No-deal EU Exit Preparations

Debate between Chris Heaton-Harris and Paul Blomfield

Wednesday 20th March 2019 Commons Chamber

[Chris Heaton-Harris]

I found it interesting that my hon. Friend was barracked by Opposition Members for pointing out how strong our country’s economy was. I would have thought they would be proud of that.

I hope that in my opening answer I gave the House a sense of how much preparation the Government have done since August 2016, although preparations have of course been ramped up in the last few months. I will list a handful of points: more than 550 no-deal communications have been sent out since August 2018; we have had 300 stake- holder engagements since February; we have been signing international agreements with our trading partners and rolling over others; 11,000 people are working on EU exit policy and programmes across Government; a number of IT programmes are ready to go should we need to activate them; and we have published the HMRC partnership pack containing more than 100 pages of guidance for businesses on process and procedures at the border in a no-deal scenario. The Government have been preparing assiduously and quietly behind the scenes for no deal, but we want to get a deal over the line; that is the most important thing for us.

[Paul Blomfield (Sheffield Central) (Lab)]

I am grateful to you, Mr Speaker, for granting the urgent question.

The hon. Member for Basildon and Billericay (Mr Baron) talked about the wishes of the House, and he was right to do so, but the House has twice ruled out leaving the EU without a deal and twice rejected the Government’s deal by historic margins. It is simply unacceptable that the Prime Minister continues to doggedly press ahead with her Hobson’s choice of her deal or no deal. Resilience is an admirable quality; obstinacy is not. Does the Minister recognise that by their approach the Government risk being considered in contempt of the House yet again?

The Government’s energy at this critical time should be going to find a way forward that can command the support of the House and the country and that is not the Prime Minister’s flawed deal, which the Government themselves have said would shrink the economy by 4%. The situation requires flexibility and the Government reaching out across the House, and that includes flexibility on the length of the extension of article 50. The Chancellor for the Duchy of Lancaster said last Thursday of a 30 June extension:

“In the absence of a deal, seeking such a short and, critically, one-off extension would be downright reckless and completely at odds with the position that this House adopted”—[Official Report, 14 March 2019; Vol. 656, c. 566.]

Does the Minister agree that rather than this focus on no deal, the Prime Minister’s priority should now be to create opportunities for the House to consider all the options available to get the country out of the impasse she has created?

Leaving the European Union

Debate between Chris Heaton-Harris and Paul Blomfield

Monday 4th February 2019 Westminster Hall

[Paul Blomfield]

We could measure the pound at different points, but the hon. Gentleman will know that the pound has fallen since we took the decision to leave. That produced a short-term benefit in additional exports, although the consequences are now beginning to have an effect, because the component parts of many of those exports are now coming in at higher prices. We could debate these issues for a long time. However, I do not think anyone has yet argued successfully against my contention—the Chancellor’s contention—that no deal would be a disaster for the country. That, of course, is why Parliament has voted twice now against leaving without a deal.

After what happened with the phasing of the negotiations, the transition and the ridiculous mantra on no deal, we are here again, with article 50. Every time the Prime Minister is confronted with the growing reality that 29 March may not be a feasible departure date, she insists that we are still leaving. She seems to be in some sort of parallel universe, which is not occupied by many of her Cabinet. The Foreign Secretary said on Thursday that we might need some extra time. The Justice Secretary told The Daily Telegraph that he agreed, and it reported that nine Cabinet Ministers believe it, too. The ever-thoughtful Under-Secretary of State for Business, Energy and Industrial Strategy, the hon. Member for Watford (Richard Harrington), wrote yesterday that

“we have to grasp the nettle of an extended article 50 period”.

I shall be interested to know, when the Minister responds to the debate, which side of that argument within the Conservative party he is on.

[The Parliamentary Under-Secretary of State for Exiting the European Union (Chris Heaton-Harris)]

You have to ask?

[Paul Blomfield]

We will come to that shortly.

