Oral Answers to Questions

Debate between Barry Gardiner and Liam Fox

Thursday 23rd March 2017 Commons Chamber

[Barry Gardiner (Brent North) (Lab)]

Now that the Secretary of State has revealed to The Sun his plans for a trade Bill in the Queen’s Speech, will he do Parliament the courtesy of publishing a trade White Paper that sets out clearly what markets he wishes to liberalise and what measures he will take in future trade agreements to protect and enhance International Labour Organisation principles, sustainable development, human rights, environmental protection, intellectual property rights, food standards, future options on state-owned enterprises and the ability to nationalise particular sectors? If he develops an informed, consultative international trade policy, the Government may be able to restore confidence that they are holding trade dialogues that are backed by a clear and strategic plan.

[Dr Fox]

The hon. Gentleman raises an important point. Should the Government intend to introduce legislation on this issue in the Queen’s Speech, we would want a consultative process so that stakeholders could make their views known. It is important that we do that in a very collegiate way, because that is, as he said, the way to maintain and maximise confidence.

Oral Answers to Questions

Debate between Barry Gardiner and Liam Fox

Thursday 9th February 2017 Commons Chamber

[Dr Fox]

I certainly hope that will be possible, given the freedom that we will have outside the European Union to negotiate such a free trade agreement. It is not just our two countries that will benefit; all countries around the globe will benefit from the new global Britain and our attitude towards global free trade, with all the benefits it brings, especially to the world’s poor.

[Barry Gardiner (Brent North) (Lab)]

The Secretary of State will know that New Zealand is a land of 30 million sheep—there are six or seven sheep for every person—so has he discussed the impact of a trade deal with the leader of the National Farmers Union? It regards the combination of a 43% World Trade Organisation tariff on sheepmeat and increased market access for New Zealand as potentially fatal to our sheep farmers. How will he protect them?

[Dr Fox]

As I said in answer to an earlier question, that will be an important part of our discussions. We will want to discuss how we do that with the NFU and others, but we also need to take something into account that does not seem to be mentioned very often, which is the interests of UK consumers in any trade deal that we come to.

Oral Answers to Questions

Debate between Barry Gardiner and Liam Fox

Thursday 15th December 2016 Commons Chamber

[Dr Fox]

I do not think I need to explain to my hon. Friend that I and my fellow Ministers have set out the case for free trade on a number of occasions. We are seeing a slowdown in the rate of global trade growth at present, which is a threat to the prosperity of people across the globe. We must have more open trade, fewer tariffs and fewer non-tariff barriers if we are to succeed in that task.

[Barry Gardiner (Brent North) (Lab)]

rose—

[Barry Gardiner]

One of the steps that the Government are taking to expand UK trade is through arms sales, particularly to the middle east. In July, the Committees on Arms Export Controls heard evidence that there was an imbalance in arms sales, with promotion coming at the expense of regulation

“such that in UK practice those things are at odds.”

Does the Secretary of State recognise that imbalance? If he does, what does he propose to do about it? If he does not, has he chastised the White House for the remarks this week that “systemic, endemic” problems in Saudi Arabia’s targeting of civilians in Yemen drove the US decision to halt a future weapons sale, which has the Secretary of State and British policy in this area looking callous and threadbare?

[Dr Fox]

I thank the hon. Gentleman; this is the first time in my life that I have been grateful for being colour blind. [Laughter.] This country has one of the world’s strictest arms control regimes. It is both robust and transparent, and decisions are scrutinised intensely. I simply do not accept the picture that he paints of the UK’s attitude.

--- Later in debate ---

[Dr Fox]

I am pleased to say that we do not have a trade deficit with the US; we have a trade surplus with the US. In fact, we send £100 billion of exports to the US a year, which is 20% of our total, with a £40 billion surplus. The US is responsible for 26% of all our inward investment, and we are responsible for 23% of outward investment to the US. It is a very, very interdependent relationship.

[Barry Gardiner (Brent North) (Lab)]

By insulting my wife’s taste in ties, the Secretary of State must await her reprimand, but she must wait in line because there are others who wish to reprimand him. The European Scrutiny Committee told off the Secretary of State for going to Brussels and agreeing the comprehensive economic trade agreement between the EU and Canada without first bringing it to the UK Parliament for scrutiny. He undertook to the Committee that he would bring CETA for debate in this House by the end of November, a deadline that he missed. The Committee then set a more generous deadline, but that deadline expired two days ago, on 13 December. Will he tell us whether he actually believes in taking back sovereignty from Brussels—does he or does he not? If he does, repeatedly denying the UK Parliament the right to properly scrutinise such an important trade agreement is a very odd way to go about it. Will he now commit to bring a debate and a vote to the Floor of the House before the European Parliament finally votes on CETA on 2 February?

Oral Answers to Questions

Debate between Barry Gardiner and Liam Fox

Thursday 3rd November 2016 Commons Chamber

[Dr Fox]

Yes, we are keen to seize all the opportunities that leaving the EU presents, and so, too, are many of our international partners, who recognise the attractiveness of doing business with the UK. I will be accompanying the Prime Minister on a trip next week to India to take forward some of those opportunities.

[Barry Gardiner (Brent North) (Lab)]

Does the Secretary of State see any irony or contradiction in his development of these new free trade and investment agreements, which involve the harmonisation of rules and standards with other countries—even obedience to supranational commercial courts—and the referendum instruction from the British people that we should leave membership of the largest free-trade agreement in the world so that we can set our own rules and take back our sovereignty?

