Nissan: Sunderland

Clive Lewis Excerpts

Monday 31st October 2016 Commons Chamber

[Clive Lewis (Norwich South) (Lab)]

I thank the Secretary of State for his statement and for responding to our repeated requests for clarification on the events of the past few days. I join him in warmly welcoming Nissan’s decision to keep production in the UK. It is fantastic news for Nissan’s 7,000 employees and the 38,000-plus employees who rely on its supply chain. It is fantastic news for Sunderland, and it is fantastic news for the whole country. It is a testament to the skill, productivity and ability of the workforce and management that Nissan has such confidence in its Sunderland operation.

Without detracting from that, we still have some concerns. The right hon. Gentleman has denied giving Nissan special treatment, but he has refused to be transparent about what he has offered to it. As our most productive car factory, Nissan’s Sunderland plant epitomises the strengths of the UK’s automotive industry. He knows that we simply could not afford to lose it. That is why, despite the assurances that he has given now and in his tantalising television appearances over the weekend, the nagging question remains: are we really to believe that Nissan is risking millions of pounds of investment and the success of its newest models on the basis of the Government’s good intentions alone? If that is the case, why have they kept their good intentions to themselves?

The overwhelming impression until now has been that the Government have no strategy for Brexit. Are we expected to believe that the Government now have not only a strategy, but a strategy so convincing that they have persuaded Nissan to stay without the need for any special guarantees? If so, why will they not tell us what it is? We are told in the media—the media is where most of last week’s revelations transpired—that the Government gave a commitment to Nissan that Britain would be as attractive after Brexit as it is today.

It would seem that the Secretary of State has discovered the Brexit equivalent of the Philosopher’s stone: tariff-free market access with no concessions, readily agreed by all 27 EU countries, including Wallonia. Surely, that is a feat worth sharing. So can he tell us whether he is committing to full single market access or to a customs union or to something else entirely—or do the Government simply not know? We all want all car manufacturers to keep their production in the UK—[Interruption.] Yes, we do. So why are they not privy to the same assurances as Nissan, and what about the many other businesses up and down the country—businesses that, like Nissan, are currently deciding whether to continue investing in the UK? Surely, they, too, should be told.

I have acknowledged that the automotive sector is hugely important to our economy, but it is not our only strategically important industry. Where were the Government during the crisis in the steel industry? They were blocking the EU from taking action against Chinese steel dumping—that is where they were. What are the Government doing for the aerospace industry, or for pharmaceuticals, and what about the service sector, which accounts for more than three quarters of our economy?

It seems that the Government are giving private reassurances to particular companies, while leaving the majority of businesses, the public and their elected representatives in the dark about their intentions. Piecemeal, back-room deals will not provide the active industrial strategy that Labour has long advocated and to which the Government now claim to be signed up. We Labour Members want the economy firing on all cylinders, not spluttering along on one or two.

As we embark on Brexit, Britain needs a Government who are visionary, not reactive, and strategic, not shambolic. As a start, we need a Government who are transparent and accountable, instead of secretive. Why not start now? If the right hon. Gentleman did not offer Nissan a sweetener, what has he got to hide? Show us the letter. If the assurances he gave to Nissan apply to all the automotive sector, surely all that sector should be given them? Show us the letter. If, contrary to appearances, the Government do have a strategy for Brexit, why will they not tell us what it is? Show us the letter!

[Greg Clark]

I welcome the hon. Gentleman to the Dispatch Box, but if that is the kind of spluttering old banger of an approach to these issues, I think he should upgrade to a new model. I would recommend a Qashqai; they are very good cars. I find it surprising that, in response to an announcement that has thrilled Sunderland and the north-east and provided a big boost to the economy, the Labour party’s demeanour is so miserable. Is it beyond the hon. Gentleman to put party politics aside and just celebrate and congratulate everyone involved on a success that is in all our interests?

I seriously ask the hon. Gentleman to weigh this issue up carefully. When I met Nissan, one thing it commented on was the continuity over 30 years of a very successful participation in the UK economy, with cross-party support and consensus over the Sunderland plant—reflected in what both Conservative and Labour Governments have done. It would be to take a wrong turn if the Labour party lurched away from the bipartisanship that has been so successful there.

As for the conversations that we had, one of the things that I have learnt over the years is the importance of getting to know, over time, the companies that are in this country and those that invest in it, and understanding what their investment decisions will be based on. We have taken the opportunity to do that, and the four reassurances that I was able to give Nissan and that have resulted in this investment reflected what Nissan had said to me.

I said that I would aim for the best possible ability to trade with other European Union countries. I said that I would pursue the negotiations in a positive and constructive spirit, mindful of the substantial common ground that exists between us. I said that whatever happened, we were determined to keep Britain’s world-beating motor industry competitive. Do Labour Members share those intentions? If they do, why on earth do they think that I would play games with the livelihoods of 35,000 working people in this country, the pride of the world in their industry, by not stating them clearly and transparently to Nissan? I welcome the decision that Nissan has made.

The hon. Gentleman asked me whether I would publish the correspondence. I have set out the information that I gave to Nissan. My responsibility, on behalf of the Government, is to encourage and attract investment in this country. When companies of all types and in all sectors share with me investment plans that would be of interest to their prospective competitors, it is important for them to be assured that those plans will not be disclosed to their competitors to their disadvantage. My objective is to obtain the investment, but I shall be happy to answer questions about every aspect of it, today and when I appear before the Select Committee—which I intend to do, at the Committee’s invitation.

The hon. Gentleman is a relatively new Member, and I hope that he will have a distinguished tenure here, but Members in all parts of the House—from Newcastle to Newquay, from Liverpool to Lowestoft—will know that whenever I work to attract success to our regions, towns, cities and counties, I do so on a cross-party basis. Party politics never feature in the way I work. I hope that, in future, we shall be able to work together on such common interests.