EU Membership: Economic Benefits

Barry Gardiner Excerpts

Wednesday 15th June 2016 Commons Chamber

[Mr Lilley]

Switzerland moved its banking centres to London post big bang and before the single market. I negotiated the second banking directive, which introduced passporting for banks. I was very proud of it, and subsequently wanted to make a speech saying what a wonderful thing it was, and how wonderful the single market programme was, so I asked my officials to find examples of banks and other businesses that were doing things that were made possible by the single market programme and that sort of passporting. They could not find a single one. Nearly all banks trade through subsidiaries, so do not take advantage of passporting, which allows operation through a branch rather than a subsidiary, regulated by the British financial authorities rather than those in the country in which they operate. I will perhaps come on to other aspects of the passporting issue if time permits.

[Barry Gardiner (Brent North) (Lab)]

I always listen very carefully to the right hon. Gentleman. He has made a very strong point about the difficulties in negotiating with a large trading bloc of 27 nations, including the time it would take. Why then does he feel that it would be possible, in short measure, for the UK to re-establish its trading relations with an EU of which we were no longer a part? He has made a very compelling case for why it would not be.

[Mr Lilley]

That is a very good point that I was going to come on to. It takes quite a long time for the EU to negotiate a trade deal with Canada, for example, because each country has tariffs against the other, and different product specifications and so on. Each has to trade off, say, a cut in tariffs on steel against one in tariffs on leather goods. We can see how that could take a long time, particularly if there is not much enthusiasm for it. We would start negotiating with the rest of the EU with zero tariffs on both sides and with common product standards. Zero to zero can be negotiated in a fairly short space of time, I would have thought, compared with the time needed when 10,000 different tariff lines are involved, as in other tariff agreements. It should not take long to negotiate a continuing free trade deal, with good will on both sides.

[Barry Gardiner]

rose—

[Mr Lilley]

I am afraid the hon. Gentleman has burned his boats.

Another myth, which I am afraid has been proffered by my right hon. Friend the Foreign Secretary, is that we will need to renegotiate trade agreements with all the countries with which the EU currently has trade agreements. That is not the case. There is an accepted principle in international law called the principle of continuity: if a political unit splits into parts—as the Soviet Union or Czechoslovakia did, for example—the component parts continue with the same agreement unless one party objects to it. There is absolutely no reason to suppose that the countries with which we are currently party to free trade agreements will want to end those agreements when we leave. For example, when the Soviet Union broke up it was not a member of the WTO, so had traded under separate trade agreements with other countries. Those trade agreements migrated by agreement, so that within weeks even America had migrated its agreement to Russia and other successor states. There is absolutely no reason—

UK’s Relationship with the EU

Barry Gardiner Excerpts

Tuesday 2nd February 2016 Commons Chamber

[Mr Lidington]

I hope that when my hon. Friend has the chance to look at the text in greater detail, he will see that—if agreed—it will mark a significant change in the direction in which he wished to go. Clearly, it will need the agreement of 27 other Heads of Government at the European Council, and I cannot stand here and take that for granted. He should also bear in mind the fact that the precedents of Norway and Switzerland suggest that part of the price of access to the European market and free trade has been an acceptance of the principle of free movement of workers.

[Barry Gardiner (Brent North) (Lab)]

Does the Minister agree that some of our most foundational environmental legislation lies in the EU habitats and birds directives, the clean air directive and the water framework directive? Those things can only, and must, be agreed at supranational level. What would happen if we were to leave the EU and try to renegotiate such foundational environmental legislation ab initio?

[Mr Lidington]

The hon. Gentleman makes a reasonable point, but when dealing with environmental legislation, it is important that the principles of proportionality and subsidiarity are rigorously applied. Sometimes it is right to agree on an environmental objective at European level, but to leave a considerable amount of flexibility for individual member states with different circumstances as to how precisely those objectives should be reached.

Britain in the World

Barry Gardiner Excerpts

Monday 1st June 2015 Commons Chamber

[Barry Gardiner (Brent North) (Lab)]

The hon. and gallant Member for Plymouth, Moor View (Johnny Mercer) spoke with great passion, great eloquence and great courage, and he has clearly come here with a mission to support mental health and our veterans. I was privileged to listen to him and I look forward to seeing him achieve his mission in this Parliament, as he achieved his mission on the battlefield.

Exactly one week before Her Majesty opened this Parliament with the Gracious Address, President Obama gave a speech not in London but in New London, Connecticut, to the United States Coast Guard Academy. He said:

“I am here today to say that climate change constitutes a serious threat to global security, an immediate risk to our national security. And make no mistake, it will impact how our military defends our country. So we need to act and we need to act now.”

He said that climate change posed risks to national security, resulting in humanitarian crises and

“potentially increasing refugee flows and exacerbating conflicts over basic resources like food and water.”

Last summer, I was critical in this House of the Government’s decision not to provide financial support to the Italian Government’s coastguard operation to rescue refugees from Libya. I recall the Minister’s response to me then, which was that such rescue operations acted as a “pull factor” and were only increasing the number of attempts at migration. I thought that an obscene argument then, and in the intervening months we have seen that it was not only obscene but wrong. The number of attempts has increased. On Saturday, the Italian coastguard announced that more than 4,000 migrants had been rescued off Libya’s coast on Friday.

My purpose is not to berate the Government for their lack of compassion; I want to look more deeply into why those migrants are coming in the first place. The Libyan civil war was part of a much wider pattern of regional upheavals that we called the Arab spring, which began in Egypt in 2010 with the uprisings in Tahrir Square. However, if we track those disturbances back, we come inexorably to the 2010 drought in Russia’s wheat belt. It was the longest and most severe drought in Russia in more than 50 years. Russia lost 25% of its crops, leading it to impose an export ban on wheat that it had traditionally exported to Egypt. The food crisis in Egypt was the precursor to the Arab spring; the situation was the same in Tunisia and the rest of the Arab world.

On 9 September 2010, when the UN’s Food and Agriculture Organisation warned that Syria’s drought was affecting food security and had pushed two million to three million people into “extreme poverty”, few people took any notice. In fact, Syria had suffered four successive years of drought, causing the longest and deepest crop failure since records began in 1900. The losses from these repeated droughts were particularly significant for the population in the north-eastern part of the country. Experts warned at that time that the true figure of those living in “extreme poverty” was even higher than the official estimate of two million to three million people. What is astonishing in military terms is that in September 2010 nobody predicted that such a tinderbox might give rise to civil unrest and the civil war that began only six months later.

The International Institute for Strategic Studies is clear about the impact of resource shortages. In 2011, it published a report claiming that climate change

“will increase the risks of resource shortages, mass migration, and civil conflict”,

and the Ministry of Defence has said that climate change will shift the tipping point at which conflict occurs.

It has been a feature of recent debate to talk of the need for the UK, as a member of NATO, to meet the target of 2% of GDP on military spending. Our military do a superb job, but at the moment it is a job carried out within the limits of a very limited political vision. As politicians, we have to understand that the greatest threats to our security are no longer conventional military ones; nor do they come from fundamentalist terrorists. We cannot “nuke” a famine; we cannot send battleships to stop the destruction of a rain forest, but we can spend money on clean technology transfer that enables countries to bring their people out of poverty without polluting their future, and we can invest in adaptation measures that will protect communities from the effects of climate change that are already putting societies under stress.

Next month, at a UN conference in Addis Ababa, we must begin to align the global financial system with the real economy and the needs of the world’s poor. Then, we will have taken a major step towards achieving real security for our nation and for the people of the world.