Leaving the EU

David Davis Excerpts

Thursday 7th June 2018 Written Statements

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Today we are publishing two documents produced by the UK negotiating team for discussion with the EU.

These cover:

Data

Transport

These will be available on gov.uk today and copies will be placed in the Libraries of both Houses.

[HCWS746]

EU Exit

David Davis Excerpts

Thursday 24th May 2018 Written Statements

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Today we are publishing four documents produced by the UK negotiating team for discussion with the EU.

These cover:

External security

Internal security

Galileo

Economic partnership

These will be available on gov.uk and copies will be placed in the Libraries of both Houses.

Tomorrow we will be publishing a document on the exchange of classified information, which was produced by the UK negotiating team for discussion with the EU. This will be available on gov.uk and a copy will be placed in the Libraries of both Houses.

[HCWS725]

EU Exit

David Davis Excerpts

Wednesday 23rd May 2018 Written Statements

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Today we are publishing two documents produced by the UK negotiating team for discussion with the EU.

These cover:

Science, research and innovation

The exchange and protection of personal data

These will be available on gov.uk and a copy of both will be placed in the Libraries of both Houses.

[HCWS712]

UK-EU Security Partnership

David Davis Excerpts

Tuesday 15th May 2018 Written Statements

[The Secretary of State for Exiting the European Union (Mr David Davis)]

On 9 May, we published the framework for the discussions with the EU on the UK and EU’s future security partnership. These slides have been produced by the UK negotiating team for discussion with the EU, in order to inform the development of the future framework. This framework will set out the terms of our future relationship and will be concluded alongside the withdrawal agreement later this year.

The United Kingdom wants to build a new, deep and special partnership with the European Union, enabling us to protect our shared interests and ensure we act together for our mutual benefit. The threats we face do not recognise the borders of individual nations. The security partnership we are seeking with the EU builds on the breadth and depth of our shared interests and values, and goes beyond any existing third country arrangements.

Copies of these slides will be deposited in the Libraries of both Houses.

[HCWS683]

Oral Answers to Questions

David Davis Excerpts

Thursday 3rd May 2018 Commons Chamber

[Sir Desmond Swayne (New Forest West) (Con)]

11. What progress he has made on negotiations to agree the terms on which the UK will leave the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Clearly, great minds think alike today, Mr Speaker.

We have made significant progress in negotiating our exit by agreeing on the terms of a time-limited implementation period and locking down entire chapters on the financial settlement and citizens’ rights. Negotiations are ongoing. My officials are in Brussels this week, discussing a number of issues, including issues in the agreement such as Euratom, data and intellectual property rights and the future partnership. They are discussing how we should progress the future economic partnership and how we can progress the negotiations swiftly and in parallel. Northern Ireland—particularly human rights, state aid and, to some extent, agriculture—is also being discussed. Today, in Brussels my officials are discussing the future of the security partnership.

[Gavin Newlands]

There is now a clear consensus in this Parliament that, at the very least, the United Kingdom should enter into a customs arrangement with the EU post Brexit, but after another indecisive Brexit Cabinet Sub-Committee meeting, the Government, after two years, have still failed to reach an agreed position on the customs issue. Every 42 days, the Government lose a Cabinet Minister, and the Secretary of State is 6:1 third favourite to be the next to go. Those are good odds, if you ask me. If the eventual will of the Cabinet and the Prime Minister is to seek a customs arrangement with the EU, will the Secretary of State resign?

[Mr Davis]

I am not sure whether it is constitutional to discuss my resignation, but I will say that I do not take it to be imminent.

The simple truth is that this is a complex and important issue, which will affect our country for generations. It has a direct effect on the sensitive issue of Northern Ireland and the peace process there, which we are committed to protecting at all costs. It is therefore no surprise that it will take some time to nail down the policy.

[Mr Whittingdale]

Conservative Members are confident that my right hon. Friend will achieve the best possible outcome for this country in the negotiations and will continue to serve this country for a long time thereafter. Will he confirm, however, that his task will not be made any easier—indeed, it will be made considerably harder—by some of the amendments to the European Union (Withdrawal) Bill that have been passed in the other place? Does he agree that they will need to be repealed when they come back to this House and that the Lords will press them at their peril?

[Mr Davis]

I thank my right hon. Friend for his forecast, or his good wishes—one or the other—

[Mr Speaker]

Have it framed.

[Mr Davis]

I have some much more pertinent things than that to frame, Mr Speaker.

My right hon. Friend is absolutely right. The European Union (Withdrawal) Bill is essential and is in the national interest. Some of the amendments passed in the upper House—and the upper House does a very important job, as a reviewing House, in improving the quality of legislation—could have the effect of undermining the negotiation. That is a matter of critical national interest, and we will have to deal with it accordingly.

[Antoinette Sandbach]

Does the Secretary of State agree with the finding of the Northern Ireland Affairs Committee that there is currently no technological solution to the problem of the Irish border?

[Mr Davis]

We have said categorically that there will be no physical infrastructure or related checks and controls at the border between Northern Ireland and the Republic. We have set out clear commitments in relation to the border and have put forward two potential customs models, to which the hon. Member for Paisley and Renfrewshire North (Gavin Newlands) alluded.

I have always said that the best solution to the Northern Ireland border issue will be reached through the deep and special partnership between the United Kingdom and the European Union, recognising the unique circumstances of Northern Ireland. As the European Commission has itself acknowledged, solutions to the border issue cannot be based on precedent.

[Hannah Bardell]

Given the fankle that the Secretary of State and the Government have got themselves into in the other place, have not the EU negotiations now descended into a game show parody? The question is, is it “Deal or No Deal”, or has the whole situation just become a bit “Pointless”?

[Mr Davis]

The hon. Lady clearly memorised her question before she heard my answer. A huge amount of incredibly important work is under way, most notably on Northern Ireland. I would not reduce that to a parody.

[Stephen Gethins]

The Secretary of State will be aware that universities in the UK punch well above their weight in terms of research funding, not least the universities of Dundee and St Andrews. Given that universities across Europe are planning for the next framework programme, what plans has he to ensure that those in the UK will have access to the same levels of funding on 1 January 2021?

[Mr Davis]

The Under-Secretary of State for Exiting the European Union, my hon. Friend the Member for Worcester (Mr Walker), has visited Dundee and is very much across that issue. We have given undertakings in relation to guaranteeing the funding of the universities, but if the hon. Gentleman is interested, he can certainly discuss this with me explicitly, so that we can deal directly with the issue of the universities in his constituency.

[Sir Desmond Swayne]

With what level of confidence does the Secretary of State estimate the probability of our leaving the customs union on 31 December 2020?

[Mr Davis]

Will 100% do?

[Sir Desmond Swayne]

Excellent.

