(2 years, 11 months ago)
Lords ChamberMy Lords, I was very taken with the suggestion made by the noble Lord, Lord Kerr, that there should be a division between those who came here to work and those who received a peerage as an honour. Indeed, it reminded me of something the late Lord Weatherill said to me many years ago. He said that the trouble with this House was that it was never decided whether it was an honour or a job. I think that remains true, unfortunately. I certainly regard it as both an honour and a job, and this is why it is important that we have a commission set up on a statutory basis to look more closely at the suitability of candidates, particularly their willingness and ability to work. That should be a dominant and key theme when anybody is looking at a potential candidate to come to this place. We do not want those who just enjoy the honour but do not do any of the work.
It is also extremely important, and a great possibility of the commission, to widen the spread geographically. There is sometimes a thought that too many people come from the south-east, but I think that overlooks the fact that many people have come from different parts of the United Kingdom and settled here in the south-east because of—what should we call it?—the gravitational pull. None the less, it would be a wonderful opportunity for the commission to look at the further reaches of the kingdom—Scotland, Wales and Northern Ireland, and the far-flung parts—and so get a better balance. This would be a particularly helpful way of proceeding.
I am conscious of the time, so any further remarks will remain with me.
(3 years, 1 month ago)
Lords ChamberI understand that the noble Baroness, Lady Young of Old Scone, has withdrawn, so I now call the noble Baroness, Lady Ludford.
My Lords, when granting the data adequacy decision, the European Commission imposed a four-year sunset clause over fears of UK divergence from GDPR standards, especially in transfers of data to third countries. The Government are none the less forging ahead with international agreements on data transfers such as with the US, the trans-Pacific partnership and Asian countries. Their recent digital policy paper envisaged the Information Commissioner having a key role in communicating the benefits of data sharing—there was me thinking that the Information Commissioner’s role was to safeguard privacy rights. Have the Government done an assessment on the dangers that their data policies could pose to the adequacy decision?
My Lords, the noble Baroness is a little over-pessimistic about where things stand at the moment. The latest trade figures, which came out last week, show that our exports to the EU are now well above the average levels of last year and are almost at the levels of 2019 and 2018. Our business has done a great job in dealing with that. I have never sought to hide the fact that leaving a customs union creates new barriers. I am very happy to see that our businesses are dealing with them very successfully. They are different in nature from barriers within a country, and that is the difference between some of the effects that we are seeing with our exports to the rest of the European Union and the chilling effect on trade within the United Kingdom because of the way that boundaries currently operate.
My Lords, the time allowed for this Question has elapsed.
(3 years, 3 months ago)
Lords ChamberAgain, my Lords, as set out in the Statement and in my response, equality issues are considered and they are being considered in the scope of the review, as are the specific interests of the performing and arts sector. The noble Baroness will know that my right honourable friend the Chancellor of the Duchy of Lancaster and other members of the Government have met those in those sectors. We will of course reflect on the consideration that the noble Baroness puts forward.
My Lords, for once, all supplementary questions have been asked.
(3 years, 3 months ago)
Lords ChamberMy Lords, the question of support for business in this new environment is being taken forward by a large number of government departments, at all levels. We have a good dialogue with the member state customs authorities that we deal with, and implementation is going forward in a very pragmatic fashion. I expect that, at the Partnership Council, practical difficulties of the kind the noble Lord mentioned will be very much on the agenda when we meet for the first time, and going forward.
My Lords, the time allowed for this Question has elapsed; apologies to those who were not called.
(3 years, 3 months ago)
Lords ChamberMy Lords, as I have noted, the situation in Northern Ireland has complex roots and it is important that all those engaging and dealing with it do so with the intention of supporting the Belfast/Good Friday agreement. My right honourable friend the Secretary of State for Northern Ireland is of course engaging with all parties in the current situation and will continue to do so.
My Lords, the time allowed for this Question has elapsed. I again apologise to those not called.