When she is questioned, the Prime Minister just keeps hitting the repeat button. She knows it is nonsense and, what is worse, she knows that everybody knows she knows it is nonsense. It did not have to be like this. The hon. Member for Glasgow North (Patrick Grady) has highlighted the original drafting of the European Union (Withdrawal) Act 2018. There was provision for multiple exit days for multiple purposes, which was sensible. It was the Government’s proposal.

However, to throw some red meat to those whom the Chancellor described as the Brexit “extremists” of the European Research Group, the Government fixed 29 March on the face of the Bill for all purposes. It was a gimmick, and a time-consuming and irresponsible one. The Opposition told the Prime Minister that it was a legislative straitjacket and that the Act would have to be amended. We tried to help her out, and tabled amendments to that effect, but the Government rejected them. They rejected proposals that would have given Parliament control over the dates.

The Prime Minister is now preparing to return to Brussels, following last week’s vote. The hon. Member for Sutton and Cheam talks about the EU giving some flexibility. Let us just remember what the Prime Minister is returning to do. She is going to ask the EU27 to change the backstop that they did not want, but that she pressed them hard to accept. The backstop is a UK Government proposal. We can imagine their bewilderment when, having conceded it when pressed by the Prime Minister, they will face her telling them “You know that backstop? We have got to change it.”

--- Later in debate ---

[Chris Heaton-Harris]

I absolutely do not. I just wish that the hon. Lady’s party was as honest as her.

I always enjoy debating with the hon. Member for Sheffield Central (Paul Blomfield), as I do with anybody from the Labour party Front Bench, because it is interesting to see which part of the Labour party they are from. Is he from the bit that wants a second referendum? Does he agree with his party’s leader that article 50 should have been activated the day after the referendum? Is he part of the democratic socialist movement, which actually believes that the result of the referendum should be respected? Or is he from the authoritarian or the metropolitan intelligentsia parts of the Labour party, which believe that the people got this completely wrong?

The hon. Gentleman is a wise pro-European of long standing and is principled on these matters. I do not doubt his sincerity. However, again, I struggle with his party’s position, which seems to be ever changing. [Interruption.] Those outside must have heard that I had started speaking; I like to get that sort of response.

It is fascinating to see people talk about taking no deal off the table, as the hon. Gentleman did. That is not the wisest thing to do in any negotiation.

[Paul Blomfield]

If the Minister thinks that that is not the wisest thing to do, why did the Chancellor reassure businesses that that is exactly what is happening?

[Chris Heaton-Harris]

Because we are working towards a deal. There is a deal on the table. When Parliament took back control last Tuesday, it actually gave some indication that there is a possible deal out there. The Government want to deliver a deal, but a responsible Government plan for all eventualities. We are planning for a no-deal eventuality, just as the European Commission and the 27 other EU member states say they are in all the announcements that they make about what might happen in a no-deal circumstance. That should give the hon. Gentleman some limited comfort that a no-deal situation will not be as bad as he fears.

The hon. Gentleman wants to take no deal off the table, for the reason that it would be disastrous for the economy. To extend that logic to its obvious conclusion, I take it that he will try to persuade fellow Labour MPs not to contest the 2022 general election. We all know that Labour Governments lead to worsening economic conditions and make people poorer in general. If we should not do anything that makes people potentially poorer, the obvious conclusion is that he should not stand as a candidate in that general election. I thought he might want to rise to respond to that, but I understand if he wants to go for a cup of tea.

I thank all those who participated in today’s debate, and Clive Grenville, who set up the petition. He should be pleased with the number of people who signed it. Fundamentally, it asks the Government to respect the outcome of the 2016 referendum and deliver our withdrawal from the European Union, which millions voted for. I assure my hon. Friend the Member for Sutton and Cheam and those who signed the petition that the Government remain committed to delivering on the instruction given to us by the British people to leave. We remain clear that our policy is not to revoke article 50, or to extend it, delay or hold a second referendum on exit.

[Paul Blomfield]

For the sake of absolute clarity, is the Minister saying that there are no circumstances whatever in which the Government will seek an extension of article 50?

