King’s Speech

Viscount Waverley Excerpts

Monday 13th November 2023 Lords Chamber

[Viscount Waverley (CB)]

My Lords, the economy will rightly be centre stage as we approach the general election, so the King’s Speech and the upcoming Autumn Statement need to act as a catalyst for international trade and attracting FDI, with both being the engine room of the national economy. We live in a changing world, however, where the new world will increasingly come alongside the old, presenting opportunity but challenges.

I refer the House to my declaration of interests. Digitalisation and technological advances are examples of positive advances. The enabling benefits of electronic trade documents and the provision of financial instruments, particularly for mid-sized SMEs from those emerging markets, will bring heightened competition in international exports. Increased compliance in mandatory supply-chain transparency and the increased risks associated with supply chain disruptions will further challenge us.

I preface further remarks by acknowledging that the UK brand is held in high regard globally. However, adhering to antiquated practices is not a blueprint for success. I am sorry to say that in many a quarter there is palpable unease about current governmental intervention, with some decrying unhelpful meddling. To succeed internationally we must actively engage with the priorities of others, recognising the significance of cultivating trust and giving due regard to an emphasis on local context.

I was uncomfortable, therefore, when a PM’s trade envoy at a recent pan-Africa conference that I attended could muster only a narrative centred around “we in Britain”, rather than adopting a more fitting approach of, “I have come to listen, to understand your continental vision and priorities and how we can contribute to your aspirations”. The global messaging should be that of a new, innovative, centrist, forward-thinking United Kingdom, at ease with itself and contributing with all the experience that we have, to promote a world of equitable coexistence. That is key.

The intervention by the envoy led to a distinguished African diplomat underlining passionate concerns about the UK’s historical involvement in slavery and African asset-stripping—a poignant point that should not be dismissed lightly. I note that Lloyd’s of London is promoting racial equality causes after a research project determined its significant role in the transatlantic slave trade. I listened with keen interest to the noble Baroness, Lady Moyo, who is not in her place, particularly in relation to the BRICS grouping, to which can be added economic regions from the Asia-Pacific, Africa and Latin America. However, closer to home, when EU neighbours signal with an olive branch, at least we should have the courtesy and pragmatism to listen, reflect and not be dismissive with an out-of-hand Brexiteer ideological dismissal. The Foreign Secretary should remember that continental partners deeply regret not contributing more when he went cap in hand to Brussels. In the aftermath of such reflections, I have relinquished my role as founder and co-chair of the Trade and Investment APPG.

Nothing short of a comprehensive root and branch reform of the UK’s export promotion strategy and that of multipliers in promoting UK excellence is required, in a way that some will find difficult. It is that of a changed mindset, with genuine collaboration with the private sector being key and the Government’s role being singular—to create conditions that empower all facets of bilateral and regional relations to thrive, then to step aside and allow seasoned professionals to navigate the intricacies.

I returned from Tashkent last night, where I had assisted in the opening of the British Management University, on a visit that coincided with the Presidents of Italy and France on separate bilateral visits. Can the Minister give some assurance that the age-old problem of access into Downing Street and ministerial diaries will be properly addressed and that we will see many more state visits to support the international trade agenda? It would be appreciated by all.

I had hoped to put forward a raft of thoughts for consideration, but I will leave it there and hope that in the not too distant future we will have the opportunity to properly scrutinise government performance and advance informed thinking, including advocating for a formal review of the role of UK-based chambers of commerce and the relationship with overseas BritChams, and how best to strategise on global SME access and co-operation in emerging markets where the real opportunities lie. These and the role of the regions within the United Kingdom are examples of where urgent review is required, fulfilling the mantra of a global rather than an insular Britain.

In conclusion, responding to the set of challenges from the noble Lord, Lord Londesborough, and to many other noble Lords who have spoken today, why do we not establish a rolling scorecard system to monitor progress by this and any future Government, to include, for example, comparison with other countries’ performances?

