Oral Answers to Questions Debate
Full Debate: Read Full DebateDavid Davis
Main Page: David Davis (Conservative - Goole and Pocklington)Department Debates - View all David Davis's debates with the Department for Exiting the European Union
(6 years, 8 months ago)
Commons ChamberAs you have noticed, Mr Speaker, the questioner at least is clever, if I am not. There are three main reasons why an implementation period is in the interests of the United Kingdom and the European Union. First, it will allow the United Kingdom Government time to set up any new infrastructure or systems that might be needed to support our new arrangements. Secondly, it will allow European Union Governments to do the same. We should not forget that, while we are already planning for all scenarios, many EU Governments might not put plans in place until the deal is struck. Thirdly, and perhaps most importantly, it will avoid businesses in the United Kingdom and the European Union having to take any decisions before they know the shape of the final deal. I welcome President Tusk’s recommendation that talks on the implementation period should start immediately and should be agreed as soon as possible.
I am grateful to my right hon. Friend for that answer. Does he agree that the implementation period must be finite and that it will not preclude us from engaging in third-party discussions with other countries that would like to do free trade deals with us?
Yes, I agree with my hon. Friend on both counts. It is important that it should be finite, for a number of reasons. If we tried to go for a very extended implementation period, we would run into all sorts of approval procedure problems involving mixed approvals and so on, which we would not if it was part of the withdrawal agreement. And yes, one of the things we want to achieve in the negotiation—we still have to do the negotiation—is the right to negotiate and sign free trade deals during the course of the implementation period. That does not mean that they would come into force at that point, but it would mean that we could sign them.
The Secretary of State told the Select Committee that it was the Government’s intention to conclude a free trade agreement with the EU by March 2019. Last Friday, however, the Environment Secretary told the “Today” programme that ironing out the details of a free trade agreement and moving towards a new relationship would take place during the transition period. Can the right hon. Gentleman confirm that that is the Government’s new position?
There is talk of a two-year implementation or transition period. What is there to prevent that from simply being a two-year extension of our membership of the European Union?
Does the Secretary of State believe that the prospect of being granted an implementation or transition period by the European Union has been improved by the Secretary of State saying that the past six months of negotiations have led only to a “statement of intent” by the Government? Would he like to restate that, in fact, the Government are committed to delivering what they have secured in the past six months of negotiations with European Union?
As usual, the right hon. Gentleman takes a partial quote and tries to make something of it. I have said, in terms, that the withdrawal agreement will be a treaty, and treaties are binding on this country. That is what we intend. I also said, in the interview to which I think he is referring, that it is our intention, whatever happens, to protect the status of Northern Ireland, both in terms of its being within the United Kingdom and in terms of protecting the status of the border as being invisible as it is now. It would be very good if the right hon. Gentleman did not misrepresent what I have said.
Will the negotiations on the implementation period include matters to do with the UK’s membership of the agencies of the European Union?
How will the implementation period affect the devolved institutions, and will the powers bonanza promised by the Secretary of State for Scotland be devolved before, during or after an implementation period?
Last week, we took an important step in the negotiations. As the Prime Minister confirmed, on the morning of Friday 8 December, the Government and the European Commission published a joint report on progress during the first phase of the negotiations. On the basis of this report, and following discussions last week, President Juncker is recommending to the European Council that sufficient progress has been made to move on to the next stage and begin talks on the future relationship between the United Kingdom and the European Union. There is much work still to do, but I have no doubt that we are on the right path to securing the ambitious future relationship that we seek with the European Union.
Essential to our ambition for an excellent deal is preparation for no deal, is it not?
That is one perspective. I will say one thing about no deal: it has become massively less probable after the decisions of last Friday. That is a good thing, because the best deal is a non-tariff, barrier-free arrangement with the European Union. However, my right hon. Friend is quite right that we continue to prepare for all contingencies and will continue to do so until we are certain that we have a good free trade deal with the EU.
Does my right hon. Friend agree that the trade talks give us the opportunity to build on the successes of the Great British food programme, which enables British producers to increase their exports around the world and showcases some of the country’s finest ciders, ales and cheeses made in the south-west?
My hon. Friend promotes his constituency well. On the more general point, as we exit the European Union, we want to ensure that UK producers have the maximum freedom to trade with and operate within European markets and to let European producers do the same in the United Kingdom. At the same time, leaving the EU provides us with a unique opportunity to support a thriving and self-reliant farming sector that is more competitive, productive and profitable, to protect our precious natural environment for future generations and to deliver on our manifesto commitment to provide stability for farmers as we leave the EU, which my hon. Friend the Member for Aldridge-Brownhills (Wendy Morton) referred to earlier.
I can understand why the Secretary of State is not quite his usual bright-eyed and bushy-tailed self this morning, but will he discuss the suggestion of a longer implementation period when he talks to the European Commission? Will he give the House a reason why an extended implementation period would cause difficulties that we do not understand? What research has he done on that?
