Leaving the EU

Steve Baker Excerpts
Tuesday 24th October 2017

(7 years, 1 month ago)

Commons Chamber
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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I congratulate my hon. Friend the Member for Dover (Charlie Elphicke) on securing this debate and the expertise that he demonstrated in leading it. I also put on record how pleased I am that my right hon. Friend the Secretary of State for Exiting the European Union is in the Chamber for this important debate.

In this House, and on the indispensable ConservativeHome website, my hon. Friend has shown that he is a great and true champion of Dover and, by extension, our country. No one is any doubt about the key strategic importance of the port of Dover, which he represents with such insight and determination. As I listened to his speech, I was reminded that his voice is that of a person who campaigned to remain, but has wholeheartedly accepted the democratic decision of the UK. He referred to recent polling, and I am in no doubt that he speaks for the majority of the British people who expect the Government to be ready on day one in all circumstances. With that in mind, I am glad to confirm that while we are working for a good deal—we are confident that we will obtain one—the Government are making extensive preparations to exit the EU even in the unlikely event that no agreement is reached between us.

The Government respect the vote of the people to leave the EU in a referendum authorised by our Parliament. The Government triggered article 50, and we are negotiating for a good outcome that works both for the people and businesses of the UK, and for those in the EU. The tone and assurance of the Prime Minister’s speech in Florence added new momentum to the negotiations. It made it clear that we are a nation that meets our financial commitments, and it reiterated our desire for a time-limited implementation period that is in the interests of both the UK and the EU. Both sides are agreed that subsequent discussions have been conducted with a new spirit and we are determined to work together to reach agreement. We are ambitious and positive for Britain’s future and for these negotiations but, as my right hon. Friend the Secretary of State made clear in the Queen’s Speech debate, the Government will be proceeding in the only responsible way possible: preparing plans for a range of possible outcomes.

I wholeheartedly agree with my hon. Friend that while it is in the mutual interests of the EU and UK to negotiate a deep and special partnership, we also have a duty to plan for a scenario in which we leave the EU without a deal. People should not be alarmed by our contingency planning, nor read into it any pessimism. Rather, I hope that the public will be reassured that we are taking the actions of a responsible Government who are determined to ensure a smooth exit under a range of scenarios. It is our ambition to continue and enhance our status as a great global trading nation that is respected around the world as a beacon of free trade.

I agree with my hon. Friend that being prepared for a smooth exit in all scenarios will ensure that we are in the best position to seize new opportunities as we leave the EU and begin to operate our own independent commercial policy within the framework of the WTO. We will be outside the customs union, at liberty to embrace free trade, and outside the European economic area. Our intention is to work with our EU partners as we lead the race to the top on global standards and pro-competitive regulation, driving up productivity and, with it, living standards.

I am happy to tell my hon. Friend that we have been working across Government for over a year on detailed delivery arrangements for a range of scenarios. Plans are well developed. Each Department has a clear understanding of how withdrawing from the EU may affect its existing policies and services under a wide range of outcomes. I agree with him that it is responsible to spend in preparation for that range of outcomes.

The Treasury has committed more than £250 million of new money to support Departments such as the Department for Environment, Food and Rural Affairs, the Home Office, Her Majesty’s Revenue and Customs, and the Department for Transport in this financial year for exit preparations, including under no deal. My Treasury colleagues are talking to all Departments about their funding requirements in 2018-19.

Charlie Elphicke Portrait Charlie Elphicke
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I thank my hon. Friend for his typically outstanding response to the debate. Does he agree that to rule out no deal in all circumstances, as the Labour party wishes to do, would be not only foolish and against the national interest, but would invite a truly appalling offer from across the channel?

Steve Baker Portrait Mr Baker
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I am grateful to my hon. Friend for that invention, which gives me the opportunity to reiterate that we are, of course, striving with all our resolve to secure a mutually beneficial deal. He is absolutely right that on sitting down at the negotiation table, one must be willing to step up and walk away. Her Majesty’s loyal Opposition—ably represented by their one Member here, I am sure—have taken the view that they would accept any deal.

Chris Law Portrait Chris Law (Dundee West) (SNP)
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I remind the House that Scotland in the UK actually voted 62% to remain, and recent polls show that more than 70% of people now want to remain in the EU, so this is not going too well in Scotland.

Returning to the preparation, figures that came out today from the London School of Economics show that every part of the UK will be devastated—the LSE used the phrase “devastating blow”—as a result of Brexit. The LSE suggests that a soft Brexit would cost Britain £235 billion, whereas no deal would cost £435 billion. What is the Government’s response?

Steve Baker Portrait Mr Baker
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First, if memory serves, about 1 million people in Scotland voted to leave the European Union.

Steve Baker Portrait Mr Baker
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Yes, and we are seeking a deal that works for all parts of the United Kingdom.

We are conducting a wide range of analysis of not only our strengths and interests, but those of our negotiating partners. We will continue that analysis, and it will continue to inform our negotiating position.

Our plans have been carefully developed to provide the flexibility to respond to a range of negotiated outcomes and to prepare us for the unlikely eventuality of not securing a deal. Some of our planning has already become evident, and more planning will become public over the coming months.

