(7 years, 10 months ago)
Commons ChamberIf the right hon. Gentleman will forgive me, I want to make a little bit of progress, and I will then give way to him.
I draw hon. Members’ attention to the explanatory notes to the Bill, which set out the application of the Bill to Euratom. The Bill also gives the Prime Minister the power to start the process to leave Euratom. The Bill makes it clear that in invoking article 50, we will be leaving Euratom, the agency established by treaty to ensure co-operation on nuclear matters, as well as leaving the European Union. This is because, although Euratom was established in a treaty separate from the EU agreements and treaties, it uses the same institutions as the European Union, including the European Court of Justice. The European Union (Amendment) Act 2008 makes it clear that in UK law membership of the European Union includes Euratom. That is why article 50 applies to both the European Union and to Euratom.
I received an email yesterday from Professor John Wheater, the head of physics at Oxford University, who had the very dubious pleasure of being my tutor for four years in the mid-1990s. He is concerned about the implications for his fusion research programme of our leaving Euratom. Is there any way in which we could postpone leaving Euratom by a year or two, and if that is not possible, what assurance will the Secretary of State give Professor Wheater and his colleagues?
The first thing I would say to my hon. Friend is that there is a two-year timetable, so we are still two years out from this. The Prime Minister has also said very clearly in her industrial strategy and in her speech on Brexit that we intend to support the scientific community and to build as much support for it as we can. When we engage in negotiations after March, we will negotiate with the European Union with the aim of creating a mechanism that will allow the research to go on.
(8 years, 2 months ago)
Commons ChamberHe is right. Nobody involved in this exercise from the other side of the argument has ever pointed out quite how odd it is that fellow democracies—indeed, allies—threaten to punish each other for the exercise of democratic rights.
I want to take up the point made by my hon. Friend the Member for Devizes (Claire Perry), because there is undoubtedly a big task ahead of us and people naturally want to understand where we are headed. We have been pretty clear on the overarching aims—not the detailed aims, because we are not yet at the point at which that is possible. The overarching aims are: bringing back control of our laws to Parliament; bringing back control of decisions over immigration to the UK; maintaining the strong security co-operation we have with the EU; and establishing the freest possible market in goods and services with the EU and the rest of the world. I cannot see how those are not very clear overarching strategic objectives.
It would help businesses to have as much clarity as possible on the likely future trading arrangements. I was concerned to hear VTB Bank’s announcement yesterday that it intends to locate its activity outside the UK. The more clarity we can give—without, of course, prejudicing our negotiating position, the better it will be for British businesses, because there is a danger that some may make decisions in the next three or four months.
I take my hon. Friend’s point. The issue that we must bear in mind, however, is that we can give clarity as we go along in the negotiating strategy—in grand terms but not in detailed terms—but what we cannot do is tell anybody, businesses or others, where we will arrive at the final stage, because it is a negotiation. We have to face the fact that it is a negotiation and, therefore, it is not entirely under the control of one country.
(8 years, 2 months ago)
Commons ChamberThe Treasury has given underwriting guarantees, as it were, for the current round of applications, so that is not to be worried about. This country is a science superpower, so the idea that after our departure from the European Union funding will somehow dry up is for the birds—it is simply nonsense. I have had discussions with the presidents of some of the royal academies, and we will continue those discussions with the aim of ensuring that they do not feel at risk. Some of the comments we have got back indicate that the European Union rules on issues such as clinical research have not exactly been helpful to British science, so there will be an improvement, not just an underwriting guarantee.
Many City of London institutions rely on the financial services passport to do business across Europe. Some say that as many as 20% of their jobs depend on that access. The danger is that, as it would take a year or two to relocate staff, some may take action before the end of the two years. To encourage them to keep those jobs here in London, can the Secretary of State give an assurance that financial service passporting or some equivalent mutual recognition is his priority?
My hon. Friend makes a good point; as there may be something like an 18-month lag, some people might try to pre-empt the decision and, rashly, move early. The Treasury has held a roundtable on this specific issue. It has looked very clearly at various mechanisms of mutual recognition as a fall-back on passporting. Somebody made the point earlier that we issue more passports than we seek. As a result, our negotiating leverage in this area is at least reasonable.