United Kingdom: Single Market

Baroness Hayter of Kentish Town Excerpts

Tuesday 15th November 2016 Lords Chamber

[Lord Bridges of Headley]

The noble Lord makes a very good point. As he and the whole House will know, the Prime Minister has made it clear that we wish to take control of our laws, borders and money, while achieving the best possible access to the single market, and ensuring that we have the means to continue to co-operate and collaborate with our European partners on issues where it remains in our national interest to do so.

[Baroness Hayter of Kentish Town (Lab)]

Is it not the truth that the Government were so ill prepared for Brexit that the reason they are not revealing their hand is that they do not know what their hand is? They seem to have three hands, with three different Ministers not in agreement and one of them even failing to meet the 27 fellow members of the European Union, whose support we will need in our negotiations. Therefore my question to the Minister is: rather than playing politics, could he—

[Noble Lords]

Oh!

--- Later in debate ---

[Baroness Hayter of Kentish Town]

Listen to the punchline. Could he not treat us all as adults and say that this House and all parties should be involved in this for the sake of the national interest, and that we should have a discussion which incorporates what we want to say rather than saying, “It is all secret and we cannot tell you”? Will the Minister take that approach in the discussions?

[Lord Bridges of Headley]

My Lords, I certainly treat everyone in your Lordships’ House as adults and listen to, and respect, the views of those on all sides of the House, whatever their views might be. As I have said all along, the Government’s view on this is to continue to engage as far as possible with this House, the other place and, indeed, groups right across society, including businesses and NGOs, and listen to their views. We are doing so in a measured, calm and reasoned way. We will continue to do so and assess the options open to us.

Brexit: Article 50

Baroness Hayter of Kentish Town Excerpts

Monday 7th November 2016 Lords Chamber

[Baroness Hayter of Kentish Town (Lab)]

I thank the Minister for repeating the Statement, which I feel he had no hand in drafting. My guess is that he would have preferred to get on with allowing Parliament to trigger Article 50. Indeed, how much better it would have been if the Government had listened to the wise words of our Constitution Committee in September, when it said that a parliamentary vote would be needed. It is hard to understand why the Government are getting in such a tizzy about this. Rather like after their tax credit defeat, they overreact when faced by any challenge.

In September, I commented that,

“leaving the EU is not a simple step outside but a journey”.—[Official Report, 8/9/16; col. 1131.]

But will we leave Brussels via Dunkirk or Ostend, by train through Calais, by plane via Dublin or, heaven forfend, by the good ship “Titanic” piloted by Boris Johnson?

These are serious matters. In our economy, highly dependent on services, we have to secure a future for our creative, internet, design, legal, engineering and financial services and for intellectual property. We must be sure that our insolvency practitioners, chasing down funds for UK-based creditors, have access to squirrelled wealth in EU countries—currently allowed for under the mutual recognition of appointments—and that our lawyers retain rights of address and legal privilege. We need to safeguard the future of UK nationals living abroad as they lose their EU citizenship. We have to disentangle our competition law from that of the EU, law developed to protect consumers from monopolies and cartels, while helping our exporters, who will still be subject to EU competition rules.

Until we know the terms on which we will leave the EU and our relationship with the remaining 27 member states after we leave, we cannot negotiate trade deals with the rest of the world, so the terms on which we disengage from the EU and their consequences should be debated in Parliament. Parliament needs to question whether the Prime Minister has the right negotiating objectives for how we leave the EU. What priority will she give to remaining in the single market? Is she safeguarding—indeed, promoting—our regions, which have done less well from globalisation? Is she seeking to enhance consumer, environmental and workplace protections? Are her objectives grounded in security considerations and promoting human rights and are they acceptable to the electorate?

The British people decided that we should leave the EU, but it is for Parliament, not simply Downing Street, to debate the exit details. Whichever route we take, we have a long journey ahead of us. In that time, my fervent hope is that we see no more of the British press, which ought to recognise the sovereignty of Parliament and the independence of our judiciary, printing 72-point headings naming the Master of the Rolls and the Lord Chief Justice as “Enemies of the people” simply for doing their job and pointing out that, constitutionally, the Government,

“does not have power under the Crown’s prerogative to give notice pursuant to Article 50 … for the United Kingdom to withdraw from the European Union”.