[Mr Davis]

Let me make a serious point here. The issue of leaving the customs union plays directly to the issue of how we manage our future export and trade arrangements. Almost 60% of our exports are now going to the rest of the world. That is not surprising because both the International Monetary Fund and the European Commission itself have said that the vast majority of growth in world trade will come from outside the European Union. It is our explicit aim to make the most of that, and that means we have to leave the customs union.

[Stephen Timms (East Ham) (Lab)]

Will the Secretary of State set out for the House the characteristics of the customs partnership that he is discussing with his right hon. Friends, and given that according to reports that is the Prime Minister’s preferred way forward, what are the reasons for holding back on it?

[Mr Davis]

There are two models. The streamline model essentially uses conventional techniques used around the rest of the world, including electronic pre-notification, the use of authorised economic operators and a whole series of other technical mechanisms. The alternative proposal—the new customs partnership—is a brand-new idea; it has never been tested anywhere in the world and involves, essentially, charging the common external tariff when goods enter the country and then rebating that. Both approaches have merits and virtues, and both have some drawbacks, and that is why we are taking our time over this discussion.

[Mr David Jones (Clwyd West) (Con)]

Given that membership of the European Union necessarily means being in the single market and the customs union under the jurisdiction of the European Court of Justice, does my right hon. Friend agree that, to keep faith with the British people, this Parliament has a positive duty to ensure that upon withdrawal we cease to be subject to all those arrangements?

[Mr Davis]

My right hon. Friend is correct: what we are doing, after all, is carrying out the judgment of the referendum, which was to take back control of borders, laws and money. During the referendum, both sides made it very plain that real removal from the EU means real removal from the customs union and the single market.

[Paul Blomfield (Sheffield Central) (Lab)]

They might be over-represented in the Secretary of State’s ministerial team, but supporters of the European Research Group constitute less than 10% of the membership of this House. Why are the Government putting their red lines before the interests of the country?

[Mr Davis]

I wish the hon. Gentleman a happy May Day this week, but he is basically putting—how can I express this in parliamentary language?—a non-fact in front of the House. The case is very simple: the Government are deciding on the future customs arrangements on the basis of the best interests of the United Kingdom.

[Paul Blomfield]

I am grateful for the right hon. Gentleman’s May Day wishes, and I am sure that he will be celebrating as well. The Engineering Employers Federation says that being outside a customs union

“would condemn the manufacturing sector to a painful and costly Brexit.”

Does he really think that is a price worth paying to keep the ERG happy?

[Mr Davis]

I am not going to take lectures from a party that has had 11 different positions on this so far and whose own—[Interruption.] I am speaking through the Speaker, thank you very much. And a party whose own policy has been roundly criticised in singularly unparliamentary language by its own shadow Secretary of State for International Trade, the hon. Member for Brent North (Barry Gardiner).

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

2. What recent assessment he has made of the effect of leaving the EU on the UK space industry.

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[Karin Smyth (Bristol South) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Since the last departmental questions, the Government have been making progress towards our aim of securing a deep and special partnership with the European Union. Our aims and objectives for this agreement our clear: respecting the referendum and the need to keep control of our borders, money and laws; ensuring that our relationship endures and does not need to be constantly revisited; protecting jobs and security; demonstrating our values and the kind of country that we want to be; and strengthening the union of nations and the people who make up the United Kingdom.

[Karin Smyth]

The joint report in December talked about a mapping exercise with regard to cross-border co-operation. I asked the Prime Minister, and I have written to her, to understand what this mapping exercise demonstrated. I have had a letter this week from Minister Baker telling me that I cannot have the list of those 140 areas in the mapping exercise. Mr Speaker, what do I, as a Member of this Parliament, have to do to understand what those 140 areas are? I could go to the EU, I could go to the Irish Government, and I could perhaps even stand on the border and conduct my own survey. It is absolutely unacceptable for me as a Member of Parliament to receive this letter.

[Mr Davis]

The hon. Lady should have kept up with some of the events that have been happening over the past week or two. The Chairman of the Brexit Committee wrote to me and asked—and indeed asked me again when I appeared in front of the Committee—whether the Committee could have that list and the support for it. We have said, yes, as soon as it is complete, as soon as we have cleared the release of it with the European Union—which has, by the way, turned down freedom of information requests on the subject. That list will be available as soon as it is complete.

[Peter Aldous (Waveney) (Con)]

T3. As this country will be an independent coastal state managing and controlling access to our own waters with effect from 1 January 2021, is the Minister able to provide an assurance that such access for EU fishing vessels will not be part of the Brexit negotiations?

[Keir Starmer (Holborn and St Pancras) (Lab)]

When I was reading the Sunday newspapers over the weekend, I was not entirely sure that we would see the Secretary of State in his place today. This morning he says that his resignation is not imminent—I am not sure what message he is sending to his colleagues—but can I assume that his presence signals that he thinks that he won the argument with the Prime Minister yesterday and that a customs partnership with the EU has now been taken off the table?

[Mr David Davis]

My first advice to the right hon. and learned Gentleman is not to believe everything he reads in the papers—even about himself, let alone about me. Secondly, I made it clear earlier that the Government are spending some time, rightly, on ensuring that we get absolutely the best outcome that will preserve the United Kingdom without creating internal borders, and that will deliver the best outcome in retaining the trade that we have with the European Union and opening up opportunities with the rest of the world. That is why we are taking time to get this right.

[Keir Starmer]

Let me take that discussion to Northern Ireland. In December the Prime Minister made a solemn promise that there would be no hard border in Northern Ireland. That was spelled out as no infrastructure, no checks and no controls, and I know that the Secretary of State and his team take that seriously. If, on serious and sober analysis, the only conclusion is that delivering on that solemn promise requires the UK to be in a customs union with the EU, does the Secretary of State agree that that would therefore be the only position for any responsible Government to take?

[Mr Davis]

The Under-Secretary of State for Exiting the European Union, my hon. Friend the Member for Worcester (Mr Walker), gave Labour Members some guidance on that earlier when he cited their former leader, who has taken a lot of interest in this issue, bearing in mind that he oversaw the last part of the peace process and takes it very seriously. In March this year, he said of the customs union:

“the truth is that doesn’t really resolve your problems. By the way, it doesn’t really resolve your problems in Northern Ireland, either.”

David Trimble, who was made Nobel laureate for his part in the peace process, also said that in pretty stark terms.

[Kevin Foster (Torbay) (Con)]

T7. As the Minister will know, one of the opportunities of leaving the EU is the chance to explore potential UK membership of the Trans-Pacific partnership. Can my hon. Friend confirm that the exit deal that the Government are seeking to negotiate with the UK will allow that?

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[Mr John Whittingdale (Maldon) (Con)]

Will my right hon. Friend confirm that when the so-called WAIB—withdrawal agreement and implementation Bill—becomes law, we will be committing ourselves to a financial settlement that will be binding in international law? Does he therefore agree that we should seek to obtain as much detail as possible in the political declaration while we still have that leverage?

