Product Regulation and Metrology Bill [Lords] (Third sitting)

Debate between Alison Griffiths and Richard Holden
Alison Griffiths Portrait Alison Griffiths
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I rise to speak in strong support of new clause 3, which would introduce a critical safeguard to prevent Ministers from aligning UK product regulations with EU law if such alignment would jeopardise our existing trade agreements. Over the past decade, the United Kingdom has been forging a new path as global Britain, establishing modern, liberal trade agreements with key partners worldwide. Those include nations such as Australia, New Zealand, Japan, Canada and other CPTPP countries. Those agreements are predicated on the UK’s ability to act as a flexible sovereign regulator, not as a subordinate to Brussels.

Let us consider the CPTPP, which the UK joined in December 2024. It is a group of countries united by a common interest, representing 15% of the UK’s global trade and 13.5% of the UK’s global GDP. The UK’s accession is projected to boost our GDP by £1.8 billion annually and eliminate tariffs on 99% of UK exports to member countries.

Richard Holden Portrait Mr Holden
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Is one of the nicest things about CPTPP not that it is continuing to expand into those new growing economies? My hon. Friend describes the impact today, but the impact will be even greater in years to come.

Alison Griffiths Portrait Alison Griffiths
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My right hon. Friend makes a valuable point. This is a flexible, forward-looking agreement with global ramifications.

The UK-India free trade agreement, signed in May 2025, is expected to increase bilateral trade by £25.5 billion by 2040 and enhance the UK’s GDP by £4.8 billion. The agreement will cut levies on 90% of British products sold in India, including whisky, food and electrical devices. The recent UK-US trade deal, announced on 8 May, provides a £5 billion opportunity for new US exports to the UK, particularly benefiting farmers and producers. Although the deal maintains a 10% tariff across the board on most UK exports, it offers relief to certain UK sectors, including through the elimination of US tariffs on UK steel and aluminium exports.

However, the Bill leaves the door ajar for a realignment with EU rules, often through delegated powers and without rigorous economic impact assessments. New clause 3 would establish a clear boundary: if aligning with EU regulations threatened to breach or undermine our global trade agreements, Ministers would have to refrain. The clause champions growth and supports global trade. It would ensure that we do not regress to a scenario in which Brussels dictates our standards, causing complications in our trading relationships with Tokyo or Washington.

If the Labour party is honest about cultivating global partnerships, it should welcome the new clause. It is imperative that we enshrine legal safeguards to prevent any regression into EU dependency. I urge the Committee to support new clause 3 and uphold the integrity of Britain’s proud global trade strategy.

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Alison Griffiths Portrait Alison Griffiths
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Those were wise words from my hon. Friend the Member for Chester South and Eddisbury. New clause 5 states that Great Britain should not implement EU laws rejected by Northern Ireland under the Stormont brake. Under the Windsor framework, Northern Ireland retains a mechanism to object to the application of new EU law, but under Labour’s Bill, there is nothing to prevent the very same laws being imposed in England, Scotland, or Wales, even after they have been blocked in Belfast. That is illogical, inconsistent, and constitutionally incoherent. 

New clause 5 resolves this by saying that if Northern Ireland activates the Stormont brake on an EU provision, the Secretary of State must pause for thought before applying it to Great Britain. It is not an attempt to hand Northern Ireland a veto over GB law; it is a call for parity of esteem. If something is deemed unacceptable for part of the UK, we surely owe the whole country a pause for thought. It will also serve as a practical brake on the quiet reimportation of EU law into our domestic system, by reminding Ministers that we are one United Kingdom, and that alignment by stealth undermines both sovereignty and the Union itself.

Richard Holden Portrait Mr Holden
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Does my hon. Friend share my concern that not only does it undermine the Union, but it undermines some of our other international and domestic political agreements, such as the Belfast/Good Friday agreement?

Alison Griffiths Portrait Alison Griffiths
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I thank my right hon. Friend for putting a vital point on the record. New clause 5 reflects a commitment to coherent governance, to the integrity of the UK, and to a regulatory system that respects the voices of all four nations. I urge Ministers and the Government to back it.

We must consider the broader economic implications of our relationship with the EU single market. Post Brexit, UK goods exports to the EU have declined, with some studies indicating a reduction of up to 30% compared with a scenario where the UK remained within the single market and customs union. The downturn is largely attributed to non-tariff barriers such as increased paperwork and regulatory divergence, which have disproportionately affected small and medium-sized businesses. The Windsor framework, while aiming to address some of these issues, has introduced complexities of its own: notably, the creation of an Irish sea border has led to significant concerns among Unionist communities in Northern Ireland.

