European Union (Future Relationship) Bill
(Limited Text - Ministerial Extracts only)
Read Full debateWednesday 30th December 2020
(3 years, 3 months ago)
Lords ChamberEuropean Union (Future Relationship) Act 2020 View all European Union (Future Relationship) Act 2020 Debates Read Hansard Text Amendment Paper: Committee of the whole House Amendments as at 30 December 2020 - (30 Dec 2020)
22:57 - Division conducted remotely on Baroness Hayter of Kentish Town’s amendment - Ayes: 213 / Noes: 312 - Baroness Hayter of Kentish Town's amendment disagreed.
23:18 - Division conducted remotely on Lord Newby’s amendment - Ayes: 101 / Noes: 466 - Amendment disagreed.
The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)
My Lords, in moving that the Bill be now read a second time, I want to thank in advance all noble Lords who will speak in today’s debate.
This Bill, which passed its stages in the other place with a substantial majority, will implement the historic trade and co-operation agreement negotiated with the European Union and marks the beginning of a new chapter for our country. This comprehensive Canada-style agreement, worth more than £660 billion, delivers on the commitments made to the British people in the referendum and in last year’s general election. It takes back control of our money, borders, laws and waters, ends any role for the European Court, and protects the Good Friday agreement. It provides certainty for business —from financial services to the life sciences industry, food producers and our world-leading manufacturers, including the car industry—safeguarding highly-skilled jobs and investment across our country.
I am sure that the whole House will join me in thanking our negotiating team, led by my noble friend Lord Frost, for their professionalism, skill and perseverance. Of course, we also pay tribute to President von der Leyen, Michel Barnier and our European friends for the part they have played in ensuring we reached the deal we have today.
This agreement is the beginning of our new relationship with our European neighbours. It is a deal based on friendly co-operation between sovereign equals, centred on free trade and inspired by our shared history, interests and values, while respecting one another’s freedom of action. Crucially, it fully upholds our rights as a sovereign country, meaning we will have political and economic independence to assert global Britain as a liberal, outward-looking force for good.
However, this is not just a free trade agreement; it is much more. This broad and unprecedented settlement reflects our historic, close relationship with our European neighbours. It is a relationship and partnership which will continue, albeit in a new form, once the transition period ends tomorrow.
I know the strength of feeling across this House when it comes to this subject. For decades, this House and its work have played a pivotal role in forging our relationship with our European neighbours and allies. While this workload may have increased since 2016, the quality has never been diluted, and your Lordships’ commitment and focus in scrutinising the 17 Brexit Bills we have enacted over the past four and a half years have been unwavering. In particular, I pay tribute to the EU Select Committee and its sub-committees for the work they have carried out on behalf of the whole House since the referendum. The committees have published in excess of 70 reports, thanks to the efforts of their members, staff, clerks and legal advisers. The scrutiny of this House has been better for their work and dedication.
As Leader of this House throughout this often difficult and turbulent time, I want to thank noble Lords from across the House for their commitment and dedication to our important role during this long and, at times, frustrating process. I hope that, with consideration of this Bill, the House can close this particular chapter and look forward to opening a new one which focuses on our new domestic and international agendas as we move on to build a great future for our four nations.
The transition period will end at 11 pm tomorrow. I know that Members across the House will want to ensure that the legislation that gives effect to the treaty is in place so that people and businesses can rely on it. We will provisionally apply the agreement from 1 January, but we still need to have legislation in place for provisional application and implementation to happen, and to ensure that we can ratify the agreements.
I now turn to the contents of the Bill. Part 1 implements the relevant provisions of the agreement that will protect our citizens and continues our long-standing commitment to joint co-operation on security matters. The Government have negotiated a comprehensive package of operational capabilities that ensure that we can work with counterparts across Europe to tackle serious crime and terrorism. Among a series of security measures, the agreement facilitates the continued transfer of passenger name record data from the EU, exchange of data via the Prüm system and streamlined extradition arrangements based on the EU’s surrender agreement with Norway and Iceland. This is the first agreement of its kind that the EU has negotiated with a non-Schengen third country, and it means that our security and border agencies will be able to continue working with our EU neighbours to protect the British public.