[Mr David Davis]

Of course, what will be binding in international law is what is written into the withdrawal agreement, and I would therefore expect Parliament to have views on what conditions should be in it.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

T4. As we have heard, 60 Tory MPs have delivered an ultimatum to the Prime Minister threatening to bring down the Government—although I do not think the Government need any assistance in that regard at the moment—if they continue to seek a customs partnership with the EU countries. When did the Secretary of State first become aware of that document?

[Mr Peter Bone (Wellingborough) (Con)]

I wonder whether the Secretary of State has ever reflected on the fact that if David Cameron had kept his promise of staying in office, implementing the views of the British people and triggering article 50 immediately after the referendum, we would nearly be coming out of the EU now, and I would probably be arranging having a statue of David Cameron in my constituency. Does the Secretary of State get the feeling that the public are fed up with how long this process is taking and wish we could just get on with it a bit quicker?

[Mr David Davis]

I have been asked today to give careers advice to myself and now to past Prime Ministers, from which I will demur. Had we triggered article 50 immediately after the referendum, we would have had to absorb 40 years of European Union law into British law almost in a geological nanosecond—a very, very short time. It would not have been easy to do. Although my hon. Friend is right about the departure date, it might have been a lot more uncomfortable than it is going to be.

[Emma Little Pengelly (Belfast South) (DUP)]

T5. Currently, less than 1% of our non-EU exports and imports are manually checked. That means that over 99% are processed with technological and electronic solutions. Does the Secretary of State agree that this is the way forward post Brexit, despite the cynicism of some, including about the Irish border?

[Sir Desmond Swayne (New Forest West) (Con)]

The amendments passed in the other place on Monday night were those of a wrecking Chamber and not a revising Chamber, were they not?

[Mr David Davis]

No; the House of Lords is a revising Chamber and it does a very important job that I have, in my past, depended on from time to time. I agree, however, that some of the proposals—for example, to put timetables into the negotiating arrangements, at which point control is taken away from the Government—would be a gift to the negotiators on the other side.

[Joanna Cherry (Edinburgh South West) (SNP)]

T6. The3million is an organisation representing EU nationals living in the UK. Last month it submitted 128 questions to the Home Office concerning the UK Government’s proposals for settled status. I realise that things are pretty chaotic at the Home Office at the moment, but what discussions has the Minister’s Department had about responding to the very real concerns of the 3 million EU nationals living in the United Kingdom?

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[Helen Goodman (Bishop Auckland) (Lab)]

The Government’s own analysis shows that if we leave the customs union, unemployment in the north-east will go up to 200,000, so why did the Secretary of State argue against a customs partnership yesterday afternoon and what is he going to say to the 160,000 people who lose their jobs?

[Mr David Davis]

I have two points in response to that. First, the hon. Lady is presuming what my arguments were yesterday at the Cabinet Committee. As far as I am aware, the minutes are not published. Secondly, what she refers to is not Government policy or indeed Government estimates.

[Julian Knight (Solihull) (Con)]

Jaguar Land Rover in my constituency employs 9,000 people. Will the Minister assure me that securing the supply chain will be at the centre of our post-Brexit trading relationship with the EU and beyond?

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[Tom Pursglove (Corby) (Con)]

In Corby and East Northamptonshire, people voted overwhelmingly to leave and therefore to control our own borders, spend our own money, make our own laws and determine our own trade destiny. At this stage, how would my right hon. Friend judge the negotiations against that scorecard?

[Mr David Davis]

What my hon. Friend has described is the exact purpose of the negotiations. We are seeking to retain as much as possible of the existing European market, and at the same time open up all the rest of the world. If I may, I will refer back to the question asked earlier about Ford. One of the companies that we visited in North America, on the Canadian border, was Ford, because it is state of the art in dealing with cross-border component traffic to support car manufacturing. It is very good at that, and it will be in Europe too.

[Mr Alistair Carmichael (Orkney and Shetland) (LD)]

Can the Secretary of State explain to the House how the transitional arrangements he has negotiated for our fishing industry will work in relation to the renegotiation of the EU-Norway-Faroes deal on mackerel? Can he tell the House who will lead the negotiations and when that will happen?

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[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

One of the key players in discussing and settling the EU financial settlement is the European Court of Auditors. As a member state, we have Phil Wynn Owen as our representative, but as it stands, he is set to leave the European Court of Auditors come 29 March 2019. Will the Secretary of State add to his negotiating list the need to make sure we have a full British representative on the European Court of Auditors during the transition period?

[Mr David Davis]

All of the implementation period issues are currently under discussion. I am not sure, frankly, that we will put the hon. Lady’s proposal at the top of the priority list, but we certainly aim to cover issues such as audit in the joint committee.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Can the Secretary of State name one country that has said, “As long as you leave the customs union, we’ll give you a much better free trade agreement than you have or could have had?”

[Mr Davis]

No, it is the other way around: a number of countries have made it very plain that if we are still in the customs union, they will not do a trade deal with us.

[Stephen Timms (East Ham) (Lab)]

The European Union set out a very clear negotiating position at the beginning of this exercise. The Government are still being undermined by their inability to make up their mind, and the Secretary of State has told us that it is going to take a bit longer to decide about customs. The whole negotiation is supposed to be concluded by October. How many weeks longer will it be before our Government have a clear position on customs?

[Mr Davis]

The clarity of the position of not being a member of the customs union is absolute, and has been since the beginning, unlike the right hon. Gentleman’s party, which has had a number of different positions on this matter. Frankly, it is incredibly important that we get this right—not just for trade, which is massively important, but for the extremely sensitive issue of maintaining the peace process in Northern Ireland—and I do not undertake to put an artificial deadline on something so important.

[Thangam Debbonaire (Bristol West) (Lab)]

People from the EU27 working in my constituency and Bristol West constituents living and working in the EU27 tell me that they are worried about their pensions post-Brexit. What are the Government doing to protect my constituents’ pensions?

Oral Answers to Questions

David Davis Excerpts

Thursday 15th March 2018 Commons Chamber

[Stephen Gethins (North East Fife) (SNP)]

5. What recent progress he has made in negotiations on the UK leaving the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

Before I answer, may I take this opportunity to express my condolences to the family of Warren Hawksley, an erstwhile colleague of ours? He was a Maastricht rebel and a great friend of mine; he was very highly principled and very energetic—sometimes too energetic—in pursuit of his views, but, as I say, I express my condolences to his family.

Our immediate goal is to agree a strictly time-limited implementation period by the March European Council next week. This is crucial to helping us build a bridge from where we are to where we want to be on our exit. We have also been working hard to codify the joint report into legal text. We are confident that both of these aims are within reach. Finally, the March European Council is expected to issue the negotiating guidelines to the Commission to negotiate the future partnership. We are seeking to ensure that those guidelines are as broad and open as possible to allow the most constructive negotiation to deliver the close relationship we are aiming for.

