Transatlantic Trade and Investment Partnership

Andy Slaughter Excerpts

Thursday 10th December 2015 Commons Chamber

[Christian Matheson]

Indeed, I shall buy myself a nice, top-of-the-range Range Rover. If the Government reduce the speed limit on the motorways to 50 mph, am I allowed to sue them because they have taken away my enjoyment in driving that car? It is exactly the same with TTIP. If the Government choose to change the law, it is their right to do so, and there should be no caveats for large corporations.

[Andy Slaughter (Hammersmith) (Lab)]

I am glad that my hon. Friend is addressing the issue of ISDS, which is of great concern. It was introduced, we were told, to give security to investors against weak legal systems in developing countries. Whether or not that is true—my hon. Friend has just made a good point—I do not believe that we have a weak legal system in this country, despite what the Government have done. The idea that the private law rights of multinationals should be put above the system that applies here is disgraceful.

[Christian Matheson]

My hon. Friend makes a good point, but I now wish to give an example of the perils that ISDS may bring. It involves another regime, but it could easily be transcribed into TTIP. Veolia has sued the Egyptian Government for alleged breach of a contract for waste disposal in the city of Alexandria on the basis of a bilateral agreement between France and Egypt.

At a time when Egypt is in a vulnerable and uncertain position politically, we should be helping it to develop democratic structures. When the Egyptian Government introduce a minimum wage that will probably benefit most ordinary Egyptians, we should support their action, but apparently Veolia has sued the Egyptian Government for taking that action. How stupid and short-sighted is it to sue the Egyptian Government and lower the standards of living of ordinary Egyptian workers at a time when we are trying to persuade Egypt that Islamism and the Muslim Brotherhood are not the way forward? This is an example of a western corporation undermining the wellbeing of ordinary people. That is what ISDS does: it enshrines the rights and priorities of globalised corporations over and above those of ordinary people, and the results could be catastrophic.