The leader of the Traditional Unionist Voice, the hon. and learned Member for North Antrim (Jim Allister), has been vocal in his criticism, describing the new parcel regulations as tightening the noose of the Irish sea border on local businesses. He argues that these measures further entrench a divide between Northern Ireland and the rest of the UK, undermining the Union and placing additional burdens on commerce. His stance highlights the ongoing tension between regulatory alignment with the EU and the desire to maintain the UK's internal market integrity. The imposition of EU standards on Northern Ireland, without equivalent application in Great Britain, creates a disjointed regulatory environment. This disparity not only affects businesses but fuels political discontent and challenges the coherence of our Union. 

New clause 5 serves as a necessary safeguard. It ensures that any EU regulations paused in Northern Ireland due to the Stormont brake are not automatically implemented in Great Britain without due consideration. This approach promotes consistency across the UK and respects the principle that all constituent nations should have a say in the laws that govern them. By adopting new clause 5, Labour would renew their commitment to a united and sovereign United Kingdom, where all regions are treated with equal respect and consideration in the legislative process.

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Richard Holden Portrait Mr Holden
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It is a pleasure to serve under your chairmanship, Ms Vaz.

These small but practical new clauses would help small and medium-sized businesses, so I hope the Minister will acquiesce to the Liberal Democrat motion, which will be supported by Conservative Members. New clause 6 would ensure the publication of simple and clear guidance for SMEs on day one of the Bill becoming law, to be updated every time new regulations are made. Such guidance would set out the key provisions of the Act, provide practical advice and list the available support and contact details for further assistance. New clause 7 would require the Secretary of State to conduct a review of the accessibility and affordability of independent product testing and certification for SMEs, helping to consider the costs, availability of providers and market access barriers.

SMEs often lack the compliance resources of larger corporations. The previous Government’s £4.5 billion advanced manufacturing plan and broader support for British innovation demonstrated our commitment to helping small and medium-sized businesses to grow and compete. The current Government say they want to help such businesses grow and compete, and new clauses 6 and 7 would be practical measures to help them do just that.

Small and medium-sized businesses are the backbone of our economy and are important drivers of innovation and export growth. New clauses 6 and 7 would give them a fighting chance to innovate without being buried in red tape. I urge colleagues to support both new clauses as sensible and practical improvements.

Alison Griffiths Portrait Alison Griffiths
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I have spoken in opposition to the Bill as someone with more than 30 years of business experience in organisations of every size, including SMEs. New clauses 6 and 7 underscore the fundamental flaws and overreach of this Bill.

New clause 6 proposes that the Secretary of State should produce and maintain guidance for small and medium-sized enterprises on how to comply with the Bill’s provisions. New clause 7 similarly calls for a review of access to testing and certification for SMEs.

At first glance, the new clauses may seem helpful, but they raise a fundamental question: why is that level of bureaucratic scaffolding necessary in the first place? The Bill is convoluted, overly centralising and inherently burdensome. It gives the Secretary of State sweeping new powers to regulate, without sufficient parliamentary scrutiny or consideration of local and devolved voices. It introduces layers of compliance that risk choking innovation and enterprise under a mountain of red tape.

Product Regulation and Metrology Bill [ Lords ] (First sitting)

Debate between Alison Griffiths and Richard Holden
Richard Holden Portrait Mr Richard Holden (Basildon and Billericay) (Con)
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My hon. Friend is making an important speech. Does she agree that we do not only need to grow our economy in new sectors? The UK has been a world leader in some areas historically, which was a driving force behind leaving the European Union in the first place. People wanted to get some innovation and growth back in areas that had been stifled by our European Union membership.

Alison Griffiths Portrait Alison Griffiths
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My right hon. Friend makes a very important point. The future of successful economic growth is dependent on not just new industries, but ensuring that traditional industries, and both large and small businesses, can thrive and prosper in a post-Brexit scenario.

Amendment 17 would align the Bill with the pro-growth agenda and send a clear message to investors and innovators: Britain is open for business.

Product Regulation and Metrology Bill [Lords] (Second sitting)

Debate between Alison Griffiths and Richard Holden
Alison Griffiths Portrait Alison Griffiths (Bognor Regis and Littlehampton) (Con)
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It is a pleasure to serve under you, Ms Vaz.

