6 Earl of Kinnoull debates involving the Department for International Trade

Skills and Post-16 Education Bill [HL]

Earl of Kinnoull Excerpts
Amendment 87 withdrawn.
Earl of Kinnoull Portrait The Principal Deputy Chairman of Committees (The Earl of Kinnoull) (CB)
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We now come to Amendment 88. Anyone wishing to press this amendment to a Division must make that clear in the debate.

Amendment 88

Moved by
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Amendment 89 had been withdrawn from the Marshalled List.
Earl of Kinnoull Portrait The Principal Deputy Chairman of Committees (The Earl of Kinnoull) (CB)
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We now come to Amendment 89A. Anyone wishing to press this amendment to a Division must make that clear in the debate.

Amendment 89A

Moved by
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Lord Willetts Portrait Lord Willetts (Con) [V]
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I will refer to this amendment briefly as well, although it overlaps to some extent with the debate that we have just had. I begin by declaring some specific interests. I am on the board of UKRI, the public agency responsible for funding social science research and administrative data, and I am the president of a think tank, the Resolution Foundation, which has an interest in using and accessing research data.

The background to this is the battle on LEO data, which has already been referred to. I assure the Minister that I am very proud of having fought long and hard to get the LEO data made available—incidentally, in the course of it, overcoming objections rather similar to the ones she just made to my previous amendment. After battles with HMRC, we got LEO data, and it has improved the debate on universities—although, as the noble Baroness, Lady Garden, said in our previous debate, we should never think that earnings data are the be-all and end-all.

After long and difficult battles with HMRC, that data was made available to a small group of accredited researchers, and is now analysed closely by, above all, the Institute for Fiscal Studies. However, a lot of weight is placed on the LEO data, and there are other datasets about learner outcomes, not all of which are covered by the Digital Economy Act. I am worried that the debate on graduate outcomes is in the hands of a very small number of researchers with access to the LEO data. Researchers as a whole find it difficult to access data not covered by the Digital Economy Act. For example, health data is not covered by it. It would be very interesting to know—there is a lively debate about this—the extent to which going to university boosts health outcomes and life expectancy, for example.

Of course there must be rigorous standards for the researchers accessing such data: confidentiality, anonymity and a whole host of other requirements all need to be in place. However, we would have a better-quality and more wide-ranging debate about higher education if there were a wide range of perspectives informed by a wider range of empirical data about what is actually happening. After I successfully fought for the LEO data, I never expected that it would become the be-all and end-all. I see it as part of a much wider set of data types and a much wider range of researchers, properly regulated, analysing what happens in education.

The parallel with the previous amendment is that data matters. This Government are bold on science and technology. They understand the importance of data in good public policy. The DfE is not the worst offender when it comes to providing researchers with access to data, but there are certainly clear constraints at the moment on that access, going way beyond the necessary requirements of confidentiality and anonymity. I hope that, in the light of that, the Minister will consider undertaking that there should be a greater range of researchers with greater access to key learner data, so that we can all debate it with more information at our disposal. That is why I move the amendment.

Earl of Kinnoull Portrait The Principal Deputy Chairman of Committees (The Earl of Kinnoull) (CB)
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My Lords, the noble Lords, Lord Aberdare, Lord Adonis and Lord Lucas, have withdrawn, so I call the noble Lord, Lord Watson of Invergowrie.

Lord Watson of Invergowrie Portrait Lord Watson of Invergowrie (Lab)
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Ah, a lot earlier than expected, but thank you, Lord Deputy Chairman. As with the previous amendment in the name of the noble Lord, Lord Willetts, this recalls debates in which both he and I participated four years’ ago on what was then the Higher Education and Research Bill. This amendment in particular evokes the many considered by your Lordships’ House on the teaching excellence framework. As an aside, I say that the Bill we are considering today has about 100 amendments being discussed over four Committee days. We are fortunate, because in 2017 the Higher Education and Research Bill had more than 500 amendments tabled to it over seven Committee days, most finishing very late into the evening—happy days.

