Brexit: Financial Services Sector

Lord Lamont of Lerwick Excerpts

Tuesday 23rd January 2018 Lords Chamber

[Baroness Goldie]

The noble Baroness’s criticism might have more authority if it did not come from the Benches opposite, where the Labour Party’s position on Europe can only be described as shambolic, and that is a euphemism. I remind the noble Baroness of precisely what has been happening. As I said, there has been extensive engagement and consultation and we are seeking a bold and ambitious free trade agreement between the UK and the EU. In so far as the financial services industry is concerned, this will require detailed technical talks, as she is no doubt well aware. However, the UK is an existing EU member state so we have regulatory frameworks on both sides and we have standards that already match. As recently as last week, the Prime Minister, the Chancellor and my honourable friend Mr Robin Walker met senior representatives of the financial services industry to engage on exit issues, so there is an ongoing dialogue. This is a delicate and sensitive time and the Government must be the arbiter of when it is appropriate to declare their position in particular areas.

[Lord Lamont of Lerwick (Con)]

My Lords, have the Government not repeatedly made it clear that what they seek for the financial services sector is the maximum possible access, similar to what we have now, whether it is based on either equivalence instead of passporting or third-party rights, as is allowed for under some of the financial measures already enacted by the European Union? Is it not utterly absurd in a negotiation to demand detail beyond that and to ask a Government who are attempting to negotiate a deal to say where they expect to end up? That is not realistic.

[Baroness Goldie]

My noble friend articulates more succinctly and cogently than I can exactly what the sensitivity of these negotiations is. These sensitivities are well understood on the part of the Government; I just wish they were better understood elsewhere.