[Sir Desmond Swayne]

It could be the making of us, couldn’t it?

[Mr Davis]

I could be just as pithy as my right hon. Friend and say yes.

[Patrick Grady]

Does the right hon. Gentleman foresee a scenario in which the deal negotiated is so mind-bogglingly positive that all the other European Union states want that kind of relationship as well, and the European Union itself implodes? Or does he accept that membership is the best possible relationship we can have with the European Union, so any new settlement will be disadvantageous compared with what we have now?

[Mr Davis]

Those who made a decision on the last part of the hon. Gentleman’s question were the British people—17.5 million of them—and they decided that that was not the case. Let me respond to the first part of his question, however, because he does have a serious point. Certainly in the institutions of the European Union, and in some member states, there are concerns that if we are too successful that will be tempting to others. I do not believe that that is a real fear, because we have unique circumstances—the English language, our historic traditions, our world network, our island status, our law—that other countries do not have. That is no fault of their own; they just do not have those advantages. That is what will allow us to make the best of this situation.

[Stephen Gethins]

I am aware that some in the right hon. Gentleman’s party have accused others in that party of fantasy politics. Does he believe that any transition period can be based on World Trade Organisation principles?

[Mr Davis]

It is fascinating to have a lecture from the SNP on fantasy politics. We are proposing a transition period based on existing arrangements and rules, so that the British people and companies—and, indeed, European people and companies—have only one transition to make.

[Mrs Anne-Marie Trevelyan (Berwick-upon-Tweed) (Con)]

It was disappointing to see the aggressive line in last week’s EU document on maintaining full access to our fishing waters. Will the Secretary of State assure me that the Department is being robust on behalf of my Northumbrian fishermen in any negotiations, to ensure that we regain control of our fishing waters before deciding whom to allow to fish in them?

[Mr Davis]

My hon. Friend is right, and it was a very odd linkage to make. The simple truth is that when we leave the European Union we will be an independent coastal state, and as a result we will control our own waters. As stated in DEFRA questions last week, we will continue negotiations with neighbouring states about catch—because fish move—quotas, and all the rest of it. However, we will control our own destiny.

[Hilary Benn (Leeds Central) (Lab)]

The UK is party to around 40 trade agreements negotiated by the EU, but at least two of those countries have indicated that they will seek concessions from the United Kingdom in return for rolling over those agreements during the transition period. Will the Secretary of State assure UK exporters that they will be able to continue to trade with those countries on the same basis as now and with the exact same benefits, and that we will not end up in a situation where those countries will have preferential access to our market, while UK businesses lose the same access to their markets?

[Mr Davis]

The right hon. Gentleman’s stance is fascinating, because the customs union proposal that the Labour party recently came up with induces exactly the risk that people will have access to our markets without our necessarily having complementary access to theirs. Indeed, that was the view espoused by the shadow Secretary of State for International Trade not long ago.

[Mr David Jones (Clwyd West) (Con)]

I wish my right hon. Friend every success in the negotiations which, as he said, will reach an important stage next week. Will he confirm that it remains the Government’s position that no deal is better than a bad deal, and that all necessary resources—financial and otherwise—will continue to be deployed with an eye to such an eventuality?

[Mr Davis]

Yes, and interestingly my right hon. Friend’s question links to that asked by the hon. Member for Glasgow North (Patrick Grady) about whether some people on the continent think that letting us get a good deal would be a bad thing for the future of the European Union. Were people to turn that into a punishment deal, plainly no deal would be better than that. We are, of course, allocating the necessary resources, as the Chancellor has said.

[Tom Brake (Carshalton and Wallington) (LD)]

The Secretary of State backs a 21-month transition period. Given that the Government’s own impact assessment points to every sector and region of the UK being damaged by Brexit, what discussions has he had with different sectors about the extra damage that a short, 21-month transition period could inflict on jobs here? Which sectors or companies have told him that a 21-month transition period is acceptable—the CBI, for example, which called for a three-year transition period, or the EEF, which called for at least two years?

[Mr Davis]

The first thing I would say is that there is no official Government document that makes that forecast. There is work in progress, but that is not an official Government forecast—indeed, we do not believe it. The simple truth is that, first off, the most important priority is to establish an implementation period as soon as possible, so that companies can have certainty. That is the view of the CBI, the British Chambers of Commerce, the Institute of Directors and pretty much every other business group there is.

[Carol Monaghan (Glasgow North West) (SNP)]

3. What steps he is taking to ensure that there are no border controls between Northern Ireland and the Republic of Ireland after the UK has left the EU.

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[Mr Simon Clarke (Middlesbrough South and East Cleveland) (Con)]

8. What recent assessment he has made of the potential merits for the economies of the UK and the EU of an implementation period after the UK leaves the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

As I said in my speech in Teesport, an implementation period will benefit both the European Union and the United Kingdom. It is in no one’s interest on either side for businesses to rush through contingency plans based on guesses about a future deal. That would cause delayed investment, a slowing of job creation and a stifling of the hard-won economic growth on which our continent depends.

Businesses have been clear about the importance of an implementation period, which will give them time to build new infrastructure and set up new systems to support our future partnership and allow for as free and frictionless trade as possible. The implementation period will allow them to make their decisions on the basis of knowledge about what the future deal will look like. It will ensure that our businesses are ready, because they will have to adjust to only one set of changes, and, importantly, it will allow European Governments to do the same.

[Mr Clarke]

I thank my right hon. Friend for that answer and for his visit to Teesport earlier this year, which was much appreciated. Two thirds of people in my constituency voted for Brexit. Can my right hon. Friend reassure them that any implementation period will indeed be time-limited and handled in a way that will provide for a smooth exit for business?

[Mr Davis]

Yes. A time-limited implementation period will ensure a smooth and orderly exit from the European Union. During the period, the United Kingdom and the European Union will continue to have access to each other’s markets on current terms by replicating the effects of the customs union and the single market, and businesses will be able to continue to operate on the same terms as now. That will provide vital certainty and stability as we move towards our future partnership.

Let us be clear: we are leaving the European Union on 29 March 2019, and only when the United Kingdom is no longer a member state will we be able to take advantage of our status as an independent trading nation.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

10. What discussions he has had with Cabinet colleagues on the effect of the UK leaving the EU on the manufacturing sector; and if he will make a statement.

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[Mr Philip Dunne (Ludlow) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

In recent weeks, the Prime Minister has set out in more detail the two key pillars of our future partnership with the European Union. In Munich, she set out our clear desire to continue to work closely with our European partners on all aspects of our security policy, both internal and external. At Mansion House, she set out a clear path towards a comprehensive future economic partnership that recognises our unique starting point, our shared history and our common values, but that also respects the result of the referendum and ensures that as we leave the EU, we return control over our money, laws and borders to this House. In the coming months, we will be using the negotiations with the EU to deliver that.