I believe that the connection I drew with the TEF—which has as its full title the Teaching Excellence and Student Outcomes Framework—is relevant, because both the TEF and the key learner data, which this amendment suggests should be collected, is the same in respect of graduates’ employment and income data. In 2017, I believed that TEF was both intrusive and—not entirely, but largely—irrelevant. I hold the same view about the key learner data. I do not believe the data mentioned in the amendment is key, although it would be for researchers to define it in any way that they saw fit, were this to be adopted. That seems to be much too open-ended, potentially covering subjects that appeal to the imagination of any underemployed researcher.

The amendment states:

“What constitutes ‘key learner data’ must be reasonably defined”.


Who would decide what is reasonable? As far as I can see, the noble Lord, Lord Willetts, did not say what, apart from graduates’ employment and income data, it might involve—would it include a person’s socioeconomic background, whether they were state or privately educated, an undergraduate or postgraduate, or a mature student, or maybe even their ethnicity? I understand that the noble Lord, Lord Willetts, aims to increase the number of researchers with access to information on graduates, and I support that, but who would act as the gatekeeper? If I did not know and very much respect the noble Lord, Lord Willetts, I would say that he might even be making a rather fanciful suggestion. That said, I do not see the merit that he sees in this amendment and, notwithstanding his opening remarks and explanation to noble Lords, I am unable to signify our support.

Skills and Post-16 Education Bill [HL]

Earl of Kinnoull Excerpts
2nd reading
Tuesday 15th June 2021

(2 years, 9 months ago)

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Lord Bilimoria Portrait Lord Bilimoria (CB) [V]
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My Lords, the Skills and Post-16 Education Bill represents an opportunity to create a more agile and jobs-focused skills system that is underpinned by local collaboration between further education, higher education and business. Strengthening collaboration with business can help us to identify and respond to skills demands through providing short courses that support employment and provide a talent pipeline for job creation.

For local skills improvement plans to be successful, they must leverage the input and strengths of businesses, along with further and higher education providers. Partnerships between colleges and universities can build clear pathways for people to learn new skills and support employers to recruit and upskill their workforce across the different stages of education and training. Local strategies should complement the work of LEPs and combined authorities in skills planning and harmonise the efforts of regional actors. A fragmented approach across different geographies risks confusing employers and leaving gaps in coverage.

The Government must go faster to support adult learning, ahead of the introduction of the lifelong loan entitlement. The CBI, of which I am president, in its Learning for Life report found that, by 2030, nine in 10 people will need to upskill or retrain in order to prevent skills gaps emerging in the UK. Covid-19 has thrown this challenge into even sharper focus, with an urgent need to respond to increasing unemployment. The introduction of a lifelong loan entitlement is a positive step to enable more adults to acquire the skills they need to flourish. However, the 2025 timeline needs to be accelerated in order to support the reskilling that our economy demands. In the interim, the Government should work with further education and higher education providers to incentivise and upskill through more flexible, modular and bite-sized courses.

To build on the Bill and deliver on the priority of boosting adult education, the national skills fund must also provide support for individuals facing the biggest barriers to learning, thus supporting those with the greatest retraining needs. This will be essential to mitigate the job displacement being caused by the pandemic and will help the UK to seize the benefits of an increasingly digital and green economy. We need a levelling-up of opportunity for people to build their skills, but that will require significant business investment. Realising the Government’s ambitions for this Bill will require fundamental levy reform. Addressing skills gaps in our economy and giving everyone access to the education and training they need will cost approximately £130 billion over the next decade. That is what the CBI has estimated. The Government must create the right incentives to unlock business investment in every town, city and region.

In its current form, the apprenticeship levy serves as a barrier to investment in skills. It is distorting investment as firms try to make training fit awkwardly into an apprenticeship. Many firms are also reticent about investing in further skills support until they have spent their full levy fund. A flexible skills and training levy could unleash business investment in both people and workplaces, and could capitalise on the increase in employer demand for the more modular, skills-based provision that the Government are proud of. Does the Minister agree with that?