Iain Duncan Smith Portrait Mr Duncan Smith
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Does my hon. Friend agree that we should not persist with the idea of a “deal or no deal” scenario? These are simple variations of a deal. The reality is that a free trade deal may or may not be secured, but there is a deal to be done under WTO rules that may, in a sense, subsequently include free trade, but not be a specialist free trade deal. Can we stop talking about no deal and start talking about a deal that the European Union will have to meet with the UK?

Steve Baker Portrait Mr Baker
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I am grateful for the clarity with which my right hon. Friend makes his point, but I hope he will not mind if I say that, in the time available, I perhaps ought to leave that particular point for a debate on the negotiation, if such a thing were to arise.

In addition to the European Union (Withdrawal) Bill, which will ensure that we have a fully functioning statute book on the day we leave, the Government are already bringing forward other legislation as required. Our trade Bill will give the UK the foundation for an independent trade strategy. We will create a world-class international sanctions regime through the sanctions and anti-money laundering Bill. We will deliver an effective customs regime through the customs Bill. Our Nuclear Safeguards Bill will ensure that we can deliver a domestic nuclear safeguards regime. This legislation will support the future of the UK in a wide variety of outcomes, including one where we leave the EU without a negotiated outcome.

Alongside bringing forward necessary legislation, we will be procuring new systems and recruiting new staff when necessary to ensure that we deliver a smooth exit, regardless of the outcome of the negotiations. Secretaries of State have already begun to set out their plans to Parliament. For instance, in last week’s Transport questions, the Secretary of State for Transport explained that his priority was to seek

“new aviation arrangements—both with the EU and with those states where we currently rely on EU-negotiated arrangements for market access”.

He went on to say that he was seeing

“nothing but good will and constructive discussion between us and those countries in ensuring that there is no interruption in flying.”—[Official Report, 19 October 2017; Vol. 629, c. 976.]

We also understand that we need to prepare and deliver as a whole country. That is why we have been having positive and productive engagement with the devolved Administrations in Scotland, Wales and Northern Ireland, which is essential to our success as a country. We have been engaging with, and will continue to engage with, the devolved Administrations on issues where joint action is required across the UK to ensure that we are prepared for a smooth and orderly exit from the EU.

Charlie Elphicke Portrait Charlie Elphicke
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We all want a smooth and orderly exit from the EU. Will the Minister just address my point about trade facilitation and the requirement for the facilitation of trade under the WTO?

Steve Baker Portrait Mr Baker
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I am grateful to my hon. Friend for drawing me on to that point of detail. I am happy to say that I am very proud of the UK’s customs authority, which already works hard to ensure that trade is as fast and frictionless as possible. We were ranked fifth globally in the World Bank’s 2016 logistics performance index on customs, and I know from my time serving on the Treasury Committee that our excellent officials are working to take us higher up that index.

My hon. Friend mentioned the WTO trade facilitation agreement. It might be going too far to expect our trading partners to be compelled to upgrade, but he is right to say that the agreement came into force on 22 February. It affects all contracting parties to the WTO, of which the EU is one.

In both his speech today and his report that we discussed in July, my hon. Friend rightly focused on the importance of having a functioning border on day one. We are confident that we will have the resources that we need to continue to run an effective borders and immigration system in the future, with or without a negotiated agreement on our future arrangements. We recognise that businesses want clarity, and we want to reduce uncertainty during the negotiation wherever we can. That was why we set out our thinking in papers over the summer, and it is why we stand ready to discuss our future relationship. We want to provide stability throughout the UK and for our partners in Europe to ensure that the economy, services and infrastructure are protected in a range of scenarios, for all parties. However, we are in a negotiation, and we will need to manage information carefully to protect the UK’s interests and secure the best possible outcome for UK businesses and citizens. The House has voted not to disclose material that could damage the United Kingdom’s position in its negotiations with the European Union.

We now look forward to the December European Council. The EU has agreed to start internal discussions on our future relationship and an implementation period. We look forward to progressing the negotiations in the mutual interest of both the UK and the EU. Preparing for a range of exit scenarios is an approach that has been endorsed by the Foreign Affairs Committee, which recently said that not preparing for all outcomes would be a “dereliction of duty”. The Government are rising to that duty, even as we approach the negotiations anticipating success. We do not want or expect a no-deal outcome, but we will be ready in any event.

Question put and agreed to.

General Affairs Council: October 2017

Steve Baker Excerpts
Tuesday 24th October 2017

(7 years, 1 month ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend, the Baroness Anelay of St Johns, DBE, Minister of State for Exiting the European Union, has made the following statement:

I represented the UK at the General Affairs Council (GAC) meeting in Luxembourg on Tuesday 17 October. The main items on the agenda were: preparations for the October European Council on 19 and 20 October; and a discussion on the rule of law and media pluralism.

A provisional report of the meeting and the conclusions adopted can be found on the Council of the European Union’s website at:

http://www.consilium.europa.eu/en/meetinqs/qac/2017/10/17/

Preparation of the European Council, 19 to 20 October 2017

The heads of the EU’s 28 member states, the European Council President and the President of the European Commission assembled at the European Council meeting on 19 and 20 October 2017. To prepare for this meeting, the General Affairs Council examined the draft of conclusions on the proposed agenda for the European Council. The agenda included: migration; digital Europe; defence; and external relations.

