Brexit: Trade in Goods (EUC Report)

Baroness Hayter of Kentish Town Excerpts
Tuesday 18th July 2017

(6 years, 10 months ago)

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Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I add my thanks and congratulations to the noble Baroness, Lady Verma. I share her regret at the absence of any response to a report which is key to the future of our economy. As we have heard, the EU is our nearest and biggest trading partner, taking nearly half our exports. How we trade with it after Brexit will determine our economic well-being. We do not necessarily have to agree with the FT’s rather apocalyptic vision of 29 March 2019, with drivers at St Malo having to pay VAT and import duties, and—should the truck be carrying lamb—suddenly finding it can only be taken into France via a registered border inspection post. But we do have to recognise that, as a third country, outside the customs union and without an agreement, we would see customs duties, quotas, border checks, non-tariff barriers and perhaps unsafe toys and unhealthy food—and import duties would make consumer goods cost more here, on top of price increases already happening because of the falling pound.

Even enthusiastic Brexiteers who claim that we can replace lost EU trade through trade deals with faraway countries acknowledge the hit we will take, by first seeking to replace existing EU trade before building up additional orders. It is with fingers crossed that they hope a knight in shining armour—Donald Trump or Malcolm Turnbull perhaps—will ride to our rescue. Saner commentators admit that, as noble Lords have said, any deals will take time. Indeed, the Australian Prime Minister, although happy to see a post-Brexit trade deal, said that this would come only after one with the EU.

So the Government must start being realistic and put childish dreams to one side. An unpublished Treasury paper concluded that the costs of a hard Brexit would far outweigh any potential gains from Liam Fox’s free trade strategy. It said that it is “idle thinking” to imagine that two dozen bilateral agreements could compensate for the loss of trade with the EU and with the agreements covering a further 11% of our exports with the 60 countries already mentioned, such as Korea, Mexico, South Africa, Turkey and—in the future—Japan and Canada. When Donald Trump supposedly offered the UK a “very, very big”, “very powerful” trade deal “very, very quickly”, such a deal, even if it could be drafted fast, is simply not his to enact—as the noble Lord, Lord Inglewood, reminded us. It has to go through the Senate, which is even more protectionist than President Trump.

As we have heard, trade deals take years to negotiate and then come on stream. They are cold-hearted affairs. They are not about favours to foreign friends; they are about gaining market access for domestic producers. Since the UK has a trade surplus with the US, any deal will be about the UK making concessions to the US, not the other way round. Big countries, such as the US, China and the EU, have more cards than small ones in such deals. I am afraid that Britain is a small country—as the CIA put it, “slightly smaller than Oregon”. As the noble Lord, Lord Horam, described, even after a deal is signed, it takes time and hard work for exporters to develop new markets on the other side of the world. Whatever happens there, we will always need strong trade ties with our closest market, the EU. So the Government’s priority should be to safeguard these ties, especially given the Maltese Prime Minister’s warning that any deal must be “inferior to membership”.

We have been warned about the lack of trade negotiating skills in the UK, since it is nearly 50 years since we have had to use them—added to which, the world has never seen a trade deal like the one we will need. Every other deal is about reducing barriers to trade, whether they are duties, quotas or other things, but this will be about increasing barriers. How prepared are the Government? The FT describes a “sense of disarray” while Brussels is briefing about us “dithering chaotically”. Michel Barnier said:

“I don’t hear whistling, just the clock ticking”—


but I am hearing whistling from the Government. They are whistling in the belief that all will just turn out right, that things do not need hard work, or the compromising referred to by the noble Lord, Lord Livingston, or working with our partners and stakeholders. But trade is too important to be left to the whims of badly briefed negotiators, continuing along the lines of Lancaster House despite the election outcome, while Ministers fight among themselves, their attention fixed more on extreme Eurosceptics—whether on their Back Benches or in the tabloids—than on the country’s interests.

By contrast, business knows the risks involved, with industries hard hit if there is no comprehensive UK-EU FTA similar to the single market and customs union. Along the lines of the Nissan example given by my noble friend Lady Armstrong, if you look at the Ford Fiesta, there is a potential 2.7% tariff on engine components imported from the EU, a 4.5% tariff on the 65,000 UK-made engines exported to the EU, and a 10% tariff on the 120,000 finished Fiesta cars reimported for sale here. When will the Government tell us the full details of whatever deal is done with Nissan?

I will take another sector that has been mentioned—namely, pharmaceuticals. This is a world-leading exporter that uses multiple imports and exports to and from the UK before a final medicine is completed. This industry is key to our economy, with life sciences notching up a turnover of £60 billion, with a £3 billion trade surplus. No wonder it wants a new free trade and customs agreement with the EU that takes into account its specific needs, which Ministers need to understand.

Other sectors are demanding to be heard, not least the creative industries, which contribute some 8% of GDP—more than the arms trade, although of course they kill nobody—with that 8% likely to grow substantially over the next decade. This high-skill, technological and creative sector needs to recruit talent, exploit IP, attract inward investment and trade freely if it is to continue to support so much of our wealth creation.

A different issue faces the chemicals industry, where exports and imports from heavy industrial chemicals to ingredients in toothpaste and shampoo could cease if we fall outside the EU’s REACH regulations. Meanwhile, we have heard already about agricultural import duties on the 70% of our imports coming from the EU, which could see food prices rise while harming the £20 billion-worth of exports, making our UK farming less competitive.

I need hardly explain to the House how crucial transport is to trade. Airlines, ports, shipping companies, hauliers and railways need to know at least a year ahead what regulatory regime they will face in March 2019. In fact, airlines need to agree schedules by this autumn. They cannot wait any longer as they need regulatory certainty. But where is the Brexit plan for transport? This is just one area where the calls for transitional arrangements are siren, and should have been on David Davis’s agenda last weekend—had he taken any papers with him, or indeed spent more than 30 minutes in Brussels.

It is not simply that we are a long way from agreement, when the EU 27 have been preparing for 12 months and already know what they want and how to achieve it. As Professor Alasdair Smith of the UK Trade Policy Observatory stressed, a UK-EU FTA cannot be negotiated in 21 months, even once it has been started—and that cannot happen until progress is made on the withdrawal items. As he said, a two-year completion timetable would not be ambitious or challenging, simply “completely impossible”. The EU has never completed one in under five years—“dreamland”, I think the noble Lord, Lord Bilimoria, called such an ambition.

Our prosperity depends on trade, but the Government are listening to neither business nor consumers. Such meetings as have taken place laid bare the lack of preparation within government. The big “summit” at the Foreign Secretary’s retreat led to no concrete policy announcements, while, despite the Chancellor, the Business Secretary and the Brexit Secretary supposedly being committed to fortnightly meetings with a smaller group of business leaders, these have yet to happen. Meanwhile, there have been no meetings at all with consumer representatives, leading the three largest consumer groups to write to the Prime Minister on 22 March,

“calling for a cross-Government high-level working group focused solely on securing the best possible deal for UK consumers”.