I am surprised that the hon. Gentleman thinks that I am less bright-eyed and bushy-tailed, but that is due to the extension of the single European cold, which is having a transition period of its own in my head. The simple point I made earlier was that if we try to go beyond two years, a number of European national Parliaments have said to their Governments that that would require a mixed procedure, which would involve the Walloon Parliament and 36 other Parliaments around Europe. That is the first reason. The second reason is that we have been given an instruction by 17.5 million British citizens to get on with leaving the European Union, and we have to do that as promptly and expeditiously as we can. Extending the transition period indefinitely would be seen as a breach of that promise.
Whatever comes out of the negotiations, this House voted last night that Parliament should have a meaningful vote, enshrined in law, at the end of the process. That was a humiliating and entirely avoidable defeat for the Government. This House now having spoken, will the Secretary of State give an assurance that the Government will not seek to undermine or overturn last night’s result on Report?
Let me first make an observation about last night’s result. The effect is to defer the powers available under clause 9 of the European Union (Withdrawal) Bill until after the withdrawal agreement and implementation Bill receives Royal Assent, which means that the timetable will be very compressed. Those who want a smooth and orderly exit from the European Union will hopefully want to see a working statute book, so we will have think about how we respond to last night’s result. We have always taken the House of Commons’ view seriously and will continue to do so.
That was not the basis upon which the debate was conducted yesterday, so we will obviously have to come back to that.
The next accident waiting to happen is Government amendment 381, which seeks to put a fixed exit date on the face of the Bill. Rather than repeat last night’s debacle, will the Government commit to dropping that ill-conceived gimmick?
Nobody on the Government Benches who voted against the Government took any pleasure in that—[Interruption.] Nobody from these Benches drank champagne. Let me just nail down that rumour—these are serious matters. I say to the Secretary of State that last night would have been avoidable if the offer of my right hon. and learned Friend the Member for Beaconsfield (Mr Grieve) had been taken up, but he had no meeting with any Minister or Whip since Monday, so we are where we are.
Turning to the withdrawal and implementation Bill that the Secretary of State mentioned, when will its First Reading happen?
Order. I will not take points of order in the middle of Question Time, but I gently say to the Secretary of State that I understand his predicament. A soothing medicament may assist him, and I extend my sympathies, but he must face the House because Members are saying that they cannot hear him. I am sure he would not want to mumble deliberately.
Good Lord, what a terrible thought.
The withdrawal and implementation Bill cannot be brought to the House until we have agreed the withdrawal agreement. The European Union negotiator expects that to be concluded in September or October 2018, which is probably right, so the Bill will be tabled after that date.
Sectors such as the automotive and aerospace sectors have succeeded in the UK because of the close regulatory alignment with our European partners. Is it the Secretary of State’s intention to seek as close alignment as possible in the future, or does he, like some Government Back Benchers, wish to break free from this regulatory regime?
One of the fundamental components—indeed, possibly the most fundamental component—of the decision of the British people in the referendum was the decision to bring back control to this Parliament. That is what we will do over all sectors. It will then be for Parliament to decide whether it wants to continue to parallel, to have mutual recognition, to have mutual arrangements or to copy European Union law. We will seek to put in place mechanisms that give Parliament maximum freedom, while also allowing maximum access to the single market.
Look, the Prime Minister said earlier this week that she still adheres to the view that no deal is better than a bad deal, and my right hon. Friend the Member for North Shropshire (Mr Paterson) has clearly defined what a bad deal would amount to—something worse than WTO terms. He is right in that respect. Of course, as I said earlier, we continue to prepare for all outcomes because, in any negotiation, we can never be 100% sure what the outcome will be.
The Government are conducting the negotiations while balancing the need for appropriate confidentiality with our commitment to keep Parliament and the public informed as the negotiations unfold. We have been clear that we will be as open and transparent as possible, subject to our not revealing any information that will undermine our negotiations with the European Union.
We all value the Government’s being open about the negotiations, when they can be. In that vein, is my right hon. Friend aware of any Opposition Member having asked the EU to be more open about its negotiating process?
My hon. Friend makes an important point. We always hear criticism of our level of openness, but we never hear criticism of the EU’s. To help us to understand that, I shall quote from the EU’s own factsheet on transparency in trade negotiations:
“A certain level of confidentiality is necessary to protect EU interests and to keep chances for a satisfactory outcome high. When entering into a game, no-one starts by revealing his entire strategy to his counterpart from the outset: this is also the case for the EU.”
That is the approach that the EU is taking, so it is right that we take a similar approach.
We saw with the debacle of the Transatlantic Trade and Investment Partnership that people were very unhappy with the lack of transparency around such negotiations. Does the right hon. Gentleman agree that we need a much more transparent and democratic process not only for approving trade deals, but for scrutinising the negotiations as they are going on?
