European Union (Withdrawal) Act

Debate between Lord Hammond of Runnymede and Steve McCabe

Thursday 6th December 2018 Commons Chamber

[Mr Hammond]

I am afraid that the hon. Gentleman is just wrong on the question of the financial services community and WTO. The financial services community would not support a WTO exit. That would be the worst possible scenario for financial services, with no time for preparation. Frankly, given the role of financial services in our economy—7% of our GDP—and their even larger role in our fiscal economy, accounting for over 11% of our fiscal revenues, anything that damages that industry will be extremely damaging to our economy and our public services.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

Will the Chancellor give way?

[Mr Hammond]

In the absence of any better offers, I will give way to the hon. Gentleman.

[Steve McCabe]

The Chancellor is as kind as he is funny.

If the Chancellor sincerely believes the situation that he has just described to us and if he cannot convince this House of that situation on Tuesday, will he resign because he has clearly lost the confidence of this House?

[Mr Hammond]

I regard my job as to go on making the case for a sensible middle way out of this situation. I do not believe that we can afford the economic cost of a no-deal exit, but I equally do not believe we can afford the political and societal costs of trying to undo the decision of the British people in the referendum. We have to find a negotiated way forward. The Prime Minister has presented us with the route forward, and we have to take it.