Covid-19: Future UK-EU Relationship

Wendy Chamberlain Excerpts

Wednesday 15th July 2020 Commons Chamber

[Wendy Chamberlain (North East Fife) (LD)]

Thank you, Madam Deputy Speaker. There have been relatively few opportunities for me, as a new MP, to debate the current negotiations with the EU during this Session, so I welcome this debate. It is timely because, after several years of bluster since 2016, this week we have finally started to see some more details of what Brexit will mean in practice.

On Monday, the Chancellor of the Duchy of Lancaster set out the £705 million cost of new border infrastructure and a new comms plan, which has been reported to cost £93 million on top of last year’s £100 million defunct Get Ready for Brexit campaign. On Tuesday, the Government confirmed that some 250 million customs declarations will be required every year, at a cost of £13 billion per annum.

Some of us in this Chamber are old enough to remember that the current Prime Minister and the Chancellor of the Duchy of Lancaster promised that if we voted leave, the NHS would receive £350 million a week. We were told that leaving the EU would be easy and frictionless, but now this Vote Leave Government are spending, on my calculations, around £250 million a week to prepare us for the realities of Brexit, and that is just the tip of the iceberg. These were preparatory measures; we have no idea what the exact cost of our exit will be. There will be tariffs; the question is on what scale, and we now know that that means a deterioration in our terms of trade. It means higher costs for business, and ultimately it will mean a rise in the cost of living, which will hit the poorest in this country hardest.

I acknowledge that that means that, in many cases, those who voted for Brexit will be hit hardest, but this is not the Brexit that they were promised—all at a time when the country faces unprecedented economic disaster and the greatest public health crisis this century. This is not Project Fear; the Government’s announcements, slowly though they may have come, have continually confirmed that this is Project Reality. Members on the Government Benches might criticise me for talking Britain down, but as I highlighted in my question to the Chancellor of the Duchy of Lancaster earlier this week, the current actual financial opportunities identified by the Government equate to absolutely zero.

Back in 2016, we were told that Britain would be welcomed, as we left the EU, with open arms by the international community. Despite lots of rhetoric around trade discussions, that welcome is far from certain. That rhetoric of leaving one Union to be welcomed by a host of nations is also used by Scottish National party Members, and that is not the only parallel between the campaign to leave the union in Europe and that to leave the Union of these four nations.

I have to question the consistency of advocating, on the one hand, that Brexit is doing a great deal of damage —with which I agree; so much, in fact, that delay is required—while failing to acknowledge that leaving the UK would be even more fiscally damaging. The UK has many similarities to the EU. The UK has a single market—one which, I acknowledge, is currently being undermined by our EU departure; a customs union; and a single currency. We share a currency and other far closer and deeper economic and social ties.

Britain carries out 40% of its trade with the European Union, and I agree with the SNP that leaving that institution is having, and will continue to have, profound economic shocks, but Scotland does over 60% of its trade with Wales, England and Northern Ireland, and impacting that would be cataclysmic.

The current crisis has been a clear indicator of the fact that working together can achieve better outcomes. It is likely that we will hear that, had Scotland voted for independence in 2014, with the obvious difficulties of separating from a 300-year-old Union, coupled with a likely currency crisis, it would potentially be in a very precarious place at this time, as it dealt with covid.

Earlier, I mentioned consistency. If the pandemic had struck in a world in which Scotland had voted for independence and was in a period of transition out of the UK, do we really think the Scottish Government would have been pressing for an extension to the date of Scotland’s departure due to covid? I do not think so; it is very likely that the SNP would be ploughing on. They would probably have had the same thinking as the current UK Government: given the scale of the crisis, no one will notice a bit more chaos, and if they do, we can point to the crisis. And why? Because they, like those on the Government Benches, do not acknowledge the costs of their beliefs.

The hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) stated that the SNP looks both ways on Unions. So do those on the Government Benches. If the argument is that coronavirus has such an impact on the UK that an extension to Brexit is required, why is the SNP continuing to push for a referendum on Scottish independence?

The First Minister claims that anyone who says anything contrary to the Scottish Government at present is being a political opportunist, but, too often, her party is happy to foster the politics of grievance. Last week, the Finance Cabinet Secretary, Kate Forbes, dismissed the financial support that went directly from the UK Treasury to Scottish people and businesses as if it did not exist. We have also talked about the Barnett formula today, and one of the benefits of the support that has been delivered directly by the UK Treasury is that it has not been subject to Barnett consequentials and has been absolutely based on the needs of UK businesses and employees.

I fear that responsible politics are in short supply these days, not least at the top of the UK Government. I mentioned a commitment made by the Prime Minister back in 2016, and he made another one almost a year ago on the steps of Downing Street, when he promised he would govern as a one nation leader. If that is the Prime Minister’s intention, he makes it very difficult to recognise it in his actions and those of his Government. In relation to the pandemic, what started as a four-nations approach with movement in lockstep—I have heard this on the Scottish Affairs Committee—quickly degenerated into acrimonious briefings and a breakdown in communications.