Queen’s Speech

Viscount Waverley Excerpts

Monday 13th May 2013 Lords Chamber

[Viscount Waverley]

My Lords, the gracious Speech emphasised the focus on building a stronger economy and that the first priority is to strengthen Britain’s economic competitiveness; this following recent remarks calling for greater productivity in the United Kingdom by, among others, the noble Lord, Lord Heseltine, who is not in his place.

There is, however, a substantial success story by UK companies in the oil and gas supply chain. According to trade information, exports related to that sector have grown for the 14th year in a row and are now worth £17.2 billion. Certainly, I can confirm in relation to activities in which I am engaged that UK supply chain-based companies have the highest number of individual companies supplying a high-priority export market—that of Kazakhstan.

However, we cannot afford to relax. Kazakhstan has been determined to be a priority export market by the United Kingdom and cannot be ignored. Leaders from other supply-chain countries are knocking on Kazakhstan’s doorstep. The German Chancellor has visited and now the French presidency has confirmed another state visit. I am in no doubt that to underpin the UK’s position requires a visit by the Prime Minister in helping to retain our position. No Prime Minister has visited Kazakhstan since independence in 1991, and yet it is where British interests, notably BG and Shell, are excelling.

I should declare that I chair the British Kazakhstan Parliamentary Group and the regional Central Asia Parliamentary Group and, for the record, have signed a co-operation agreement with opposite numbers in Astana that includes, among other initiatives, encouraging emphasis on increasing two-way investment and trade.

What can be done to consolidate our position as a lead player? Measures and mechanisms that increase co-operation agreements between those with the necessary technology to partner those in Kazakhstan, indeed in all new energy economies, is a process that stakeholders should embrace in a new world order. There is good pragmatic reason to do so, beyond economic. The importance of social and corporate responsibility on the part of investors and suppliers is paramount, and they have a moral and legal imperative to put this into practice. Foreign legislation is increasingly demanding it.

Helping to create a culture of legacy beyond investment, development and profits should be embraced as a norm that would protect the UK’s position, and for which recipient countries should encourage and reward. Employment creation creates an environment for stability. This enhances the confidence that protects the very investments necessary for the development of those national assets. The underlying challenge is to contribute to the strengthening of professional skills and the industrial base by maximising opportunities for local companies and citizens to benefit directly. This developing of indigenous capabilities, in partnership with the United Kingdom’s professionalism and experience, would become a winning formula.

In my capacity advising the national oil company, KazMunaiGas, I was given the task by the chairman, Mr Kiinov, to unify the fragmented approach towards local content development endeavours of the lead oil and gas operators, Kashagan, KPO, NCOC and Tengizchevroil, which include such partners as BG, Shell, Chevron, ExxonMobil and Total. I invited them to London to determine common ground and agree necessity in what we labelled the “London Process”, and which culminated after complex discussions in the signing of the Aktau Declaration a year later. Operators agreed a strategy and the content of a forward engagement plan with ministries, regulatory authorities and industry bodies concerned with local content development.

Delivery by stakeholders contains six key components: first, training and skills development with fast-track programmes to address critical skill shortages and longer-term skills capacity building; secondly, an industrial capacity register as a source of reference to identify current and potential capacity in the oil and gas sector and, importantly, the non-oil and gas sector; thirdly, harmonisation of standards, specification and code of practice; fourthly, enterprise development to stimulate the promotion, growth and new development of local companies, including access to management expertise and funding; fifthly, an inward investment programme to contribute to the commercial environment and identify opportunities to accelerate and expand domestic manufacturing and supply; and, sixthly and lastly, research and development to anchor specific technology development programmes to create new high-value business opportunities within domestic and regional markets.

The technical, commercial and socioeconomic challenges will take time, investment and commitment to develop, with huge challenges ahead. These priorities can be delivered in the United Kingdom’s national interest within existing contractual arrangements and international treaties with foresight, willingness, respect and innovation. The programme I have outlined can be developed further into a bilateral win-win.