The Government have also taken steps to make it easier for employers to transfer funds to SMEs in their supply chains. While levy payers are keen to help smaller firms invest in apprentices, that does not overcome the wider challenges, including those faced by SMEs. The fundamental issue is that employers are being forced to address all their training needs via the apprenticeship route, leading to most levy payers underspending their pot of funds. We have reached an impasse with the Government, with the Department for Education pointing the finger at Her Majesty’s Treasury. Will the noble Baroness the Minister clarify the situation?

The Open University has said clearly that the Bill is a key opportunity to reverse the calamitous decline in part-time students in higher education in England. I hope that the Minister will agree that it is essential that this is not missed. I was proud to be the youngest university chancellor in the country at the time, from 2005 to 2010 at the Thames Valley University, now the University of West London. I saw at first hand the amazing number of mature and part-time learners, but that has sadly declined hugely now.

Professor John Holford, who was a fellow commissioner on the Centenary Commission on Adult Education that reported in November 2019, has made some really important points. He says that a Bill which focuses on skills and productivity is important, but post-16 education is also vital for many other reasons too. For example, it can help individuals and communities who are struggling to counteract loneliness and isolation in the wake of Covid. We need to recognise the wider educational role of the further education sector.

Schools and universities celebrate learning for vocational qualifications, but they also teach philosophy, ethics, art and music, which are the tools needed for active citizens. Further education alone is denied that breadth. Educational breadth is needed so that adult education can engage with those who are most in need. Education has often not worked for them in the past. They do not see education as a route to earning more. Adult education needs to be able to offer the kind of learning that will enthuse and engage people. Does the Minister agree? Very often, this will build their confidence so that they can go on to study further for a qualification to progress towards better work, improved health and well-being, along with other outcomes that benefit themselves and their communities.

This Bill offers no new support for students studying below level 3. That pathway is vital to the post-16 educational landscape. Without adequate support in the adult education budget for lower-level qualifications, many students will not be ready and able to take up the level 3 offers that are included in the Bill. Does the Minister agree with this?

The preparation of local skills improvement plans must involve wide consultation not just with employers but with professionals, including community adult education providers such as the institutes for adult learning, general further education colleges and local authority community adult learning representatives.

In conclusion, I am proud to be chancellor of the University of Birmingham. Earlier on, my fellow chancellor, the noble Lord, Lord Willetts, made such an important point in this debate. Far too often, people have a mindset that further education equals technical and vocational, while university education equals academic. Universities are also proud to offer vocational training and qualifications, whether that be in filmmaking or engineering.

Earl of Kinnoull Portrait The Deputy Speaker (The Earl of Kinnoull) (CB)
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The noble Lord, Lord Flight, has withdrawn, so I call the noble Baroness, Lady Whitaker.

Qualifications

Earl of Kinnoull Excerpts
Tuesday 3rd November 2020

(3 years, 4 months ago)

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Baroness Berridge Portrait Baroness Berridge (Con)
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Actually, the UTCs are a mixed picture. Some have achieved that link with local employers, where they have strong themes and do outreach. I hosted a round table of the successful UTCs, because it is important that we pass on their success, particularly in pupil recruitment, which is the key factor for those that are not successful. So we stand behind that, but I recognise that swift decisions need to be taken for those that, unfortunately, have not had such success.

Earl of Kinnoull Portrait The Deputy Speaker (The Earl of Kinnoull) (Non-Afl)
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My Lords, the time allowed for this Question has now elapsed. We come, therefore, to the third Oral Question.

Covid-19: Schools

Earl of Kinnoull Excerpts
Thursday 14th May 2020

(3 years, 10 months ago)

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The Answer was considered in a Virtual Proceeding via video call.
Earl of Kinnoull Portrait The Deputy Speaker (The Earl of Kinnoull) (Non-Afl)
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We will proceed immediately to questions led by the Opposition Front Bench. The Minister will respond to each question in turn. I ask that questions and answers be brief, so that I can call the maximum number of speakers.