The High Court ruling will not derail Brexit. However, given that the Government were caught short by the referendum result and none of the preparatory work was done in the case of a Brexit outcome, can the Minister assure the House that they will not find themselves in the same position this time if the judgment is upheld, and that a Bill is in preparation? Our EU committees have already started work on the myriad issues to be addressed. Could the Minister confirm that the Government will listen to the experience and knowledgeable words of these colleagues as they go forward?

[Baroness Ludford (LD)]

My Lords, I also thank the noble Lord for repeating the Statement. I could not agree more with the assertion in it that implementing the decision to leave the EU means following the right processes, including securing the time to develop a detailed negotiating position. The right processes mean implementing the repeated pledge to honour UK parliamentary sovereignty and seeking parliamentary approval for the negotiating position.

By December, the Government will have lost six months in that process. In fact, they seem to be tying themselves up in knots trying to avoid such parliamentary involvement, getting bogged down in their misguided pursuit of executive autonomy over the Article 50 process in an unnecessary and delay-inducing court case. Their incoherence is displayed in having to offer special comfort deals to particular firms such as Nissan instead of being clear in regard to the single market and the customs union. This is creating destabilising uncertainty for all kinds of economic operators and other bodies. Now we hear the Prime Minister talk about putting on the table more visas for Indian nationals, while apparently immigration is treated as a barrier to the single market. That seems somewhat contradictory.

We must rely on leaks in the press to try and read the Government’s mind—or read the tea leaves. Indeed, there is much speculation about a Bill but no such indication in the Statement today. I join the noble Baroness in asking for clarification on that. We need a respectful relationship between Government and Parliament, one indeed sketched out in several reports of our own EU Select Committee under the chairmanship of the noble Lord, Lord Boswell, and one last month from the Constitution Committee under the chairmanship of the noble Lord, Lord Lang of Monkton. A lot of work and evidence went into those reports but the Government just brushed them aside.

The Government are not only behaving arrogantly towards Parliament when the political constitutional basis for Parliament’s role was in fact clear without the legal process, but also—to the dismay of people across the political spectrum—indulging in populist and xenophobic language, culminating in the failure to properly defend the institution of the judiciary. Freedom of the press may incorporate a freedom to criticise a particular judgment but not to indulge in scurrilous personal and institutional abuse of judges and the judiciary. It is very disappointing that neither in the days since the High Court judgment nor today have the Government rebuked the nature of the press comments notably in the Daily Mail and rather more shockingly in the Daily Telegraph, including the famous “enemies of the people” slogan evocative of Nazi Germany. It would be good to hear from the Government a condemnation of that kind of press coverage, and of the incitement to rioting in the streets from the former leader of UKIP, Mr Farage.

The Government say they intend to act on the decision to leave but it is on the character of that action that we need clarity since there are many different varieties of Brexit—probably more than 57. It is necessary to be respectful to those who voted remain if the Prime Minister genuinely wants to unite the country. The phrase in the Statement about giving no quarter is a rather disturbing signal.

Liberal Democrats in no way seek to undermine the negotiating position of the Government. Parliament having an overview of the objectives would not do so. Indeed, having the backing of Parliament, as was mentioned in our several reports, would strengthen the Government’s hand in those negotiations. We are not asking for details of particular trade-offs or red lines.

Any delay is down to the Government. If they act in good faith, there is no reason not to meet a March timetable. This does not mean a series of interesting but essentially purposeless general debates in which the Government stonewall, but an opportunity to get to grips with a concrete plan and a substantive strategy. Can the Minister therefore tell us whether the Government are planning to inform Parliament about their negotiating objectives in a White Paper, as is rumoured, and what kind of Bill they are planning to produce? The Government need to stop waffling and sidestepping and give us enough meat to be able to vote for the triggering of Article 50.

Brexit

Baroness Hayter of Kentish Town Excerpts

Thursday 3rd November 2016 Lords Chamber

[Lord Bridges of Headley]

I had expected that question. The Government are clearly disappointed by the court’s judgment. The country voted to leave the European Union in a referendum approved by an Act of Parliament, and the Government remain determined to respect the vote of the referendum. We will appeal this judgment. I have nothing further to say at this precise juncture. I am sure that more will be said in due course.