[Dr Fox]

No, because the European Union is not simply a trading organisation. Were it simply a trading, and not a political, organisation, the referendum result may have been different. One of the major problems with the European Union, and one of the reasons why the public voted to leave, was that there is such a strong supranational imposition on the United Kingdom.

--- Later in debate ---

[Dr Fox]

I apologise for taking longer than usual to get to the Dispatch Box, Mr Speaker—the last time I take my own advice about going to the gym to get fit. It is important to get more small and medium-sized enterprises exporting. If we look at the UK’s performance we see that only 27% of our GDP is accounted for by exports, whereas for Germany it is 48%. A lot of that difference is accounted for by a lack of SME exports. We will be announcing a range of measures soon, and there will be a pack setting out those measures available for all Members of Parliament so that we can all help the SMEs in our own constituencies.

[Barry Gardiner (Brent North) (Lab)]

The Government Front-Bench team has tried to suggest that the High Court decision that Parliament should have a vote before triggering article 50 is in some way antidemocratic or thwarts the referendum result. Will the Secretary of State acknowledge that the vast majority of Members in this House are now committed to honouring the decision to leave the EU, but that democracy demands that the terms of our leaving must be subject to the proper advance scrutiny and consent of this democratically elected House, and not negotiated in secret and smuggled through without the support of this sovereign Parliament?

[Dr Fox]

There will be numerous opportunities for the House to examine and discuss what the Government are negotiating. When we are clear about the position we will adopt, article 50 will be triggered, but given the nature of the judgment this morning we will now have to await the Government’s appeal to the Supreme Court.

Oral Answers to Questions

Debate between Barry Gardiner and Liam Fox

Thursday 8th September 2016 Commons Chamber

[Dr Fox]

That is correct, but I would say to counterbalance that that we also have a great deal of expertise inside Whitehall Departments, and it seems to me it would not necessarily be a good use of taxpayers’ money to contract out all these functions when we have the ability to get that knowledge into the negotiations from inside the Departments we already have. I think that a judicious mix between the two would be the appropriate way forward.

[Barry Gardiner (Brent North) (Lab)]

I welcome the Secretary of State and his team to this exciting new Department and look forward to working with them to promote British trade across the world. I also welcome his progress in recruiting international trade negotiators, although it seems that they may have to wait some time before they can do any actual negotiating. Does he accept that under the current EU treaty the UK does not possess competence—the right to negotiate separate trade deals—and will he confirm that the UK will assume competence not when article 50 is triggered, but only when the UK actually leaves the EU?

[Dr Fox]

May I reciprocate by welcoming the hon. Gentleman to another one of his many roles in the House of Commons? Let me be very clear that while we are not able to negotiate in terms of concluding a deal while we are members of the EU, there is nothing to stop us having discussions and scoping out future agreements, and I can announce to the House that as of last week we have now concluded a deal to set up a trade working group with India to look at how we will remove barriers to trade before negotiating a free trade agreement on our exit from the EU.

--- Later in debate ---

[Dr Fox]

The US is the south-west’s third-largest export market with £1.59 billion-worth of goods exported in the year to March 2016, including everything from aerospace, as mentioned by the hon. Member for Bristol West (Thangam Debbonaire), to cider and cheese. We want to expand those opportunities. I have already announced that we will open three new trade offices in the US in Minneapolis, Raleigh-Durham and San Diego. We need to look at where there are markets and not simply operate on a geographical basis.

[Barry Gardiner (Brent North) (Lab)]

The Secretary of State will acknowledge that the most important ongoing discussions with the USA are on the Transatlantic Trade and Investment Partnership. Does he therefore find it strange that although the UK has voted to leave the European Union in order to reclaim parliamentary sovereignty in this country, the Government, unlike their EU counterparts, have still not made available any provision for Members of Parliament to scrutinise the secret text of the TTIP agreement, despite having promised to establish a reading room securely for this purpose in February?

[Dr Fox]

While we remain in the EU, we will continue to push all free trade agreements possible, because we believe in global trade liberalisation; that includes the Government’s position of support for TTIP. It remains the United States’ clear priority to get this agreement, but I think the hon. Gentleman will accept that given the comments that have come from both France and Germany in recent weeks, and the fact that we have elections next year in both countries, the future of TTIP, at least in the immediate future, looks less than utterly secure.

--- Later in debate ---

[Dr Fox]

May I first congratulate my hon. Friend on securing a debate later this afternoon? The Department for International Trade supports cutting-edge British technology companies to take advantage of overseas opportunities. Working closely with industry partners such as Tech City UK, techUK and our network of international trade advisers, we assist SMEs to scale up, reach their export potential and win overseas business. Companies have the opportunity to take part in focused trade missions, key tech industry events and meet potential buyers, and we will be setting out new ways in which we intend to maximise that in the coming months.

[Barry Gardiner (Brent North) (Lab)]

The Secretary of State will be aware that, in the automotive business, the original equipment manufacturer focuses on the stability of its supply chain, which is typically sourced from many different countries. Has he identified those supply chains in the automotive sector in which the involvement of UK companies would violate country of origin rules once the UK has left the EU, and what advice has his Department given to those companies?

[Dr Fox]

The country of origin complications is of course tied up with the point that was made earlier about the World Trade Organisation and the EU schedules. The WTO is still working on EU 15 schedules having not yet ratified EU 28, so the way in which it operates still has some way to go. The hon. Gentleman is quite right in looking at country of origin; it is one of the issues that the Government will look at as a whole when considering the options for our future relationship with European Union and outside.