Part 2 of the Bill addresses trade and other matters, implementing arrangements to keep goods flowing in and out of our country. This deal maintains zero tariffs and zero quotas on trade in goods between the UK and the EU—the first time the EU has ever agreed to complete tariff-free and quota-free access in an FTA. The Bill provides for streamlined customs arrangements, including recognising our respective trusted trader schemes. The schedule on technical barriers to trade means that our exporters will not face unnecessary obstacles or discriminatory regulatory regimes.
The Bill implements our deal for UK hauliers as well as bus and coach companies that can continue to operate to, through and within the EU, making sure that critical cross-border services can continue to operate on the island of Ireland. These passenger transport provisions give people the freedom to travel to and from the EU easily for work, holidays and to visit loved ones.
We have also agreed a comprehensive protocol on social security co-ordination that is unmatched by any other between the EU and a third country. This agreement will ensure that UK nationals have a range of social security cover when working and living in the EU, including access to an uprated pension and extensive healthcare arrangements. The Bill gives effect to these provisions.
The Bill also gives effect to an unprecedented agreement reached on energy trading and Euratom, and reasserts our shared priority of tackling climate change through sources such as solar and wind. The measures that I have outlined demonstrate that this historic agreement is wide ranging and designed to provide certainty to our citizens, businesses and hauliers through trade, tax and transport measures.
The Bill also makes other arrangements that are related to our agreement with the EU but not directly related to its implementation.
The United Kingdom’s commitment to protecting the Belfast/Good Friday agreement in all respects is unwavering. That is why this Bill will enshrine funding to the Peace Plus programme to promote peace, reconciliation and economic development in Northern Ireland and the border region of Ireland.
Part 3 of the Bill ensures that we can meet our legal obligations under the agreements, including those emanating from the governance architecture they contain. The House will understand the significance of the fact that the basis of this agreement is not EU law but international law. EU law will no longer have any special status in the UK, nor is there any direct effect of this agreement in UK domestic law. Crucially, the Court of Justice of the European Union will have no jurisdiction, delivering on one of our core objectives in the negotiations.
In the agreement, we have made reciprocal commitments to high-level principles but not to common laws, and we will retain flexibility to tailor our approach for the United Kingdom. These are fair and balanced measures, which ensure that there is no constraint on either side’s autonomy and sovereignty. Our Parliament will regain its freedom to make or unmake law as it sees fit. We shall begin by fulfilling our manifesto promise to maintain the highest standards of labour and environmental regulation.
A significant agreement has been achieved for our fisheries industry, although this is not included in the Bill. For the first time in nearly 50 years, our country will be free to decide who can access our waters and on what terms. There will be an adjustment period of five and a half years during which the UK’s share of fish in our waters will rise from over half today to around two-thirds. After this adjustment period, any access by non-UK vessels to fish in UK waters will be a matter for annual negotiations, with no automatic access granted to the UK exclusive economic zone.
The Government are committed to upholding the Sewel convention. We have sought legislative consent Motions from each of the devolved legislatures where necessary for the Bill. My right honourable friend the Chancellor of the Duchy of Lancaster has sought consent from each of the Administrations, and we look forward to receiving their responses. My noble friend Lord True will update the House with any developments in his closing speech.
This Bill delivers what the British public voted for in last year’s general election and the referendum, and marks the start of a new chapter—one where we can take advantage of freedoms outside the EU to boost our efforts to level up opportunity; reform our approach to support farmers and improve the environment; encourage new, innovative sectors to develop; strike trade deals; and play a leading role on the world stage.
For these reasons and many more, I beg to move.
Amendment to the Motion
The Minister of State, Cabinet Office (Lord True) (Con)
My Lords, when you have been sitting for seven hours in the same place, you begin to learn how old you are. I thank the noble Lord opposite for his kind remarks at the start and I appreciate his engagement. I also appreciated the preamble to his speech about looking to the future. Unfortunately, most of the rest of his speech seemed a lament that we still do not have more Europe than the public have voted for. As for the Liberal Democrats, I must say that, at a time of national gloom, their unremitting pessimism throughout the debate represents a clear and present danger to the national weal.