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Baroness Berridge Portrait Baroness Berridge
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Noble Lords will be aware that the scientific evidence we rely on comes from the SAGE committee. Obviously, I join the noble Lord in paying tribute to the hard work of so many parents, teachers and support staff who have not only delivered school meals but printed out worksheets and delivered work to people’s doors. We will move toward the reopening of all schools but this is contingent on scientific advice, which is the best way forward.

Earl of Kinnoull Portrait The Deputy Speaker
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My Lords, I very much regret that the time allotted is now up. The day’s Virtual Proceedings are now complete.

Virtual Proceeding adjourned at 7.27 pm.

Trade Agreement between the United Kingdom of Great Britain and Northern Ireland and the Swiss Confederation

Earl of Kinnoull Excerpts
Wednesday 1st May 2019

(4 years, 11 months ago)

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Earl of Kinnoull Portrait The Earl of Kinnoull (CB)
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My Lords, I congratulate the noble Lord, Lord Whitty, on tabling this Motion and providing a mechanism for the House to discuss these very important issues. I sit on the EU Select Committee and its EU Justice Sub-Committee. The reason for my mentioning the latter committee will become clearer later in my short remarks.

The noble Lord, Lord Whitty, made a good case about the size of the trading relationship between Switzerland and the UK, and a good summary of that is laid out in the Select Committee’s report of 12 March—HL Paper 315. In that summary, there is evidence of an important thing to remember in trade, and that is that services and goods are now interlinked. When you sell a good, you often have a service alongside it. Evidence of that is immediately visible because so much of the goods traded in Switzerland is precious metals, and of course a lot of that is really evidence of the physical delivery of an underlying metal trading mechanism that is going on. Therefore, any damage one does to the ability to trade services will inevitably impact on the ability to trade goods. It is incredibly important to make sure that those two things are in alignment. It is mutually beneficial to have clear arrangements for the trading of both goods and services.

I shall make only two points. My first point concerns complexity. The Swiss ambassador told us in mid-November that he had had a hand in handling more than 100 bilateral agreements that Switzerland has with the European Union, and he explained to us the sheer complexity of that beast. There is one piece of good news about that beast—I am looking at the Minister—and that is that, although the tentacles on the top of the beast are complicated, underneath the surface of the beast is a joint committee which has access to various processes and remedies which are common among the 100 or so agreements. So there is complexity on the top and simplicity on the bottom, but it is very important to marry up the goods and the services.

The complexity that we are already developing has been listed. We have the scheduled air services agreement, the carriage of passengers and goods agreement, the non-life direct insurance agreement, the trade agreement and the citizens’ rights agreement, which I shall come to in a second because the EU Justice Sub-Committee examined it. The complexities were acknowledged to us in a generous and helpful letter from the Minister to the Select Committee on 20 March. Perhaps I may take a brief loop here and say how helpful the officials in the department have been to our colleagues in the European Union Committee and how much we value the quality of that relationship. We are drinking from a firehose in learning how to scrutinise these things, and the officials are being most helpful.

Turning to the citizens’ rights agreement, as the noble Lord, Lord Whitty, has pointed out, the trade agreement contains nothing on services—there are no services provisions at all—and so far we have had two of the five agreements which contain a bit on services. We have my own home territory—non-life insurance—and I can confirm that that agreement, although I was not a scrutineer of it but it did come through the main Select Committee, is word for word the same as the successful agreement that exists between Switzerland and the EU. It is an important piece of the interconnectivity and mutualisation of insurance across Europe that has gone on for many years.

The fifth of the agreements to appear was the citizens’ rights agreement, which includes a big hunk of the freedom of movement agreement within it. Unlike the other four agreements, it is not a rollover, as the noble Lord, Lord Whitty, pointed out; in fact, it is a sort of orderly winding down of the various rights. There is a protection of the rights of the 14,000 Swiss citizens living in this country and the 14,000 British citizens living in Switzerland, and the protection of the rights of about 2,500 border officials. One of its key benefits, as was mentioned by the noble Lord, Lord Whitty, is the 90-day services provision rules, which allow me to go to Switzerland lawfully and talk about insurance with a view to selling a service and to do so for 90 days in a year. It is enormously helpful, both for Swiss people to come here and for us to go there. Suddenly to find that, in this thing that is working so well, there is a sunset clause five years out—a cliff edge—is very disappointing. It would be interesting to hear the logic for having inserted that because, if it was not needed by the EU, I do not see why we need to have one now.