The discussions on migration covered both external and internal migration and the reform of the common European asylum system. The Council’s exchanges on digital Europe included: proposals on the digital single market, the free flow of data, digital taxation and cyber security. The Council debated the progress of preparations for the launch of permanent structured co-operation (PESCO) and the complementarity between EU defence measures and NATO under the defence agenda item. As part of the external relations exchanges, Ministers discussed specific foreign policy issues, including relations with the Democratic People’s Republic of Korea, Iran and Turkey.

I intervened to welcome the ambition of the language on the digital Europe conclusions and supported the focus on cyber security, combating terrorism online and information sharing. I pressed for references to counter-terrorism to be treated as a separate issue and not conflated with cyber-security. On defence, I underlined the need to ensure that mechanisms such as PESCO, the European defence fund and the co-ordinated annual review on defence enabled enhanced collaboration between member states in addition to co-operation with non-EU partners. I also welcomed the new text on the Democratic People’s Republic of Korea and Iran.

Annual Rule of Law dialogue

Ministers discussed media pluralism and the rule of law in the digital age. The dialogue was overshadowed by the murder of journalist Daphne Caruana Galizia in Malta on the previous day. I joined the condolences expressed by all member states and emphasised the importance of protection for journalists and quality journalism in safeguarding media pluralism.

[HCWS198]

General Affairs Council: October 2017

Steve Baker Excerpts
Monday 16th October 2017

(7 years, 2 months ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend Baroness Anelay of St Johns DBE, Minister of State for Exiting the European Union, has made the following statement:

I will be attending the General Affairs Council in Luxembourg on 17 October 2017 to represent the UK’s interests. Until we leave the European Union, we remain committed to fulfilling our rights and obligations as a full member.

The provisional agenda includes:

Preparation of the European Council, 19 to 20 October 2017

The Estonian presidency will present its final draft conclusions on the agenda for the October European Council. The agenda includes: migration, digital, defence and external relations.

Rule of law dialogue

An annual rule of law dialogue has formed part of the GAC agenda since 2014. The presidency has invited Ministers to consider ‘Media pluralism and the rule of law in the digital age’ for this year’s dialogue.

[HCWS172]

General Affairs Council

Steve Baker Excerpts
Tuesday 10th October 2017

(7 years, 2 months ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend Baroness Anelay of St Johns DBE, Minister of State for Exiting the European Union, has made the following statement:

I represented the UK at the General Affairs Council (GAC) meeting in Brussels on Monday 25 September. This was the first meeting of the GAC under the Estonian presidency.

The main items on the agenda were: presentation of the priorities of the Estonian presidency; preparation of the European Council on 19-20 October 2017; June European Council follow-up; and legislative programming for 2018, letter of intent.

A provisional report of the meeting and the conclusions adopted can be found on the Council of the European Union’s website at: http://www.consilium.europa.eu/en/meetings/gac/2017/09/25

Presentation of the priorities of the Estonian presidency

The presidency made a brief presentation of its priorities, namely: an open and innovative European economy; a safe and secure Europe; a digital Europe and the free movement of data; and an inclusive and sustainable Europe.

Preparation of the European Council on 19-20 October 2017

The presidency presented the draft October European Council agenda, which is due to cover migration, digital Europe, defence and external relations.

On the migration agenda item, GAC Ministers discussed external migration and returns, as well as reform of the Common European Asylum System (CEAS).

As part of the digital Europe item, delegates focused on implementation of the Digital Single Market (DSM), cyber security and digital taxation.

Regarding defence, the Council considered increasing EU autonomy, the admissions criteria for the Permanent Structured co-operation (PESCO) and EU-NATO co-operation. There were also discussions about the work on the industrial development programme and the Athena mechanism (which handles the financing of common costs relating to EU military operations under the EU’s common security) and the Common Security and Defence Policy (CSDP).

Under external relations, Ministers discussed EU-Turkey relations and the Democratic People’s Republic of Korea (DPRK). Some member states also asked that trade should be added to the agenda, as well as the follow-up to the June European Council.

I intervened to highlight the UK’s on-going commitment to European security and reiterated our preference for counter-terrorism and internal security to be discussed at the European Council. I also welcomed the focus on the digital agenda, as well as the need to maintain momentum following the Tallinn summit on 29 September. Regarding EU-Turkey relations, I emphasised the importance of the accession process as an important tool for co-operation with Turkey. I also agreed that a unified EU position should be sought on the DPRK.

Legislative programming for 2018, letter of intent

GAC Ministers discussed the Commission’s priorities for the Commission Work Programme (CWP) 2018. Vice President Timmermans asked for a final mandate on the CWP and stressed the need to focus on delivery within the limited time available. I intervened to welcome the inclusion of certain aspects in the CWP, including the Single Market and DSM. I also spoke to advocate for open and free trade.

AOB

Vice President Timmermans updated Ministers on the state of play of its dialogue with Poland on the Rule of Law. I emphasised the importance the UK placed on the Rule of Law and urged both the Commission and Poland to avoid escalation and return to substantive, sustained and constructive dialogue.

[HCWS151]

Oral Answers to Questions

Steve Baker Excerpts
Thursday 7th September 2017

(7 years, 3 months ago)

Commons Chamber
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Paul Williams Portrait Dr Paul Williams (Stockton South) (Lab)
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2. What assessment the Government have made of the potential effect of the EU (Withdrawal) Bill on (a) workers’ rights and (b) environmental protection.

