Gulf States: Trade and Human Rights

Lord Hannan of Kingsclere Excerpts

Tuesday 3rd June 2025 Lords Chamber

[Baroness Gustafsson (Lab)]

First, there is no signed agreement with the GCC yet; it is under continuous negotiation. However, one of the opportunities we have is to reaffirm what standards a country should have and how it can rearticulate them within the terms of a free trade agreement. Then there are other aspects: consider the Modern Slavery Act here in the UK, which requires any business, anywhere in the world, trading with the UK to comply with efforts towards transparency around its supply chain, to identify forced labour and to eradicate that wherever possible. Where we have opportunities to expand those trading relationships, such as with this free trade agreement, we will only increase the number of businesses that will then be bound by those standards of transparency.

[Lord Hannan of Kingsclere (Con)]

My Lords, I thank the Minister for her answers to the noble and right reverend Lord, Lord Harries of Pentregarth, and the noble Lord, Lord Purvis of Tweed. Will she confirm that trade agreements are about trade? They are about the removal of barriers and other obstacles to the free flow of commerce. All the other things that we are hearing about—women’s rights, freedom of expression and workers’ rights—are terribly important, but they do not belong as a coda in a trade agreement; they are matters to be addressed in their own terms. Here is a terrific opportunity for us to increase the value of our trade by getting on for £2 billion with these old allies of ours, the former Trucial States and other Gulf monarchies. Is that not good for us, good for them and —in a world that is increasingly moving to protectionism —good for everybody else as well?

[Baroness Gustafsson (Lab)]

Trade is the consequence of a relationship: working with someone across the table with whom you have a shared ambition to work together. That drives both economic benefit and influence, and I do not believe that one ever comes at the cost of the other.

Carbon Border Taxes

Lord Hannan of Kingsclere Excerpts

Wednesday 12th March 2025 Lords Chamber

[Lord Livermore (Lab)]

Yes—I agree with the noble Baroness that energy prices are too high. I just wonder what the previous Government did to tackle that over 14 years. This Government have invested in CCUS, for example, which the previous Government did not. I do not know whether the noble Baroness agrees with our investments in that; she opposes the revenue-raising measures that we have taken to raise the funds to invest in those measures. It is an interesting question, but I of course agree with her. That is why the tax is designed in exactly the way that it is.

[Lord Hannan of Kingsclere (Con)]

My Lords, to return to my noble friend Lord Fuller’s question, how is this different from a tariff? One effect of a tariff is that it results in the outsourcing of manufacturing. People will take car-making or whatever to places that are not affected by this additional levy. Have the Government made any assessment of how much deindustrialisation there will be as a consequence of imposing what is, in effect, a tariff on ourselves?

[Lord Livermore (Lab)]

As I understand it, the noble Lord likes market-led approaches. The UK Emissions Trading Scheme is a market-led approach whereby those domestic firms and industries that are able to decarbonise quickly do so first, while technological solutions are found for those where it is more difficult. To maintain the integrity of the UK’s decarbonisation efforts through the emissions trading scheme, we must mitigate the risk of carbon leakage, which means that we must have a carbon border adjustment mechanism.

London Stock Exchange: Decline in UK Funds

Lord Hannan of Kingsclere Excerpts

Thursday 13th February 2025 Lords Chamber

[Lord Livermore (Lab)]

The decision on whether a firm can list in the UK is a matter for the independent regulator, the FCA, subject to a firm meeting its listing rules and relevant disclosure requirements.

[Lord Hannan of Kingsclere (Con)]

My Lords, the chief beneficiary of the loss of business from London has been New York, where companies are not subject to stamp duty. Is the Minister’s department prepared to consider lifting this handicap from the London Stock Exchange to give us more of an equal chance?

[Lord Livermore (Lab)]

Stamp taxes on shares raise more than £4 billion a year in revenue. Targeted design features such as the exemption for transfers made on growth markets also support the UK’s competitiveness. This matter is out of scope of the pensions review, but we of course keep all taxes under review.

EU Law

Lord Hannan of Kingsclere Excerpts

Tuesday 28th January 2025 Lords Chamber

[Baroness Gustafsson (Lab)]

I would stand by our position that economic growth is an important factor. Understanding the skills required to accomplish that growth is something this Government take very seriously. Making sure we are respecting the rights of our workers has come under a lot of scrutiny and review as part of the Employment Rights Bill, and that will continue to be a priority of this Government. We are making sure we have the right aspirations and ambitions regarding growth and the right skills and talent within the UK to support that growth.

[Lord Hannan of Kingsclere (Con)]

My Lords, can the Minister tell the House which aspects of the reset will impact directly on our pursuit of a free trade agreement with the United States—a goal to which the Government remain laudably committed?

[Baroness Gustafsson (Lab)]

I cannot comment on the specifics of the exact regulation that may or may not be coming. With regard to the trading relationship and making sure we have trade agreements in place, the Government are constantly and doggedly pursuing that to make sure we have a clear trade relationship that is free from barriers that get in the way and impede trade.