Sadly, the PM’s reply omitted any positive response to this.

It is clear from the debate today and even from Brexiteers such as the noble Lord, Lord Leigh, that a transition period is essential, and the knowledge that it will be there is needed now, before contingency plans, especially as regards relocation, are implemented. We cannot live in a fantasy world which imagines that a substantive free trade agreement needing only some phased implementation can be reached by March 2019. There will be no agreement by then, let alone the customs procedures and new ways of working needed to accommodate delays to supply chains, not least in food and drink, where the current efficient supply chains enable almost a third of supermarket food to be imported from the EU and be on the shelves within two days. Meanwhile, our ports lack the facilities or staff to cope with new customs inspections, duties, VAT collection and assessment of conformity of goods with regulations, foretelling movement grinding to a halt as vehicles wait to be processed by customs authorities, as suggested by the noble and gallant Lord, Lord Stirrup.

Many questions have been put to the Minister today, but the most urgent of these is surely about a transitional agreement—that there will be one high on the Government’s agenda and that they will give certainty on that sooner rather than later. Too much depends on it for us to sit around waiting. It is time to hear about that now. I look forward particularly to the Minister’s answer on that but also on all the other questions that have been posed to her.

Brexit: United Kingdom-European Union Parliamentary Assembly

Baroness Hayter of Kentish Town Excerpts
Wednesday 12th July 2017

(6 years, 10 months ago)

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Baroness Anelay of St Johns Portrait Baroness Anelay of St Johns
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My Lords, the latter point about matters affecting the wider geographical range of Europe is an interesting one. It is not for the Government to intervene with regard to rolling up existing parliamentary bodies. We have colleagues across the House who have made a great impact in the parliamentary assemblies of both the Council of Europe and the OSCE, particularly recently. I commend those who attended because they stuck the course, whereas some representatives from other countries left a wee bit early.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I was in Rome, as it happened—where I was introduced to tiramisu—when there was a “parliament of parliaments”: a gathering of the European Parliament with representatives of the then 15 member states during the process of the intergovernmental conferences. Parliamentarians at that stage were about to vote on what was emerging from those conferences. We now face similar complicated intergovernmental negotiations in which, in due course, as the noble Baroness says, both we and the European Parliament will vote on ratification. Although I appreciate that it is not a governmental issue, could the Minister use her best efforts with some of her friends to see whether there is a way of facilitating early discussions which would be helpful later in the process when both they and we come to vote?

Baroness Anelay of St Johns Portrait Baroness Anelay of St Johns
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My Lords, the noble Baroness makes an extremely valid point: that better exchange of information leads to better understanding in negotiations. That is why, as Ministers, we have not only engaged thoroughly with our counterparts around the European Union but encouraged Select Committee visits. I know that those visits have been thorough, and if they have been to the European Parliament, they have been supported by the secretariat and the European Parliament. The worst thing is for newspaper articles to appear giving misleading information, not necessarily intentionally but just because we have not had the opportunity to discuss with colleagues the real issues.

Brexit

Baroness Hayter of Kentish Town Excerpts
Tuesday 4th July 2017

(6 years, 10 months ago)

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Baroness Anelay of St Johns Portrait Baroness Anelay of St Johns
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My Lords, the negotiating framework looks very carefully at how we can ensure that we will continue to be able to recruit the brightest and best here and that those who have employment in specific fields where they need to go across borders are able to do so. That underwrote of course some of the paper on citizens’ rights which we published recently. The noble Lord raises an issue which goes to the heart of all the considerations about how we then protect employment rights. Protection of employments rights was one of those 12 principles which were set out so clearly by the Prime Minister.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I am delighted that the noble Baroness has talked about partnership. Does she agree with her DExEU colleague, Steve Baker, that the EU is an “obstacle” to world peace and “incompatible” with a free society? Is that what her department thinks?

Brexit: Negotiations

Baroness Hayter of Kentish Town Excerpts
Monday 24th April 2017

(7 years ago)

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Lord Bridges of Headley Portrait Lord Bridges of Headley
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I can assure the noble Baroness and all noble Lords that there will be ample time for a debate about the matters before us, not just over the months to come after the general election but in the weeks before it—I am sure everyone is looking forward to it. As regards the time lost, I draw the noble Baroness’s attention to the fact that, as I understand it, the General Affairs Council will not adopt the Commission’s draft negotiating guidelines until 22 May at the earliest. Therefore, political negotiations will not begin before early June. As the Commission has said, those negotiations will begin after the general election on 8 June.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, on the election, as TV’s Mrs Merton famously asked Mrs Daniels, “So what first attracted you to the millionaire Paul Daniels?”, perhaps I could ask Mrs May, “So what first attracted you to an election when you were apparently 20 points ahead in the polls?”. However, the Question in front of us is about Europe. We need an exit that assures access to the single market, a continuing relationship with Euratom and the other agencies, and protection of the rights of EU nationals. Some of these might require some involvement with the ECJ. Does the Minister not think that this is something the Government might now look at, so that we can achieve those broader objectives?

Lord Bridges of Headley Portrait Lord Bridges of Headley
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I am delighted that the noble Baroness is looking forward to 8 June as much as a number of us are. I can absolutely assure the House that we are looking at options as set out in the Government’s White Paper. The Prime Minister, I and other ministerial colleagues have made it clear time and again that we wish to end the primacy of EU law once we have left the EU. As regards the specific issues, I have nothing further to add to what has already been set out in the White Paper.

Brexit: European Union-derived Rights

Baroness Hayter of Kentish Town Excerpts
Tuesday 4th April 2017

(7 years, 1 month ago)

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Moved by
Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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That a Minister of the Crown do report to this House by the end of this Session on the progress made towards ensuring that qualifying non-United Kingdom European Economic Area nationals and their family members are able to retain their fundamental European Union-derived rights after the United Kingdom has left the European Union.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, in moving this Motion I shall not go through all the arguments which led to a majority of 102 when we discussed this issue before. It is clear that the House felt that neither EU citizens here nor UK citizens abroad should pay the penalty of our withdrawal. We said that we would continue to make the case.

As Sadiq Khan said of London, where a third of the EEA nationals—some 1 million—live, Europeans who live and work in London are Londoners and should be given “a cast-iron guarantee” of their right to stay post-Brexit. These Europeans work in every part of our community. As the unions such as Unison have said, clarity is needed as early as possible because any decrease in the number of EU citizens working here would have a huge impact on our public services, especially in health and social care. One in 15 nurses in England is European, although already the number registering is declining to only a quarter of those in the same period of 2015. We have also lost twice as many doctors as in 2015. The RCP and the BMA blame this on the lack of assurances for EU nationals.

In social care, Europeans comprise 6% of the English workforce—some 84,000—of whom 90% do not have UK citizenship. We should remember that of the 3 million EU citizens only 10% are married to British nationals, which gives them some hope of being able to stay. Other concerns arise for those whose spouses are non-EU. In academia, at the Francis Crick Institute—he of course won his Nobel Prize for the double helix with that immigrant Mr Watson—44% of its staff and 56% of its post-docs are from the EU.

