CPTPP: Conclusion of Negotiations

Debate between Kemi Badenoch and Jonathan Edwards

Monday 17th April 2023 Commons Chamber

[Kemi Badenoch]

My hon. Friend is quite right that the standards we are setting here show the roadmap for what the UK is interested in and willing to do, particularly on services, which is quite novel for many of the old free trade agreements out there.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

Many of the existing CPTPP members already have integrated supply chains due to their close geographic location in the Indo-Pacific region. One of the criticisms of the deal by experts, coupled with our rupture from the EU single market, is that Great Britain—excluding Northern Ireland—is effectively choosing to be more a customer than a participant in international manufacturing supply chains. What do the deal and the Government’s trade strategy mean for manufacturers in Wales, Scotland and England?

[Kemi Badenoch]

The deal creates more flexible rules of origin regulations, which means that we will be able to sell tariff-free where there are integrated components of multiple products. Creating a more harmonised mutual recognition system between countries will make it much easier for those exporters, particularly in manufacturing, who want to take advantage of that. However, we also need to remember that this is not just an export of goods deal, but a services deal. The hon. Member for Gordon (Richard Thomson) talked about distance, but we cannot put services on a container. One of the fantastic things here is that we are making regulations easier across the board in those services sectors I mentioned, and that will be good for Scottish businesses as well.

Small Breweries Relief

Debate between Kemi Badenoch and Jonathan Edwards

Monday 9th November 2020 Commons Chamber

[Kemi Badenoch]

I am very happy to offer a meeting to a number of Members across the House. This should not be a contentious issue. We may have been written to by certain constituents, but we represent many more people than those who have complained about this issue. If we do offer a meeting, I hope Members will talk to all the breweries, not just the ones who have complained, to get a holistic view of what is going on in their constituencies.

The hon. Member for Strangford (Jim Shannon) talked about pub business rates. We have offered lots of business rate relief. We know that breweries have not been included, but that is partly because they have been able to open. It is an issue that we continue to review.

What are the next steps? The Treasury is moving forward with a further consultation this autumn to examine the more detailed aspects of reform. I invite all hon. Members to encourage any breweries in their constituencies to engage with the process. This is necessary because taper reform is very complicated. It seems like there are as many suggestions for new tapers as there are brewers in the country. That is what we need to focus on. It would not be prudent for the Government to simply pluck one of these solutions out of the air without giving brewers an opportunity to comment on its implications. I should stress that the Treasury has not made any final decisions about the overall shape of reform.

[Jonathan Edwards]

In terms of the next steps forward, which Finance Bill does the Minister foresee the Treasury bringing the new proposals forward in—next year’s or the one in 2022?

[Kemi Badenoch]

We have said that these reforms will come in in 2022. We will announce the exact changes at the earliest opportunity post the consultation.

To sum up, the craft brewing boom of the last 30 years is a welcome development, and the Treasury would like to do its bit to help it continue, but we also have a duty to ensure that tax reliefs are not unduly distortive and are an effective use of resources. However, hon. Members should rest assured that we will not stop examining the issues raised by brewers and by hon. Members today, and we will continue working to resolve them. The Government are determined to ensure that the British brewing renaissance continues, and I thank all right hon. and hon. Members for their contributions.