We have heard frequently in this Chamber from those on the Government Benches about the precious Union, but for me, the terminology “Union” and “Unionist” rings hollow. If the way the Government have handled relations with Scotland and the other devolved nations during the pandemic is Unionist, I am certainly something different. I am a Liberal. I am a federalist. I am an internationalist; I believe not in erecting borders but in dismantling them, and I do not think the politics of nationalism—on either side of this House—the politics of grievance and, ultimately, the politics of division are any way in which to conduct truly progressive politics. I am proud to stand here representing a constituency that voted both to remain in the UK and to remain in the EU.

As the Government look towards the end of this year, I urge them to remember that two constituent parts of the UK voted decisively to remain in the EU. The failure to properly take that into account in negotiations weakens the bonds of the UK. The pandemic has shown that devolution can deliver financial support, while nations and regions make different choices on their social and public health responses. On Brexit, it is incumbent on the Government be a Government for all four parts of the country, not just England.

We have clearly missed the opportunity of an extension, so now the Government must do all they can to seek a deal that will give us the closest possible relationship to the EU and minimise the impact of our departure during the covid crisis.

The Economy

Wendy Chamberlain Excerpts

Wednesday 8th July 2020 Commons Chamber

[Wendy Chamberlain (North East Fife) (LD)]

The delivery mechanism for the furlough and self-employment schemes has been responsive to where the support is needed across the whole of the United Kingdom. I am not happy with the way relations between the Government and the devolved nations have often fractured during the crisis, but no matter how one looks at it, each nation and region of the UK has benefited from the financial pooling of resources.

As a Liberal Democrat, I am very much in favour of devolution and the Scottish Parliament, but if all the furlough and universal credit decisions went across the desk of the Scottish Cabinet Secretary, we would get only a Barnett share—Scotland would get only 8.6% of English furlough money, even if demand were greater in Scotland. The other benefit is the speed of response. There has been no waiting for Barnett consequentials to be calculated and no delay while it is worked out how best to deliver the support.

I ask the Government to publish a breakdown of the amount of money that has been paid directly by the UK Government to people and businesses in Scotland. Making those figures visible will help to inform all Members of this House and those in Holyrood when we debate the merits of the United Kingdom.

Having praised the UK Government for a rapid response, I will now talk about things that have been anything but quick. I must express my disappointment at the length of time the Treasury has taken to respond to cases that I have raised on behalf of constituents. To give one example, back in early April I was contacted by a new starter at a small business in Auchtermuchty. His contract started on 29 February, which meant he was ineligible for furlough. As such, he faced having no income and no support. He is one of the excluded that the new APPG chaired by my hon. Friend the Member for Caithness, Sutherland and Easter Ross (Jamie Stone) is looking to support.

On 14 April, I wrote to the Chancellor to raise the specific details of my constituent’s case. I heard nothing back until two months later, when I was sent a “Dear colleague” letter that had already been sent to me in lieu of a specific reply. After chasing up twice, I received a further unsatisfactory response from the Government today during the Chancellor’s statement.

It is MPs who people go to when there is nowhere else to turn. Frequently, it is when people have tried to navigate the often bureaucratic and complex structures of Government agencies and heard nothing in response. I am particularly conscious that we are approaching a six-week recess, during which the furlough scheme will continue to taper off. The Chancellor described this earlier today as a “difficult moment”. It is not a difficult moment, but a difficult few months. The recently announced job losses are clearly just the start.

So yes, swift support from the Government is important, but for those who cannot access support and for those who get in touch with us as Members of Parliament, we need to be in a position to relay those difficulties and problems back to Ministers, and to hear back from them in turn. I hope that the Government can offer some reassurance on this matter.

Economic Update

Wendy Chamberlain Excerpts

Wednesday 8th July 2020 Commons Chamber

[Rishi Sunak]

My hon. Friend is right to point out the opportunities that we will now have, after leaving the EU, to tweak our procurement rules to ensure that we will of course always get value for money for the taxpayer, and that we can do so in a way that supports our local economies and—especially right now—local jobs.

[Wendy Chamberlain (North East Fife) (LD)]

Although it has and still does exclude many people, it must be acknowledged that support delivered directly via the Treasury, such as the jobs retention scheme, has been delivered quickly. That support is allocated on the basis not of proportion of population, the cost of support or the level of productivity, but on the need of those who apply and qualify. This is how devolution can operate. Will the Chancellor provide us with detailed figures so that we can assess exactly how much financial support has been delivered from the Treasury to the people and businesses in Scotland and the other devolved nations?

[Rishi Sunak]

Those numbers have been published. As I said, £4.6 billion is the total amount of Barnett funding that has been provided to Scotland throughout the crisis. The block grant adjustment resulting from the stamp duty cut will be finalised after we have final costings from the OBR.

