EU: Future Relationship

Lord Wei Excerpts

Wednesday 23rd September 2020 Grand Committee

[Lord Wei (Con) [V]]

My Lords, I want to say thanks to many of those who have contributed to this debate. I declare my interest as in the register.

There have been many speakers already, so I hope I do not have to take up all my time. I definitely do not want to repeat many of the excellent statements and comments that have been made so far. I am probably in a minority in this debate by wanting to actually congratulate the Government on the negotiations in a very tough situation, not least with Covid, the lockdown and all that is going on in the world, especially given all the activity of the last few years and the difficulties that we have had.

Ultimately, as other speakers and my noble friend the Minister have said, we have to negotiate from a position of safeguarding Britain’s sovereignty. That is the reason we are leaving the European Union. There has been a perception and perhaps a reality—sometimes it is both—that we have not always had full sovereignty over our own affairs. If you look at it through that lens rather than just requiring stability at all costs as we move into the next year, whether politically in terms of Northern Ireland or for economic reasons for our businesses and so on, we can see that there are many people in this country who voted to leave and who are willing to accept whatever pain may take place as we exit. That is because the issue of sovereignty is important.

I wish that I did not have to say this, but having listened to some of the remarks from other Peers, I thought that as a Parliament, we have made a vow to the Queen and to this country. I am therefore disappointed, quite frankly. Sometimes I feel like we are listening to opinions that sound so pro-European that they ought to be coming from the other side of the negotiating table rather than thinking about what we as a country really need. I accept that we need to have positive relations with Europe, but I feel that the Government have been doing their best against a very belligerent negotiating partner who, in my view, has not always played fairly.

Some have argued, and I would not disagree with them, that we have grounds to say that the withdrawal agreement has been violated even because of the way that we have sequenced the negotiations in Europe’s favour over the past few years. The discussion about fisheries has been made more important than other matters that are critical to the future of our relations with Europe. Again, in my view, that shows a high degree of bad faith, so I do not agree that the Government are necessarily the villain here. I do not think that that is generally the case because there is much to say about Europe’s behaviour.

On that note, I would like to ask my noble friend the Minister whether, when it comes to the negotiations, we are looking at other alternatives to just hoping that we are going to get a reasonable agreement or no deal. As we look forward to the future relationship with Europe, is it better, as other Ministers have mentioned, to work on other agreements, even in an Australian scenario such as the CPTPP, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, so that at some point we can come back to these negotiations as a more equal partner with a sizeable bloc to negotiate with rather than being treated like a minor counterpart?

I have another question, having observed the behaviour of the European negotiators. Do we need to build an economy that is more resilient because there is no guarantee that, at a future date, Europe might not seek to place demands on us that might affect our sovereignty again? For example, as a country we are strong in areas such as intellectual property, licensing and so on. These are things that are less impacted by tariffs and perhaps by certain regulations. If we can build a set of industries in the future that are all about spreading our knowledge with partners in other countries, maybe we will be less impacted by the rising protectionism that we are seeing both in Europe and around the world. Even our exporting expertise has value across the world in terms of raising the knowledge base in other countries. Could Britain be not just global but also a source of knowledge by building an even greater knowledge economy in the future?

Finally, I want to ask the Minister about what we are doing in terms of taking this opportunity. Sometimes, when you are up against a wall, whether in terms of these negotiations and we could say the same about the Covid situation, that can drive innovation. You can say, “We have these limitations.” Northern Ireland is the classic example. We have to try to fit the regulations of multiple jurisdictions.

We have talked before about the power of technology, and blockchain especially, to rewire our supply chains, so that with free ports and more generally in our relationships—not only with Europe but with multiple FTA partners—we can find ways in which to actually thrive in this world and benefit from being able to sit between different jurisdictions, rather than being dictated to, whether by the US, China or Europe, in what we do. It is about trying to find a way to work with multiple systems, to be what we have always been: a trading nation that has a powerful and seemingly neutral legal and regulatory framework that allows us to work with the best of those who want to work with us around the world.

What thinking has been done on this? From what I can see, as much as I and others would hope that we can get a deal—and the chances of going into an Australian WTO situation are high—what are we going to do as we come out of that? Negotiation with Europe will not stop there: we still have this set of partners that we have to work with. If they continue to show bad faith, even in that situation, do we need to build a set of negotiating positions—in our economy, our regulations and our technology—in such a way that we can be in a strong position to be an equal partner in future negotiations?