[Mr Dunne]

Is my right hon. Friend able to reassure the House that, following next week’s EU Council meeting, the negotiations will be able to move beyond the transition arrangements?

[Mr Davis]

On the implementation period, we have made significant progress in a number of areas, and although negotiations are still ongoing, we are confident that we can reach an agreement on that at next week’s EU Council. As my hon. Friend will be aware, article 50 is clear that the withdrawal agreement shall be agreed in line with the framework for the future relationship. We expect new European Union guidelines covering the negotiation of the terms of our future relationship to be agreed at the March Council, as set out by the EU in December. The Prime Minister has set out a vision of the breadth and depth of the future relationship in a number of speeches, and we hope that the EU guidelines will be sufficiently flexible to allow the EU to think creatively and imaginatively about our future partnership. Indeed, I say to him that at least half the effort in the past three months has been aimed at ensuring that we get those flexible, open and broad guidelines by addressing that very issue with the 27 that make up the Council, as well as the Commission.

[Keir Starmer (Holborn and St Pancras) (Lab)]

In January last year, the Secretary of State stood at the Dispatch Box and assured the House:

“What we have come up with…is the idea of a comprehensive free trade agreement and a comprehensive customs agreement that will deliver the exact same benefits as we have”.——[Official Report, 24 January 2017; Vol. 620, c. 169.]

The Government stood by that assurance for 14 months, but then the Prime Minister’s Mansion House speech downgraded the Government’s ambitions to reduced access to European markets. What does the Secretary of State have to say for himself now?

[Mr Davis]

I would say two things to the right hon. and learned Gentleman. Of course, in a negotiation, we go in with the highest possible aspirations, and that is what we intended. Incidentally, he should read his own policy, which I recall has the same aspirations—not very effectively. What we are about is getting the best possible outcome for this country and that is what we will do.

[Keir Starmer]

We have had a lot of non-answers this morning, if I may say so, Mr Speaker. In addition to downgrading the ambition for the final deal, the Government are also delaying vital legislation in this House. We were expecting to consider the trade and customs Bill this week on Report and Third Reading but, apparently, they have been parked until May because the Government fear losing key votes. There is no sign of other vital legislation coming down the track. This should have been a busy period in Parliament. General debates on the EU are always interesting, but meaningful votes are better. What is going on?

[Mr Davis]

I thought that business questions came after this session, not now. However, if Opposition Members continue to try to thwart the will of the British people by blocking votes at every turn, that is their responsibility, not ours.

[Craig Tracey (North Warwickshire) (Con)]

T2. Does my right hon. Friend agree that remaining in a customs union after Brexit would prevent one of the major opportunities presented by leaving the EU: taking control of our trade?

[Mr Davis]

My hon. Friend is exactly right. As the Under-Secretary of State for Exiting the European Union, my hon. Friend the Member for Fareham (Suella Fernandes), said earlier, that is one of the great prizes that will come out of our departure from the Union. Indeed, I am rather sorry that the right hon. and learned Member for Holborn and St Pancras (Keir Starmer) did not raise the issue of a customs union explicitly. I know that he has difficulties with his own leadership on these matters, so I thought I should find a leader of whom he did approve, Mr Tony Blair, who said:

“So the way I look at it is that the Labour party position is: it’s pulled up its anchor and it’s left the kind of, what looks like a safe port, but actually isn’t, of being in the same position as the Government…but they’d be very unwise to drop anchor at the customs union, because the truth is that doesn’t really resolve your problems. By the way, it doesn’t really resolve your problems in Northern Ireland, either.”

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

T3. Vital services for people suffering domestic violence, hate crime, discrimination and labour exploitation are funded by the EU rights, equality and citizenship programme. When the consultation on the UK prosperity fund eventually begins, will that programme be part of it?

--- Later in debate ---

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

While talking about Northern Ireland, the Under-Secretary of State for Exiting the European Union, the hon. Member for Fareham (Suella Fernandes), made the significant statement that the report by Mr Lars Karlsson did not meet the Government’s test of there being no physical border infrastructure. Will the Secretary of State repeat that statement and say that, in his view, the report does not meet that test?

[Mr David Davis]

That is an important question. I will certainly say to the right hon. Gentleman that it does not meet all our criteria. We want to maintain no physical structures at the border and no visible border—a very light-touch border. I remind him, however, that the border does exist as a financial border. There are different fiscal and excise policies north and south of the border, and we have to manage that now. We do so without the border being visible, and we will do that in the future.

[Paul Masterton (East Renfrewshire) (Con)]

If we leave the single market, we will also leave the passporting regime, as the Prime Minister has made clear. What steps is the Department taking to negotiate successor arrangements for UK financial services firms that access EU markets?

--- Later in debate ---

[Mr David Davis]

I will not take the offer, I am afraid. The Under-Secretary of State for Exiting the European Union, my hon. Friend the Member for Fareham, referred to my previous look at the border. The purpose then—it was around the time of or just before the Belfast agreement—was to look at the issue of smuggling. [Interruption.] That was one occasion. This is an important issue—indeed, the very last conversation I had with Martin McGuinness was about exactly this—and I will do so when the time arises. The simple truth is that this border issue is resolvable if we have a free trade agreement and, if we have a customs agreement, it is resolvable by technical means as well.

[Nigel Huddleston (Mid Worcestershire) (Con)]

May I applaud the Government’s practical and sensible decision regarding their intention to remain part of the European Aviation Safety Agency after Brexit? Can we expect similar sensible and practical discussions around open skies?

--- Later in debate ---

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

May I ask the Secretary of State directly whether he has seen the investigation from the Department for Business, Energy and Industrial Strategy that apparently shows the disastrous effect that Brexit will have on manufacturing all over the country, but particularly in the north and the regions? Has he seen it, and, if he has, is he colluding to keep it private?

[Mr David Davis]

I do not recognise the document that the hon. Gentleman is talking about.

[Bob Blackman (Harrow East) (Con)]

Will the Minister confirm that when we leave the European Union, it will be our policy to control our fishing waters, not to give free and unfettered access, as is currently demanded by the European Union?

--- Later in debate ---

[Mr Hollobone]

Does the promotion of leaker-in-chief and Brexit-phobic Martin Selmayr to the EU’s top civil service post help or hinder our stance, or make no difference at all?

[Mr David Davis]

As a matter of diplomatic policy, we never comment on internal operations in other Governments.

[Mr Speaker]

We have had the Hollo; let’s have the Bone.

[Mr Bone]

Thank you for saving me up, Mr Speaker.