I want to make three points today: on transparency of negotiations; on urgency; and on the EU 27’s priorities. On the first, we have already seen that there is going to be no secrecy. Predictably, we saw the Tusk letter on TV before the ink had dried so our Motion will not expose any secrets. It will simply allow what is in the public domain to be discussed in your Lordships’ House.

Secondly, on urgency people really cannot put their lives on hold for two years while awaiting the outcome of talks. They need to know now whether to take jobs and choose schools for their children, or make plans to leave. We are seeing European citizens turned away by mortgage lenders because of uncertainty over whether they can stay, while some employers are asking proof of permanent residency before workers get more than a fixed-term contract. Certainty is also needed for business. The British Chambers of Commerce has called on the Prime Minister to confirm that EU residents can remain after Brexit, with its director-general pointing out that some firms are already losing staff due to the avoidable uncertainty. The CBI president has said that its number one issue was to tell all 3 million EU workers that they can stay, or else their exodus will bring business to a halt. Likewise techUK, which is reliant on EU entrepreneurs, wants confirmation that EU citizens will be able to stay.

Thirdly, there is the stance of the EU 27. As Joseph Muscat, Malta’s Prime Minister and the EU’s chair, has said, the two sides need to remain friends. We can help if we meet their priorities wherever possible; the position of our respective nationals is one such area. Their chief negotiator Michel Barnier wants negotiations to begin by removing the uncertainty over the rights of citizens in each other’s countries. For the European Parliament’s Brexit lead, Guy Verhofstadt, it is an absolute priority and needs to be the first issue in the negotiations. He says that citizens should not become bargaining chips. In Malta, Donald Tusk prioritised people caught up in this process as the first duty, stressing the need to settle the status of EU citizens in the UK. The EU’s draft guidelines highlight reciprocal guarantees as a priority for the negotiations.

--- Later in debate ---
Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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I thank the Minister, who we all think is young, handsome, brilliant and intelligent—so he will vote with us. There are really only two issues: certainty and a degree of urgency.

On the first—in the words of my noble friend Lord Morris, the people issue—there is some urgency. They need something now. If the noble Lord, Lord Kerr, is right and there is even a 30% risk of no deal, there are some really serious issues. If there is no deal, what happens to the idea of reciprocity that the Prime Minister wants? That is why we need continuous updates. We need to know what the Government’s thinking and preparations are, and their plans for that. This is not a secret. It should be open and it should engage us all.

On the second issue, I think—and brains much better than mine say—that we need legal certainty. But should the Government be right on that—that we do not, that everything is tickety-boo at the moment—this Joint Committee will find out because it will have taken advice and it will say, “We were wrong. The noble Lord, Lord Bridges, was right and we do not need it”. I would trust that Joint Committee to find out if that was the case and report back to us. The urgency of that case, as was said by others, is that we really do not want to muddle our discussion about how the vote takes place and what it means at the point we are actually discussing the agreement that we have, because people might then use the procedure to muddle the discussion about the core issue. We do not want that.

As the Minister knows, there is support all around the House. I hope that we will agree these two Motions but, even more, I hope the Government will respect the will of the House and will move to implement both of them if they find favour with your Lordships. I beg to move.

Motion agreed.

Brexit: Legislating for the United Kingdom’s Withdrawal from the European Union

Baroness Hayter of Kentish Town Excerpts
Thursday 30th March 2017

(7 years, 1 month ago)

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Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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I thank the Minister for repeating the Statement, which introduces one of three broad areas of scrutiny facing this House over the coming 18 months. The other elements are the array of primary legislation—anywhere between seven and 15 Bills covering agriculture, customs, immigration and all their associated SIs. Alongside this will be our scrutiny of the Government’s negotiation with the EU 27, culminating in a vote in this House on the final deal.

Today’s foreshadowed Bill is, in one way, the easiest of those three tasks, as it takes existing EU law and incorporates it into domestic law. However, we have heard the Secretary of State for International Trade arguing:

“To restore Britain’s competitiveness we must begin by deregulating the labour market”.


Meanwhile, the Foreign Secretary wants to use the “opportunity” to axe needless regulations that have “accreted” since Britain joined the EU. How do those comments chime with the Prime Minister’s introduction to the White Paper—and, indeed, the Government’s long-standing promise—which states:

“The same rules and laws will apply on the day after exit as on the day before”?


Will the Minister confirm that it is the Prime Minister who is the boss and that, despite the words of others, there is no intention to follow their madcap ideas within the repeal Bill?

Despite its aim of simply converting existing rules into UK law, the Bill will be, in the words of our Delegated Powers and Regulatory Reform Committee,

“a wholly exceptional piece of primary legislation”,

with implications for,

“the fundamental issue of the balance between the Executive and Parliament”.

We are pleased that the Secretary of State confirmed that delegated powers introduced by the Bill will be subject to time limits, but a number of concerns remain. At paragraph 3.21, the Government believe that current statutory instrument procedures in this House are sufficient for the task. We have our doubts—so will the Minister give serious consideration to our recommendations? They are: that an explanatory memo be published alongside each statutory instrument; that there will be early consultation with outside stakeholders; that there will be provision of a comprehensive delegated powers memorandum for Parliament when the Bill appears; that there will be provision of draft regulations, so that scrutiny can commence before the Bill is enacted, in view of the sheer scale and complexity of the secondary legislation; and, given that delegated legislation is unamendable, that there will be consideration of a strengthened scrutiny procedure to help ensure that Parliament retains some control over significant statutory instruments, including some “triage” of the various proposals. Everyone in this Chamber knows that our committees do excellent work on this, but it is clear that some form of extra capacity will be needed if we are to scrutinise the vast array of statutory instruments that are to come.

Many EU regulations are monitored or enforced by the Commission, the Court of Justice or another EU body. The question, therefore, is how the Government will ensure that the new regulations, once domesticated into UK law, will still be monitored and enforced. There is little point in entrenching EU rights and protections if the Government do not also make sure that they are enforceable. As converting EU acquis into domestic law will have significant implications for the devolution settlements, which were all premised on our continued membership of the EU, can the Minister tell the House about their plans for dealing with repatriation in areas of devolved competence, including London? In particular, can he provide assurance that consultation will improve?

Just yesterday, the First Minister in Wales confirmed that he had not seen the Article 50 letter in advance and had not been invited to contribute to its drafting. He described that as,

“unacceptable … the culmination of a deeply frustrating process in which the devolved Administrations have been persistently treated with a lack of respect”.

Today, again, he said on the White Paper:

“We are disappointed we were not given opportunity to contribute to its production, despite assurances that we would be”.


Is this the level of co-operation that the Government think is satisfactory?

Although lacking in certain respects, today’s White Paper provides some clarity. Labour has insisted that our withdrawal from the EU must not lead to a reduction in workplace rights or environmental and consumer protections. These must be retained with no qualifications, limitations or sunset clauses. The White Paper, although I have not had time to read every detail, seems to accept this entirely, and even sets out some welcome examples. However, given the comments by the Foreign and International Trade Secretaries, and the former chairman of the Conservative Party, there are dangers ahead.

