European Free Trade Association

Lord Dykes Excerpts

Tuesday 27th February 2018 Lords Chamber

[Lord Callanan]

I am slightly confused about what the Labour Party’s position is this week. Last week, they were against the customs union; this week, they seem in favour of it. Perhaps next week they will be in favour of a single market, then against it again the following week. I can say only that I agree with Barry Gardiner, their international trade spokesman, who said in another place that,

“in voting to leave the EU the British people voted to leave both the single market and the customs union”.—[Official Report, Commons, 5/9/16; col. 47-48WH.]

He then went on to write an article in the Guardian—a well-known journal of record—saying that retaining membership of a customs union would be “deeply unattractive” because it would stop us negotiating our own trade deals. He is supposed to be their trade spokesman.

[Lord Dykes (CB)]

My Lords, bearing in mind that more and more people now think that staying in the customs union is a very good idea—led by that subversive body, the CBI—what on earth will the Government say on Friday to reassure an increasingly desperate public?

[Lord Callanan]

I am sure that we all await with interest what the Prime Minister has to say in her speech on Friday, but the point about joining a customs union is a serious one. We are the fifth-largest economy in the world and the normal state of affairs in the rest of world is that large countries negotiate their own trading arrangements. It baffles me why people want to contract that out to the European Commission. We collect tariffs that we would then send to the European Commission; we would be totally in its control. Surely, if anything, the EU referendum means that we need to take back control in this country and do not want to contract out our trade policy to another organisation.