(6 years, 8 months ago)
Lords ChamberThe noble Lord identifies the important characteristic of the OBR, which is its statutory independence. That is a strength and something we all commend. In response to the noble Baroness, Lady Kramer, we have to respect what the OBR by statute is required to do, and we expect it to do that.
There are practical difficulties in addition to those which I was just beginning to outline when the noble Baroness made her intervention. If the Government agreed to have a forecast ahead of the withdrawal legislation being considered by Parliament, there is simply no guarantee the OBR would be able to take the terms of the agreement into account in its forecast. For example, if there was only a short period of time between the agreement being made public and the point at which legislation is introduced, then the OBR may not have capacity to conduct a thorough analysis.
I have the most recent report from the OBR here. It seems to me that the time point is irrelevant. If we are serious about letting our own Select Committees look at the proposed withdrawal agreement, there will be time for the OBR to do a forecast. It is one of the things that it complains about in the recent report:
“We asked the Government if it wished to provide any additional information on its current policies in respect of Brexit”—
but all the Government did was send it a copy of the Prime Minister’s Florence speech. The report goes on:
“Given the current uncertainty as to how the Government will respond to the choices and trade-offs facing it during the negotiations, we still have no meaningful basis for predicting a precise outcome upon which we could then condition our forecast”.
As soon as the withdrawal agreement is known, the OBR will want to produce that. Is the noble Baroness saying it should not?
On the contrary, as I made clear in my initial comments, the Government expect the OBR to include the impact of the withdrawal agreement alongside its forecast for the UK’s economic and fiscal outlook. In fact, the noble Lord perhaps makes the point better for me than I make it myself. The OBR’s comments, which he has just read out to me from the report, are not redolent of criticism of the Government but of an acceptance of the reality of the difficulties of the negotiation.
(6 years, 9 months ago)
Lords ChamberIs the noble Lord, Lord Liddle, making an intervention? I want to be clear what the order of speaking is.
I say to my noble friend that Parliament will be fully engaged throughout the process and, as we have repeatedly set out, will get a vote on the final deal. I have to remind the House, though, that the British people voted to leave and we will deliver on that instruction. Although we do not want or expect a no-deal outcome, Parliament gets a vote on the final deal but it does not get a vote on whether or not we leave.
My Lords, the Minister referred to the public wanting us to get on with it. May I therefore follow up my noble friend Lady Hayter’s question: why are the Government refusing to talk about money now? Although the Prime Minister has made these general commitments, what the EU wants is clarity about what past commitments we are liable for. These are past commitments and nothing to do with the future trading relationship. Why are we delaying talking about that now, when the need for a transition deal is urgent and the absence of it will lead to the loss of jobs in the City of London and elsewhere very quickly in the coming months? Is the real reason not that the Cabinet is so divided on the question of the EU that the Prime Minister is terrified of making any concession to her Eurosceptics? Is it not therefore a disgrace, in a way, that a former head of the Civil Service should try to say that the Opposition are to blame for the pretty pass in which the nation now finds itself?
It is not for me to defend the noble Lord, Lord Butler; he can do that very adequately himself. I think it was I who carped about and criticised the Labour Opposition. There is a phrase, “If the cap fits”. I think the Labour Opposition have a question to ask themselves. The noble Lord asks me why we do not come out with what we think about sums paid to date and what sums we should get back. These are all within the negotiating environment, and the fundamental rule in any negotiation is that you have to some extent to preserve your own thoughts and confidence and not have that be the subject of general discussion and public comment because you will weaken your negotiating position. I am aware that the shadow Chancellor, the right honourable John McDonnell, seems to take the view that you should just shove money at it and pay whatever you want. What I want to know is exactly how much money the Labour Party thinks we should be throwing about. I do not think that is a strategy to pursue. It is naive and ill conceived, and I cannot agree with the noble Lord that it is a sensible way to proceed.