Brexit: Sanctions Policy (European Union Committee Report) — House of Lords, 2018-05-03
Topic: International Affairs
Tariq Ahmad (Conservative, Centre-right): The noble Lord is right to raise the issue of technology. A direct response to that is that when you look at some of the issues, specifically on security, cyber security perhaps poses one of the biggest challenges that we are now confronting. The National Cyber Security Centre, which is just up the road in Victoria, again demonstrates UK expertise and insight I assure the noble Lord that in leaving the EU we have been able to further strengthen our work not only in the European context but internationally. Indeed, during the Commonwealth summit we announced an additional £15 million in support of cybersecurity assessments for various Commonwealth states. The noble Lord shakes his head but I do not agree with him. The position that we are setting out during the Brexit negotiations is one of co-operation and working together where our needs align with the EU, but at the same time looking at the broader world, the global challenges that we are facing and our position through the different international bodies that I have alluded to. On the question of technology, if the noble Lord has not yet visited the National Cyber Security Centre then perhaps he should, and he will see that it is a world-class outfit that again demonstrates British leadership on what I agree is an important issue I assure noble Lords that we have a long-established reputation for playing our part in developing strong, credible and lawful EU sanctions, and we have a range of assets that will continue to make us an attractive partner for the EU on sanctions policy. This includes the strong public and private sector expertise, with significant resources devoted to sanctions across government—again, I refer to the City of London—as well as a world-class legal system and well-respected think tanks. These are all important assets that we have As I mentioned earlier, our influence on international sanctions is not limited to our role at the EU. Roughly half the sanctions regimes currently in force contain UN Security Council measures. We are a permanent member of this important body and will continue to play a leading role in developing global sanctions. Given this, we believe we will remain one of the leading sanctions players after we leave the EU My noble friends Lady Verma and Lord Risby referred to the important issue of the implementation period. As I have said, we envisage close co-ordination with the EU on sanctions as part of our future relationship with the EU. The Prime Minister has already mentioned this specifically in her Munich speech. The details of the mechanisms to enable co-operation during the implementation period are still very much subject to negotiations but I assure noble Lords that we will seek a co-ordinated approach on sanctions before decisions are made My noble friend asked, as did the noble Lord, Lord Taverne, about the issue of the UK/EU relationship on common foreign and security policy. At the March European Council the UK agreed arrangements with the EU for how common foreign and security policy would work during the implementation period. This included an agreement covering our future relationship on the CFSP, and the CSDP would come into effect during the implementation period. The UK hopes to begin discussions on our future relationship very soon I shall refer also to the sanctions Bill. When we leave the EU, we will of course need powers to design and implement the UK autonomous sanctions regime. The committee referred in its report to the framework contained in the Sanctions and Anti-Money Laundering Bill, which many noble Lords are familiar with; the noble Lord, Lord Collins, talked about that quite specifically. The report raised the concern that the Bill, along with the future economic arrangements between the UK and the EU, could limit the extent to which sanctions co-operation could be put into practice. As noble Lords will be aware, the Bill completed Report and Third Reading in the other place on Tuesday and will return to this House in due course for the consideration of amendments here. Changes have been made to it, and those amendments include making clear that sanctions regulations can be imposed for the purpose of preventing or providing accountability for gross human rights abuses, a point made very well by the noble Lord, Lord Anderson. As the Minister for Human Rights, let me assure him that that is an important addition and recognition which will allow the UK to act against those responsible for serious human rights abuses or violations worldwide. They also include important powers to enforce sanctions on board ships outside UK territorial waters, to strengthen our efforts to counter the transportation of dangerous and harmful goods and technology and the ability to create criminal offences for breaches of sanctions regulations, subject to statutory mechanisms controlling the use of that power As the Bill stands, we are confident that it will not limit appropriate co-ordination with international partners. It was drafted for flexibility. I again commend the positive way in which the Bill progressed through your Lordships’ House. It was drafted to ensure that we can continue to impose sanctions currently implemented through EU law, and that has been improved through the helpful scrutiny of both this House and the other place. If the key provisions of the Bill remain in their current form, we are confident that we can use this framework to co-ordinate effectively with our partners and remain a leader in responsible and smart sanctions policy The noble Lord, Lord Anderson, among others, mentioned the sanctions on Russia and the nature of Russia. As we have seen, they are having an effect on Russian policy. Many noble Lords, including my noble friend Lord Horam, mentioned Iran. Most of the financial and economic sanctions against Iran were indeed lifted following the International Atomic Energy Agency’s verification. There are now far fewer sanctions in place, easing previous restrictions on trade with Iran, and we are clear that the JCPOA is in the UK’s national security interest, that it is working and that we remain committed to it My noble friend Lord Tugendhat also raised the issue of the DPRK. Our latest sanctions on the DPRK build on the tough measures that the UN has passed over the past year. They target significant income streams used by the DPRK to fund both nuclear and ballistic missile programmes. I heard the sentiment of noble Lords across the House: with the challenges that we sometimes have on the world stage, there is a glimmer of hope through the recent meeting of the two Koreas. We hope that those talks, and those with America—the US—progress well My noble friend Lord Horam also mentioned transparency, and he was right to raise the issue of London property. Returning to the sanctions Bill, as he may recall, my noble friend Lord Faulks introduced an amendment and the Government gave a commitment to bring forward a Bill making provision for a UK register containing details of the overseas companies which own property in the UK. We anticipate doing so early in the next parliamentary Session and, as we committed, establishing that register by 2021 To sum up, the Government are deeply grateful for the EU External Affairs Sub-Committee’s report and believe it to be a valuable tool and contribution to the important debate on the UK’s future relationship with the European Union and future foreign policy in general. We are confident that the UK will remain a leading international player on sanctions after we leave the European Union. Let me assure noble Lords that we will continue to work closely on this vital area with our partners in Europe and across the world to advance our foreign policy and national security interests Finally, the report has provided some very useful tools and points of discussion, which I assure your Lordships that the Government continue to consider very carefully. I am once again very grateful to all noble Lords who have contributed to this important debate and assure noble Lords that, as we work through the policy, particularly in this important area of sanctions, we have listened. It is important to get this right and, in this respect, I always welcome both the wisdom and, at times, the wit of your Lordships’ House in ensuring that the Government can work progressively and in co-operation to ensure that the sanctions policy and regime we have in place after we leave the European Union is one that works for everyone.