Draft European Research Infrastructure Consortium (Amendment) (EU Exit) Regulations 2018 Debate

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Department: Department for Business, Energy and Industrial Strategy
Monday 3rd December 2018

(5 years, 5 months ago)

General Committees
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Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
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It is a real pleasure to serve under your chairpersonship on such an important subject, Mr Sharma. With the article 50 deadline so close and the Government in such disarray—as demonstrated by the recent resignation of the former Science Minister, the hon. Member for East Surrey (Mr Gyimah)—we need more than ever the process of scrutiny that statutory instrument Committees allow.

Science is a great British success story, supporting jobs and growth across the country. From Newton to Hawking, and from Lovelace to Franklin, British scientific giants have bestrode the world. It is a global success story: in science and innovation, we are the partner of choice of our European neighbours and countries across the world. British science has benefited from what the director of the Campaign for Science and Engineering, Dr Sarah Main, describes as:

“A web of collaborations, shared facilities and cross-border research programmes…which has led to a rich flow of ideas, people and research funds into the UK.”

According to the Government’s 2013 report, the increasing internationalisation of UK science, powered in part by European collaboration, has allowed us to surpass the United States in science productivity.

As the Minister has explained, ERICs are one of the legal forms that underpin this collaboration, and they are crucial to the success of British science. We take a leading role in many pan-European organisations, with facilities often located in our country. Instruct-ERIC, for example, was set up to support structural biology research infrastructure, and has six centres in the UK. ECCSEL ERIC, which provides laboratory infrastructure for important research in carbon capture and storage, has a near surface gas monitoring facility and six carbon dioxide capturing facilities in the UK.

Even when such facilities are not located in the UK, participation in ERICs gives our researchers access to facilities, data, knowledge and contracts that would otherwise be inaccessible. That is beneficial not just for public research organisations but for the private sector, both through the tendering of construction opportunities to private businesses and through the use of ERICs to disburse funding for research projects, to which private organisations may be contributing. ERICs are therefore an important interface between research funding at the state and pan-European levels and the research endeavours of public and private institutions. Strengthening that interface will be crucial if we are to achieve the ambition shared on both sides of the House of meeting—and on the Opposition side, surpassing—the OECD average of 2.4% of gross domestic product invested in research and development.

The draft regulations are an attempt to pave the way for the continuation of current laws governing the establishment of ERICs when we leave the European Union. I will not go into the details that the Minister set out, but the Opposition are satisfied that the SI does not represent a policy change. The Government’s impact assessment says that the SI will not have a direct impact on business and research organisations, and that is true in the strictest sense. The SI does not change the process for joining an ERIC, or the rules under which they are governed. Crucially, as the Minister set out, countries do not need to be members of the European Union or its framework programmes to be a member of an ERIC, so we will continue to participate in ERICs even if we are not able to join Horizon Europe as an associate member.

However, I emphasise that it would be naive to assume, as the Minister seems to be doing, that the level of our participation in European framework programmes will have no impact on whether the UK continues to join new and existing ERICs. Science funding and investment have already been severely knocked by the chilling impact of not knowing what our relationship with Horizon will be after Brexit. Funding for UK science from Horizon 2020 was down by a fifth last year, while more and more universities tell me that Brexit chaos is freezing them out of funding opportunities. It is vital that we secure associated status with Horizon Europe, as CaSE and the Royal Society have called for and as Labour has pledged. I am glad that the Government are committed to seeking associated status, but am concerned by the lack of any apparent contingency plan if negotiations fail to secure that status.

That uncertainty is compounded by confusion at domestic level. Despite their lofty rhetoric on science spending, the Government have not produced a long-term funding plan. Disbursement through the challenge fund is uneven and unpredictable, while measures to support innovation through the tax code are continually being introduced and then axed. Finally, with the Government’s long-anticipated White Paper on migration supposedly around the corner, British science needs clarity on how and to what extent it will be able to access European talent after breakfast—Brexit. [Hon. Members: “Ah!”] Perhaps we will just have breakfast instead.

In conclusion, the Opposition will approve the SI, as we believe it is necessary for the continuing functioning of our science sector post-Brexit. However, the Government would do well to consider what else they need to do to ensure that we continue to be the scientific partner of choice for the world.