(3 years, 3 months ago)
Lords ChamberMy Lords, I am aware that officials from my department are in discussion with officials from the noble Lord’s committee. Our intention is that our proposals for scrutiny arrangements for the partnership council will mirror those for the Withdrawal Agreement Joint Committee as far as possible. This includes routine oral and written updates to committees, ministerial Written Statements before and after meetings, and the sharing of provisional agendas. We will also share meeting agendas for the specialised committees. Of course, this is a broad agreement, and many Ministers and committees will be involved in its scrutiny. We wish to take that forward in the most constructive way possible.
My Lords, the time allowed for this Question has elapsed. Apologies to those noble Lords still waiting.
(3 years, 4 months ago)
Lords ChamberWe now come to the group consisting of Amendment 14A. Anyone wishing to press this amendment to a Division must make that clear in debate.
Amendment 14A
I understand that the noble Lord, Lord Stevenson of Balmacara, has withdrawn, so I call the noble Baroness, Lady Kramer.
My Lords, we do not oppose this amendment, particularly as we have the safeguard of the GDPR in place. However, I want to make one comment. One of our major frustrations with the regulator is how slow it has been to pick up on issues—how much information seems to have come its way that there is wrongdoing, yet all its actions seem to be delayed. We went through example after example of that in Grand Committee, Blackmore and London Capital being just two of the latest examples, and I think I have even missed two more scandals that have occurred in the last couple of weeks. I hope there are some other ways in which we can put pressure on the regulator to act and to do so in a more timely manner, and that it will not see this extension as an opportunity to relax and allow more time to pass before it begins to take action when it is needed.
My Lords, Amendment 15 is in my name and those of my noble friends Lady Sheehan and Lady Kramer, and I am grateful for their support.
The amendment addresses the issue of the provision of sharia-compliant student finance, of which there is none. Because Islam forbids interest-bearing loans, that prohibition is a barrier to our Muslim students going on to attend our universities. We debated this extensively in Grand Committee so I will not rehearse the arguments in detail, but I will remind the House of the timescale involved.
The problem became clear in 2012 when tuition fees were significantly increased, and it became worse when maintenance grants were replaced by maintenance loans. In 2014, the Government published their report on the consultation that they had undertaken. That consultation had attracted 20,000 respondents, a record at the time. The Government acknowledged that the lack of an alternative financial product to conventional student loans was a matter of major concern to many Muslims. The report also identified a solution: a takaful, a well-known and frequently used non-interest-bearing Muslim financial product. The Government explicitly supported the introduction of such a product.
That was seven years ago. There is still no sharia-compliant student finance available, nor have the Government ever offered a detailed reason for this long delay or indicated when it might come to an end. As I mentioned in Grand Committee, I have repeatedly asked the Government the reasons for this lack of action. I have never had a substantive response. There was no substantive response from the Minister in Grand Committee a month ago and no explanation for the delay nor any indication of a date by which the takaful would be available. There was absolutely no sense of urgency. It was as though the plight of these Muslim students was not really important or worth taking seriously.
I made the point that I had written to the Minister on 4 January this year asking for a report on progress and making some suggestions. There had been no response by then, and there was no response until 5.15 pm yesterday evening, 14 weeks after my email. The Minister of State for Universities apologised for the three-month delay without offering an excuse or an explanation and her reply was completely formulaic, containing no substantive answers. It contained no indication of when sharia-compliant student finance would be available. I was struck by the casual contempt for our Muslim community that this response so clearly signalled—an absurdly unfriendly and unfeeling response with no attempt to reassure or comfort the Muslim community. In fact, if you look at the Government’s record on all this, it is very hard to see it as anything other than discrimination against our Muslim community—not just discrimination but a failure to engage and to explain.
Our amendment would oblige the Government at last to fulfil the promise they made to the Muslim community in 2013. It would oblige the Secretary of State to facilitate the availability of Sharia-compliant financial services for students who are eligible for conventional student finance on equitable terms with students accessing these conventional products, and to do so within six months of the passing of this Act so that the next Muslim student cohort did not have to face a conflict between faith and education.