If we are to do our job properly, we will need the resources and structures to deal with the avalanche of secondary legislation and a way of ensuring that delegated powers are limited, used only when it is vital and not misused. The Minister knows that the House stands ready to do what is needed, but we will need rather more detail and assurance before we can be sure that the Bill is fit for purpose. The Government stress the importance of sovereignty. For us, this means parliamentary sovereignty, not an unacceptable power grab by the Government. We will be watching you.

Brexit: Negotiation Programme

Baroness Hayter of Kentish Town Excerpts
Monday 20th March 2017

(7 years, 1 month ago)

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Lord Bridges of Headley Portrait Lord Bridges of Headley
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My Lords, I shall repeat what I have said before. It is a matter of firm policy that, once Article 50 is issued, it will not be revoked, and I can also assure all noble Lords that the Government are indeed intent on delivering the result of the referendum. The United Kingdom will leave the EU and, to quote from the first line of the White Paper:

“We do not approach these negotiations expecting failure, but anticipating success”.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I am sure that the Minister has read the report of the Constitution Committee. He may also have read the IFG report from this morning. In the light of those, could he tell the House something about how we will deal with the great repeal Bill? Will it have pre-legislative scrutiny? Will we need some mechanism for the extra 5,000 statutory instruments that we will be met with? Does he agree with the Institute for Government’s assessment that 10 to 15 other pieces of primary legislation could be brought before us?

Lord Bridges of Headley Portrait Lord Bridges of Headley
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I am sorry to disappoint the noble Baroness and your Lordships, but I am not going to go into that much detail now. Good things will come to those who wait. As noble Lords would expect, a lot of thought has gone into not just the amount of legislation that will be required, be it primary or secondary, but the need to make sure we get those statutes on to the statute book in time, while balancing the need for effective and proper scrutiny. I have been taking a close interest in this. We will publish a White Paper in due course. I am sure that there will be plenty of debate about that. As always, my door absolutely remains open to any one of your Lordships who may have views on that White Paper.

European Union (Notification of Withdrawal) Bill

Baroness Hayter of Kentish Town Excerpts
Lord Sentamu Portrait The Archbishop of York
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My Lords, I have been listening to what people have said and do not want to repeat anything. However, some of us objected to the amendments not because we lacked sympathy, understanding or compassion. We did it simply because we thought there was a confusion of process with substance. The second reason some of us objected, in particular myself, is point 6.2 of the government paper, which says:

“While we are a member of the EU, the rights of EU nationals living in the UK and UK nationals living in the EU remain unchanged. As provided for in both the EU Free Movement Directive (Article 16 of 2004/38/EC) and in UK law, those who have lived continuously and lawfully in a country for at least five years automatically have a permanent right to reside”.


If Brexit happens, and I am sure that it will, EU law will be incorporated into British law. It would be quite tough for the Government to then argue that those who have lived here for more than five years do not have a right to reside, and your Lordships’ House and the other place would have to argue the case again.

I approach this issue with deep compassion. I came here while running away from Amin’s torture. For almost 15 years, I was living and travelling on a UK travel document. As a student, I was prevented from working. I know the difficulties. But when I sit in your Lordships’ House and hear Members say that the other side is not the only one that thinks it is right, I think that we should all find a language that talks about people as people. They are being used as a bargaining chip, which is very hurtful to me and others. That cannot be right because it casts aspersions on those who argue the other way.

The time has come for us to decide. If we want a quick resolution for the EU citizens who live in this country, I will find it difficult to continue further delaying the triggering of the article. It should be done as quickly as possible.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I thank the Minister for his rather unfortunate task of having to bring us the regrettable decision of the Commons on the rights of EU nationals living here. Many of them, of course, are married to Brits and have British-born children but possibly will have no right to remain after Brexit day.

This House by a majority of 102 asked the Commons to do two very easy things. It asked for both pragmatic and ethical reasons. One thing was to make it clear that EU citizens, whether Brits abroad or Europeans here, should not be treated as bargaining chips to be traded against each other. The House felt strongly that these families, who had as a result of our forthcoming exit suddenly found their own lives on hold given the uncertainty over their future, should have their rights secured as soon as possible but without holding one group’s interests hostage to those of another group.

Secondly, we called on the Prime Minister to act unilaterally in the one area under her control and to say to EEA nationals, “We will ensure you continue to have the rights you expected when you arrived, even after we withdraw from the EU”. We did it because of the calls of those affected, and of their employers who fear the loss of valuable colleagues—some 25,000 workers in the health service alone are now thinking of leaving. The Government and the Commons have rejected our call. However, I absolve the Brexit committee, which unanimously felt that the Government should act unilaterally on this. The only reason for the rejection is that it is not a matter that needs to be dealt with in the Bill. Presumably the Government have no other rationale for saying to those here, “You must wait to know about your future until the 27 have agreed how they will treat UK nationals”. That could take months, if not years.

We hear from Brussels that although citizens’ rights will be high on the negotiators’ agenda, it could take years for the final deal, as I believe Liam Fox and David Davis confirmed yesterday, reflecting on the normal practice of “nothing is agreed until everything is agreed”. We regret this delay and lay the blame for this hiatus fairly and squarely at the door of No. 10. We will also campaign for an early resolution to the plight of those caught up in a legal Neverland not of their making. We will continue to press the Government to move on this and provide the certainty our amendment sought, albeit maybe by other—perhaps I should say imaginative—parliamentary routes, a number of which are already under consideration. The people concerned cannot wait until March 2019 to hear their fate.

I turn now to the Liberal Democrats’ Motion. We do not think this is a responsible move. It is not one we could support. This House’s view by a majority of 102 is clear. The Government should act unilaterally on the position of people already among us. As the mover of the original Motion, no one in this House will doubt my support for that. However, our view has been rejected in the elected House of Commons and it is clear that the Government are not for turning. On behalf of the Opposition I say to the people concerned, we are not giving up on you. We will pursue your interests in other ways.

None Portrait Noble Lords
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Oh!

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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I will take no lessons from the Liberal Democrats, who confessed to me outside the Chamber that this appeals to their core vote and they are piling on members because of it. So we are here to move a Motion to help them gain members. That may be suitable for them but it is not taking this House as a legislative body seriously. More than that, they are falsely raising people’s hopes, when they know that this Government in the Commons, despite my best endeavours and wants, will not change their mind. They should think hard about what they are doing to those people whose expectations they are raising, which will not be fulfilled.

I worry that they are also making a bit of a mockery of the House if they think that we will vote on this, as we did last week, in the safe knowledge that others will vote the other way and it will not be carried. I also wonder what it does to the decision that we took. The Lords majority of 102 is bound to shrink. As we have heard already, we know that the House does not have the appetite to send this matter back given the majority in the Commons, which was higher than before. Instead of our being able to go out from this on the high level of saying, “By 102, we think that the Government are wrong”, we would have either a lower vote or a lower vote an hour later if it ping-ponged. By the way, I say to the noble and learned Lord, Lord Brown, that the way I play ping-pong I never get it back even once. Instead of saying that we ended up with a majority of 102 on the side of those EU nationals here, we will have a lower vote either now or later on.

