Fisheries Bill [HL]

Debate between Lord Hain and Lord Naseby

Report stage & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Wednesday 24th June 2020 Lords Chamber

[Lord Naseby [V]]

My Lords, for better or worse, I read economics at Cambridge. I remember the lectures on competition policy—I looked them up prior to this debate.

It seems that we are lacking in evidence at the moment. Presumably, we need to establish the capacity of the current under-10-metre fleet to take up the extra quotas that will be available. Sitting here, I do not know what proportion of the new quotas that will come to UK fishing can be met by the current under-10-metre fishing fleet; perhaps the Minister can tell us. That is important, really. People cast aside the idea of super-efficient shipping, but at any level, you must have a viable shipping and fishing industry. It does not matter whether it is under 10 metres or over 10 metres. The last thing that any of us would want to see—perhaps that is a little too sweeping but I do not think that many of us would want to see it—is a situation where we have to subsidise 10-metre fishing boats from general taxation.

What ought to happen is that there should be an opportunity for new entrants and perhaps we should give priority to under-10-metre fishing boats. However, I want to see them pitch for the business and tell those who are to adjudicate why they are going into the industry, what they think they can bring to the industry and whether they are able to fish successfully. We do not want a quasi-monopoly without looking at the economics of the thing. I hate the word subsidy. One of the great things that we have gotten rid of in this country is subsidising parts of British industry.

For me, there is an opportunity for Brexit, obviously. Perhaps a proportion of the new quotas should go to the under-10-metre new entrants, but whoever comes forward must make a pitch to the authorities as to why and how they will succeed. At the moment, I do not think that that needs to be written in hard wording after Clause 25, but I will listen with great interest to what my noble friend on the Front Bench says on this amendment.

[Lord Hain (Lab) [V]]

My Lords, this is an excellent amendment, focusing as it does on the need for fair quotas for smaller vessels of under 10 metres.

In England and Wales, and in smaller communities along the west coast of Scotland, fishing is dominated by the shellfish sector. This is led by smaller vessels, which still constitute 80% of the UK fleet in number and often use traditional methods, earning low incomes. These boats are also particularly important for remote coastal communities with limited employment opportunities. There is no doubt that, because of Brexit, media coverage of the UK’s fishing industry has increased. However, this may have given undue prominence to the views of representatives of larger fishing enterprises, such as those in north-east Scotland, at the expense of representatives of smaller vessels.

This amendment therefore deserves our support in relation to the need for future allocation of quotas by the UK Government to include smaller vessels. However, the fact is that such fishers will not have a future at all if there is a no-deal Brexit because they will lose access to the EU markets on which they depend. For example, most Welsh fishing boats specialise in shellfish, with 90% of their catch currently exported to the EU in overnight frictionless trade. In addition, as most fish consumed in the UK is imported, this trade within the single market is also vital for our fish processing industry. Even some large British boats depend for access to Norwegian waters on EU-agreed quotas, which will no longer apply in the event of a no-deal Brexit.

Within the UK industry, therefore, there are many competing interests between England and Scotland, deep-sea and inshore, industrial and small-scale boats and fishermen and fish processing. Without doubt, the balance of advantage for the industry as a whole lies in an amicable agreement with the EU, which will guarantee the continuation of frictionless trade. The Brexiteer narrative encourages us to believe that it was the EU that first allowed foreign boats to fish in UK waters. However, the common fisheries policy, established in 1983, enshrined historic fishing rights that went back centuries.

Not surprisingly, EU Governments are legitimately concerned to protect an economically precarious sector whose finances have been hit hard by the pandemic lockdown. It is not just access to UK waters that is important for European Union countries—many rely on the supply of UK fish both for consumption and processing. In 2017, for instance, just under two-thirds of UK mackerel was exported, the vast majority to the EU and more than a third to the Netherlands alone. Of course, this merely serves to illustrate yet again how easy access to these EU markets is key for UK fishers.

Authoritative analysis has shown that the most likely outcome of attempting to close the UK’s sea borders—the last I heard, fish are no respecters of political boundaries—would be higher prices, less choice for consumers and lower earnings for fishers on both sides. Of course, an agreement will involve compromise, including some continued access for EU boats from coastal communities across the channel.