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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The UK already goes beyond EU minimum standards in a number of employment areas, and similarly we have a long history of environmental protection. We are committed to safeguarding and improving both. The EU Withdrawal Bill will ensure that EU-derived workers’ rights and environmental protections that currently apply will continue to be in place in domestic law on exit, and will enable those laws to continue to function effectively. It will then be for Parliament and, where appropriate, the devolved legislatures to make any future changes to EU-derived law.

--- Later in debate ---
Paul Williams Portrait Dr Williams
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Will the Minister assure the residents of Stockton South that their rights will not be eroded and that workers and the environment will not end up paying the price of Brexit?

Steve Baker Portrait Mr Baker
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Yes, I am happy to reassure the hon. Gentleman and his residents. I can reassert the Government’s commitment not to roll back workers’ rights. As I have said, the UK already goes beyond EU minima, and it will be for Parliament in future to determine the future course of the law.

Iain Duncan Smith Portrait Mr Iain Duncan Smith (Chingford and Woodford Green) (Con)
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First, may I welcome my hon. Friend to the Dispatch Box? In the course of the debates about the so-called Henry VIII powers, will he remind everybody that section 2 of the European Communities Act 1972 actually, for 40 years, gave a British Government the kind of Executive authority that was never granted before, and that in leaving the European Union we will be giving Parliament back its power to scrutinise?

Steve Baker Portrait Mr Baker
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I am extremely grateful to my right hon. Friend; of course I agree with him. I am invigorated and excited to find that Parliament is reawakening to the need for full and proper scrutiny of secondary legislation.

Caroline Lucas Portrait Caroline Lucas (Brighton, Pavilion) (Green)
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Does the Minister recognise the risk of an impending governance gap with regard to environmental legislation? At present, the Commission and the European Court of Justice perform the vital role of both monitoring and enforcing laws. Domestic mechanisms like judicial review simply do not go far enough. What new institutional mechanisms is he going to look at to make sure that he leaves the environment in a better state than he found it?

Steve Baker Portrait Mr Baker
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I am grateful to the hon. Lady for reminding the House that we are committed to leaving the environment in a better state than we found it.

Caroline Lucas Portrait Caroline Lucas
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How will you do it?

Steve Baker Portrait Mr Baker
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She asks how we will do it. The Bill makes provision for Ministers to bring forward statutory instruments that will correct deficiencies that would otherwise arise as we bring EU law into UK law. I very much look forward to the debate on the particular instruments.

Owen Paterson Portrait Mr Owen Paterson (North Shropshire) (Con)
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May I also welcome my hon. Friend to the Front Bench? I welcome his comments to the hon. Member for Brighton, Pavilion (Caroline Lucas), who is completely wrong, because leaving the European Union will enable us to take our full role on international bodies such as the International Plant Protection Convention, the World Organisation for Animal Health and the Codex Alimentarius Commission. We will be able to adapt the world conventions Ramsar and Bern to our own environment, our own landscape, our own flora and our own fauna. Does my hon. Friend agree?

Steve Baker Portrait Mr Baker
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I do agree with my right hon. Friend, and I am most grateful to him for giving me the opportunity to put on the record again that we will uphold all our commitments to international law in relation to the environment.

Peter Grant Portrait Peter Grant (Glenrothes) (SNP)
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Despite the Minister’s assurances a few minutes ago, clause 9 as it stands will give the Minister the almost unlimited right, with minimal parliamentary scrutiny, to wipe out any workers’ protection that he chooses. Given that they are promising not to do that, will the Government commit today to amending that clause at Committee stage so that the erosion of workers’ rights is explicitly excluded from the powers that that clause will bring?

Steve Baker Portrait Mr Baker
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The powers in the Bill have been drawn widely in order that this country and this Parliament can meet the imperative of delivering a working statute book on the day we leave the European Union, to deliver certainty, continuity and control and, on the area that the hon. Gentleman raises, in order to implement the withdrawal agreement in a way that allows us to leave the European Union smoothly and successfully.

I will not give the hon. Gentleman the assurance that he is looking for today, but I will say to him that as the junior Minister responsible for the Bill on behalf of the Secretary of State, I will look with the utmost seriousness at the amendments that are tabled. What we will not do is accept any amendment that compromises the fundamental purpose of the Bill, which is to deliver certainty, continuity and control as we leave and to allow us to make the necessary changes to UK law to implement the necessary withdrawal agreement.

Peter Grant Portrait Peter Grant
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The Government believe that clause 9 is necessary because of the huge volume of legislation that will have to go through simply to tidy up potential anomalies in legislation. I am offering them a way out. Why are they so determined to bring in legislation that they do not intend to use, when they will have their work cut out for them to bring in the legislation that they do need? Why will the Minister not commit to putting into legislation the promise that he has just given to the House at the Dispatch Box?

Steve Baker Portrait Mr Baker
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With respect, the hon. Gentleman may be confusing clauses 7 and 9. I look forward to the fullest debate on these matters on the Floor of the House when we come—I hope, Parliament willing—to Committee stage.

Bernard Jenkin Portrait Mr Bernard Jenkin (Harwich and North Essex) (Con)
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May I add my congratulations to my colleague on his appointment to the Front Bench? It is very well deserved. Is not the right way for the hon. Member for Stockton South (Dr Williams) to secure the rights of workers, and to secure the environmental protections that he wants, to vote for the EU (Withdrawal) Bill? If the Labour party succeeds in blocking the Bill, those protections will no longer exist.