In opening, I declare my interest, as ever, as a long-term resident of Italy. As a European, I affirm the abiding genius of the diverse nations and cultures of Europe, inside the EU and out: Proust and Dostoevsky, Goethe and Ibsen, Dante and Shakespeare—all part of a glorious common European culture that we must cherish and never allow, in this age of political correctness, to be washed out of our minds. There was good news this morning, and we celebrate the achievements and genius of scientists born in Hungary, Britain and Germany —again, part of our great European scientific tradition.
I agree with those who say that we will always be European, but the genius of Europe and the United Kingdom did not spring from any international institution. However sad some are at leaving that institution—we heard a lot about it today—will that genius be dimmed after we leave the EU? I believe a great future lies before this country, as some noble Lords who spoke today told us with confidence and pride.
I thank all noble Lords who have taken part in the debate today—125 of them. I counted them all in and counted them all out with, I regret, the exception of the noble Lord, Lord Alderdice, to whom I apologise. It is quite difficult to bolt down a plate of fish and chips in 10 minutes, but I am sorry I missed his speech. There were exceptions. The noble Lord, Lord Hannay of Chiswick, was scarcely rapturous in his reaction, but I welcomed the overall tone set at the start by the noble and learned Lord, Lord Judge. The noble Lord, Lord Butler of Brockwell, the noble Earl, Lord Kinnoull, and many other noble Lords said, as did the noble and learned Lord, Lord Falconer, at the end, that it was time to move on. Many of those who had set themselves against Brexit recognised that but, none the less, there was clear opposition and anger from the Liberal Democrat Benches and a deep undertone of hostility from Labour.
As we close the book on our membership of the EU, 57 years after de Gaulle’s first veto—which I remember watching on black and white television—we can truly say that this was a historic debate. I know that more wish to have taken part, to have spoken for longer or to have had more time to scrutinise the agreement. I recognise that abiding theme of the debate. On a night like this, the House should have been full and the air ringing with challenge and counterchallenge, with conflict across the House, which forges common parliamentary wisdom. We all long for that day to return.
That the Lords of Magna Carta look down on a House so empty is not the Government’s choice, nor is the timing of this debate and Bill on the day before the end of the transition. It was not the United Kingdom’s choice that the negotiations ran so long and late, but who is to say that my right honourable friend the Prime Minister was wrong to go so long and aim so high, when the prize is so great: a historic Canada-style deal with the EU, worth over £650 billion to the United Kingdom, containing zero tariffs and quotas—the first such trade deal that the EU has ever entered into with an independent country?
I pay tribute to my noble friend Lord Frost and his team for their brilliance in the negotiation. As almost all said—with the notable exception of the noble Lord, Lord Kerr of Kinlochard—they were outstanding in ways that many said were impossible. They broke through barriers in the talks with a sonic boom that scattered the naysayers and doubters. There are some, including the Front Bench opposite, who say that it was not necessary to act today. We could have dithered and dallied; we could have acted provisionally. “Never now” and “not yet”, they say, but who is to say that my right honourable friend the Prime Minister was wrong to act so decisively, when the prize that he has won is ending the transition period with a deal implementing our future relationship, providing that much-needed certainty to citizens and businesses across the United Kingdom, for which your Lordships have rightly asked for so long? The deal agreed with the EU means that we have achieved what the British people twice demanded.
This deal is based on friendly co-operation between sovereign equals, centred on free trade and shared values: a new partnership that builds on our common bonds of friendship and co-operation—but, as I say, as sovereign equals, with a clear, independent voice for Britain to speak and act in the world on the things that matter to us. I say to my noble friend Lady McIntosh that we are not entering a deal to terminate it; termination clauses are standard in trade agreements. The Bill ensures that our goods and services can continue to flow to the European Union, but also that our businesses can prosper mightily outside the EU by enabling them to trade freely, widely and ever more widely across the world and in the fastest-growing corners of the world.