[Baroness Hayter of Kentish Town (Lab)]

My Lords, it is interesting that Brexit was all about parliamentary sovereignty. We regret that the Government will now appeal against the judgment to give this decision back to Parliament. In fact, if the Government do not like the Supreme Court’s decision, perhaps they will try the European Court of Justice. We accept that we will trigger Article 50, but what is important now are the terms of that. Parliament can help to shape the basis on which we leave. It would be better to welcome this decision—and I ask the Minister to do that—to work with the judgment of the court and to take this important decision to Parliament.

[Lord Bridges of Headley]

I have nothing further to add to what I said a moment ago. The Government’s decision is to appeal this judgment. The referendum result was clear. Some 17.4 million people voted to leave, and the Government have made it clear that they wish to deliver on that.

Next Steps in Leaving the European Union

Baroness Hayter of Kentish Town Excerpts

Monday 10th October 2016 Lords Chamber

[Baroness Hayter of Kentish Town (Lab)]

I thank the Minister for repeating the Statement and I welcome the chance for the House to hear formally, rather than through the press, the decision to trigger Article 50 by the end of March and the plans for the great repeal Bill—a decision which otherwise, of course, we heard about on television. We trust that this is just the first of a number of regular attendances at the Dispatch Box to brief the House on the approach being taken and on progress being made. The decisions that the Government take over the coming months and years, regarding how we exit the EU and our new relations with both the remaining EU and the rest of the world, carry huge implications for us and for future generations.

I am old enough to remember, 44 years ago this month, that it took 69 Labour MPs to defy a three-line whip to take the UK into the Common Market, contributing to the Government’s 112 majority. Without those 69—which included the noble Lords, Lord Maclennan, Lord Owen and Lord Rodgers, Lord Hattersley, Lady Williams and Lord Sheldon, and our late colleagues Lord Barnett, Lord Roper and others—Ted Heath would have been defeated. We know the implication of that vote for my party, but all of us also know it was a parliamentary vote: a key, much-discussed, vital, and, for some of those involved, very brave vote that took us into Europe.

How, therefore, can the Government now say that the trigger—the starting gun from which there is no going back—can be fired without a vote in Parliament? The Minister spoke of returning sovereignty to the UK, yet the Government want to exclude Parliament from this process, not simply on triggering Article 50 but also in debating the negotiating terms or the evolving agreements. That is not making Parliament sovereign; it is sidelining Parliament.

Will the Minister explain why the Government will not reconsider their decision to rule out a vote on the basic terms they propose before Article 50 is triggered? We understand the Government were caught short, having had no plans for Brexit in their 2015 manifesto—indeed, they were committed to,

“safeguard British interests in the Single Market”.

They then forbade Whitehall from making plans for a leave vote. But that is no excuse for not being ready by early next year to articulate their approach. If the Government proceed to an exit deal without a vote in Parliament, their specific plans will never have the approval of the public or of Parliament. We therefore ask the Minister: when do the Government propose that Parliament should vote on their negotiating objectives?

We nevertheless accept—for some of us, with much sadness—the outcome of the referendum, but that result does not give the Government a blank cheque to negotiate away vital protections for workers, consumers, the environment or, indeed, the interests of business. Throughout these coming years and the complicated negotiations, the national interest—not just the Conservatives’ interests—must come first. Aside from defence and national security, and our continuing membership of Europol, the economy and jobs are central to the national interest. Yet, it appears from the Prime Minister’s statement to the Conservative conference that Brexit means hard Brexit and that continued access to the single market is at risk, with huge risks for the economy, jobs, business and working people. Will the Minister assure the House that the Government will seek continued access to the single market on the best possible terms? Can he rule out a default position of falling back on to the WTO terms?

For my generation—perhaps for me in particular, having been born in a war-torn Germany in the late 1940s, growing up in a divided Europe, but then able to witness the blossoming of a free, open and prosperous Europe, built on free trade in a single market—the next two and a half years will be utterly demanding as we seek a new relationship with our continental allies. It is the defining issue of this Parliament and a major task for the House. Perhaps the Minister could tell us: when is the next parliamentary Session, when the great repeal Bill will arrive? Will he confirm that he will take the House with him every step of the way?

[Baroness Ludford (LD)]

My Lords, I also thank the Minister for repeating the Statement. I start, though, by querying the claim that the mandate of 23 June was “overwhelming”. Compared with the overwhelming mandate of the 1975 referendum, which was a 2:1 vote, this was a narrow majority, sending a rather unclear message that the Government are overinterpreting. While it may have been a narrow decision to leave on 23 June, it was not the decision to trigger Article 50, which first requires a great deal more knowledge of the destination.