[Chris Heaton-Harris]

I will carefully repeat what I just said: we—the Government—remain clear that our policy is not to revoke article 50, extend it, delay or hold a second referendum on exit. Perhaps it will help the debate if I re-outline the now very familiar reasons why the Government have taken this position. I remind hon. Members of the immense progress we have made towards delivering the exit that we, as a Government and as a Parliament, were entrusted to deliver.

First, let me deal with the overarching question of revoking article 50. As I have made clear, the Government’s policy remains that we should not and will not revoke our article 50 notice to withdraw from the European Union. To revoke article 50 would betray not only the vote of the British people in 2016, but the mandates on which the majority of us were elected at the last general election. I emphasise again to hon. Members the strength of the mandate and the clarity of the instruction given to us by the 2016 referendum, which illustrates why we must respect the result and why the Government’s policy is not to revoke article 50.

In the summer of 2016, millions of people came out to have their say, trusting that their vote would count and that, after years of feeling ignored by politicians, their voices would be heard. The referendum enjoyed a higher turnout than any previous referendum, with 17.4 million people voting to leave the European Union. That is the highest number of votes cast for anything in UK electoral history, and the biggest democratic mandate for a course of action ever directed at any UK Government. As I have reminded the shadow Minister and the House, the passion with which people voted was quite extraordinary. Those of us who toured polling stations on the day will remember pencilgate: people refused to put their cross in the box using a pencil, for fear that the Government would rub it out. The battles over trying to get a pen into a polling station to vote with were quite extraordinary.

Leaving the European Union

Debate between Chris Heaton-Harris and Paul Blomfield

Monday 19th November 2018 Westminster Hall

[Paul Blomfield]

I would thank the Minister for allowing me to intervene, but he invited me to do so. I simply respond by asking whether he agrees that, as our six tests were ones that the Prime Minister said she was determined to meet, they are a reasonable basis for assessing the deal.

[Chris Heaton-Harris]

I do, and I believe that the Prime Minister believes that she has not only very firmly hit those six tests on the head, but has planted that nail well into the plank of wood. The question is whether Labour’s is a political choice to try to get a general election, or whether it is interested in delivering the best deal in the national interest.

However, that is a bit too political for the tone I was trying to strike. I will make some points on our contingency planning in case the deal does not work out. While the chances of no deal have been reduced considerably, the Government will always do the responsible thing and prepare for all eventualities in case a final agreement cannot be reached. Extensive work to prepare for no deal has been under way for more than two years, and we are taking the necessary steps to ensure that the country continues to operate smoothly from the day we leave.

Our objective in such a scenario would be to minimise disruption by taking unilateral action to prioritise continuity and stability, wherever possible and appropriate to do so. We recognise that, in a no-deal scenario, citizens and businesses would need time to prepare themselves. We published 106 specific technical notices across the summer to help businesses, citizens and consumers do exactly that. We have already passed laws to ensure that we are ready for such a scenario, such as the European Union (Withdrawal) Act 2018, the Nuclear Safeguards Act 2018 and the Sanctions and Anti-Money Laundering Act 2018. We have also signed a number of critical international agreements. On nuclear co-operation, we have signed agreements with the US, Australia and the International Atomic Energy Agency.

Every Government Department has been working for nearly two years to prepare for a no-deal scenario, with a huge amount of taxpayers’ money having been spent on this insurance policy. However, there are a number of concerns about how to mitigate some of the potential problems at our borders. The right hon. Member for Carshalton and Wallington has disappeared; how annoying. I wanted to point out that he was probably the only person in the room who listened to the Senate debate in the French Assembly about what our French partners are doing to prepare for a no-deal scenario. It is actually quite important that we do the same as them. They have given Ministers emergency powers to ensure the flow of trade across the short straits by increasing the number of border officers and border checkpoints, introducing a border inspection point for agri-goods and a whole host of other things. We must obviously take this in the round.

Going back to the petition, I am afraid that I will disappoint the petitioner and the hon. Member for Blaydon, but I do not think that either will be surprised. Britain will leave the European Union on 29 March next year. The people of the United Kingdom gave the Government—all of us—a clear instruction: they want to leave the European Union. The Government respect that decision.