On behalf not so much of this side of the Chamber as of the 3 million people who are looking to us for some help, the Government’s position is a matter or enormous regret to me. I do not think that it is correct; I do not think that it is moral or ethical; I do not even think that it is clever negotiations. However, we accept the view of the elected House. We will not rest after tonight. We will be back, urging the Government to allay the fears of people caught in this limbo.

Lord Bridges of Headley Portrait Lord Bridges of Headley
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My Lords, I thank those who have contributed to this short debate. Once again, many of your Lordships have spoken with great passion. After so many hours of debate, I fear that there is very little that I can say without repeating myself and travelling over well-worn ground, so I will be quick and brief.

I reiterate the point that the Government’s position on this issue is very clear: we want to secure the status of EU citizens in the UK, just so long as we can do so while guaranteeing the position of UK citizens to whom we have a responsibility across the European Union. We cannot and should not seek to do one without the other. All 4 million people matter.

As to assurances given to EU nationals here today, let me repeat what I said previously: nothing changes in their status until we have left the EU. Nothing can change without the approval of Parliament, and the Government will continue to respect their obligations under the ECHR. This position is held by the Government and now by the other place. I remind your Lordships of what our European partners are saying. Many of them have made it clear that they, too, want a speedy agreement, but once we have started the negotiations. Indeed, the Polish Prime Minister has said:

“Of course, these guarantees would need to be reciprocal. It is also important what guarantees the British citizens living and working in other member states of the European Union will have”.


We need an agreement on this issue as soon as possible and I believe that we are in a good position to do just that. Just last Friday, Guy Verhofstadt, the lead negotiator for the European Parliament, told the BBC that the issue of EU citizens’ rights post exit should be addressed,

“before we talk about anything else”.

On the matters raised by the noble Lords, Lord Davies and Lord Campbell-Savours, I want to highlight the words of my right honourable friend the Secretary of State, who said on this subject earlier today in the other place that the Government would aim to get all member states, the Commission and the Council in an exchange of letters to explain what the rights of EU citizens are and will be once the UK has left the EU and once an agreement has been reached in negotiations. As regards the process of ratification of such an agreement, this is a matter for negotiation, but it is the Government’s intention to have this agreement concluded by the end of the two years.

Our commitment to seeking an agreement is clear, but the Government will not be able to set about securing this reciprocal guarantee until we have passed this Bill and triggered Article 50. I urge your Lordships to let this Bill go through unamended and not to prolong its passing, so that the Prime Minister can trigger Article 50 and seek the certainty that we all want to offer both European and UK citizens.

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Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I was never someone who enjoyed saying, “I told you so”, because I rather expect my advice to be heeded. Never was this more the case than last week, with the highest ever vote in the House of Lords. Of the 634 Peers who voted, 366 advised that the promised vote on the outcome of the negotiations should be inscribed in law. That would make it very clear to the Government—but also to the EU Commission and Council as well as to the European Parliament—that this Parliament is a player in the process of how we extract ourselves from the EU. As my noble friend Lady Symons has said, without our change, the European Parliament, which has UK Members in it, has the right in law to consent to the deal but this Parliament has no such guaranteed right. Our amendment last week gave legal certainty to the promised vote and the legislative authority for the withdrawal agreement, something which the Government may well have to do another way if not in this Bill. There is currently no legislative way of authorising the withdrawal deal ahead of a treaty.

There are challenges ahead. Withdrawal is not simply about the divorce or even just about the potential shape of new trade deals with the EU 27. It will be about forging a new partnership, or concordat, which will cover so much more than trade, vital though that is. We will need a vision of how we should work together after exit, not just on the hard subjects such as security, terrorism and that, but on the whole swathe of our approach to the economy. We will need to negotiate with the EU in a way that shows our openness and willingness to retain our strong bonds, because that will influence our future relationship with the EU as a bloc and with the 27 members individually. It is for this reason that it is important to recognise Parliament’s role in the process, because we will be part of those negotiations with the EU and the 27 countries. We will be working across Europe with all our contacts—in business, trade unions and consumer groups—to help get the best deal for this country. Parliament should be a part of that.

In so far as we heed the polls, they indicate that by 2:1 people are in favour of Parliament having a meaningful vote at the end of the negotiations. This House spoke very clearly last week. Therefore, I deeply regret that the Government and the Commons did not hear our plea. However, as the noble Lord, Lord Pannick, said, their view will not change. We will not make a pointless gesture. I believe that the noble Baroness, Lady Ludford, is now tweeting that that is shabby of us. However, that is our view. We have heard, regrettably, that the Commons did not heed the overwhelming vote in this House. However, we will hold the Government to their promise of a vote before that in the European Parliament and will work to devise a parliamentary route to establish that more firmly, not least because having the support of Parliament during the negotiations would be a source of strength rather than a weakness. The Government have made the wrong call on this amendment, but we will seek to rectify that another way.

Lord Bridges of Headley Portrait Lord Bridges of Headley
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My Lords, we spent considerable time debating this issue in Committee, on Report and again today. I fear that once again there is little I can add to this fulsome debate, especially as I am very much aware that my last attempt to convince the House of the merits of my case did not result in an unalloyed success.

As the noble Lord, Lord Pannick, said, we had the largest vote on record in this House, with a turnout of 634 Members. The fact that 366 of your Lordships did not accept my arguments was, I hope, as they say in Sicily, “Nothing personal, just business”. However, my right honourable friend the Secretary of State did a bit better this afternoon. As has been remarked, the other place rejected this amendment by a majority of 45.

I will briefly remind your Lordships of the Government’s case. First, as I have said, this is a simple and straightforward Bill designed to implement the referendum result and respect the Supreme Court’s judgment. It is the culmination of a long, democratic process started by the people at the last election, endorsed by this House in an Act of Parliament and then voted for by the people at the referendum itself. Parliament will continue to play its part through the scrutiny and passing of future legislation, through questions and debates and, most important of all, through a vote on the final agreement. Therefore, despite what the noble Lord, Lord Taverne, said, we are not abandoning parliamentary sovereignty. Our commitment to a vote in both Houses, which we fully expect and intend will take place before the European Parliament votes on any deal, is an absolute commitment and will be honoured.

Furthermore, as my right honourable friend the Secretary of State for Exiting the European Union said this afternoon in the other place,

“of course, Parliament can, if it wishes, have a vote and debate on any issue. That is a matter for Parliament. It is not for a Minister to try to constrain that”.—[Official Report, Commons, 13/3/17; col. 42]

Therefore, as I have said on a number of occasions, proposed new subsections (1) to (3) are unnecessary. However, as I said before, this amendment goes further. It seeks to make it impossible for the Prime Minister to walk away without a vote in Parliament. Article 50 does not give the European Parliament that power. The European Commission would not have to go to the European Parliament if it wanted to walk away from the negotiations. So it is incorrect to say that the amendment would simply put on the face of the Bill the same power as that given to the European Parliament.

