Oral Answers to Questions

Greg Hands Excerpts

Thursday 5th March 2020 Commons Chamber

[Mary Glindon (North Tyneside) (Lab)]

9. What recent discussions she has had with Cabinet colleagues on the preparedness of UK ports of entry to facilitate international trade after the transition period.

[The Minister of State, Department for International Trade (Greg Hands)]

We are using the transition period to ensure that the UK rises to the challenges of leaving the European Union while being ready to take advantage of all the benefits. Work on ports preparedness is being led by the Cabinet Office’s border delivery group. I remind the House and onlookers that tonight is the closure of our consultation on the new UK global tariff.

[Mary Glindon]

Can the Minister ensure that virtual free ports will be considered during the free ports bidding process, so that we can protect existing jobs in the north-east as well as creating new ones?

[Greg Hands]

The hon. Member makes an extremely good point, and that is one of the points of the free port policy. We launched the consultation last month with the Command Paper, and it closes on 20 April. It would not be proper for me to make comments specifically about the location of future free ports, but the Tyne port in particular is very important to this country, as it is the second largest vehicle port in the nation. Free ports are designed to support jobs, trade and investment.

[Greg Smith (Buckingham) (Con)]

11. What assessment she has made of the potential economic benefits to the Thames valley of a trade agreement with the US.

[The Minister of State, Department for International Trade (Greg Hands)]

An ambitious United States free trade agreement could boost the economy in the south-east, including the Thames valley, by £622 million in the long run, supporting the growth of key local industries such as professional business services, and automotive and digital businesses. The FTA presents a golden opportunity for the region, which has a thriving trade with America, with the equivalent of £14,000 of goods exported to the US every minute.

[Greg Smith]

The Thames valley is home to many high- tech businesses, not least in the north of my constituency of Buckingham crossing into Northamptonshire at Silverstone Park. Can my right hon. Friend outline the steps he is taking to ensure that we are supporting high-tech businesses at places such as Silverstone Park to grow, prosper and bring global solutions in areas such as low-carbon transport, and that they are at the forefront of our negotiations for a free trade deal with the United States?

[Greg Hands]

May I start by congratulating my hon. Friend yet again on being a brilliant new representative for the Buckingham constituency? The Silverstone technology cluster includes excellent tech and start-up companies such as Advanced Automotive Technologies, Altair Engineering, room44 e-bikes and many more. Those are exactly the kind of companies that we want to see exporting more to the USA and to benefit from fewer hurdles to trade. That is why both sides want an SME chapter in the trade deal.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

The Government’s own figures show that a US trade deal could raise the north-east’s economy by a maximum of 0.4% a year and that a no-deal Brexit will cut the north-east’s economy by up to 10%. Is this the Government’s idea of levelling up—to destroy thousands of jobs in the north-east?

[Greg Hands]

The hon. Member does not do this question justice. Our objective, of course, is to have both a very good free trade deal with the European Union and a new trade deal with the United States of America, which would have the potential to raise the gross value added of the north-eastern region by some £170 million. She should join us, work with us and ensure that the benefits of these deals can be heard by all her constituents across the region.

[Saqib Bhatti (Meriden) (Con)]

12. What recent steps she has taken to support UK tech start-ups to export globally.

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[Anthony Browne (South Cambridgeshire) (Con)]

T2. My constituency of South Cambridgeshire is not just the life sciences capital of the UK or of Europe, but it claims to be the life sciences capital of the world. It has the global headquarters of AstraZeneca, the Wellcome Sanger Institute, which is leading the world in genome sequencing, and Abcam, a start-up company now worth £3 billion, which is leading the UK in antibody products, and many of these are exporters. What assessment has the Secretary of State made of the commercial opportunities for these firms of a potential UK-US free trade agreement?

[The Minister of State, Department for International Trade (Greg Hands)]

I thank my hon. Friend for that question. When I was previously in this job, I visited the sector in Cambridgeshire. We know that the life sciences industry contributes £74 billion a year to the economy, creating 250,000 jobs and developing life-saving medicines for UK patients. Annually, the east of England exports £711 million of medical and pharmaceutical products to the US. Estimates show that a UK-US FTA could boost the whole region’s economy by £345 million in the long run.

[Stewart Hosie (Dundee East) (SNP)]

Will the Secretary of State update the House on the progress being made to ensure that the legal services trade between the UK and the European Union can be maintained after the end of this year?

[Greg Hands]

That is properly a question for a different Question Time, because it is Taskforce Europe that is responsible for our future trading relations with the European Union. What I can say to the hon. Member is that the mutual recognition of professional qualifications is one of the key aspects we are looking at in free trade agreements with counterparties across the world.

[Stewart Hosie]

I am glad that that is being looked at because, right now, if an agreement is not reached between the UK and the European Union, UK legal practitioners—lawyers—will no longer be protected by legal or professional privilege inside the European Union. May we have a specific focus on that to ensure that jeopardy is removed, but also, more importantly, to ensure that the associated disincentive to trade in legal services is removed?

[Greg Hands]

Again, this is really a matter for Taskforce Europe, but I will pass on the hon. Member’s question to it to give him a more detailed response. What I can say is that the DIT team promote trade in legal services, particularly the mutual recognition of qualifications, in all our talks. I have done that personally in this role, and the Secretary of State is committed to doing so. We make sure that this is promoted, particularly regulator to regulator, including for legal services, accountancy, architecture and all our professional services.

[Virginia Crosbie (Ynys Môn) (Con)]

T4. Can the Secretary of State confirm that the free trade agreement will benefit the whole of the UK, including my constituency of Ynys Môn in north Wales, which will be disproportionately affected by the collapse of Flybe overnight? And does she agree that the port of Holyhead is a prime candidate to be one of the new free ports?

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[Mr Clive Betts (Sheffield South East) (Lab)]

T9. In the middle of last year, I visited the port of Rotterdam, a major trading port for us—for goods from not just within the EU but outside it as well. At the time, that port was taking on more than 300 new customs officers and more than 100 new vets for the trade in animals and animal products. Will the Secretary of State confirm whether the UK ports are making similar arrangements? If so, can she give the House an estimate of the cost?

[Greg Hands]

We are making extensive preparations at our ports to cater for all possible scenarios of outcome from the current talks with the European Union; we are very much following the philosophy of preparing for the worst but working for the best. We are making sure that, across Government, all the resources will be in place to deal with a whole range of eventualities as they may arise at the border.