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Claire Perry Portrait Claire Perry
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I thank hon. Members for that series of interesting and helpful questions, which I will try to answer.

There was a series of questions about our post-Brexit position on ERICs and the scientific leadership that we wish to exert. It is absolutely right that we continue to discuss this. I should have declared an interest, Mr Sharma: I am married to a world-leading scientist—Professor O’Neill of Cambridge University—who has participated not in ERICs, but in a number of Europe-wide research projects. I know very clearly what the risks and benefits are of continuing or not continuing international collaboration.

The point about the talent pool is significant, because of course scientists are not fungible. Part of the reason why we have been able to attract so much investment, both domestically from private sector sources and from overseas, including Horizon—as of 28 September, we were second only to Germany in the funding commitments we have received—is that we have an astonishingly strong science and innovation research base. Arguably, we need to focus on scale-up to get from research to commercialisation, but that has nothing to do with our position in the European Union; it is to do with our will to harness industrial investment after early stage research and development.

I and the Department remain very positive about the outlook for the UK’s role in participating in world-leading science and innovation. We have taken a couple of domestic measures, including providing an additional £7 billion to the public funding of R&D from 2017 to 2020, which I understand to be the biggest increase that has ever been made. We are also working through sector deals to try to align the principles of the industrial strategy with the very practical steps that different sectors are taking forward, including on R&D-specific projects, places and individuals funded through those sector deals. It feels to me entirely fundamental to the UK’s progress—I believe that this should have happened regardless of our decision on Brexit—to harness that world-leading science and innovation base in a way that delivers more of an alignment with the industrial strategy.

Chi Onwurah Portrait Chi Onwurah
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I thank the Minister for the tone of her response, but I take issue with her proposition that the ability of UK companies to scale up is not related to whether we are part of the European Union. Funding is one thing, but access to talent and potential markets for scale-ups are obviously related to whether we have access to one of the world’s biggest trading blocs.

Claire Perry Portrait Claire Perry
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The hon. Lady is right. It is why the proposed framework is to have as close as possible alignment on goods. I know she speaks to many universities and researchers, so she will know that we have an endemic problem with scale-up. What tends to happen is that the intellectual property is sold overseas before the commercialisation stage, and often the full commercialisation of projects and services is done by overseas companies, rather than the IP being held back in the UK—but I am digressing slightly. Forgive me, Mr Sharma.

I am going to address the migration points. I thank the hon. Member for Wallasey for her contributions to the European Statutory Instruments Committee. I know she has a lot of stuff going on with that, and these are important questions. Third countries cannot host ERICs, so there is a question about hosting versus participation. We host two ERICs and we are members of 12. This relates to our future negotiations, which are spelled out in the political declaration, but we have expressed a desire to continue to host. We hope that our special status as one of the world leaders—I cannot remember the patent numbers, but I believe we are up there with economies very much larger than ours—will allow us some special status for ERICs hosting. I believe that is part of the future negotiations.

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Claire Perry Portrait Claire Perry
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Thank you, Mr Sharma.

Chi Onwurah Portrait Chi Onwurah
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In the context of ERICs, I feel that it is important to emphasise that we all wish for more women not just to come forward, but to be encouraged to be part of science. Speaking as an engineer myself, I know the virtue of collaboration is that different people from different disciplines and different backgrounds come together to create innovation. That is not an issue with regard to whether or not home-grown women are accessing the skills pool.

Claire Perry Portrait Claire Perry
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The hon. Lady is absolutely right. I think she rather supports the point that I made earlier, which is that scientists are not fungible. That is why I believe that we should maintain very strong confidence in the UK’s incredible reputation in science and innovation. We have world-leading science bases and research, and that is entirely strengthened by collaboration, as she said. Projects such as ERIC will help to facilitate such collaboration. I would be grateful to the Committee for allowing the regulations to proceed, because they are simply a technical clearing out of some rules that will no longer apply, and they will enable us to maintain our membership of ERICs post-exit, or to join new projects. I therefore commend the regulations to the Committee.

Question put and agreed to.