We discussed with officials how Parliament might scrutinise what will be a very important decision of the joint committee to extend that five-year period. It will be an extremely important decision both for Switzerland and for the United Kingdom. They said—I shall quote from our report:

“In response, officials advised that no decisions had yet been taken on scrutiny arrangements for such a decision, given that it would not take place until five years after the specified date”.


It would be very helpful if the Minister could commit to the House that at least there will be a scrutiny mechanism, albeit that I realise that she cannot say at the moment what it would be.

Finally, I feel I must come back to the point on complexity. My mind goes back to the very interesting hour and a half we had with the Swiss ambassador who talked about complexity. It would be enormously helpful if the Minister could commit to provide consolidated guidance on the eventual list of agreements between the UK and Switzerland and to place that on the GOV.UK website. Then British businesses—and, indeed, Swiss businesses—that want to know what the deal really is will not have to look at a lot of different bits of guidance but can look in one consolidated place. That single thing would help trade between our two old and very friendly countries a lot.

Lord Purvis of Tweed Portrait Lord Purvis of Tweed (LD)
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My Lords, we are indebted to the noble Lord, Lord Whitty, and to the other committees that have done such forensic scrutiny on this agreement for highlighting so many constructive areas for questioning by the noble Earl and the noble Lord, Lord Whitty. I have two or three questions to add and I shall emphasise a couple of points.

What we are debating today is a clear example of how it was never going to be simply a “cut and paste” or “merely technical” exercise to roll over existing agreements. Their breadth and complexity are now clear to see, especially in the context that our trading relationship and wider relationship over people, goods and services is included in 140 agreements between the EU and Switzerland, while this agreement covers only eight of them.

It is also worth noting that we have an opportunity to debate this significant measure because of the Motion tabled by the noble Lord. Before the Recess, I tabled similar amendments in relation to the three previous agreements. It surely cannot be the way forward for the only way for us to have parliamentary debate on these agreements and treaties in this House to be for Members from opposition parties to move regret Motions and amendments. There has to be a more constructive way for the Government to bring forward proposals for Parliament to have an opportunity to debate them. We made this case during the Trade Bill, and we are waiting to see whether it comes back to this House after consideration of Lords’ amendments by the other place. Some of those amendments were to try to ensure a greater degree of parliamentary scrutiny throughout the process, from the start of negotiations right through to the end and the approval of the negotiations. We took in good faith the intention expressed in the Government’s Statement about an enhanced parliamentary role in scrutiny, but that will be tested when the Government have an opportunity to consider the amendments that this House made to the Trade Bill. We are waiting to see what they will do.

As the committee indicted, this agreement raises constitutional implications about scrutiny, not only of the merits of the agreement itself but of the mechanism for amending it, about how the joint committee will operate and the noble Lord’s significant point about MoUs. There is quite a lot of leeway for the Government to have trade agreements through memoranda of understanding if domestic legislation does not need to be amended, but it could be very broad leeway when it comes to trading policy, and if it were a means of bypassing Parliament, that would be very regrettable. The single aviation market and the open skies agreement between the EU and the US are very good examples of where proper scrutiny rather than simply an executive-to-executive arrangement is required.

However, we are where we are. This agreement was perhaps started in a very false political context and through a rather unseemly political process to try to get agreements in place before what would have been Brexit day. I hope that this slight window of opportunity allows us to take some deep breaths. What had seemed to be rollover agreements could well now be seen in their proper context of an ongoing permanent trading relationship with those countries, should we leave the European Union. However, as with the earlier rather tortuous Private Notice Question about ferry contracts, it begs the question of what will happen in six months’ time if we are in the same situation as we were before 29 March. The clock is ticking towards another situation—there are about six months to go—and there seems little clarity about our preparedness for it.