Hon. Members know that we will leave this dreadful European Union superstate in 379 days, but they might not know that that will also mark the end of the Secretary of State’s grand tour of Europe. He is in a unique position to advise the British people about which countries like us and which do not so that we will know which countries to go to after we leave. Will the Secretary of State tell us the answer?

[Mr Davis]

I am very tempted to give my hon. Friend the list from the last three weeks, which would take about five minutes. Two things have struck me while talking to all my European opposite numbers: all of them are sad that we are going; and they all want a strong future relationship. They all want to stay our friends and allies, and that is what we will deliver.

Royal Assent

[Mr Speaker]

I have to notify the House, in accordance with the Royal Assent Act 1967, that the Queen has signified her Royal Assent to the following Acts:

Finance Act 2018

Supply and Appropriation (Anticipation and Adjustments) Act 2018

Space Industry Act 2018

City of London Corporation (Open Spaces) Act 2018.

Implementation Period Update

David Davis Excerpts

Wednesday 21st February 2018 Written Statements

[The Secretary of State for Exiting the European Union (Mr David Davis)]

I am today publishing the UK’s response to the European Commission’s draft legal text on arrangements for the implementation period, copies of which will be deposited in the Libraries of both Houses.

[HCWS476]

Oral Answers to Questions

David Davis Excerpts

Thursday 1st February 2018 Commons Chamber

[Chris Bryant (Rhondda) (Lab)]

5. Whether he plans for the UK to be subject to rulings of the European Court of Justice during the transition period.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

In Florence five months ago, the Prime Minister set out a proposal for the implementation period under current terms, utilising the existing structure of European Union rules and regulations, including the European Court, for that time-limited period. That is necessary so that there is only one set of changes for businesses and people and minimum disruption. We are also clear that our priority will be getting the right arrangements for Britain’s relationship with the EU in the long term, out of the single market, out of the customs union and without direct jurisdiction of the European Court.

[Chris Bryant]

So the European Court will be deciding on issues in this country, and if British businesses want to continue doing trade with the rest of Europe, they will have to abide by all the rules of the single market, and British citizens will have fewer rights in the rest of Europe than they have now. In essence, the Government are turning us from being a proud partner with European colleagues into a vassal state. Will the Secretary of State propose that we hand them over some Danegeld as well?

[Mr Davis]

I think that is the first time I have seen the hon. Gentleman in alliance with my hon. Friend the Member for the 19th century.

[Mr David Jones (Clwyd West) (Con)]

15. If the Government were regrettably to accept the EU’s negotiating guidelines, so that the United Kingdom remains subject to the jurisdiction of the European Court of Justice during any implementation period, what arrangements would be put in place to safeguard Britain’s interests, given that there will be no British judges?

[Mr Davis]

As my right hon. Friend well knows, we are going into negotiation on this matter almost as we speak. During that period, my primary concern is any new laws coming into effect over which we have had no say, and we will aim to set up arrangements to ensure that they do not harm the United Kingdom.

[Paul Blomfield (Sheffield Central) (Lab)]

After the Prime Minister’s Florence speech, the Under-Secretary of State for Exiting the European Union, the hon. Member for Fareham (Suella Fernandes), who I welcome to the Front Bench, co-ordinated a letter from the European Research Group describing the Government’s policy on the transitional period as staying in the EU “by stealth”. She has not yet replied to my letter of 14 January, offering her the opportunity to retract that view. Does the Secretary of State agree that it is these divisions at the heart of the Government that jeopardise our negotiations? Will he confirm that all his Ministers support Government policy on the transition?

[Mr Davis]

It is almost sine qua non that all my Ministers support Government policy, which is more than I can say for Opposition Front Benchers.

[Mark Pawsey (Rugby) (Con)]

6. What steps he is taking to ensure the Government engage with the international business community during negotiations for the UK to leave the EU.

--- Later in debate ---

[Ged Killen (Rutherglen and Hamilton West) (Lab/Co-op)]

9. Whether the Government plan to accept the EU’s guidelines for phase 2 of the negotiations for the UK leaving the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

It is not for the UK to accept or reject the European Union’s directives. This is its mandate for negotiations, and we have our own set of objectives. In my speech last Friday, I set out our position on what we would like to see in the implementation period, and we look forward to continuing the discussion with our European Union counterparts. Let me be clear: that work has not stopped. Following the declaration of insufficient progress in December, officials have continued technical discussions on separation issues, Northern Ireland and governance arrangements. I will shortly meet Mr Barnier to continue to the process.

[Ged Killen]

For workers who arrive during the transition period under existing freedom of movement rules, what arrangements will the Government make to ensure that workers who are crucial to industries in Scotland, such as fisheries, social care and hospitality, and who do not meet tier 2 visa requirements, are not simply sent home at the end of the transition period?

[Mr Davis]

We will be discussing in some detail with the European Union the treatment of people after our actual departure from the Union. The hon. Gentleman must take it as read, as I have said several times, that they will be treated properly, that we will not do anything to undermine our economy, and that we will do everything possible to ensure that the industries he talked about are supported.

[Joanna Cherry (Edinburgh South West) (SNP)]

The Secretary of State and his junior Ministers keep saying that they want a bespoke deal. When are they going to set out what that actually means? When are they going to tell us what the elements of that bespoke deal will be, and when will they cost the bespoke deal’s implications for the economies of these islands? When?

[Mr Davis]

There can be few policies that have been talked about more by Prime Ministers than this one. There have been two major speeches—Lancaster House and Florence—and two White Papers, and something like 15 Bills will be going through this House over the course of the Parliament, so the House will not be unaware of all aspects of the bespoke deal. We have also made very plain what we see as different in what we are seeking from other deals. For example, we are aiming for the free trade agreement to be comprehensive and tariff-free. On the customs agreement, we are aiming for the most frictionless one possible—we have a variety of proposals that we talked about in front of the Select Committee on that—and the House will be kept fully informed. On the costing, as we have said, I think on Monday, we will of course release all the information necessary once it is no longer sensitive to the negotiations, but before the House makes a decision.

[Hannah Bardell (Livingston) (SNP)]

10. What recent discussions he has had with Cabinet colleagues on the Scottish Government’s paper on “Scotland’s place in Europe: People, Jobs and Investment”, published on 15 January 2018.

--- Later in debate ---

[Sir Desmond Swayne (New Forest West) (Con)]

13. What factors the Government plan to take into account in determining their position on the length of the transition period in negotiations for the UK to leave the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

As I have said before, the duration of the implementation period should be in the region of two years, and the Commission’s position indicates a period of similar length: so far it has talked about 21 months. The aim on both sides is to give individuals, businesses and Governments time to plan and initiate the changes that must be made to allow a smooth and orderly transition, and to secure the best possible outcome for the United Kingdom.

[Sir Desmond Swayne]

Could it be shorter?