I very much hope that when the Minister responds he will be able to do better than Minister Donelan. I hope he will be able to tell the House when the Government will introduce the sharia-compliant student financial product. I hope he will set a date that will allow the next cohort of devout young Muslims to go on to university. If the Minister cannot do that—if he cannot say when he will fulfil his Government’s 8 year-old promise to our Muslim community—I will seek to test the opinion of the House. I beg to move.
My Lords, the noble Lord, Lord Stevenson of Balmacara, has withdrawn so I call the noble Baroness, Lady Sheehan.
My Lords, I rise to speak in support of Amendment 15 in my name and those of my noble friends Lord Sharkey and Lady Kramer. I felt it only right and the very least that I could do, as the only Muslim speaking in debates on this Bill, to thank my noble friend Lord Sharkey for his determined resolve to ensure that all students, including devout Muslims, can access finance in order to go to university.
Parents who think that it is haram—forbidden—to take out an interest-bearing loan will try to save money to pay for their children to go to university. This has become inordinately expensive and, in many cases, unachievable now, in these financially straitened times. An important point to raise here is that boys will be favoured over girls when money is tight. Access to sharia-compliant student finance will make it easier for all bright boys, and girls, to access higher education.
I note the 2014 BIS consultation—which, as my noble friend Lord Sharkey said, had a remarkable 20,000 responses—and the subsequent report, which identified takaful as a suitable, frequently used non-interest-bearing sharia-compliant financial product. In its response to the report, the Government accepted its findings and put forward an alternative finance product based on the takaful model, which would, in the interests of equity, be available to everyone. It was designed so that repayment after graduation and debt levels must be identical to those of a traditional loan, with all repayments to be made directly through the UK tax system. In addition, the alternative finance product must be applied for in the same way as a traditional loan, through the Student Loans Company.
That was six and a half years ago. The enabling legislation has been implemented in the Higher Education and Research Act 2017, but, since then, there has been no further action. In the meantime, a sharia-compliant version of Help to Buy took only five or six months to launch, from start to finish—so the delay in offering a similar scheme to students is quite inexplicable. I hope that the Minister will be able to give categoric assurance that there will be no further delay. In the absence of such assurance, I would be pleased to support my noble friend Lord Sharkey, should he seek a Division.
My Lords, we now come to the group beginning with Amendment 24. Anyone wishing to press this or anything else in this group to a Division must make that clear in the debate.
Amendment 24
(3 years, 8 months ago)
Lords ChamberMy Lords, I will speak briefly in support of the eloquent and persuasive speech of my noble friend Lady Finlay in moving the amendment in Motion G1. First, I thank the Minister for his letter of Friday, which makes clear the Government’s wish for a constructive and collaborative relationship with the devolved Governments on state aid control and that the clause does not cut across the power of the devolved Governments to provide state aid or to determine how it is provided; it seeks only to restrict the distortive effects. With those thanks comes one short observation and two questions.
My observation is this: the proposal is very modest and not to the devolved institutions’ liking because, at the end of the period put forward in this amendment, it would nevertheless reserve a matter that the devolved Governments are right in saying is devolved. Of the many strengths of the proposal, it would provide a means for agreeing the regime and ensuring that it does not go forward without any risk of unilateral attack by a devolved institution. Surely the prize of agreement and strengthening the union is worth having.
I now pose my two questions to the Minister. First, the devolution statutes are now all framed based on reserved powers. That means that, if the UK Government have not reserved something, it is devolved. The power to control state aid is not reserved. If it were, these amendments would be unnecessary. This amendment therefore plainly changes the devolved settlements by removing a power that the devolved Governments have and transferring it to the UK Government. In those circumstances, I ask why the UK Government would not work together with them, consult them before the Bill was produced and try to find a common solution to that which I have always accepted as an absolute necessity: a unified state aid control regime. I fear it is an example of Westminster saying that it knows best, rather than working with the devolved Administrations.
Secondly, if the desire was to work together but, at the same time, provide a means of subsidy control, why, when changing the scheme of devolution, was a commitment not made in the Bill to work together with the devolved Administrations to develop the new regime? These questions seek to show that much could have been done to proceed in a way that strengthens the union, for that is the point of these amendments: to ensure that the UK Government work together with the devolved Administrations.