I turn to the agreement itself. The noble Lord, Lord Whitty, and the noble Earl talked about the scale of our trading relationship with Switzerland, which is very large. I noted a comment online from a professor at Geneva University which summed up that this is not simply about the UK’s trading relationship with Switzerland; it is also about the UK, Swiss and EU relationship. Going forward we simply cannot separate out those three, as I think is recognised by both Houses. The professor said of the Swiss relationship with the European Union:

“It’s like the moon around the Earth: The force of attraction of the European Union is such that you can’t have all the autonomy that you want”.


Therefore, even in the context of Brexit, we will still have a bilateral relationship which, in many respects, will be dominated by the relationship with the European Union. Brexit will not mean that we are immune from the laws of trading gravity.

The Government’s report on the agreement clearly shows that some of the most crucial elements of the trading relationship, such as customs facilitation and security, or animal and plant health requirements, will still depend on the positon that the EU takes and then the position that we take in our relationship with the EU. Many noble Lords have been aware of this. Some countries were simply not in a position to sign a rollover agreement before Brexit because, justifiably, they were waiting to see what the future relationship would be. Therefore, it is little surprise that, of the 140 agreements with the EU, only eight have been able to be rolled over in this agreement. Even within some of those eight, as the noble Lord, Lord Whitty, said, some key components have had to be disapplied as we wait to see what our future relationship and agreement with the EU is. By definition, in a no-deal scenario much of our relationship would be at risk in six months’ time.

With regard to the agreement itself, I have a number of questions arising from the very thorough contribution of the noble Lord, Lord Whitty. As he indicated, only three of the 20 sectors of the EU-Swiss mutual recognition agreement are covered by this treaty. Of those, as the agreement states, we are waiting on the recognition of equivalence of rules between Switzerland and the EU. When do the Government estimate that we will reach a position of clarity on that? Elsewhere, it is indicated that the Government are looking for “simplified arrangements”. What is being considered as far as mutual recognition agreements and simplified arrangements are concerned, and when are they likely to be brought forward?

On agricultural products and those significant areas that have been disapplied, including sanitary and phytosanitary measures for plant health, animal feed, seeds and the trade in animal products, the Government indicated in their report that there were,

“requirements for equivalence or harmonisation with EU law and systems”.

What is the Government’s intention with regard to those in a no-deal scenario, when there would be no move towards agreement on equivalence or harmonisation? What is the Government’s intention with regard to how those harmonisation elements would be brought about?

Trade Bill

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Baroness Brown of Cambridge Portrait Baroness Brown of Cambridge (CB)
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My Lords, Amendments 31 and 32 are in my name and those of my noble friend Lord Kinnoull and the noble Baroness, Lady McIntosh of Pickering. Amendment 31 relates to the presumption in favour of adoption of trade measures and it will be familiar to noble Lords from Committee.

The Taxation (Cross-border Trade) Act sets the overarching rules under which the UK’s new Trade Remedies Authority will operate. The Act does not have a clear or explicit presumption in favour of adoption of trade measures akin to the EU equivalent, the Union interest test. Considering whether measures are in the interests of the UK involves taking into account five different sets of interests. In doing that, unlike the EU approach, the Act does not give priority or special consideration to the interests of the complainant industry. That special consideration gives the EU test a presumption in favour of adoption of measures, which is absent in the UK Act. While government amendments on Report of the Taxation (Cross-border Trade) Act improved the wording around the economic interest test, and Ministers have privately assured manufacturers that the intention is that there is a presumption in favour of adoption of the measures, the words contained in the Act fall short of such a presumption.

I thank the Minister for helpful meetings with me and my noble friend Lord Kinnoull on this issue, and I hope that, in her reply, she will be able to clarify the presumption that the TRA will apply when it conducts the test. An explicit reference to special consideration of the need to remove injurious dumping would be particularly helpful.

