Brexit: Aerospace and Automotive Industries

Debate between Baroness Quin and Lord Prior of Brampton

Tuesday 14th March 2017 Lords Chamber

[Baroness Quin]

To ask Her Majesty’s Government what recent discussions they have had with United Kingdom aerospace and automotive industries about continued access to the European Union single market.

[The Parliamentary Under-Secretary of State, Department for Business, Energy and Industrial Strategy (Lord Prior of Brampton) (Con)]

My Lords, we engage closely with the UK aerospace and automotive sectors. We have frequent conversations about the challenges that leaving the EU poses and the opportunities that will become open to us. Both sectors have effective partnerships with government through the Aerospace Growth Partnership and the Automotive Council respectively.

[Baroness Quin (Lab)]

My Lords, the Foreign Secretary has said that it would be perfectly okay to leave the EU without a deal on Brexit, but how can this possibly be true in the case of two of our most crucial industries—the automotive and the aerospace industries? In evidence to this House, they have shown not only how important exports to the European market are but how they are part of European integrated supply chains, how much they benefit from the movement of trained European workers across European countries, and how they benefit hugely from participation in funding and key European research and development and other programmes. How can the Foreign Secretary’s statement be true for these industries?

[Lord Prior of Brampton]

My Lords, clearly, trading with the countries of the European Union is extremely important. What we are discussing are the terms of that trade. The Prime Minister has made it very clear that she hopes to negotiate a deal that means trade that is as free and frictionless as possible. On that basis, there is a very good outlook for both industries.