Steve Baker Portrait Mr Baker
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I am most grateful to my hon. Friend for his congratulations and his support, and I look forward to his support in future. He is absolutely right: the best way for Members of this House to ensure that they serve their constituents by delivering a working statute book, and delivering the continuity of the rights and protections currently in EU law and applying to the UK, is to vote for this Bill and to support its passage through the House.

Virendra Sharma Portrait Mr Virendra Sharma (Ealing, Southall) (Lab)
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3. What assessment he has made of the progress during negotiations on reaching agreement on the future status of EU citizens in the UK and UK nationals in the EU27 after the UK has left the EU.

--- Later in debate ---
Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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We have been working closely with the Secretary of State for Environment, Food and Rural Affairs on support for farmers. The Government will provide the same cash total in funds for farm support until the end of the Parliament. We are working closely with a range of stakeholders, as well as the devolved Administrations, to maintain stability for farmers. The Department for Environment, Food and Rural Affairs will introduce an agriculture Bill to support our vision for a thriving and self-reliant farming sector that is more competitive, productive and profitable, as well as to protect our precious natural environment for future generations and to deliver on our manifesto commitment to provide stability for farmers as we exit the EU.

Nigel Huddleston Portrait Nigel Huddleston
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I thank the Minister for that comprehensive response. He is aware that the UK farming sector is highly reliant on EU labour. What discussions has he had with DEFRA and others about the potential reintroduction of a seasonal agricultural workers scheme?

Steve Baker Portrait Mr Baker
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I am happy to tell my hon. Friend that the Government keep our position on seasonal workers under review. Until we have left the EU, employers in the agricultural and food processing sectors are free to continue to recruit EU workers to meet their labour needs. It remains the Government’s policy not to operate migration schemes for non-EEA nationals coming to fill vacancies at lower skill levels while employers have unrestricted access to labour from elsewhere in the EU. I note, however, that the Home Office told the Environment, Food and Rural Affairs Committee earlier this year that a new SAWS could be introduced very quickly—in five or six months—once the need for such a scheme has been identified. I hope my hon. Friend is reassured that we will have the agility to meet those needs.

Kerry McCarthy Portrait Kerry McCarthy (Bristol East) (Lab)
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I hope that Ministers are listening to the people who gave evidence to the EFRA Committee that food will end up rotting in the ground if we do not have the labour force to dig it up. May I urge the Minister to accept that this is not just about subsidies for farmers, but about access to the market—and tariff-free access to the market? Unless that is resolved, our farming industry will collapse.

Steve Baker Portrait Mr Baker
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Of course we wish to secure tariff-free access to European markets, and indeed to markets across the world, but these are matters for negotiation. I am sure the hon. Lady would join me in saying to the EU that it is in all our interests to move swiftly to discussions on our future agreements.

Philip Hollobone Portrait Mr Philip Hollobone (Kettering) (Con)
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British farmers are among the most efficient in Europe. Will Brexit not give us a chance to design an agricultural policy in their interest, not that of inefficient farmers in Europe?

Steve Baker Portrait Mr Baker
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My hon. Friend is absolutely right. This is a unique opportunity for the UK to craft agricultural policies that suit our unique needs, which I hope will be to the benefit of the UK and our farmers.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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13. Welsh farmers and fishermen need assurances now that the UK and Welsh Governments are working together. How often will formal ministerial discussions on agriculture and fisheries take place in the next three months, and will these meetings be open to formal scrutiny?

Steve Baker Portrait Mr Baker
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I am very grateful for that detailed question, and I look forward to answering the hon. Lady in writing.

Hannah Bardell Portrait Hannah Bardell (Livingston) (SNP)
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5. What recent assessment he has made of the potential effect on (a) the economy and (b) employment levels of the UK leaving the EU without a deal.

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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A future partnership between the UK and the EU is in the interests of both sides, and I am confident that we will secure a good deal for the UK as a whole. A responsible Government, however, should prepare for all potential outcomes, including the unlikely scenario in which no mutually satisfactory agreement can be reached. The Government are undertaking a comprehensive programme of analytical work across a range of scenarios to assess the economic impacts of exiting the EU. As the House has agreed twice, however, we will not be publishing any information that would prejudice our negotiations.

Hannah Bardell Portrait Hannah Bardell
- Hansard - - - Excerpts

The CBI president, Paul Drechsler, has said that the implications of falling back on to World Trade Organisation rules and a no-deal scenario would open up a

“Pandora’s box of economic consequences”

and that the UK could face tariffs on 90% of its EU exports by value. Will the Minister reassure business, therefore, that the UK will not walk away from these negotiations with no deal?

Steve Baker Portrait Mr Baker
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It is our intention to do what is in all our interests—the mutual interest of all the nations of the EU and the UK—which is to secure a deep and special partnership, including a broad and deep free trade agreement, and I look forward to doing so. I think, however, that the WTO is one of the great achievements of liberalism against the forces of economic nationalism, and I look forward, in whatever circumstances we leave, to the UK playing the fullest part in the improvement and development of the WTO.

John Bercow Portrait Mr Speaker
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I thought that the hon. Gentleman was about to refer to Ludwig von Mises, but no doubt that awaits another of his answers in due course.

Desmond Swayne Portrait Sir Desmond Swayne (New Forest West) (Con)
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I hope that the Minister still believes that no deal is better than a bad deal.

