European Union (Withdrawal) Act — House of Commons, 2019-01-10
Topic: International Affairs
Rebecca Long-Bailey (Labour, Centre-left): We have heard more than 50 impassioned speeches today from both sides of the House, from Perth to Don Valley, from Cheltenham to Walsall and from Tottenham to Ceredigion. I will not attempt to reference every single speech as I certainly would not do them justice, but it is clear that all Members who have spoken recognise the weight of responsibility on their shoulders—the critical decision that they must make to support their communities What also became clear from today’s contributions is that the Prime Minister’s deal has not found consensus in this House. The Secretary of State for Environment, Food and Rural Affairs began by stating that we should not let the perfect be the enemy of the good. Well, this deal is significantly deficient in qualifying for the presumption in this well-known quotation. This deal is simply not good. It does not work for business and industry, it does not work for working people and it does not work for our environment. In fact, as we have been sitting here today, the former head of MI6 is reported to have told the Government that it threatens national security The withdrawal agreement and the outline political declaration will not ensure the relationship with the European Union needed for UK businesses to operate unhindered post Brexit. The Business, Energy and Industrial Strategy Committee has already stated that "no business that we have taken evidence from held the view that—from an industry perspective—the Withdrawal Agreement and Political Declaration provide a deal as good as the one we already have with the EU" For instance, in the likely backstop scenario, the withdrawal agreement does not provide for a customs union as we enjoy now. As the Institute for Public Policy Research said, it provides for a "bare-bones customs union", meaning that it does not cover areas such as services, trade or public procurement, and it certainly does not provide for frictionless trade between the UK and the EU. Specifically, it will not address non-tariff barriers such as VAT and product regulation checks, which will have a significant impact on industries such as car production and pharmaceuticals—sectors that are essential to our industrial strategy. Indeed, the Attorney General’s advice confirmed this, stating that, during the backstop, "Great Britain will no longer be a member of the EU’s Single Market for Goods or the EU’s customs arrangements. This means that any GB goods crossing the border into the EU will be subject to third country checks by Member State authorities" Let me turn to the outline political declaration, which is hardly worth the paper it is written on, quite frankly. It includes phrases such as "explore the possibility". But even if the aspirations listed there were implemented, that would not guarantee frictionless trade. In the best-case scenario, there will be barriers to trade in goods and market access for services will be reduced. That is a fact As the IPPR also summarised, "there will be significant barriers to trade in services between the UK and the EU. UK firms will only have EU market access under host state rules and will lose the benefits of single market treatment…Under these plans, we should therefore expect significant new non-tariff barriers in goods, particularly in heavily regulated sectors such as chemicals and pharmaceuticals." Clearly, this is not a good deal for UK business as the Prime Minister keeps alleging. The fact that we are still discussing it today—two months since its inadequacy was revealed before Christmas—rather than negotiating a better deal is harming businesses in the here and now. It takes only a quick Google search to see that businesses up and down the country are already delaying investment, implementing mitigation plans and, in some cases, cutting jobs and moving operations Significant manufacturers such as Bombardier, Rolls-Royce and Cobham have applied to come under the jurisdiction of regulators in other EU countries, and this week Aston Martin triggered its contingency plans—at an accumulating cost, according to its chief executive. Indeed, as we have been sat here today, Honda has announced that it is doing the same and implementing its contingency plans I am sure that the Secretary of State will quote some of the business organisations that have cautiously welcomed the Prime Minister’s deal, but I gently say to him that they are doing so with a gun held to their head. They have been presented with a false choice between this deal or no deal by a Government who are recklessly threatening the worst-case scenario and attempting to run down the clock. In fact, it is economic sabotage The will of this House has been clearly expressed. There is virtually no support for no deal, and it would therefore be unthinkable for the Prime Minister to proceed down that road. Indeed, according to media reports this morning, even the Secretary of State himself agrees with this principle. If this is true, political posturing in the media is simply not good enough. Will he assure businesses today that the prospect of no deal will be taken off the table This unambitious deal will not only hinder the UK in terms of trade, but risk a bonfire of the regulations that ensure that high standards are maintained. Members across the House will recognise the strength of feeling that our constituents have on Brexit. However, I can assure you, Mr Speaker—we have heard from many Members on this issue today—that none of them voted for the watering down of workers’ hard-won rights after we leave the EU. Unfortunately, however, despite assurances from the Prime Minister that "existing workers’ legal rights will continue to be guaranteed in law", the TUC’s verdict is that the deal "doesn’t guarantee jobs or rights at work into the future." Indeed, Thompsons Solicitors has stated that the so-called non-regression clause in the political declaration will be "ineffective" in maintaining workers’ rights, and the IPPR has stated that it is not sufficient to maintain current protections, individuals cannot even bring about proceedings and if the EU raises standards, the UK is permitted to simply fall behind Indeed, attempting to use all parliamentary levers to mitigate against—