EU Withdrawal

Debate between Baroness O'Neill of Bengarve and Baroness Altmann

Wednesday 13th February 2019 Lords Chamber

[Baroness Altmann (Con)]

My Lords, it is a pleasure to follow the noble Lord, Lord Wilson of Dinton. I have enormous sympathy with just about every word he uttered. Like others, I contribute to the debate yet again with a heavy heart and deep regret that we find ourselves in this position. Once again, I find myself supporting the noble Baroness’s Motion and urging my noble friends on the Front Bench to accept it without putting it to a vote.

We are here to take note of the ongoing discussions—not negotiations, just discussions—taking place within the EU following our Article 50 notification. Why are we noting anything about discussions? The EU has made it clear that negotiations are over, on terms agreed and signed off by the Prime Minister and our team. What are we to make of this? We seem determined to break bonds with our nearest neighbours, to all our costs. We persist with apparently running down the clock, threatening no deal up to the last day, expecting the EU to cave in to whatever we demand. It is just not going to happen. The Prime Minister’s Statement says that she continues,

“to work with Members across the House to do everything we can to help build a country that works for everyone”.—[Official Report, Commons, 12/2/19; col.732.]

If that really is the aim, persisting with a no-deal route, keeping business in the dark about its future and risking people’s jobs and livelihoods by refusing to listen even to Parliament’s instruction that we must not leave without a deal is totally inconsistent with those aims.

Yes, it is true, as the Prime Minister says, that opposing no deal is not enough to stop it. But securing a deal is not the only way to stop us crashing out without one. We have the unilateral power to revoke Article 50. It is within our control. The Prime Minister says that public faith in our democracy will be damaged if Parliament ignores the result of the 2016 referendum. How could anyone seriously pretend that we have ignored that result? What is being ignored, to the detriment of trust in our Government and parliamentary leadership, is that the promises made at the time of the referendum cannot and will not be delivered. Yet the premise of the course that we are set on is that this is the will of the people. How do we know that this is what the majority of the country actually wants?

The Prime Minister says we must all hold our nerve to get the changes Parliament requires and to deliver Brexit on time. But the EU has made it clear that it will not drop the backstop. Indeed, if border checks are solved by technology, as the ERG has repeatedly suggested, what is the fuss about the backstop? It will never be needed.

Plan B, the Malthouse compromise, has been roundly rejected by trade experts. They have had to explain—as has the parliamentary Library, as the noble Baroness, Lady Ludford, pointed out—that WTO law does not allow the UK and the EU to keep trading as if the UK were still in the EU.

[Baroness O’Neill of Bengarve (CB)]

The noble Lady asked what the fuss was about the backstop. Perhaps I may explain in one sentence. It is a constitutional point, not a point about customs. Any change to the constitutional status of Northern Ireland has to respect the terms of an international agreement, the Good Friday/Belfast agreement. That agreement specifies no constitutional change without consent. I do not know what conversations are going on, but if the noble Baroness reads the present version of the backstop agreement, she will discover that it does not respect the Good Friday agreement. This, in my view, has been an error both by our Government and by the EU.

[Baroness Altmann]

I bow to the noble Baroness’s superior knowledge. However, it has been constantly and consistently the issue that, unless there is a frictionless border in Northern Ireland, there is a problem.

[Baroness O’Neill of Bengarve]

Nobody is arguing for a return to what is somewhat confusedly referred to as a “hard border”. There is agreement between the EU, the UK and the Republic of Ireland that there should be what is confusedly called a “soft border”. That is not the problem. The problem is about the constitutional status of a part of the United Kingdom. That is why people are so angry and so worried about the backstop, and why there have already been a good deal of incipient attempts at violence in Northern Ireland, which mercifully did not kill anybody.

[Baroness Altmann]

Perhaps we need to pursue this further but my understanding is that if there is technology which can ensure a frictionless border, the practical problems could be dealt with.

However, the Malthouse compromise—plan B—also falls foul of this problem: that it is impossible under WTO law for the UK and the EU to keep trading as if the UK is a member state while negotiating a free trade agreement for the future. On that basis, I am afraid that my noble friend Lord Cathcart appears to be mistaken.

Like many other countries we are in the grip of populism, whose success is based on promoting beguilingly simple soundbites and solutions to hugely complex problems. Populist leaders know that they cannot actually deliver these simplistic slogans. All that they need is for people to believe slogans such as, “Take back control”, “More money for our priorities”, “Free trade deals, easy peasy”, “Make Britain great again” and “Have your cake and eat it”. The referendum promises were never honest; they were designed to seduce people into a fantasy world of sunlit uplands, and they succeeded, but those running the leave campaign had no actual plan for how they would manage the country after Brexit. Indeed, the whole Brexit programme is based on a fundamental misunderstanding and misrepresentation of how the commercial world operates. Is this naive ignorance by politicians who have never run businesses or conducted trade negotiations, or do they just not understand or care about the legal realities?

I cannot believe that the principles of the Conservative Party—pragmatism, supporting business and jobs—are being sacrificed on the altar of an ideological fantasy, with its sacred duty to break 40 years of success. We have reckless brinkmanship and there is a reliance on railroading Parliament into acquiescence, even with the prospect of no deal. The path we are on is conducted by people who have got everything wrong so far about Brexit, about how the EU works and about how international trade operates. David Davis claimed that he could get a free trade agreement by going to Berlin, where they would be desperate to protect BMW. Liam Fox claimed that he would have 70 deals ready to roll on 30 March, on the same terms as before. The public were assured that we could have a final deal on the future relationship agreed in two years. The ERG insisted that we could leave the customs union and single market, and still have no hard border in Northern Ireland. None of these was ever realistic. Even the claims that the withdrawal agreement and political declaration will mean taking back control of our borders, laws and money cannot be relied upon, with all the difficult decisions being left to future negotiations after we have left.

The only aim seems to be to leave the EU, whatever the cost. The Government’s own figures prove that leaving the EU will make the country poorer, while leaving without any agreement will demolish our industrial success. We will lose thousands of businesses and jobs. It is not too late to go back to the British people with an honest reassessment of the false promises which they have been led to believe. It is not too late to give the country the chance to confirm that people are happy to proceed or have changed their minds. This is about not just trade but our whole way of life: our children’s future, our freedom and rights, our national security. So much is at risk. I am in favour of co-operation and partnership. But we must take care that at this crucial stage in the negotiations we are not just railroaded into leaving the EU, come what may, without checking back with the British people.