Steve Baker Portrait Mr Baker
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I agree with my right hon. Friend and refer him to what the Chancellor famously said on “Marr”: what we cannot do is accept some kind of punishment deal. An environment in which the UK trades with the world while having control of our own tariffs, taxes and domestic regulation is one of which we should not be afraid.

Stephen Timms Portrait Stephen Timms (East Ham) (Lab)
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Does it remain Ministers’ ambition to secure barrier-free access for the UK to the European single market, and is not the only way to enjoy the benefits of the single market to comply with the rules of the single market?

Steve Baker Portrait Mr Baker
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We recognise that the freedoms of the single market are indivisible and that the people of this country wish for Parliament to set its own laws and for a UK migration policy that meets with their democratic consent. It is the ambition of Ministers to secure trade with the absolute minimum of frictions, and I hope and look forward to doing so.

James Cartlidge Portrait James Cartlidge (South Suffolk) (Con)
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19. The potential of not having a deal raises the issue again of a transition, and the Secretary of State said earlier he thought that there were very good prospects on that point. Given that the purpose of a transition is to give certainty to business, is not the only logical timeframe for a transition one that runs from when we leave to when a new comprehensive deal is signed?

Steve Baker Portrait Mr Baker
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The Government have agreed that the country would benefit from a period of implementation, but how that works and the destination to which we will be heading remain matters for negotiation.

Norman Lamb Portrait Norman Lamb (North Norfolk) (LD)
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6. Whether the Government plan to continue to apply the Dublin III Regulation after the UK leaves the EU.

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Patricia Gibson Portrait Patricia Gibson (North Ayrshire and Arran) (SNP)
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7. What recent discussions he has had with Cabinet colleagues on the maintenance of UK food safety standards after the UK leaves the EU.

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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The UK Government are committed to maintaining food safety standards and ensuring that the UK has an effective food safety regulator. The Food Standards Agency is a science and evidence-based Department, responsible for protecting public health and consumers’ other interests. Any proposed changes in UK food safety rules once we have left the EU and are no longer subject to EU regulations would be subject to a rigorous risk assessment by the agency. Our absolute priority is to protect public health and consumers’ other interests in relation to food, and we will continue to base that on the best scientific evidence available.

Patricia Gibson Portrait Patricia Gibson
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Does the Minister agree with the Secretary of State for International Trade, who is on the record as having said that he is “relaxed” about the diminution of food safety standards post-Brexit, or will he now distance himself from those remarks?

Steve Baker Portrait Mr Baker
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The Government are committed to maintaining food standards, which will be a matter for the House of Commons to decide in future. I remind Members that the European Union (Withdrawal) Bill will bring EU law, as it applies to the UK, into UK law, so that it will continue to apply.

Baroness Chapman of Darlington Portrait Jenny Chapman (Darlington) (Lab)
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The Government know that the UK relies on the EU for 25% of our food and that we grow just 15% of our own fruit and 55% of our own vegetables. The Minister is nostalgic for decades past, but—assuming that the Government do not intend UK households to return to consuming Spam and tinned peaches—can he assure us that he is not considering imposing tariffs on EU food imports?

Steve Baker Portrait Mr Baker
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The House has heard the word “fantasy” since it reconvened after the recess, and the hon. Lady has now put before it a fantastical proposal. We will ensure that the UK continues to enjoy the widest range of products available in our shops.

John Stevenson Portrait John Stevenson (Carlisle) (Con)
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8. What steps his Department is taking to ensure a flexible approach in the Government’s negotiations on the UK leaving the EU.

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Sarah Jones Portrait Sarah Jones (Croydon Central) (Lab)
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9. What discussions he has had with the Chancellor of the Exchequer on changes to VAT rates after the UK leaves the EU.

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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The Secretary of State and the Chancellor are working together to deliver the UK’s departure from the European Union. Our future relationship with the EU, including on VAT, will be subject to negotiations. Any decisions on VAT rates will be taken by the Chancellor as part of the normal Budget process.

Sarah Jones Portrait Sarah Jones
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Our children go back to school this week, and parents are still paying a fortune for branded school uniforms. Cutting VAT on uniforms for older children would save some £200 million, but this cannot be done under current EU law. My constituents have asked me to ask Ministers to raise this matter whenever the negotiations turn to VAT.

Steve Baker Portrait Mr Baker
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The hon. Lady raises an interesting point, which I know has been heard by those on the Treasury Bench and will be heard by the Chancellor. However, I would gently point out to her that VAT raised £120 billion in 2016 and provides essential funding for public services, including education.

Gregory Campbell Portrait Mr Gregory Campbell (East Londonderry) (DUP)
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Does the Minister look forward, like me, to the days when these protracted discussions are concluded and the Chancellor will have the liberty, which we did not have as members of the EU, to set tax rates across the whole range?

Steve Baker Portrait Mr Baker
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That is exactly right.

Jo Churchill Portrait Jo Churchill (Bury St Edmunds) (Con)
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10. What discussions his Department has had with universities on their priorities for the negotiations on the UK leaving the EU.

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Alex Norris Portrait Alex Norris (Nottingham North) (Lab/Co-op)
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21. If he will include within the European Union (Withdrawal) Bill proposals for a mechanism to ensure that UK workers' rights and protections remain in line with EU rights and protections after the UK leaves the EU.