Many questions have quite properly been raised in the debate. As your Lordships’ Constitution Committee has said, the pace of passage will no doubt call for considerable ongoing scrutiny—as, frankly, what EU treaty ever signed might not have? The Government will co-operate with that and we are carefully considering what scrutiny processes should be put in place to assist it. I give an assurance to the noble Earl, Lord Kinnoull, that the Government will work with his committee. I share the tribute paid by the Leader of the House to the work of the noble Earl and the European committees of this House.
The noble and learned Lord, Lord Falconer, said that it was not necessary to act. But the UK and the EU need to exchange notification of completion of procedures for provisional application early on 31 December. This exchange cannot be done until the Bill has received Royal Assent, as the passing of legislation is a necessary procedure for provisional application.
I was asked about security. The EU was never ready to allow us access to SIS II. That was not a matter of ECJ jurisdiction. However, as the noble Lord, Lord Hogan-Howe, reminded us, we have reached a far-reaching agreement to protect the British public in areas including evidence, extradition and the sharing of passenger and criminal records data. Control of our borders will enhance our security, allowing the UK to remain safe and secure. The Bill gives us the tools to achieve this.
I was asked about Northern Ireland. I acknowledge that the terms of the Northern Ireland protocol mean that the position of Northern Ireland is not as the rest of our kingdom. But we will guarantee unfettered access for Northern Ireland goods. This deal means that there will be no tariffs on UK goods destined for Northern Ireland. Ulster and its businesses will be able to benefit from the free trade deals that we strike across the world, and the long-term future of the protocol rests on the democratic consent of the people of Northern Ireland.
I was asked about impact assessments. The Government’s number one priority must be to pass this implementing legislation before the end of the transition period, to ensure certainty and clarity for businesses and citizens alike. Of course the Government recognise the value of conducting impact assessments in normal circumstances but, in light of the tight turnaround time to introduce and pass the Bill following the agreement on Christmas Eve, we did not consider it feasible to produce an impact assessment this week in advance of the Bill being introduced. The Government will of course continue to produce impact assessments for relevant future secondary legislation in the usual way.
I was asked about financial services. This agreement provides a stable foundation for us to develop our future relationship with the EU and facilitate new arrangements to promote international financial services trade. In addition to the trade negotiations, both sides are carrying out equivalence assessments. Equivalence is an autonomous mechanism by which one jurisdiction can recognise relevant standards in another.
Leaving the EU means that the Government now have full control over the UK’s legal and regulatory regime and, as my noble friend Lord Trenchard noted, it can make the best decisions about what is right for the United Kingdom and for one of its most productive and innovative sectors. We have agreed a joint declaration on regulatory co-operation that sets out our intention to address shared challenges by discussion, information exchange and wider co-operation.
I was asked about Gibraltar and the overseas territories. Although an agreement has not yet been reached on Gibraltar’s future relationship with the EU in line with the conclusion of the UK-EU deal, we are fully committed to continuing to work together with the Governments of Gibraltar and Spain to reach a political agreement as soon as practicable. Continuing to work together with Spain and the EU to mitigate the effects of the end of the transition period on Gibraltar and ensure the well-being and prosperity of people in the region is an absolute priority for the Government. This includes ensuring border fluidity, which is in all parties’ best interests. The UK has always been, and will remain, steadfast in our support for Gibraltar.
I was asked about data adequacy. The UK will regain full autonomy over its data protection rules from 1 January. Regrettably, the EU left too little time to ratify data adequacy decisions by the end of the year. We have therefore agreed a bridging mechanism for no more than six months. It will allow personal data to flow as it does now while EU adequacy decisions are adopted. We are confident of the outcome and do not expect the bridging mechanism to be in place for more than four months.
I was asked about Erasmus. I recognise the attachment of many to this programme, and I can confirm that we will stay in EU programmes such as Horizon Europe and Copernicus. But we consistently said that we would join Erasmus only if it was in line with UK interests and if we could agree fair terms for participation. Ultimately, the EU could not meet those objectives, and we do not consider participation to be in the interests of the United Kingdom. As has been announced, we will therefore proceed with our own UK-wide programme. This will be a scheme that is global in outlook—not limited to the EU—and focuses on UK priorities, such as supporting social mobility. The Turing scheme will be backed by over £100 million, providing funding for around 35,000 students in universities, colleges and schools to go on placements and exchanges overseas, starting in September 2021. Under the withdrawal agreement, the UK will continue to participate fully in the current Erasmus+ and European Solidarity Corps programmes.
