Newport Wafer Fab Sale

Bob Blackman Excerpts

Thursday 15th July 2021 Commons Chamber

[Amanda Solloway]

The Government do have a wide range of legislative and regulatory powers to protect infrastructure and critical services, including the National Security and Investment Act 2021, which will allow the Government to scrutinise and intervene in acquisitions that may pose national security risks. It also provides businesses and investors with predictable, legally defined timelines and processes for decisions on acquisitions. The NSI Act requires particularly sensitive acquisitions to be approved by the Government before they are completed. However, the vast majority of acquisitions will be unaffected by these powers.

[Bob Blackman (Harrow East) (Con) [V]]

When it comes to issues of national security, there can be no compromise. I am one of those who believes in the free market and believes in companies being bought and sold where appropriate, but national security must trump that. In these circumstances, this is such a vital aspect of both our industry and our national security that the Government must intervene. I understand that my hon. Friend cannot comment on issues of national security to the House today, but will she undertake to return to the House when a final decision is made and inform the House so that we can scrutinise it both for value for money and on national security grounds?

[Amanda Solloway]

As laid out in the integrated review, China is a systematic competitor. The scale and reach of China’s economy, the size of its population, its technological advancement and its increasing ambition to project its influence on the global stage through programmes such as the belt and road initiative will have profound implications worldwide. Open trade economies such as the United Kingdom will need to engage with China and remain open to Chinese trade and investments, but they must protect themselves against practices that have an adverse effect on prosperity and security. Co-operation with China will also be vital in tackling transnational challenges such as climate change and biodiversity loss, as I have mentioned.

The UK wants a mature, positive relationship with China based on mutual respect and trust. There is considerable scope for constructive engagement and co-operation, but, as we strive for that positive relationship, we will not sacrifice either our values or our security. It has always been the case that we raise concerns where we have them, and where we need to intervene, we will. The Government have a range of legislative and regulatory powers to protect infrastructure and critical services including the New National Security and Investment Act 2021, which is nationally agnostic. Finally, acquisitions should be considered on a case-by-case basis, and that helps to ensure that the Act is not discriminatory. We will uphold our World Trade Organisation obligations.