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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We do not need to be part of the EU to have strong protections for workers. As I explained earlier, the UK already goes beyond EU minimum standards, and the European Union (Withdrawal) Bill will not change that. In future, it will be for Parliament and, where appropriate, the devolved legislatures to decide on changes to employment law. The Government have committed not to roll back workers’ rights and to ensure that we keep pace with the changing labour market.

Dan Carden Portrait Dan Carden
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That is very interesting, because the Secretary of State for International Trade wrote in the Financial Times in 2012:

“To restore Britain’s competitiveness we must begin by deregulating the labour market. Political objections must be overridden… It is intellectually unsustainable to believe that workplace rights should remain untouchable”.

Is it not the case that we cannot trust the Tories with workers’ rights?

Steve Baker Portrait Mr Baker
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It is certainly not the case. I will say to the hon. Gentleman once again that this Government are committed not only to protecting workers’ rights, but to ensuring that workers’ rights keep pace with the changing labour market, as evidenced by the Taylor report, which the Government are currently considering.

Alex Norris Portrait Alex Norris
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We have heard very warm words about protecting workers’ rights, something which will be tested over time, but will Ministers detail today the precise mechanism that they will use to work with trade unions and employers to ensure that Britain does not become the low-standards capital of Europe post-Brexit and to maintain workers’ rights over time?

Steve Baker Portrait Mr Baker
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This Government want to win the race to the top. I think I can say that we want to ensure that this country is either at or heading towards the top of every index of human prosperity, wellbeing and happiness, and we will work towards that end.

Suella Braverman Portrait Suella Fernandes (Fareham) (Con)
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I join in congratulating my hon. Friend on his appointment. Whether in relation to workers’ rights or more generally, does he agree that had the British people wanted to be subject to EU law, they would have voted to remain in last year’s referendum? Does he agree that the European Union (Withdrawal) Bill actually restores powers to Parliament and that a vote against it is only a vote to ensure that the UK automatically keeps pace with EU law with no say of its own?

Steve Baker Portrait Mr Baker
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Of course my hon. Friend makes an important point, for which I am most grateful. An easy way to automatically keep pace with EU law, whatever it might be, would have been to remain in the EU, but the public did not choose to do that, so Parliament will decide the law in future and it will be for Parliament to scrutinise any proposed changes.

Michael Tomlinson Portrait Michael Tomlinson (Mid Dorset and North Poole) (Con)
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I warmly welcome the Minister to his place. Does he agree that the European Union (Withdrawal) Bill is not the great repeal Bill but the great continuity Bill? Workers’ rights will not be undermined by the Bill; they are already enhanced when compared with the EU.

Steve Baker Portrait Mr Baker
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My hon. Friend is absolutely right. The original name—the great repeal Bill—was inspired by the greatness of its constitutional significance and certainly not because of any changes it makes to workers’ rights which, as we have said, will continue unchanged.

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Nick Thomas-Symonds Portrait Nick Thomas-Symonds (Torfaen) (Lab)
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T7. How should employers in my constituency that I have visited in recent months today assess the risk of ending up with tariffs or additional regulatory barriers to exporting to the single market when we leave the EU?

Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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Those employers should have confidence that it is in everyone’s interests, ours and those of all the nations of the European Union, to deliver tariff-free access between our markets. I would say to those employers that they should have a great deal of confidence that we will therefore secure the deal.

Kemi Badenoch Portrait Mrs Kemi Badenoch (Saffron Walden) (Con)
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T4. The purpose of the European Union (Withdrawal) Bill is to provide continuity and a working statute book on the day we leave. Will my right hon. Friend make it absolutely clear that a vote against this Bill is a vote for chaos and for uncertainty?

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David Jones Portrait Mr David Jones (Clwyd West) (Con)
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T6. Does the Minister agree that the system of secondary legislation contemplated by the Bill that we will be debating later today provides the best and most flexible means of ensuring that the United Kingdom is left with a coherent statute book when we leave the European Union? Does he not also agree that there will be general bemusement in this country that the Opposition are seeking to oppose that Bill?

Steve Baker Portrait Mr Baker
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May I begin by paying tribute to my right hon. Friend for all the work he has done in the Department? The quality of the work I inherited is a testament to the leadership he provided in the Department. I am most grateful to him. He makes a good point: secondary legislation is a long-standing mechanism for making detailed changes to the law, with the scrutiny procedure for each instrument agreed by Parliament. Since their introduction, every Government have used statutory instruments and every Parliament has debated and approved statutory instruments.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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The Minister earlier extolled the benefits of the World Trade Organisation should there be a no-deal scenario, but there is no automatic equivalent to the single aviation market or the open skies agreement. What contingency are the Minister and his team making to protect our aviation industry?

Steve Baker Portrait Mr Baker
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The hon. Lady makes a good point. The Government are well aware of those issues, and we continue to develop our contingency plans not only in those areas, but right across Government.

Alex Chalk Portrait Alex Chalk (Cheltenham) (Con)
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T8. Constituents of mine are the bedrock of the success of world-beating companies such as Spirax Sarco. Does my hon. Friend agree that the withdrawal Bill must be the opportunity to cement employee rights, not erode them?

Steve Baker Portrait Mr Baker
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I do agree with my hon. Friend, and I think we have had a good canter around the issue today. I am grateful to him for giving me the opportunity to once again say that the Government are committed to protecting workers’ rights to ensure that they keep pace with the changing labour market and that nothing in the withdrawal Bill will change that.