Amendment 32 relates to the way that the detailed rules for the operation of trade remedies will be scrutinised. These rules will have profound impacts on UK manufacturers’ ability to level the playing field when overseas competitors do not play by the rules. Many of those rules about the operation of trade remedies will come through secondary legislation as a result of provisions in the Taxation (Cross-border Trade) Act. Trade policy generally, including specific issues such as these, is of such importance that we should be discussing it frequently in your Lordships’ House—a sentiment that I believe the Minister might also support. Amendment 32 would require the statutory instruments to be affirmative instruments, to be discussed and approved by resolution of both Houses. I am interested to hear from the Minister about the opportunities that your Lordships’ House will have to debate important trade policy issues. I beg to move.

Earl of Kinnoull Portrait The Earl of Kinnoull (CB)
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My Lords, I added my name to these two amendments and I will be brief. I agree with every word that my noble friend Lady Brown just said. I add my thanks to Ministers and the Bill team, who have been very gracious and given of their time generously to discuss these issues. I have nothing to add to what my noble friend Lady Brown said about Amendment 31, about which I wholly agree.

I also agree with what she said about Amendment 32, but I have one more point to add. It arises out of the report of the Constitution Committee into the Trade Bill. Talking about the formation of the Trade Remedies Authority, it states:

“While we recognise the pressing timescales and uncertainties concerning Brexit, in constitutional terms, creating and empowering an important public body in such a manner is inappropriate”.


I very much agree with that assertion. I therefore regard Amendment 32 not only as a mechanism for debate but as a partial cure for the problem that the Constitution Committee has unearthed in its report. I therefore see it as being an attempt to try to somewhat address that problem. Can the Minister comment on that and, if she feels the amendment should not be agreed, how we should address the itch that the Constitution Committee identified?

Lord Lansley Portrait Lord Lansley (Con)
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My Lords, I will make three very quick points. First, we need to be clear that Amendment 31 simply tries to attach the words “special consideration” rather than “take account”. It is not that all the factors are not there; they are, and they will be considered. The point is that special consideration should be given to this. It is not necessary to do that, because the nature of the structure in Schedule 4 would suggest that that precisely would be the case. I cannot therefore support the amendment. Temperamentally, I want to support Amendment 32, but I fear that in practice there will be many such regulations and it would not be the best use of time for this House and the other place repeatedly to engage in approving regulations of this kind.

I am interested in whether the Minster has anything to add on the potential announcements today on tariffs, which we foreshadowed last week. It is said that all the existing remedies presently imposed by the European Union would be continued, even under a no-deal scenario, by the United Kingdom. I want to inquire—the Minister might choose to reply by letter—to what extent it will be sustainable for us to do that when the remedies will have been assessed in relation to the European Union as a whole, rather than to the United Kingdom itself. For example, an increase in imports leading to injury to an industry might well be applied by the European Union in relation to an industry in Italy or Spain, but it would not be appropriate for such a remedy to be applied in the United Kingdom. That would very rapidly be open to challenge if we do not get the Trade Remedies Investigation Directorate, which is up and running in the Department for International Trade, on the case, so that we can, if we have to—I hope we do not—apply remedies on the basis of an investigation with UK, rather than EU, data.

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Baroness O'Neill of Bengarve Portrait Baroness O'Neill of Bengarve (CB)
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My Lords, in the absence of my noble friends Lord Bilimoria and Lord Hannay, I shall move Amendment 33. This is yet another amendment on trade in the cultural industries, which have become a very important export sector, with the distinctive feature that some of the exports, in particular educational services, bring people to this country rather us sending goods to other countries.

The amendment seeks to improve the statistical basis for estimating the value of overseas students coming to this country. At present, the way it is estimated is not very satisfactory. Statistics are produced by the ONS, which calculated it as £7.2 billion, and by the DfE, which calculated it as £19.9 billion. That is quite a big gap. The aim of the amendment is to improve the statistics, making it easier to set an export target for this sector. There is a clear need for complete and unambiguous information. Although the students do the travelling, the educational services are a valuable export in which this country has an important place. We have targets set, but it does not make very much sense to set targets until one has clarity about the metrics. This amendment is about the metrics and getting the target right. I beg to move.