Opposition amendments 20, 6 and 22 to clause 2 are crucial to safeguarding our sovereignty and global outlook in the Bill. As drafted, clause 2(7) and (8) would allow UK regulations to treat compliance with EU law as sufficient for UK product standards. In effect, the Government are writing a blank cheque for automatic EU alignment into our product rules. The assumption that European Union regulations should be the starting point for our own safety standards is simply extraordinary. Did we vote to take back control only to hand it straight to Brussels by default?

Our amendments demand a global perspective. If the Bill lets EU rules count as meeting UK requirements, high-quality standards from trusted partners around the world must be treated equally. As the shadow Business Secretary, my hon. Friend the Member for Arundel and South Downs (Andrew Griffith), has pointed out, the Bill features the

“overweighting of references to EU standards versus comparable standards from the United States and Commonwealth friends”. —[Official Report, 1 April 2025; Vol. 765, c. 221.]

Why should a spanner approved in Berlin get a free pass in Britain, but one approved in Boston or Tokyo face extra hurdles? Regulators in the US, Canada, Australia and Japan—allies with rigorous standards—deserve the same respect as EU regulators.

Richard Holden Portrait Mr Holden
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Is that not particularly the case when it comes to some of our new international trade agreements that have defence implications, such as AUKUS with our Australian and American allies? Why would we want to use a Norway model in which we literally wait for the fax machine to churn out the latest EU regulation?

Alison Griffiths Portrait Alison Griffiths
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I thank my right hon. Friend for his wise words. I agree that it makes no sense whatsoever.

A noble Lord in the other place put it well, saying that we should be

“open to the best standards globally”—[Official Report, House of Lords, 20 November 2024; Vol. 841, c. GC56.]

accepting that goods made in high-standard, well-regulated economies like the US, Canada, Australia, Japan and the EU are safe for our markets. In fact, the UK’s own Medicines and Healthcare products Regulatory Agency already recognises approvals from such countries to get innovative products to market faster. Why not apply the same principle here, if this is truly about economic liberalism and global free trade from a pro-growth Government?

Why do the Government not support the amendments? By broadening recognition beyond the EU, we would reduce duplication and costs for British businesses that export and import worldwide. We would also bolster our sovereignty by making our own decisions about which international standards serve UK interests, rather than reflexively mirroring Brussels. The Government claim that subsection (7) is merely about “recognition”, not automatic alignment. But recognition should not be exclusive to Europe; it must extend to any standard that meets British safety and quality benchmarks, whether it originates in Brussels, Washington, Canberra or beyond.

Our amendments would ensure equal openness to global standards and end the special status of EU law in the Bill. This is a sensible alternative: a truly global Britain that maintains high standards without tethering itself to EU rules alone. I urge Government colleagues to accept these sensible amendments.

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Alison Griffiths Portrait Alison Griffiths
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Amendment 26 relates to the alarming creation of new criminal offences in clause 3, as my hon. Friend the Member for West Worcestershire has already set out. Clause 3(9) to (11) would let Ministers create or widen criminal offences and penalties by regulation, bypassing full parliamentary scrutiny. As my hon. Friend has set out, this is an absolute travesty, and it is extraordinary to believe that Government Members will support it.

The clause is an affront to the principle that criminal law is made by the people’s elected representatives in primary legislation, not by Ministers slipping provisions through the regulatory back door. Even the House of Lords Constitution Committee has fiercely criticised the approach, reiterating that using delegated powers to create crimes is “constitutionally unacceptable”. It urges that these subsections should be removed from the Bill entirely. We simply cannot allow a situation where business owners wake up one morning and find that a new statutory instrument has turned some technical regulatory breach into a criminal offence punishable by imprisonment. I urge Government Members to think about the provision.

Richard Holden Portrait Mr Holden
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Does my hon. Friend agree that Government Members really should think about what they are doing? We remember that decades ago there was a lot of upset among the British public after people started to be prosecuted for selling things by pounds and ounces, rather than kilograms and grams. It is crazy that people could do be prosecuted by regulation and without proper scrutiny from this House, and Government Members will have to explain that to their constituents down the line. This is such a clear thing, and we should really think about it properly.

Alison Griffiths Portrait Alison Griffiths
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I agree with my right hon. Friend that this is a very serious moment. It might appear to be just a line in a Bill, but it could have far-reaching consequences that are far greater than Government Members are considering at the moment. Parliament must debate and decide such grave matters, not rubber-stamp them after the fact.

Taken together, our amendments champion a pro-business climate. Effective regulation should not mean endless state interference. We can secure compliance in smarter, targeted ways by information sharing and using civil sanctions for minor breaches, rather than unleashing these unbridled powers. I urge Ministers to accept amendment 26 or, at least, to provide iron-clad assurances for the record.