None Portrait Several hon. Members rose—
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New Bulgarian EU Commissioner

Steve Baker Excerpts
Thursday 20th July 2017

(7 years, 4 months ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend, Baroness Anelay of St Johns DBE, Minister of State for Exiting the European Union, has made the following statement:

On 7 July 2017, the Council of the European Union supported the appointment of Ms Mariya Gabriel as the new Commissioner for Digital Economy and Society. The UK voted in favour of the appointment of Ms Gabriel as Commissioner. Ms Gabriel is scheduled to hold the post until 31 October 2019.

The Bulgarian Government nominated Ms Gabriel as Commissioner following the resignation of the previous Commissioner for Bulgaria, Ms Kristalina Georgieva, in December 2016. Before her appointment, Ms Gabriel had been a member of the European Parliament since 2009.

[HCWS104]

EU Opt-in Decision: Civil Justice Co-operation Regulations

Steve Baker Excerpts
Wednesday 19th July 2017

(7 years, 4 months ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend Baroness Anelay of St Johns DBE, Minister of State for Exiting the European Union, has made the following statement:

On 9 June 2017, the Government opted in to a proposal to change the updating mechanism of three civil judicial co-operation regulations from the comitology procedure to the post-Lisbon treaty delegated and implementing Act procedure. These are technical adjustments that are part of a wider effort to modernise legislation, which the UK supports.

The relevant regulations are the 2001 regulation on taking evidence in other member states to allow for a court in one member state to request to take evidence to another; the 2004 regulation that created that European enforcement order; and the 2007 regulation on service of documents to allow the service of judicial documents from one member state to another.

The Government submitted the explanatory memorandum on the Commission alignment proposals (COM(2016) 798 and COM(2016) 799) on 13 February 2017. The substance and effect of these three regulations will not change, but become subject to the same updating procedures as apply to other, post-Lisbon regulations (a committee composed of representatives from all EU countries providing a formal opinion, usually in the form of a vote, on the Commission’s proposed measures). The underlying treaty base (now article 81 TFEU) and the relevant regulations were subject to the UK’s justice and home affairs opt-in.

These technical changes protect the UK’s position in relation to three important procedural instruments in the area of civil judicial co-operation and demonstrate the UK’s commitment to abiding by its rights and obligations until exit negotiations are concluded.

[HCWS83]

General Affairs Council: June 2017

Steve Baker Excerpts
Monday 26th June 2017

(7 years, 5 months ago)

Written Statements
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Steve Baker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Steve Baker)
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My right hon. Friend, Baroness Anelay of St Johns DBE, Minister of State for Exiting the European Union, has made the following statement:

The General Affairs Council (GAC) met in Luxembourg on Tuesday 20 June 2017. It was the last GAC under the Maltese presidency. I represented the UK.

The main items on the agenda were: preparations for the June European Council on 22 and 23 June; the eighteen-month programme of the Council; the European semester; and inter-institutional agreements with reference to the Commission’s Work Programme.

A provisional report of the meeting and the conclusions adopted can be found on the Council of the European Union’s website at: http://www.consilium.europa.eu/en/meetings/gac/2017/06/20/.

Preparation of the European Council, 22 to 23 June 2017

The Heads of the EU’s 28 member states, the European Council President and the President of the European Commission assembled at the European Council meeting on 22 and 23 June 2017. To prepare for this meeting, the General Affairs Council examined the second draft of conclusions on the proposed agenda items for the European Council. The agenda included: security and defence; migration; the Paris climate accord; jobs growth and competitiveness; external relations; and digital Europe.

On security and defence, the discussions at the General Affairs Council focused on the European Defence Fund and permanent structured co-operation, to enable member states to develop capability on security and defence matters. Ministers also discussed counter terrorism proposals.

On migration, the Council discussed: internal migration; external migration; measures to address the central Mediterranean route: and the need to work with countries of origin.

On jobs, growth and competitiveness, the Council debated how to secure free and fair trade: the use of defence instruments. Ministers also discussed their ambitions for the single market; the Capital Markets Union; the services sector; and the Digital Single Market.

Ministers were informed that during the external relations discussion, the President of the European Council and the President of the European Commission would update the European Council on recent meetings and summits and leaders would reaffirm their commitment to the Paris Climate agreement.

I intervened to thank colleagues for all the messages of support after the recent terror attacks in London and Manchester. I confirmed that the UK was broadly content with the language on defence but that the proposals on counter terrorism should go further to include references to data retention as a vital tool to fight terrorism.

I underlined the need for a strong EU commitment to free trade and also supported all those who called for ambition and implementation on services, the Digital Single Market and single market strategies.

Eighteen-month programme of the Council

The Council endorsed, without any deliberation, the eighteen-month work programme devised by the incoming Estonian, Bulgarian and Austrian presidencies of the Council of the European Union. The programme will run from 1 July 2017 to 31 December 2018.

European semester

The Council approved the country specific recommendations of the European semester, which is the EU’s cycle of economic and fiscal policy co-ordination, for endorsement at the June European Council.

Inter-institutional agreements

Ministers had a brief exchange of views on the proposals for the 2018 Council Work Programme. The proposals will be formally introduced with the publication of the Commission’s Letter of Intent on 13 September.

The UK also lifted its reservation on the mid-term review of the Multiannual Financial Framework that had been in place during the purdah period and the file was adopted.

[HCWS11]