UK’s Withdrawal from the European Union

Debate between Lord Clarke of Nottingham and Liam Fox

Wednesday 13th March 2019 Commons Chamber

[Dr Fox]

Mr Speaker, I have made it clear that in the nine minutes available to me, which I accepted in order to allow more Members time to speak, I will not be giving way.

For much of this debate I did not recognise the country being described as the country I live in—a country that many seem to be describing as isolated, inept and intimidated by its own future. I believe in the future of this country. We are not passengers in our own destiny; we are able to control our own future. This is a country with exports at record levels; a country where last year, when global foreign direct investment fell by 40%, foreign direct investment went up by 20%; a country with employment at an all-time high; a country that has had more consecutive quarters of growth than any other G7 country; and a country that is producing these results under good Conservative management.

Neither did I understand the picture painted of the preparations already made for no deal, because we and the civil service have spent a great deal of time on the mitigations.

[Mr Kenneth Clarke]

rose—

[Dr Fox]

Pharmaceutical companies are ensuring—[Interruption.] I am not taking interventions. Pharmaceutical companies are ensuring adequate stocks and increased air freight capacity. We have set out our new tariff policies for day one, liberalising our economy so that 87% of imports will be tariff-free, and setting up a trade remedies authority to protect our steel and ceramics industries. The EU has also made its own preparations.

[Mr Clarke]

rose—

[Dr Fox]

We need to keep some balance in this debate. [Interruption.] I am not giving way—

EU Trade Agreements: Replication

Debate between Lord Clarke of Nottingham and Liam Fox

Wednesday 13th February 2019 Commons Chamber

[Dr Fox]

As ever, the hon. Gentleman gives us a rich menu of the things on which he is wrong. First, if we want to ensure that all our agreements are rolled over, the best way to do that is by reaching a deal with the European Union so that they will apply one minute after midnight. I voted for that continuity. Did the hon. Gentleman? Did his party? Secondly, he asks about the reasons why countries may not want to continue these things. I have had discussions with a number of Opposition politicians about this. Some countries have said that they did not like some of the human rights elements that were incorporated by the EU and they would like us to drop those in order to roll the agreements over. I am not inclined to do so, because the value we attach to human rights is an important part of who we are as a country. The hon. Gentleman was wrong in that, rather than diverting resources in my Department from roll-over agreements to future free trade agreements, I have done exactly the opposite, reducing the number working on potential future FTAs in order to give maximum resource for this. Finally, he was wrong as I did not advocate unilateral liberalisation of tariffs—that was something mentioned in a newspaper—and the Government will determine what their day one tariffs will be as a collective decision in the event of no deal.

[Mr Kenneth Clarke (Rushcliffe) (Con)]

My right hon. Friend is right to stress that if we were to leave on 29 March with no deal, it would have a disastrous effect for many industries, because we would suddenly lose very important trading agreements across the world that we have enjoyed for many years. I agree with him on that, but does he not accept that when we get into the transition period he is still going to face enormous difficulties and will need a very long transition period to start negotiating so many trade deals with so many important markets for our economy? Does he not accept that his principal problem is the lack of bargaining power that the UK has on its own compared with what the EU has as a bloc in carrying out bargaining arrangements? He mentions human rights and other things, but very important countries such as Japan and South Korea, and others, are going to expect better terms from the UK, at the expense of the UK, than they have had to give to the EU. He says that they will take it to the wire. He accepts that he is having tough negotiations. Would he contemplate urging on his colleagues, even at this stage, moving to some sort of customs arrangement and regulatory alignment with the rest of the EU which will rescue us from these chaotic negotiations and allow us to enjoy the benefits of trade agreements which, for the most part, were ones that previous Conservative British Governments urged upon our EU partners and took a leading role in getting put in place in the first place?

[Dr Fox]

As ever, my right hon. and learned Friend raises interesting points. Although there would undoubtedly be a greater risk in the case of no deal, I do not agree that this would be disastrous, because we are likely to maintain a high proportion of the continuity of these agreements. Let me just remind him that five of those 40 agreements represent 76% of the trade, by value, that falls into this category. My Department has developed a great degree of expertise and knowledge in the process of transitioning to new agreements. There are those who say, “If we end up getting a deal, much of this work that has been done will be wasted.” I completely disagree with that, as it has created a body of knowledge, experience and expertise in the Department that will stand us in good stead. As for our ability to negotiate with other countries, we remain the world’s fifth biggest economy and many countries have said to us that it would be much easier to do an agreement with the UK as a single country which would then negotiate and ratify than to have to do it with 28 countries, as they do at the moment. On Japan, we have of course made clear our position and finished our public consultation on potential membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership—CPTPP—a subject on which we are likely to have a debate in this House next week. Finally, he asks whether we should not stay in a customs union. That would preclude us from having negotiations on new agreements, such as with the United States, or even with China, with which the EU has no agreement at the present time.

Trade Policy

Debate between Lord Clarke of Nottingham and Liam Fox

Monday 16th July 2018 Commons Chamber

[Mr Kenneth Clarke (Rushcliffe) (Con)]

I rather share the suspicion of the hon. Member for Brent North (Barry Gardiner) that the only reason this non-urgent statement was made today was to reduce the already inadequate time that we will have in which to debate the highly important Bill that follows, which is likely to be squeezed into four hours for speeches and Divisions—although the hon. Gentleman then filibustered. I shall try to avoid contributing to that filibuster.

As you have given your ruling, Madam Deputy Speaker, I will not ask the full question that I was going to ask about the rumours that the Government will adopt, this afternoon, amendments that are directly inconsistent with the White Paper of a week ago, including amendments tabled by my hon. Friends. For instance, new clause 36 contradicts paragraph 17(a) of the White Paper, on page 17. Are any statements by the Government on its trade policy in future to be relied on for more than a week or two at the moment, and is it not rather premature for the Secretary of State to come here and explain exactly how we may eventually be contemplating new trade agreements of our own, which will take many, many years to achieve?

[Dr Fox]

I will not take any more of the House’s time, Madam Deputy Speaker, but it is entirely untrue that that was the reason for the statement.