Also, as I argued before, it is unclear what the effects of this would be in any case. If Parliament votes against the Prime Minister walking away, is she to accept the deal on offer? Is she meant to try to negotiate a better one? Or is she to try to revoke the UK’s notice to withdraw? We do not know and, as I have said, such vagueness on something so critical is unacceptable.

The people voted to leave the EU in a referendum granted to them by this Parliament. We will respect that result. We are confident that the UK and the EU can indeed reach a positive deal on our future partnership, as this would be to the mutual benefit of both this country and the European Union. We will approach the negotiations in that spirit.

As to the point made by the noble Lord, Lord Hannay, it is very hard to see what meaningful vote there could be if there had been no deal at all. In the absence of an agreement, I have no doubt that there would be further statements to this House. However, we are leaving the European Union, either through the deal we have agreed or without a deal. So we now need to consider whether the other place should be asked to consider this issue yet again, given that it has considered and decided, twice, against amendments that seek to put on the face of the Bill a vote on the final agreement.

I end by saying that this Bill is to trigger the process of our leaving and to fulfil the Supreme Court’s requirements. As I have said many times before, tonight we might just make it to the legislative base camp in terms of parliamentary scrutiny and debate. There is a lot more to come. The other place is clearly satisfied with this approach and satisfied that the Bill does not merit amendment. I therefore ask noble Lords to be mindful of that and to pass the Bill unamended.

European Union (Notification of Withdrawal) Bill

Baroness Hayter of Kentish Town Excerpts
Moved by
2: Clause 1, page 1, line 10, at end insert—
“( ) Once a notification has been given under subsection (1), Ministers of the Crown must make a quarterly statement on the negotiations to each House of Parliament, with an accompanying report to be made available to relevant parliamentary committees.”
Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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I have always thought the Government Chief Whip was a very nice man. I do not think he was offering us lunch today but he was offering us time for lunch.

This is a short and, I hope, sweet amendment. It is about the cement between Amendment 1 and Amendment 3. Amendment 1 has been defeated and therefore we are not talking about a referendum at the end of negotiations, but Amendment 3, which I trust will be carried, is about putting the decision at the end to Parliament. Amendment 2 basically states that, in order to make that as good a way of moving forward as possible, we will need to have from the Government—not as a running commentary, or even as a walking commentary, but as a dialogue with Parliament—some feedback about how the negotiations are going.

This is not only about what we are offering as a Government, as a country, but also about what is happening on the other side. We think we will be negotiating with just one bloc—the European Union—but there are 27 countries on that side and there will be ups and downs, elections, changes of personnel and all kinds of things happening within those 27 countries.

Charles Grant of the CER, who is usually correct, has said that in all of this, politics matters more than economics. Therefore feedback from the Government about how the other countries and the European Union are responding will help us to understand the negotiations. As I said in Committee, it would be terrible if we come to that final vote in this House and there are surprises because we do not know what has been happening and how discussions have been going and, even worse, because the Government have not taken the time to listen to our EU committees.

Lord Dykes Portrait Lord Dykes
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What would be the provision for an expression of opinion in both Houses on the later stages of those quarterly reports and negotiations? If people wanted to express an opinion, it might be legitimate for them to do so with a formal vote.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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I will leave that to the usual channels, who will discuss it at the time. I deal with content not process. That is why I will be pleased when this Bill is over and we get into the real meat of the negotiations, with which I wish Ministers luck. The task of negotiating will be extremely hard and that is why they could benefit from discussions in the House.

It is important that we should hear back almost the mood music of what is going on. We should hear some detail so that it will not be any surprise. If people think this will all be done in secret then they have not worked in Brussels for very long. It is as leaky as a sieve and we will be reading a lot about the negotiations. It will be more like a colander than a bucket about the things that are going on in there and taking stock will be important. We have already stressed the importance of the devolved Administrations also being involved and to check that they are. We can talk on this.

Therefore, with a nod to this afternoon’s debate and what I hope will be its outcome—that Parliament will get the final vote—if the final deal is to win the consent of Parliament there should be no surprises and a grown-up conversation should go on. I am sure that the Government will not veer off in ways that surprise us, because we do not want to vote down something because it is a surprise. We will want to have a proper vote at that time. To make the final vote a proper one, we ask for these reports to be quarterly, and if the Minister thinks that means only quarterly he needs to think again: there needs to be a minimum of quarterly reports, so that we can discuss how it is going. I beg to move.

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Lord Keen of Elie Portrait The Advocate-General for Scotland (Lord Keen of Elie) (Con)
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My Lords, I am obliged for the contributions that have been made to the debate. This short Bill has already invoked many hours of debate, so I intend to keep my remarks very brief.

I endorse the observations of the noble and learned Lord, Lord Mackay of Clashfern, both as to the appropriateness of this amendment and as to the spirit in which it will be and is being received by the Government. As noble Lords will be aware, the Prime Minister gives a Statement to the other place following European Councils. We know that there will be a Council this month, and indeed quarterly thereafter. That means that a Statement will be made to Parliament at least once every quarter on European issues, and it will be repeated in this House. Of course, that is just the beginning of a much wider process over which this Parliament has control at the end of the day.

DExEU Ministers have responded to more than 600 parliamentary Written Questions, appeared at 13 Select Committees and given six Oral Statements to the House on developments regarding our exit. The Secretary of State has agreed to give evidence to the Exiting the EU Select Committee on 15 March, alongside the Permanent Secretary at DExEU, and will shortly afterwards give evidence to the Lords EU Committee on 22 March.

The Government are committed to parliamentary scrutiny, and Parliament will play a key role in scrutinising and shaping our withdrawal. As my noble friend Lord Bridges observed last week, we have had take-note debates, debates on Select Committee reports, debates in government time and Select Committee appearances. All this will continue in order that Parliament can scrutinise the development of negotiations in so far as is possible to put those in the public domain and in so far as they come into the public domain.

The noble Baroness, Lady Hayter, referred to secrets, and the noble Baroness, Lady Ludford, referred to nasty secrets. This may reflect a difference of approach, but at the end of the day there will not be any secrets. You cannot conduct such a process in secret, ultimately, and then expect Parliament to consider that it is being kept properly informed, as it should be, if you have what are termed secrets. We are committed to keeping Parliament at least as well informed as the European Parliament as negotiations progress.

A Bill to repeal the European Communities Act will follow. There will be primary legislation on issues such as immigration and customs, and a vote at the end with regard to the process on the final deal to exit.

With all that in mind, I will pose a few questions. Is the Prime Minister already bound to give a Statement to Parliament after every quarterly European Council? The answer is yes.

Have the Government been willing to give frequent Statements to Parliament? The answer is yes.

Have DExEU Ministers and other government Ministers appeared in front of Select Committees? The answer is yes.

Have the Government listened to Select Committee reports? The answer is yes; we published a White Paper in February this year.