The Government’s conduct of the Brexit process needs to meet at least four criteria. First, given the enhancement of parliamentary sovereignty and supremacy promised by the Secretary of State in his Statement of 5 September, the pledge in the Conservative manifesto of 2010 to reform the use of prerogative powers, and the claim in today’s Statement that the,

“whole approach is about empowering this place”,

I am surprised by the Prime Minister’s refusal of a parliamentary vote. The claim is that sovereignty is being returned to the institutions of the UK. That must mean Parliament, but it is not being done. I would like the Minister to explain why.

The Constitution Committee of this House said in its report last month:

“It would be constitutionally inappropriate, not to mention setting a disturbing precedent, for the Executive to act on an advisory referendum without explicit parliamentary approval—particularly one with such significant long-term consequences”.

I think that many in this House would agree with that. Indeed, Professor Mark Elliott, who is the legal adviser to that committee, has said in a blog that the Government’s “grounds of resistance” in the current litigation concede that permission is required from Parliament. They then say that permission was given by the referendum Act, which many of us would dispute, but they have conceded in that court case that Parliament’s permission is needed.

The second criterion, referred to by the noble Baroness, would be fulfilment of the 2015 Conservative manifesto pledge to stay in the single market. That is supported by the point stressed by the leave campaign that people voted in the 1975 referendum for the common market. Many people agreed with that, so, by implication, most people are happy to stay in the common market. Why are the Government not aiming to stay in the single market?

Thirdly, we need good governance. I perfectly agree that it is,

“now incumbent on the Government”,

as the Statement puts it, to deliver as orderly and smooth an exit as possible, providing maximum certainty for businesses and workers. Well, with business up in arms about the current uncertainty and the pound dropping like a stone, that is going well, isn’t it? The Government owe us all some certainty.

Fourthly, the Chancellor remarked that the British people did not vote to become poorer. That is on the cards, with import prices set to rise heavily in the new year, affecting everybody’s pocket and wallet.

Finally, the Government say that they want to move forward on a repeal Bill in parallel with the Brexit negotiations. Whatever the timing of such legislation, for which the implementation will fall due in 2019 at the earliest, it should not distract from the overwhelming need for this Parliament to be in the driving seat for the negotiations, and to not be a left-behind passenger.

Brexit: Single Market

Baroness Hayter of Kentish Town Excerpts

Wednesday 14th September 2016 Lords Chamber

[Lord Bridges of Headley]

My noble friend makes a number of very good points. He is right to draw a distinction between access and membership. I would add that we are—and we must never forget this—negotiating from a position of considerable economic strength in this country, endorsed once again by the employment statistics that came out today. Therefore, as we enter these negotiations, that should buoy us.

[Baroness Hayter of Kentish Town (Lab)]

At 10 am yesterday, our Constitution Committee introduced its report stating that a parliamentary vote was needed before Article 50 could be triggered. It took David Davis just five hours to reject it. Does the Minister think that that bodes well for the advice he will take from your Lordships’ House? Would it not be a good idea if some of the advice was read before it was rejected?

[Lord Bridges of Headley]

I am sorry that the noble Baroness feels that way. I have read the report with regard to Article 50, but the Government’s position on Article 50 has been clear for some time. I have nothing further to add other than that we are intent on delivering the verdict of the British people.

Brexit: Constitutional Reform and Governance Act 2010

Baroness Hayter of Kentish Town Excerpts

Thursday 8th September 2016 Lords Chamber

[Lord Bridges of Headley]

I think I got that question, and I thank the noble Lord for it. The Government are very clear about the obligations of the Constitutional Reform and Governance Act 2010, which states clearly that both Houses of Parliament have a role in approving treaties as set out in the Act. As I said in my first statement, we will observe in full all relevant legal and constitutional obligations that apply.

[Baroness Hayter of Kentish Town (Lab)]

My Lords, leaving the EU is not a simple step outside but a journey. The Government need to set objectives for their negotiations to get the best deal for what comes after we leave. They need a clear map of the hurdles, the challenges and indeed the opportunities, as well as the ways of handling emerging issues. It is vital that Parliament and, through us, the public are engaged with this every step of the way as to how we leave the EU and our relationships afterwards. Will the Government commit to ensuring that level of engagement throughout the process, so that any final vote that may happen would be on the basis of a developing consensus?