[Mr Davis]

If I simply accept the European Commission proposal, then yes.

[Mr Speaker]

Unlike the question from the right hon. Member for New Forest West (Sir Desmond Swayne), which was commendably pithy—and again I exhort him to issue his textbook for the benefit of all colleagues.

[Andy Slaughter (Hammersmith) (Lab)]

I will do my best, Mr Speaker.

The EU has made it clear that EU citizens coming to the UK during the transition period should be eligible for settled status; the Prime Minister says they will not be eligible. Is that a red line, or are the Government willing to compromise on that? I thought nothing was agreed until everything was agreed.

[Mr Davis]

The hon. Gentleman is right that nothing is agreed until everything is agreed, but in the joint report that we concluded and got agreement on in December the EU agreed that the transition date, or end date for ongoing permanent residence rights—not possibilities, but rights—will be March 2019.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

17. What recent discussions he has had with Commissioner Barnier on the transition arrangements for the UK after March 2019.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

At the General Affairs Council on Monday the European Council agreed its negotiating directives on the implementation period. Now that the Commission has a clear negotiating mandate we hope to move quickly to begin detailed discussions on the implementation period. Given the alignment in our positions we are confident we can reach political agreement by March. There remain a number of areas that we now need to discuss with the EU to ensure the period operates smoothly. We look forward to progressing substantive discussions.

[Mr McFadden]

When it came to the divorce bill, after a lot of huffing and puffing and wasted time the Government simply signed on the dotted line. What will be different in the transition period we are negotiating compared with the EU guidelines issued this week?

[Mr Davis]

As to the right hon. Gentleman’s opening remark, as he is an intelligent and well-informed person it is amazing that he does not differentiate between a £100 billion demand and a £35 billion outcome; that seems to have been a somewhat useful exercise by the Government.

As for the next stage, there is a negotiation to be undertaken. There is a variety of important areas, but the primary area for me is the question of our right to sign trade deals during the implementation period so we can bring them into force immediately after we leave. That is a massive advantage for the United Kingdom to have.

[Thangam Debbonaire (Bristol West) (Lab)]

Businesses in my constituency tell me that continued membership of the single market and customs union during the transition period will help them safeguard jobs, yet the Prime Minister on 18 December ruled this out. What have the Prime Minister and Secretary of State got against the employment of people in Bristol West?

[Mr Davis]

With the greatest respect to the hon. Lady, the purpose of the implementation period, which was asked for by just about every business organisation, is to ensure they face stability in the couple of years in the run-up to the conclusion of the future relationship. That is what is going to happen, and that is why companies and the CBI and others welcomed it when we announced it.

[Heidi Alexander (Lewisham East) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

As we accelerate the pace of our negotiations with the European Union, I gave a speech last Friday to lay out the terms of the implementation period for our new relationship. This period, a bridge to the future, will be strictly time-limited and see a continuation of existing structures and rules. We will no longer be a member of the EU, which is a legal requirement for signing a new trade treaty, while still ensuring the continuity of our businesses and their trading relationships. We will use this period to ensure we are best placed to grasp the opportunities of Brexit, and that will mean signing new free trade deals with countries around the world.

[Heidi Alexander]

Given reports today of a huge gap between the UK and the EU on how financial services will be able to be traded freely in a post-Brexit environment, can the Secretary of State set out exactly how he sees this trade operating successfully in future, and exactly how he plans to protect the jobs of the 1.1 million people in the UK who work in this sector?

[Mr Davis]

First, not only have we not yet engaged in the future relationship negotiation, but the EU has not yet decided its own negotiating guidelines. They will, we expect, be laid down by the March Council on 22 March, and to that end I am talking to every member state that I can in order to ensure that we are at the same place on this issue, rather than having, as the hon. Lady terms it, “a huge gap”. Indeed, at the end of these questions I am going to Luxembourg for specifically that issue.

[Mr Simon Clarke (Middlesbrough South and East Cleveland) (Con)]

T2. Can the Secretary of State confirm that we will find a way, during the implementation period, to negotiate a way to address the consequences of any EU legislation that is deemed contrary to our national interest?

[Keir Starmer (Holborn and St Pancras) (Lab)]

There have been lots of questions this week about the leaked EU exit analysis Whitehall briefings, but this is the first chance I have had to ask the Secretary of State about it directly, so I will choose my words carefully. Can the Secretary of State confirm when he first knew that economic modelling work on Brexit scenarios was being undertaken across Whitehall?

[Mr David Davis]

Actually, the right hon. and learned Gentleman does not have to ask me; he should read the book. In addressing the Select Committee on 6 December last year, I said in terms:

“We will at some stage—and some of this has been initiated—do the best we can to quantify the effect of different negotiating outcomes as we come up to them. Bear in mind that we have not started phase 2 yet. In particular, we will try to assess, in bigger categories, the effect of various outcomes in financial services and in terms of the overarching manufacturing industry, agriculture and so on. We will do that a little closer to the negotiating timetable.”

I say that because I read with great interest in Hansard and elsewhere this morning various reports about my being traduced, so I thought that I should tell the House that actually I told the Select Committee that this work was under way last December.

[Keir Starmer]

I think it follows that in December the Secretary of State knew that this modelling was going on. Can he confirm when he was first talked through the economic modelling of the Brexit scenarios by his Department—not when he told others, but when he was talked through it?

[Mr Davis]

Let me say something on that as well. One of the things that the right hon. and learned Gentleman has been trying to pretend over the course of the last few days is that somehow my colleagues have been critical of the civil servants doing this job, because the outcome is as yet a work in progress—[Interruption.] That is what it is: a work in progress. I say that because we are trying to do something that is incredibly difficult. Every institution that has tried it has failed—[Hon. Members: “Answer the question!”] I am going to answer the question. Every forecast that has been made about the period post-referendum has been wrong. As I told the Select Committee, the Bank of England—the best forecasting organisation in the business—forecast for 2017 a reduction in exports, but there was growth of 8.3%. It also forecast a reduction of 2% in business investment, but it grew by 1.7%. It forecast a reduction in housing investment, flat employment growth, and growth of 0.5% versus 1.1% being the outcome. What has been going on is an attempt to find a way of getting a better outcome. In those terms, I talked to my own Department and the cross-departmental group in early January on this matter.

[Daniel Kawczynski (Shrewsbury and Atcham) (Con)]

T3. The Nord Stream 2 pipeline—the undersea oil and gas pipeline that Germany intends to build directly to Russia—has been condemned by the American Secretary of State, Rex Tillerson, as a threat to the security of countries in central and eastern Europe. Does the Minister agree with that sentiment?

--- Later in debate ---

[Mr David Davis]

I am happy to reassure my hon. Friend on that point. The British people voted to leave the EU—17.5 million of them—in the biggest mandate in our history, and we are committed to respecting the result of the referendum. The Government have undertaken a wide range of ongoing analysis to ensure that we get the best deal for the British people in our EU exit negotiations, but whichever outcome we choose to negotiate for—most of that has been chosen—it will involve leaving the EU and respecting that democratic mandate.