Do the Government aim to respond to the Select Committee reports about Brexit within two months? The answer is yes.

Have the Government said they will give more information to Parliament, so long as it does not undermine our negotiating position? The answer is yes.

Then there is the core question: what is the present Bill about? The Bill is about giving the Prime Minister the authority to give notice of withdrawal from the European Union.

With great respect to the House and to all noble Lords, let us proceed and pass this Bill. It will not be improved by unnecessary decoration and, as the noble and learned Lord, Lord Mackay of Clashfern, has already observed, it is not appropriate that this amendment should proceed. As I believe all Members of your Lordships’ House who have spoken would acknowledge, it is not necessary that this amendment should proceed in these circumstances. Therefore, I invite the noble Lords to withdraw the amendment.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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I thank the Minister and other noble Lords who have contributed to this debate. The most helpful exchange—I mean no disrespect to the others—was to hear the noble and learned Lord Mackay support the spirit of the amendment and then the Minister say that he agreed. If I could just bottle that, that will do me nicely.

I want to make only two other points. Although there are of course report-backs after the European Council, the UK will not be there when the European Council discusses our departure. Therefore, it is the other meetings that we are interested in.

My other comment is in response to the noble Lord, Lord Spicer, who said that if we dared to suggest that Parliament rather than the Crown should take the final decision, Mrs May might call an election. I am much older than my noble friend who spoke earlier and not only did I vote in 1975 but I remember the February 1974 election very well. Edward Heath basically called an election on who governs Britain. Mrs May would not be well advised to go to the country on, “Do you want the Government or Parliament to govern Britain?”. However, that is beside the point. I thank the Minister for the tone of his response and, on that basis, beg leave to withdraw the amendment.

Amendment 2 withdrawn.

European Union (Notification of Withdrawal) Bill

Baroness Hayter of Kentish Town Excerpts
Baroness Ludford Portrait Baroness Ludford
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My Lords, we have gone via all kinds of highways, by-ways, Aunt Sallies and red herrings—mixing my metaphors, no doubt—but the central issue of this amendment is, in the words of my noble friend Lord Lester: who is the master, Ministers or Parliament? The noble Viscount, Lord Hailsham, insisted that this was about taking back control for Parliament. It should not be the taking back of control for the Executive: Parliament should be in charge and in the driving seat.

The various criticisms of the amendment seem to me to be more properly directed at the Prime Minister’s assurance in the White Paper because—I think that the noble Lord, Lord Pannick, originally used this phrase—it gives the Prime Minister what she asked for. The noble Lord, Lord Hill of Oareford, said that it adds to the complexity and the noble Lord, Lord Tugendhat, said that it made it more complicated and muddied the waters. Well then, why did the Prime Minister pledge approval by both Houses of Parliament? As the noble Lord, Lord Cormack, and I think the noble Baroness, Lady McIntosh, said, this would put an assurance—an undertaking given by the Prime Minister—into a statutory obligation, and it is wise and sensible so to do.

There is no basis whatever for the assertion, made variously by the noble Lords, Lord Lawson and Lord Forsyth, and the most reverend Primate the Archbishop of York that it would give this House a veto. Given that the Prime Minister offered to give approval by both Houses of Parliament, presumably she knows how that would work and has shared it with the Government. It is for the Government to deal with that process, which could, as other noble Lords have mentioned, be avoided if there was primary legislation because then the rules would be clear.

The noble Baroness, Lady Stowell, counselled against an amendment that gives Parliament power, which I found a strange piece of advice. Surely Parliament has the right to such a power as we possess under the constitution, but it seems that it is not normal to have parliamentary power in the kind of parallel universe that Brexit has created. The amendment does not weaken the Government’s bargaining position. The statement, “I’ve got to get it past my legislators”, is perfectly good enough for a US president or EU negotiators. It should be more than good enough for the British Parliament.

The noble Lord, Lord Hill, said that our EU partners read our debates. Yes, they may well do, and they will in this case, but they know that we in this Parliament want really substantial content in a future relationship. We might even stiffen the Government’s backbone in the negotiations. I agree with the noble Baroness, Lady Symons of Vernham Dean, that far from being in conflict, getting the best deal and parliamentary sovereignty go hand in hand.

Finally, Brexiteers seem to claim that this is a wicked plot by remainers but, in fact, some of them seem to find Parliament an inconvenient obstacle to their dream of crashing out of the EU altogether. They want the Government to be able to action no deal; they do not want Parliament to be able to say, “Hang on—is that actually a good idea?”. That is why this amendment is extremely valid.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, this afternoon we have heard a really compelling case for quite a simple demand: the right of Parliament, rather than government, to authorise the arrangements whereby the Article 50 negotiations conclude. Indeed, probably no additional words are needed to strengthen the case made by the noble Lord, Lord Pannick, or many of the others who have spoken. I will not mention them all but the House will forgive me if I mention my noble friends Lady Kennedy of The Shaws and Lady Symons and the noble Baronesses, Lady Altmann, Lady McIntosh and Lady Ludford. What do they have in common? So I must also mention the noble Baroness, Lady Stowell, although sadly she was not able to support the case.

Essentially, Amendment 3 is about implementing the Supreme Court’s view that withdrawal would require parliamentary authorisation. The argument is straightforward. As the noble Lord, Lord Heseltine, said, it would secure in law the Government’s commitment that Parliament is the ultimate decider. Very shortly, maybe even next week, the Prime Minister will trigger Article 50 of the treaty. But neither that treaty nor any UK law states how the arrangements made by our Government should be made into law. What is written in the treaty—in EU law, in other words—is that the final agreement will go to the Council and to the European Parliament, so it is mandatory for that Parliament to give its consent but there is no similar requirement for this Parliament to give its consent.

The Prime Minister has said that she will allow a vote in both Houses and the noble Lord, Lord Forsyth, quoted Mr Jones saying that that was the intent. That, to me, is not a very firm commitment, no matter how sincerely it was given. Indeed, when the Minister said in Committee that the Government’s oral,

“commitment mirrors the powers of the European Parliament”,—[Official Report, 1/3/17; col. 923.]

he was not exactly right because its power is written in law. All we are asking is for an equal legislative requirement for the exit deal to come to this Parliament. It is basically about the Crown’s prerogative against Parliament’s.

I turn to the West Lothian question—no, not that but the Grocott question. We will have to call it the Grocott question as he no longer has a constituency. This was raised by the noble and learned Lord, Lord Mackay. It is true that whether we look at the undertaking given by the Prime Minister or at this amendment, there would be a problem if the House of Commons were to vote one way and your Lordships’ House another. I hope that will not be the case for lots of reasons. Particularly, I hope that by then not just the country but Parliament will have come together, and that we are of one view. But I make it clear from these Benches that if that were to be the outcome, we are absolutely clear that ultimately the will of the Commons must prevail.

