four key areas of concern for services. The first is GDPR, including the need for an adequacy agreement. The second key area is recognition of professional qualifications. Thirdly, and at the top of the list, are mobility rights and associated concerns, including the right to render services, the right of establishment and the right to travel at a moment’s notice between the UK, EEA countries and Switzerland—including, crucially, movement between Schengen territories. Fourthly, and importantly, there is the confusion and anxiety caused by the lack of an adequately defined single framework, which is increasingly deterring European clients. British workers urgently need these matters resolved and need guidance from the Government, which they are currently not receiving It is curious that the professed desire of the Government is to develop our tech industries, but these concerns have not been addressed and the industry overall has not been consulted. It must be emphasised that, in normal circumstances, on-site presence is an integral aspect of the services sector. In an earlier debate, I quoted an IT worker saying, "We freelancers export ourselves." Creative services, particularly the performing arts, necessitate a mobility framework, because touring above all is such an integral aspect of that work. Among the raft of concerns, industries such as the performing arts and media and events, share the concern about the need to move equipment across borders, again at a moment’s notice. In other industries, we should also not forget the servitisation component of manufacturing As Committee has made clear, trade is not just about trade; it is about the policies that define it and the effects it may have, such as on people’s health and the environment. It is also—and this is particularly true about services—about other things in a more integral way, such as cultural exchange and soft power. The ambassadorial aspect of these industries is something that we are in great danger of sacrificing. Such aspects of services, apart from the financial worth, are both essential and invaluable, and will depend on an effective and appropriate framework.