European Union (Withdrawal) Act

Andrew Bridgen Excerpts

Monday 14th January 2019 Commons Chamber

[Dr Fox]

I am grateful to the hon. Lady for raising a very important point. Yes, the Government’s intention is, of course, that we will get this deal through, in which case, when it comes to an implementation period, we will have the opportunity for automatic roll-over. However, as the House would expect us to do, the Government are also preparing, in case there is no deal, to be able to have continuity of these trade agreements. A number of them are close to being signed, and when they are signed, the Government will put them to the House so that the House can make a judgment on them.

[Andrew Bridgen (North West Leicestershire) (Con)]

Will the Secretary of State confirm that when we leave the European Union we will be the biggest export market for EU goods? Probably something like 17% of all EU exports will be coming to us. Has he or his Department made any estimate of how many millions of jobs in the EU are reliant on this trade with the UK?

[Dr Fox]

That is why it is to our mutual advantage to get a free trade agreement with the European Union. I hear people say that it would be fine simply to leave purely on World Trade Organisation terms, but if WTO terms were so advantageous, we would not be looking to have a free trade agreement with the United States. It is very clear that free trade agreements are one of the ways in which we can overcome some of the restrictions on most favoured nation status. I imagine that it would be to the advantage of both parties—both the EU27 and the UK—to come to a free trade agreement of some form after we leave so that we can maximise that trade between us.

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[Andrew Bridgen (North West Leicestershire) (Con)]

I would be the first to concede that the Prime Minister did not inherit the best hand in the negotiations, with her predecessor making no preparations whatever for a leave vote in the referendum. The referendum in North West Leicestershire was not close: it was 61% to 39% to leave the European Union. In the east midlands, it was 59% to 41%.

Leave the European Union we must, but this withdrawal agreement is not the way to do it. It will not deliver the Brexit that 17.4 million people voted for. At least when we are in the European Union we can leave, whereas I think that if we get this withdrawal agreement we will never be able to leave. We will be handing over our major bargaining chip, £39 billion of taxpayers’ money, for what? For the bulk of the divorce payment during the transition period, with vague promises of a future relationship which is in no way legally binding.

Many of my colleagues rightly pointed out their concerns about the backstop to prevent a hard border on the island of Ireland: a hard border that was already dismissed before it became a political issue by HMRC Northern Ireland and the Republic of Ireland customs and excise, when they stated that the existing infrastructure was quite sufficient to deal with the border on the island of Ireland; a border that all parties concerned—the EU, the Republic of Ireland and the UK—said they would never implement; and a border that the WTO stated is unnecessary for security concerns.

We are told that neither the UK nor the EU wishes to use the backstop, and that the EU would be uncomfortable with the backstop. Reading through the agreement, however, it looks like the deal of the century for the EU if we sign up to it. Not only will they get to keep the £100 billion in trade deficit we have with them, but they will have an agreement that prevents us from partaking in free trade deals that allow our people to access cheaper goods and services. That effectively makes the Department for International Trade redundant. No country with an existing EU free trade agreement would need to deal with the UK, and any country that does not have an existing free trade agreement would be subject to tariff rates set by the EU.

All the agreement will do is prolong the uncertainty. We could go into years of negotiations over a free trade deal. I campaigned to leave, and leave we must on the basis of sovereignty. This agreement would see our country not getting back control, but losing control and losing sovereignty. Even the Prime Minister’s own Brexit adviser Olly Robbins is reported to have warned her that there is was no guarantee that Britain will be able to exit the backstop, which risks leaving us trapped in the EU’s customs union indefinitely.

I am of the very strong opinion that the final relationship that the European Union has in mind for the UK, if we ever get to that point, will be very similar to the backstop. Let us remember that under this withdrawal agreement we would be subject, if we got to a final agreement, to the veto of the remaining EU27 on the final deal. We already know that the French will want our fish, Spain will want at least joint sovereignty of Gibraltar and everybody else will want a piece out of it.

This is a bad deal. It will not get back control of our money, our borders or our laws. It will not regain our sovereignty, but lose our sovereignty. I am not walking away from the Prime Minister; she walked away from her Mansion House speech. I cannot support this withdrawal agreement. I will be voting against it. Quite honestly, my chairman rang me last night and said, “Don’t bother coming back to North West Leicestershire if you vote for it—you’ll be deselected.”

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[John McDonnell]

I will come on to that—[Interruption.] I will come on to that, if the right hon. Gentleman will allow me to finish. We have maintained a level of respect in this debate so far—let us try and keep it like that.

I believe that this deal will not go through tomorrow—it will not have the support. But I think we have increasingly found tonight that we recognise that our first responsibility is to avoid the catastrophe of a no-deal Brexit. The House spoke clearly on this only recently when voting on the amendment to the Finance Bill tabled by my right hon. Friend the Member for Normanton, Pontefract and Castleford (Yvette Cooper). Let me remind the House of some of the assessments that motivated that vote at that stage. We have had some reference to them tonight—it is about the impact of no deal. The Government’s own economic analysis put the potential cost of a no-deal Brexit at nearly 10% of GDP. The Bank of England said that it could cause more economic damage than the financial crisis of 10 years ago, including unemployment of 6% and a 14% hit to house prices. The CBI has warned—

[Andrew Bridgen]

The shadow Chancellor says that the prediction is that a no-deal Brexit could cost the UK economy 10% of GDP. Would he bear in mind that total trade—import and export—with the European Union comes to only 9.5% of our economy altogether?