I do in principle agree, which is why, when we made the sectoral analyses available to both Select Committees, in the Commons and the Lords, we also set up an arrangement for Members of Parliament—a confidential reading room—so that they could read those briefings. Generally speaking, that is our approach. I report back to this House—if the Prime Minister does not—after every round of negotiations, and that is much more than the European Parliament gets.
Our exit from the EU is a result of a long democratic process. Parliament passed the European Union Referendum Act 2015 and passed the decision on whether to leave or remain to the people of the UK. The referendum saw a clear majority of people vote to leave the EU, and the Government were clear that we would respect the result. Parliament then voted to pass the European Union (Notification of Withdrawal) Act 2017 and to invoke article 50 to begin the formal process of leaving the EU. Parliament is now debating the European Union (Withdrawal) Bill. This has been a long democratic process, and it continues to be one. There will not be a second referendum.
Recent polls show there is now a clear majority in favour of a referendum on the deal. Is it any wonder that this Government have lost control? Yesterday, Parliament took back control, and now the public want to take back control from the Tory party and the Democratic Unionist party. Will the Minister please explain to my constituents how a referendum on the deal—the first referendum on the facts—would be anti-democratic? Does he not trust them—
Order. [Interruption.] Order—when I say that, the hon. Lady must resume her seat. I think we have the thrust of it, but what is required—and I am trying to be helpful to the hon. Lady—in these situations is a question, not the development of an essay theme. I am sorry, but she must learn to appreciate the difference. The question was too long, and that should not happen again.
Following events in the Chamber last night, some prominent members of the remain campaign took to Twitter saying that this was another step towards their aim of preventing Brexit. Will the Secretary of State please confirm and reassure the 17.4 million people who voted to leave that this Government are absolutely committed to delivering a positive Brexit for this country?
Let me start by saying that I do not agree with the people who tweeted that that was the purpose of many of the people who voted last night—I think they did so in good faith. However, my hon. Friend is right. The aim of this Government is to take us out of the European Union. That is what we were instructed to do by the British people and that is what we will do.
Last Friday the Prime Minister and I sat down with the President of the European Commission and his chief negotiator to agree that enough progress had been made to move negotiations forward to our future relationship. This deal has involved compromise on both sides, but it adds up to a clear settlement that provides certainty for both the United Kingdom and the European Union. It will allow our country to leave the European Union and grasp the opportunities that exist outside it, while maintaining a close partnership with our European neighbours. Whether one voted leave or remain, I believe that this is a step forward that those in all parts of the House can support. My right hon. Friend the Prime Minister will travel to Brussels today to seek to confirm it with her fellow leaders.
Last night the Government suffered an embarrassing defeat, but not one Scottish Conservative passed through the Aye Lobby and voted for the amendment. What representations did the Secretary of State have from the Scottish Conservatives on the amendment and votes this week?
The House will be aware that yesterday the European Parliament had a vote on a resolution to endorse the agreement reached last week. Can the Secretary of State tell us why, unlike Labour Members of the European Parliament, Conservative MEPs were whipped to abstain and not to vote in support of that joint report?
That is very interesting, but it nowhere near compares with the 18 members of the Labour party who voted against.
On the basis that nothing is agreed until everything is agreed, can my right hon. Friend assure the people of Willenhall and Bloxwich who voted overwhelmingly for Brexit that we will not pay a penny to the EU if we do not get a free trade deal?
That would all be fine if I could commit the European Commission to doing the same. Unfortunately, it tends to depend on how long the negotiation takes. As the hon. Lady has seen in the last six or seven months, the process has not been entirely predictable.
Does the Minister share my passion for environmental protection, and does he agree that our leaving the European Union gives us the opportunity to go further and faster?
The hon. Lady voted against the Second Reading of the Bill, so she plainly does not want to make progress with it. She perhaps ought to put a dictionary on her Christmas list. An analysis—[Interruption.] Ready? An analysis outlines the components of a problem—the regulatory structure, the markets, the size and so on—and that is what we are doing. An impact assessment is played out in the Whitehall guidelines and involves a forecast.
China is a massive market. Does the Secretary of State agree that the open skies policy that was recently agreed with China, increasing the number of flights by 50% to 150 a week, will be a great boost to business throughout this country when it comes to doing trade deals with China?
The Government have made it clear from the beginning that they value the 3.2 million EU citizens who are here, and the Prime Minister has written to them all, or at least to the ones for whom we have records. It is our clear intention, and it will be legally binding in the withdrawal Bill, that they will have the rights that we have laid out in very short order.
Does my right hon. Friend agree that our leaving the European Union does not mean to say that we cannot co-operate with it at the very closest level on the environment, to lead the rest of the world?