Furthermore, if that is the only argument given against this amendment, there are two ways of answering it. One is that we do a bit of hurried work this evening to table an amendment and, if the Government were willing to accept it, that might be the easiest way. Keeping all my friends here late into the night, however, may not be the best way of achieving that end. We would not want to risk voting down the idea of Commons supremacy just because, very sensibly, everyone was back in their beds. The real issue is to get this principle into the Bill and down the road into the Commons. On behalf of the Opposition, I say that if that is the only point of dispute between us, given that we want the supremacy to be down there rather than here, we will happily work with the Government on the form of words to make that absolutely crystal clear.

Lord Dykes Portrait Lord Dykes (CB)
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Bearing in mind the emphasis the noble Baroness has quite rightly put on the two Houses coming together, would it really be intrinsically so nerve racking, fearful and awesome for the Commons, for once, to accept a Lords amendment such as this?

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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The Commons should certainly accept this amendment, albeit I am happy with the tweak to make certain the supremacy of the Commons. The most important thing is to get this amendment in the Bill so that we are absolutely clear about that.

It is so simple. Whatever the outcome of the negotiations with the EU 27, it is with Parliament, not simply with the Government, that authority lies, deal or no deal. I am afraid I did not follow the Minister’s response on this last week in Committee, questioning what would happen if the EU terminates the talks and refuses to extend the negotiations. He asked: what then? It is pretty simple: the Government come back to Parliament.

Stranger still than that is the briefing coming out of No. 10, with advisers arguing that giving legislators the power to veto the final Brexit deal and send the Premier back to the negotiating table would undermine her and limit the possibility of a good deal and, indeed, might even push the EU into giving a bad Brexit deal, incentivising it, it seems,

“in the hope it stops us leaving”.

That was what Downing Street apparently told the Financial Times, and I always believe the Financial Times.

I again remind the House that it was Mrs May who said that the deal would be put to a vote in both Houses, so all this is real nonsense. The only issue is whether it is an undertaking or in the Bill. All we are doing in this amendment is putting her pledge, which I am sure was absolutely sincerely given—I do not question that—in the Bill. It is hardly starting a revolution. It is certainly not upending the referendum, and any such arguments are in bad faith because we are trying to put the Prime Minister’s undertaking in the Bill. We do not want the Government’s hand to be forced by the courts. We want the vote to be clearly in the Bill, ideally with the Government’s blessing, without even the need for us to divide. They need to provide certainty at this stage so that we are not back having this debate in 18 months’ time. The amendment is about authorising Parliament. It is to put wheels on the outcome of the referendum.

Lord Bridges of Headley Portrait The Parliamentary Under-Secretary of State, Department for Exiting the European Union (Lord Bridges of Headley) (Con)
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My Lords, this debate has shown this House at its very best, and I thank all noble Lords who have spoken. Forty-four, I think, hours of debate on these 137 words show how sprightly your Lordships are.

Before I discuss the amendments, I shall briefly set out three core principles governing our approach to this country’s withdrawal from the European Union. First, the Government are determined to honour and deliver on the result of the referendum: the United Kingdom is going to leave the European Union. Secondly, everything we do will be determined by our national interest, and we shall do nothing to undermine it. Thirdly, parliamentary sovereignty is key. Parliament will have a role in scrutinising the Government throughout the negotiations and in making decisions, a point to which I will return.

Given this, I turn now to the rationale and motives behind the amendments tabled by my noble friend Lord Cormack, the noble Baroness, Lady Hayter, and the noble Lord, Lord Pannick. One basic intent is that the Government should be legally bound to deliver on their commitment to give Parliament a vote on the agreement. That government commitment is crystal clear, and I shall repeat it: the commitment is to bring forward a Motion on the final agreement to be approved by both Houses of Parliament before it is concluded. We expect and intend that this will happen before the European Parliament debates and votes on the final agreement.

The need for my noble friend Lord Cormack’s amendment, and the first three proposed new subsections of the amendment tabled by the noble Baroness, Lady Hayter, and the noble Lord, Lord Pannick, really comes down to a judgment about whether Ministers and the Government can be trusted and to considering the consequences if the Government were not to deliver on this commitment. All I can say is that of course we will honour our promise and Parliament will hold the Government to account for doing so. Let me go further and echo a point very well made by my noble friend Lord Howard: at any point throughout this process, Parliament will be able to express its view. Given this, the other place was happy with this state of affairs. It considered and rejected similar amendments.

Furthermore, Parliament will not be providing scrutiny in the dark. After all, this Government have committed to keeping the UK Parliament at least as well informed as the European Parliament as negotiations progress. The Government will continue to be accountable to Parliament via regular Statements—which I so enjoy—debates and Select Committee appearances. Crucially, Parliament’s role will not just be one of scrutiny. It will make decisions and shape the legislation required to give effect to our withdrawal from the European Union: the great repeal Bill to repeal the ECA and the legislation that will be required for significant policy changes, such as on immigration and customs. With the greatest of respect to my noble friend Lord Cormack and the noble Baroness, Lady Hayter, any amendment that attempts to transcribe the Government’s commitment into legislation is unnecessary. More than being unnecessary, an amendment that sought to put this commitment in the Bill could have unintended consequences and create, as has been said, a lucrative field day for lawyers. I do not want to single out any particular lawyer, but I have one in mind. As the noble Lord, Lord Lisvane, put it so well in Committee,

“regulating parliamentary proceedings by statute ... generally ends in some sort of tears”.—[Official Report, 1/3/17; col. 920.]

Other noble Lords have asked whether someone might argue that we need an Act of Parliament to authorise our exit from the European Union and whether the Bill is sufficient for our withdrawal. The requirements of the Miller judgment are entirely fulfilled by the Bill. The Supreme Court ruled that because withdrawal from the EU involves removing a source of domestic law in the UK, and because of the far-reaching effects of the European Communities Act, the authority of primary legislation is needed before the Government can decide to give notice under Article 50. The Supreme Court did not rule that anything further is required to satisfy our constitutional requirements.

Let me now turn to subsection (4) of the new clause proposed by Amendment 3, which was tabled by the noble Baroness, Lady Hayter. I have to say there is something about Labour and Clause 4, but we will put that to one side. The motive behind this subsection was summarised by the noble Lord, Lord Pannick, in Committee and he repeated it today. He said:

“Parliament should decide whether we leave the EU with no agreement or whether we leave the EU with whatever agreement is being offered to us by the EU that the Government think is unacceptable”.—[Official Report, 1/3/17; col. 907-8.]


As he said, proposed new subsection (4) goes beyond what the Government have committed to in the other place and there are several problems with it. The first concerns the Government’s role as negotiator and one of my first principles, which is protecting our national interest. When considering this amendment, we must ask ourselves whether it will strengthen or weaken the Government’s hand at the negotiating table. Remember the wise words of this House’s Select Committee:

“The Government will conduct the negotiations on behalf of the United Kingdom, and, like any negotiator, it will need room to manoeuvre if it is to secure a good outcome”.


Let us not forget the Motion passed by the other place that nothing should be done to undermine the negotiating position of the Government. This proposed new subsection in this amendment would do just that—