It is therefore necessary to ask the Minister a general question: how serious are the UK Government in their claims that the devolved legislatures and Governments will be fully involved in developing the subsidy regime? There are many important questions, particularly the role of the CMA as an independent regulator and not an adviser to the UK Government. I am grateful to the Minister for his letter and the constructive conversations we have had, but I join the noble Baronesses in asking for these further assurances and hope we receive them.
I have received a request to speak from the noble Lord, Lord Adonis.
My Lords, before I address the specific amendments in the names of the noble Baronesses, Lady Finlay and Lady Bowles, I will make an observation on the ruling from the Deputy Speaker on the previous group, when the noble and learned Lord, Lord Thomas, sought to withdraw his amendment. It directly relates to this because, for all I know, the same might happen in this case, too. I put on record for future discussions the question of why, as is the normal practice of the House, amendments are not the property of the House once they have been moved.
I understand that was the case when, on 26 November, the noble Lord, Lord Woolley, moved his amendment in the ping-pong on the Parliamentary Constituencies Bill. He sought to withdraw it, but other noble Lords were not content that he should and the House then voted on it. I do not understand the difference between what happened on 26 November on the Parliamentary Constituencies Bill and what happened today when the noble and learned Lord sought to withdraw his amendment. I think this is quite an important point about the procedure of the House and whether, on significant issues of this kind, the House, rather than an individual noble Lord, has responsibility for amendments that have been moved.
(3 years, 11 months ago)
Grand CommitteeMy Lords, ever since the referendum, my advice to businesses has been “prepare for no deal”. It has always been far more likely than is generally assumed. However, partly because of the controversial internal market Bill, I am inclined to think that the chances of a deal have now risen. I will explain why.
There are two unusual features about the negotiations between Britain and the EU. One makes them simpler than other free trade negotiations; the other makes them harder. They are simpler because we start where most free trade agreements and negotiations end up after years of haggling. We have zero tariffs and we want zero tariffs; it cannot take more than 10 minutes to negotiate. We have identical or equivalent rules and regulations, and we need to agree only a divergence mechanism: what happens when one side or the other changes their rules from the starting point. Such arrangements exist in most free trade deals and are comparatively straightforward to negotiate.
Why, then, are these negotiations harder than normal free trade agreements? Normal agreements and negotiations are win-win affairs: each side tries to offer concessions that cost it the least but will be of greatest value to the other side. Therefore, a mutually beneficial win-win outcome usually emerges. However, the European Union has an overriding political imperative, which is to discourage other member states from following our example. The EU believes that this means that Britain must be seen to get a bad outcome even if that means that the EU gets a less good result, economically, than was possible.
When one side is more interested in the other side losing than itself gaining, that creates a very unstable negotiating dynamic, which is why no deal has always been a significant possibility and even been used as a threat. However, as we have approached the endgame, it has become clearer to both sides that, although no deal would be a suboptimal outcome, it would not be as painful to the UK as the EU and many in the UK—and, indeed, in this debate—have supposed and that it would be more painful to the EU itself than they or others had initially assumed.
If there is no deal, each side will apply its tariffs to the other. That will cost British exporters to the EU about £5 billion a year. That is half the £10 billion saving from not making a net contribution to the EU any more. Therefore, UK plc will be a net £5 billion better off: small beer, but not negative. By contrast, losing tariff-free entry to the UK market would cost EU exporters £13 billion a year and, of course, the EU will also lose the £10 billion a year that we pay it. Therefore, the EU will be a net £23 billion worse off; again, that is not huge compared with the size of the European economy, but it is more difficult to cope with in these difficult times.
Why do EU exporters stand to lose nearly three times as much from tariffs as British exporters to the EU? It is partly because the EU exports far more to us than we do to it, but the main reason is that the goods that it exports to us are highly protected goods, which it can sell to us only because we are currently prevented by the EU external tariff from buying them more cheaply elsewhere. Therefore, it is the realisation on both sides that no deal, though not the best outcome, is not a disaster for the UK but would be a problem—or a cost—for the EU that has made the latter look to the Northern Ireland protocol for other negotiating levers.
