Brexit: Bank of England Report

Baroness Kramer Excerpts

Thursday 29th November 2018 Lords Chamber

Asked by

[Baroness Kramer]

To ask Her Majesty’s Government what is their response to the Bank of England’s report, EU Withdrawal Scenarios and Monetary and Financial Stability.

[Baroness Kramer (LD)]

My Lords, I beg leave to ask the Question of which I have given private notice.

[The Minister of State, Department for International Development (Lord Bates) (Con)]

My Lords, the Bank of England’s analysis has been produced for the Treasury Committee and Parliament, and it is rightly produced and presented by the Bank independently of government. The analysis shows that under an economic partnership similar to the Government’s deal, there could be an improvement in the economy’s performance for the next five years compared to the Bank’s latest forecast. Over the long term, our economy will remain fundamentally strong. We are confident that the deal we have agreed provides certainty, is the best available for jobs and prosperity and allows us to honour the result of the referendum.

[Baroness Kramer]

My Lords, in its scenario looking at terms closest to the May deal, the Bank of England analysis actually shows that GDP by 2023 will be nearly 4% below the pre-referendum trend—below what it would have been under remain. Will the Government now tell the British people very clearly that their chosen deal leaves the country not just marginally but significantly poorer, less productive and with a smaller economy than remaining in the EU? Will the Government now treat the country fairly and allow the people to vote with this full information at hand?