Europe

Debate between Chris Heaton-Harris and Paul Blomfield

Wednesday 30th January 2013 Commons Chamber

[Chris Heaton-Harris (Daventry) (Con)]

It is a privilege to follow the hon. Member for Stalybridge and Hyde (Jonathan Reynolds). I was canvassing on Saturday in a village called Crick, in my constituency. I told one of my constituents there that I had applied to speak in this debate, and he said, “It’ll be a bit like a conversation between the man from Del Monte and the Churchill insurance dog, with one side saying ‘Yes’ all the time the other saying ‘No’”. It is a bit like that, but there are some common themes. A number of Members on both sides of the House do want to see some fundamental reform of the European Union, and the hon. Gentleman identified a couple of those areas.

One thing that no hon. Member can dispute is that the ongoing eurozone crisis means that Europe and the European Union is changing. We therefore have challenges that we must look out for and find solutions to. Currently, there are 17 countries within the eurozone, and there could soon be more. Many of the countries that signed the acquis when they joined the EU signed up to the euro, but at the moment, 10 EU countries are outside the eurozone. There is fear among those 10 of the caucusing of the 17. That is writ large in the United Kingdom.

[Paul Blomfield (Sheffield Central) (Lab)]

Can the hon. Gentleman explain the logic of the position that takes us from the eurozone nations needing to assess how they can underpin the currency to wanting to repatriate powers over policing?

[Chris Heaton-Harris]

I think that I will be able to do that during my speech, in the next few minutes. It was a pleasure to take an intervention from the hon. Gentleman, whose wife I enjoyed working with as an MEP. I believe that he was working for her at the time and so was obviously feeding her some good lines, but it was a pleasure working with her none the less.

The fear of caucusing could cause the UK and others outside the eurozone to be outvoted in the Council in the very near future—the voting weightings are just about to change—possibly affecting our access to the single market. Most Members from all parts of the House are keen to ensure that that access remains, so we need to have, at the very least, what the Prime Minister called “new legal safeguards” to protect us from that problem.

I am not as defeatist as many Opposition Members have been. I was getting concerned about the idea of a European banking regulator, which came out of the blue last year as a new thing that Europe desperately needed to correct problems in the eurozone. I was worried about how it might affect our banking system, but Europe, as ever, managed to find a reasonable fix—one well negotiated on our behalf by the Chancellor of the Exchequer—in the double-majority mechanism. Such a mechanism had not existed before, but it made sure that the UK position was fundamentally safeguarded. I am a great believer in the fact that these things that I and other Conservative Members might be calling for are achievable and that Europe will find solutions to problems if we enter the negotiation with a broad mind.

I am a founder of the Fresh Start group of Conservative MPs. Some Opposition Members are keen on detail, and we have detailed some of the areas where we think it would be worth while negotiating. In a way, we are making the Conservative political pitch, so I expect disagreement from Opposition Members, but I will try to explain why it is important at least to look at these areas, which include justice and home affairs. We highlighted a number of areas, and some Opposition Members might agree on some of them.

The first such area relates to a new legal safeguard to maintain access to the single market—I am sure hon. Members on both sides will agree that we need to ensure that the eurozone cannot prevent our accessing that. Secondly, we need an emergency brake that any member state can use on future EU legislation affecting the financial services market. That market is important to the United Kingdom, as a huge amount of our GDP is created in financial services. The single market has been important to that, by always providing an opportunity, but it is beginning to look a bit more like a threat, because of the 48 directives and regulations coming down the track at the moment.

Thirdly, we need the repatriation of competences in social and employment law. That is a controversial area for many Labour Members, but I was in the European Parliament when Labour Ministers appeared before its employment committee and were begging people to understand the different, liberal nature of the UK work force and were asking them not to put in extra measures on the working time directive and the temporary workers directive that would directly affect the number of people getting into employment in the UK.

Fourthly, we need to opt out from existing policing and criminal justice measures, as some of them are not working, some of them are defunct and some of them are based on mechanisms that no longer exist. Europe does not repeal things and it really should; there should be sunset clauses in some of the legislation.