Earl of Kinnoull Portrait The Earl of Kinnoull
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My Lords, I was added as the fourth batsman. I have only one thing to add to the very clear presentation made by my noble friend Lady O’Neill, which is that noble Lords will note paragraph (f) of subsection (1) of the proposed new clause. It would mean that some estimate of the tourism expenditure of visitors to students studying in the UK would be included in the statistical information. This information is being collected in Australia and the Australians have discovered that it is quite a big economic driver. That has led them to feel that they have a jewel in the crown of educational exports, and they are trying to grow it. The more we understand the numbers and statistics of the mighty business we have, the more we would be likely to feed it and help it. I bring that to the House’s attention.

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Baroness Brown of Cambridge Portrait Baroness Brown of Cambridge
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My Lords, Amendment 60 is in my name and those of my noble friend Lord Kinnoull and the noble Baroness, Lady McIntosh of Pickering. I also support Amendment 59.

The UK needs a strong and independent Trade Remedies Authority with a balanced membership to investigate alleged dumping and subsidy cases and to recommend remedies. Schedule 4 to the Trade Bill defines the membership of the TRA and its governance. As I have said before, and as the noble Lord, Lord Lansley, emphasised in moving Amendment 59, while both Clause 10 and Schedule 4 make the independence of the TRA a clear objective, this does not sit entirely comfortably with the chair and the non-executives being appointed entirely at the discretion of the Secretary of State.

The governance model of the Office for Students in the Higher Education and Research Act 2017 seems to offer a good model for delivering both independence and balance, and this is the model that has been used in drafting this updated amendment. It would require the Secretary of State to have regard to the desirability of members having between them experience in a number of relevant areas, including UK manufacturing, trade unions, consumers, regional economic growth, regulatory systems and international trade disputes.

The Government have suggested that the TRA should be managed by trade remedies experts rather than by stakeholders with vested interests, in order to be independent. However, the chief executive designate has already told a Commons Select Committee that she is not a trade remedies expert. A properly balanced group of non-executive stakeholders, supported by expert executives, could be effective, independent and balanced. I look forward to hearing from the Minister how the Government will ensure the combination of independence and balanced and relevant expertise that this important body requires.

Earl of Kinnoull Portrait The Earl of Kinnoull
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My Lords, Amendment 60 is also in my name. I too have problems with the TRA as currently constituted, in that arguably it lacks independence and balance. It is in looking for independence and balance that the amendment has evolved. Amendment 59 very much deals with the independence point, and on that basis I strongly support it.

In Committee, I said that independence is important, because the TRA needs to be seen to be not a mere cipher for the British state but something which has its own life. There is a problem when one looks at Schedule 4 and sees that the chair is appointed by the Secretary of State, as are all the non-executive directors. The Secretary of State gets the chance to approve the CEO. The non-executive directors will always be in the majority and the Secretary of State has the power to remove them. On top of that, paragraph 34 of Schedule 4, entitled “Guidance”, says that the TRA must have regard to the Secretary of State’s guidance, which seems to me to mean instructions. It seems to be wrongly titled. Therefore, I worry that the independence bit of my beef is not coped with sufficiently. I look forward to hearing something from the Minister to assuage my concerns.

Balance is incredibly important. This cannot be an effective body if there is no balance—balance of experience and background. The point is obvious. Nowhere in Schedule 4 do I see anything that gives rise to a feeling that there would be balance, but I look forward to being corrected on that point.

Baroness Neville-Rolfe Portrait Baroness Neville-Rolfe (Con)
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My Lords, I rise simply to say that I do not particularly agree with Amendment 60. It is necessary to have expertise in the TRA. As I said on an earlier occasion, I am not convinced that having a completely separate authority is sensible. The European Union seems to do a very good job on trade negotiations. That, as I recall from my experience as a civil servant, a Minister and a businessperson, was done in-house. I ask the Minister to pause before agreeing to these amendments without thinking about them a little further.