I was asked about fishing. As a descendant of fisher folk, I share the attachment of so many to this harsh and often heroic calling. The deal that we have, backed by £100 million of investment to rebuild our industry, might not be as swift as some would wish, although it is much swifter than the EU wanted, but it points the way to growth after years of foreign control and ends the injustice of the CFP. From day one, the UK will again be an independent coastal state and manager of our own waters.
I was asked about the so-called level playing field. There is no dynamic alignment, no role for the ECJ and no block on our divergence from the acquis, although we freely aim for the highest standards on the environment and in the workplace. I, for one, look forward to an end to the cruel export of live animals, which has been protected by Brussels for far too long.
I was asked about the devolved institutions. The UK Government respect the devolution settlements and we are committed to working with the devolved Administrations on implementation of the agreements. I must report that we were disappointed to hear today that the Scottish Parliament voted against granting legislative consent and that the Northern Ireland Assembly carried a Motion amendment that called, among other things, for the Assembly to decline legislative consent. The Welsh Parliament today voted to note the introduction of the Bill, regretting that it is not in a position to determine legislative consent. We regret the results of those votes. However, the timing is challenging and the Bill must proceed so that the UK can meet its international obligations to implement the agreements by 31 December and ensure that all parts of the UK can benefit from their excellent terms.
I was asked about musicians. The UK pushed for a more ambitious agreement with the European Union on the temporary movement of business travellers that would have covered musicians and others, but our proposals were rejected by the European Union. However, I have obviously heard the remarks made by many noble Lords in the debate.
We will have a further full debate next Friday, when I understand that the House of Commons will be somewhere else, to engage again with these and other detailed questions. I have no doubts that there will be many other occasions. I will welcome that scrutiny, as I know my ministerial colleagues will. But I plead with your Lordships in your wisdom not to impede the Bill, which will answer the expectations of the majority of our countrymen and countrywomen, as is our duty.
I was surprised to read in the name of the Official Opposition not the simple word “yes” that the British people voted for in last December’s election, but 151 words of mudge and fudge, grumble and mumble. The noble Baroness opposite, as always, spoke with great grace and from a personal position that I deeply respect and understand, but I am afraid that her Motion is not one of a party that sees opportunity for our country. How ironic it is that a European debate that began in 1975 with a referendum aimed to paper over the cracks in a disunited Labour Party should end with this rambling Motion from a disunited Labour Party that is fearful of the future, lacking, as the noble Lord, Lord Howarth of Newport, said, any confidence in the genius of the British people. You cannot lead a nation forward if you have no faith in the path it has chosen.
We are told that this is a “thin” deal at 1,250 pages —too heavy for me to lift up. The Labour Motion condemns bureaucracy and regulation. How many more pages of the bureaucracy and regulation that this Bill enables us to escape form would we need before a deal would be thick enough for the Labour Party? A thicker deal must logically be a closer deal; a thicker deal means more institutional ties, not fewer. Are we to hear a promise next election from Sir Keir Starmer, as some have called for today, to renegotiate us back closer to Brussels? “Get Brexit undone”: is this to be the Labour cry?
Lord True (Con)
The noble Lord, Lord Adonis, is ready to lead the charge. He has always been honest on that. I do not normally give advice to my opponents, but I do not think that that particular trumpet call will bring the blue wall tumbling down in some new miracle of Jericho.
I think that the Labour Party finds itself in a strange position, going one way in a couple of minutes to divide against the deal on Second Reading and then sidling the other way a few minutes later to vote for it on Third Reading. They become more like the Liberal Democrats every day, except that my Liberal Democrat friends have always remained honourably committed to their eccentric belief that Britain’s destiny is as a province of a European super state—although having heard the noble Lord, Lord Newby, say that he will vote for no deal later tonight, I confess I remain a little confused.
