United Kingdom Internal Market Bill

Baroness Jones of Moulsecoomb Excerpts

Committee stage & Committee: 3rd sitting (Hansard) & Committee: 3rd sitting (Hansard): House of Lords
Monday 2nd November 2020 Lords Chamber

[The Deputy Chairman of Committees (Baroness McIntosh of Hudnall) (Lab)]

I call the noble Baroness, Lady Jones of Moulsecoomb.

[Baroness Jones of Moulsecoomb (GP) [V]]

My Lords, the Government are certainly getting a lot of advice during the passage of this Bill. As the noble Lord, Lord Cormack, said, they really ought to know that they do not have all the answers. So I do hope that the Minister listens.

The amendments in this group follow perfectly the Government’s announcement that they are putting the trade commission on a statutory footing. If the Government want to run an internal market, surely it is right to create a fully functioning governance body for that purpose. Merely tagging on a few functions to the Competition and Markets Authority shows a weakness of purpose and a lack of understanding of exactly how everything should run. Giving the new office for the internal market the power to investigate distortive and harmful subsidies could have a powerful impact on wiping out the implicit and explicit subsidies for fossil fuels, particularly unconventional oil and gas fracking. These implicit and explicit subsidies include a streamlined planning process and no requirement for the company to make a bond, unlike the landfill industry, equating to the government underwriting of the clean-up of fossil fuel sites in the event of corporate bankruptcy. So once again taxpayers would pay to clean up other people’s mess.

Just to be clear, the journalist at Drill Or Drop? suggests that the OIM can comment on controversial issues such as fracking, which, as we all know, is a dangerous, polluting, expensive, intrusive and—in view of our global need to limit our carbon emissions—unnecessary process. The OIM could give advice contrary to the devolved Administrations’ decisions. Can the Minister tell me if that is true?

[The Deputy Chairman of Committees (Baroness McIntosh of Hudnall) (Lab)]

I apologise to the Committee and very personally to the noble Lord, Lord Judd, whom I omitted to call before the noble Baroness, Lady Jones. So I call the noble Lord now.

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[Baroness Boycott (CB) [V]]

My Lords, I tabled Amendment 166, which would amend Clause 48. I thank the noble Baronesses, Lady Jones and Lady Hayman, and the noble Lord, Lord Whitty, for supporting it. As ever, it is a great pleasure to follow the noble and learned Lord, Lord Hope of Craighead.

Clause 48 gives powers to Ministers to provide financial assistance across the UK for a number of purposes, including all economic development and provision of infrastructure. My amendment would set out on the face of the Bill that any financial assistance to be provided must be consistent with the achievement of any applicable climate and environmental goals and targets. As we all now know, we are in the midst of a climate and nature emergency. These powers to provide assistance would be subject to almost no restrictions. The recently published Global Biodiversity Outlook 5 report from the UN highlighted how we have failed to halt environmental decline over the last 10 years, and the 2020 progress report by the Committee on Climate Change says that clear investment priorities to help support economic recovery and the transition to a low-carbon economy are now essential. We need to ensure that financial assistance helps, not hinders, this progress.

My concern is that, if we do not have this amendment, the Government could risk supporting projects, companies or industries that threaten in some way or another to undermine the progress towards meeting our environmental and climate goals. Providing financial assistance for projects that are not consistent with our climate and environmental goals could have major environmental impacts, for instance on roadbuilding, transport and housebuilding. It is also really important that the goals and targets include countries’ respective own targets on net zero—for instance, new targets set under the Environment Bill such as the Welsh recycling targets, which are extremely good.

This is an opportunity to support a progressive domestic climate and environmental policy in all parts of the UK, which is tremendously important ahead of COP 26; Amendment 166 could help achieve this. Indeed, if we do not have an amendment such as this when we turn up in Glasgow this time next year, we could be in a very embarrassing situation. What assurances can the Minister give that these powers will be exercised in a manner that is consistent and compatible with any climate and environmental goals and targets applicable in the relevant parts or part of the UK?

[Baroness Jones of Moulsecoomb (GP) [V]]

My Lords, it is a real pleasure to support Amendment 166 from the noble Baroness, Lady Boycott, which I have signed along with the noble Lord, Lord Whitty, and the noble Baroness, Lady Hayman. I also, of course, support Amendment 169, tabled by my noble friend Lady Bennett of Manor Castle. These amendments are important because they come back to the crucial question of what the market is for: does the market exist to serve us or do we exist to serve the market?

The noble Baroness, Lady Boycott, used the word “progressive”. We need a progressive agenda. We have to harness and tame the market to make sure that it protects our natural world. The market does not care, and would rather see a woodland turned into logs than exist as a habitat for thousands of species, a sink for carbon, a filter for water, a protector of soils, or the hundreds of other ecosystem services that it provides. In truth, we should be seeing amendments like Amendments 166 and 169 in every single Bill that the Government bring to your Lordships’ House. Their absence is a dereliction of duty by Ministers, not only because we have made promises about the environment, but because we make things worse for everybody when we do not do these things. It is not just about making the market worse; it is society that suffers.

It is a year to the day since the Government announced that the Treasury would conduct a net-zero carbon review following the passage into law of the 2050 net-zero target. This review is still nowhere to be seen. Can the Minister please tell the Committee what has happened to the review, whether it is still happening and, if so, when it will be published?