Public Health England Review: Covid-19 Disparities

Wendy Chamberlain Excerpts

Thursday 4th June 2020 Commons Chamber

[Kemi Badenoch]

Yes, my hon. Friend is right. Within some medical circles, there is an expectation that when we do account for co-morbidities—I believe that there was an article in The Times which referenced the SAGE report—some of these differences do reduce to zero. That is why we are not rushing to take into account what one specific report is saying; we are looking at what has been said by all the different reports, such as the one from Public Health Scotland, to make sure that we find out exactly what is going on.

[Wendy Chamberlain (North East Fife) (LD)]

I have received a great deal of correspondence from constituents who are rightly angry at the Government’s delay in publishing this report. Given the lack of recommendations, guidelines or action plan, will the Minister also now commit to establishing a post-covid-19 equality strategy to take forward work to develop policies to tackle health inequalities post covid-19?

[Kemi Badenoch]

I think the hon. Lady is asking for what we are doing at the moment. That is what we are planning to do and that is what we will be looking into. On her accusation that the Government delayed this report, it is simply not true. We asked for a report for the end of May, and that report was brought before the House at the first available opportunity, Mr Speaker, which I am sure you will appreciate.

Covid-19: Economic Package

Wendy Chamberlain Excerpts

Tuesday 12th May 2020 Commons Chamber

[Rishi Sunak]

I thank my hon. Friend for his support and for the advice he has provided to me, with his extensive experience of business and of his constituency. He knows that I care deeply about the aviation sector. My right hon. Friends the Transport Secretary and the Foreign Secretary are considering the issues he raised. In particular, the Government have been clear that further detail on the quarantine measures will be outlined in due course, but I will pass on his suggestion.

[Wendy Chamberlain (North East Fife) (LD) [V]]

In North East Fife, much of the economy is seasonal and workers, who had contracts often agreed months in advance, face no income and no access to existing support. Fundraising for some golf caddies in St Andrews is under way and, although I applaud local community efforts and their generosity, rather than have the seasonal workforce rely on charity, what support can the Chancellor offer them this year so that they can return next year?

[Rishi Sunak]

Those who were in seasonal work can use an average of their earnings over a period for furlough payments, or indeed the same month on a year-over-year basis if that is a more generous way to calculate their eligibility. That is the most generous way to treat those in seasonal employment under the scheme and ensure that we reflect their earnings appropriately.

Self-employed Persons: Financial Support

Wendy Chamberlain Excerpts

Tuesday 24th March 2020 Commons Chamber

[Steve Barclay]

We are looking into that, but it is available as of now. It goes up to £5 million and my understanding is that it does not require personal guarantees. If it is any different, I will come back to him on that point.

[Wendy Chamberlain (North East Fife) (LD)]

A constituent in East Fife runs a mobile catering business, providing a service to both private and public events such as festivals. Having no fixed premises means that they will not benefit from the support announced so far, and the relaxation of planning rules that other food outlets can benefit from to do home deliveries is also an issue. They are also struggling, like many others, to access business interruption insurance. The independent mobile catering sector could be utilised to support and provide sustenance for our key workers. What amendments to the measures will the Chief Secretary consider to support that critical sector?

[Steve Barclay]

I know that my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs is looking at a range of options in terms of how we adapt to the change of circumstances. For example, many pubs and restaurants had significant food orders, so we are looking at what can be done there. There is food that would have been exported previously, but that may now be difficult, so there is a range of measures in terms of the food supply within which mobile caterers will have a role. I know that my right hon. Friend is looking at those issues.

Economic Update

Wendy Chamberlain Excerpts

Tuesday 17th March 2020 Commons Chamber

[Rishi Sunak]

I can tell my hon. Friend that he is absolutely right, and the Communities and Local Government Secretary has already been engaging on this particular issue, working together with the Health Secretary with regard to social care, to make sure that, in our local communities, we can identify and protect the elderly and most vulnerable, and make sure that they get the support that they need.

[Wendy Chamberlain (North East Fife) (LD)]

A constituent of mine in the Howe of Fife, who is self-employed, has contacted me today because she is worried about her future employment and how she will pay her mortgage and support her family. Although I welcome the Chancellor’s moves in relation to mortgages, the fact is that mortgage products often have payment holidays as part of them. Given that these are the first steps, may I ask the Chancellor, first, is this going to be for people who are directly impacted by coronavirus, or is it potentially for people who are self-isolating as they are at risk of getting an infection; and secondly, is he considering other measures to support my constituent, such as statutory sick pay for the self-employed or, indeed, council tax relief?

[Rishi Sunak]

I say to the hon. Lady that I think the measures today on mortgage forbearance are significant and welcome, and banks will show flexibility in providing that. In regard to council tax support, we did provide £500 million of hardship funding to local authorities specifically to use and deploy through their local council tax or support systems that already exist to provide extra support to people with their council tax bills.