I agree with those who say that we should close the book, not keep it open as some noble Lords have said today, on 47 tempestuous years in which the European question bedevilled British politics and confined our horizons—years in which the common market those of us who voted for in 1975 thought we were joining morphed into an ever more constricting would-be single state without the British people ever being asked to give their assent. The British people never agreed to that and when asked in 2016 and in 2019 they said “no”.
The noble Lord, Lord Austin of Dudley, in a remarkable maiden speech—how much I look forward to hearing more from him—recalled something that all too many who have spoken in a negative tone today still seem to have forgotten. Many people—17.4 million and more—brought us to this place tonight. In reclaiming our borders, our laws and our destiny, the true movers are the common man and woman—the extraordinary people of these islands. They were told that they must not break with the EU, but they determined, “Yes, we must.” They were told in Project Fear that they could not break with the EU, that house prices would crash, pensions would be slashed and jobs destroyed. But in that quiet, British way, with 17.4 million pieces of paper pushed purposefully into ballot boxes in village, church and school halls across the land, they said, “Yes, we could.” They were even told after they had voted that in fact they had not known what they were doing, they had not understood what they were doing, and even—the memory of this should shame us all—that they were too stupid to understand. But last December they said again, firmly, “Yes, we had.” I ask your Lordships not to doubt or divide against that firmly expressed wish tonight.
I will not list all those who worked for this outcome, as it is time to draw to a close, but they were not always so many in your Lordships’ House. One of them was my noble friend Lord Cavendish of Furness, whose valedictory speech, so typical in its classical clarity and humanity, we sadly heard tonight. Who will ever forget, however, the rolling of so many eyes, the shaking of heads, the audible sniggers and groans when a few in this House ventured to speak over the last four years of the will of the people? Now let the people’s will finally be done. In saying that, I pay particular tribute to my noble friend Lord Callanan, who led so much enabling legislation through this House, for all he bore and forbore.
But above all, the credit for vindicating the will of the people goes to the grit, guile and negotiating skill of one who has so often been unfairly vilified in this House, and who was vilified again tonight—the Prime Minister, my right honourable friend, right on this great issue of our time, honourable in keeping his promise to get Brexit done, and those of us on this side are proud to call him our friend. With tens of millions of our fellow citizens, we say, “Thank you, Boris. You done good.”
The nature of any compromise is that not everyone gets what they wish for. We have heard this from both sides of the debate. My right honourable friend stuck at it, but he also compromised, and I too pay tribute to the President of the European Commission, Ursula von der Leyen, who played a distinguished role in writing the final chapter of the skilled and dedicated Mr Barnier’s seemingly never-ending roman fleuve. This outcome is good for the UK and it is good for Europe, so let this agreement end the jabbing and parrying that have gone on for too long in Parliament and outside. Let us vote now. I urge all noble Lords to vote positively for the future, for a vote against this Bill, as the Liberal Democrats propose, is a vote for no-deal and for nihilism. A vote for the Labour Motion is a vote to prolong uncertainty—a vote for doubt over hope.
Every lesson of history is that freedom and free trade are the greatest engines of human happiness and prosperity. To turn our backs on the opportunity in the wider world before us would be an act of folly. To embrace it will redeem your Lordships and bring prizes yet untold. This is a Bill for freedom and free trade, for opportunity and control of our country’s own great destiny. Those are ideals which should appeal across all parties and unite all of us, after all the old divides. I have no hesitation in commending it, and commending the future, to this House.
Lord True (Con)
My Lords, many words have been said. It is agreed on all sides, I think, that this should not be the occasion for a renewed debate. I know that the noble Lord, Lord Newby, wishes to press a Division against the passage of the Bill, so the only thing I want to say is to join noble Lords in thanking and paying tribute to the staff and clerks of the House and all those who have made it possible for us to return and have this Sitting.
It may seem odd to do so when a Bill has been with us for such a short time but I must thank the Bill team because, in fact, this Bill has been tracking the negotiations for a long time and people have been engaged in the very difficult task of getting a Bill together in a short time. They deserve our thanks.
With those short thanks, I beg to move.
Amendment to the Motion