The withdrawal agreement has even more loose ends and internal contradictions than most international agreements. That is not surprising, given that Boris was given only 100 days to renegotiate it, during which Parliament did its best to shackle his negotiating powers, but we signed it and accepted it because it has a mechanism to resolve those internal contradictions: the joint committee, within which both sides are treaty-bound to negotiate in good faith to resolve outstanding problems by the end of the transition period.
However, recently the EU has been pointing out—doubtless as a negotiating lever—that if it simply refuses to reach agreement in the Joint Committee then, arguably, all goods going from Great Britain to Northern Ireland will have to pay the EU tariff, and all goods coming from Northern Ireland to Britain will have to fill in EU export declarations, and if the EU refuses to list the UK as a third country from which it will accept food imports, not only will we be unable to export food to the continent, but it would be illegal, as the EU has threatened, to take a single kilo of butter from Great Britain to Northern Ireland. As far as I am aware, the EU has not seriously denied making those implicit threats.
Those outcomes would be economically damaging to Northern Ireland, flagrantly in conflict with the Belfast agreement and contrary to the Acts of Union with Ireland and Scotland. They would inflame unionist opinion, demonstrate manifest bad faith and breach the clear intention of the withdrawal agreement itself, so the UK Government had no option but to introduce legislation enabling them to override those potential interpretations of the withdrawal agreement, should they emerge.
In doing so, the UK Government adopted the EU’s own approach to international law, clearly set out by the Advocate-General in the European Court of Justice in the Kadi case. He said that
“it would be wrong to conclude that, once the Community is bound by a rule of international law, the Community Courts must bow to that rule with complete acquiescence and apply it unconditionally in the Community legal order. The relationship between international law and the Community legal order is governed by the Community legal order itself, and international law can permeate that legal order only under the conditions set by the constitutional principles of the Community.”
I cannot see that we are doing anything different from what the EU would, very sensibly, do if there were a conflict between international law and its internal legal order. I invite the noble Baroness, Lady Ludford, as the last remainer of note due to speak in this debate, to be as critical of the EU doctrine as I have no doubt she will be of the Government’s behaviour. However, because we have effectively called the EU’s bluff, there is every reason to suppose that it will in practice resume negotiating sensibly and help us to resolve those issues, and there will be an agreement at the end of the day.
My understanding is that the noble Baroness, Lady Ludford, is not participating in the debate this afternoon, so I now call the Minister to reply.
My Lords, that completes the business before the Grand Committee this afternoon. I remind Members to sanitise their desks and chairs before leaving the Room. The Committee stands adjourned.
(4 years, 2 months ago)
Lords ChamberMy Lords, as I want to talk about the plight of horticulture, I must first declare my interest as the chairman of the All-Party Parliamentary Gardening and Horticulture Group. The closing of garden centres came at the worst possible time because it was the peak time for sales and for the growing of plants. That has had a terrible impact on garden centres and all the nurseries that supply them. On the other hand, we need to sustain a stronger sector, not a weaker one, if we are to grow more of our own and so avoid the pernicious impact of pests and diseases from imported plants. We also need to sustain the Government’s ambitious plans for the environment, in particular the tree-planting project.
Unfortunately, the government support that is available does not fit well with the needs of horticulture. I will not go into that because there is no time to do so, but I want to commend the principle of the Dutch Government of providing 70% compensation for lost sales. A similar scheme in this country would do an immense amount to aid our struggling nursery and horticulture sector. I know that the Horticultural Trades Association is in negotiation with Defra for a similar stock compensation scheme, but it fears that that will founder because the UK has signed up to the EU restrictions on state aid. Why, one wonders, were the Netherlands able to get away with it? They have done so simply by invoking Article 107(2)(b) of the Treaty on the Functioning of the European Union, which allows Governments to give aid free of any restrictions in exceptional circumstances. Why cannot this Government do the same?