[Vicky Foxcroft (Lewisham, Deptford) (Lab)]

T7. The independent “Preparing for Brexit” report commissioned by the Mayor of London found that a hard Brexit will lead to the loss of 56,500 more jobs in London alone than if the UK remains in the single market and customs union. Does the Minister agree that that is clear evidence that a hard Brexit will be catastrophic for jobs?

[Mr Davis]

No, I do not. As I explained earlier, one of the great difficulties with such forecasts is that they have proved to be entirely wrong at every turn so far, and that is not just the view of a politician. The smartest and most innovative economist in the country is probably the deputy Governor of the Bank of England, Andrew Haldane, who referred to the forecasts as having faced a “Michael Fish” moment—in other words, they must find out why they did not work. A forecast is not evidence to be relied upon. It may be an opinion, but it is not evidence.

[Priti Patel (Witham) (Con)]

T6. Over the last 45 years, British taxpayers have had far too much of their money taken from them to go to the EU. Now that we are leaving, can the Secretary of State give an indication of the value of our share of EU assets and what will happen to the share that we have contributed? Is he negotiating to get it all back?

[Mr Davis]

My right hon. Friend picks up on an important point. It is a component of the negotiations that brought the public claim down from £100 billion to £35 billion—part of that was offset by our assets.

[Martyn Day (Linlithgow and East Falkirk) (SNP)]

T8. The chemicals industry is the largest sectoral employer in the Grangemouth area of my constituency. It exports 60% of its goods to the EU and imports 75% of them from the EU, and it is rightly concerned about frictionless and tariff-free trade coming to an end. Will Ministers tell us what the EU exit analysis projects for that sector?

--- Later in debate ---

[Karin Smyth (Bristol South) (Lab)]

On 11 January Lord Callanan visited Bristol, and he made a promise to Hartcliffe residents in my constituency that there would be more jobs after Brexit. Had he been briefed by the Department on the true state of the modelling analysis when he made that promise to those people?

[Mr David Davis]

As I told the House earlier, every forecasting model of the post-referendum performance of the British economy by every major organisation—the banks, Government organisations and, indeed, international organisations—has proven wrong. One of the ways they have been proven wrong is because employment in this country has grown, despite all the forecasts, to record levels today. We will be seeking to do the best we can to ensure that that growth record is maintained.

[Bob Blackman (Harrow East) (Con)]

rose—

--- Later in debate ---

[Bob Blackman]

Will my right hon. Friend confirm that we will be able to implement decisions during the transition period and not wait until the end to implement everything that is agreed?

[Mr Davis]

We will be able to do some of them, for example, our proposal to put in place a registration scheme and so on. We will also be able to sign trade deals, but not bring them into force.

[Nic Dakin (Scunthorpe) (Lab)]

How are the Government working with the UK steel industry to make sure it prospers post-Brexit?

[Mr Davis]

We have had meetings. My Department alone has had meetings with 350 companies, not all in steel, but in all the user industries. We have a regular meeting between the Chancellor, the Business Secretary, myself and leading business representative organisations, and of course we talk directly to the individual companies.

European Union (Withdrawal) Bill

David Davis Excerpts

3rd reading: House of Commons & Report stage: Second Day: House of Commons
Wednesday 17th January 2018 Commons Chamber

[The Secretary of State for Exiting the European Union (Mr David Davis)]

I beg to move, That the Bill be now read the Third time. Taking a leaf out of the Liberal Democrat book, I do so enthusiastically.

The Bill is essential to preparing the country for the historic milestone of withdrawing from the European Union. It ensures that on day one we will have a statute book that works, with this Government delivering the smooth and orderly exit desired by people and businesses across the United Kingdom. It is a complex piece of legislation, which is unsurprising given that it seeks to put into British law the entire acquis of European law—established over 40 years or more of membership—and to do so in a few years while active negotiations are going on.

The House has spent more than 80 hours discussing the Bill’s principles and why they are necessary. We have scrutinised each clause and schedule in detail, and we have debated the merits of more than 500 amendments and new clauses. I thank the Members who took the time to table amendments, and I thank them for the spirit in which they have engaged with the debate throughout. I pay tribute to the Clerks and officials in the Public Bill Office who have provided invaluable support for Members in all parts of the House, advising on the drafting and tabling of those hundreds of amendments.

I pay special tribute to several colleagues for their individual contributions. I thank my right hon. Friend the Member for West Dorset (Sir Oliver Letwin) and my hon. Friend the Member for Broxbourne (Mr Walker) for tabling amendments that will undoubtedly enhance this legislation by providing greater certainty over the timing of exit day and how secondary legislation will be scrutinised. I also pay tribute to other Conservative colleagues for their contributions throughout the debate, notably my hon. and learned Friend the Member for Torridge and West Devon (Mr Cox), my hon. Friend the Member for Bromley and Chislehurst (Robert Neill), my right hon. and learned Friend the Member for Beaconsfield (Mr Grieve), my right hon. Friend the Member for Wantage (Mr Vaizey), my hon. Friend the Member for Harwich and North Essex (Mr Jenkin) and my right hon. Friends the Members for Basingstoke (Mrs Miller) and for Chingford and Woodford Green (Mr Duncan Smith). I am grateful to them all for their hard work—[Interruption.] I have not finished yet. I am grateful to them all for their hard work in effectively scrutinising this legislation and their tireless work in representing their constituents.

I also thank Opposition Members for their contributions. We heard impassioned and eloquent contributions from the right hon. Member for Birkenhead (Frank Field), the hon. Member for Vauxhall (Kate Hoey), the hon. Member for Wakefield (Mary Creagh), the right hon. Members for Normanton, Pontefract and Castleford (Yvette Cooper) and for Leeds Central (Hilary Benn), and the hon. Members for Brighton, Pavilion (Caroline Lucas) and for North Down (Lady Hermon) among many others, who all played—[Interruption.] I will take nominations, Mr Speaker, if you really want, but I think I just picked out the highlights; many others made fantastic contributions. In the interests of brevity and to allow others to speak, I would like the House to take as read the detailed thanks to the Front Benchers of both sides.

I said on Second Reading that I would

“welcome and encourage contributions from those who approach the task in good faith and in a spirit of collaboration.”—[Official Report, 7 September 2017; Vol. 628, c. 343.]

All of us, as elected representatives, have a shared interest in making this Bill a success in the national interest. The Government have said time and again that we would listen carefully to all suggestions put forward and that, where hon. Members made a compelling case, we would respectfully consider it and act accordingly.

I hope that Members agree that in this debate we have often heard the very best of what this House is here to do. We have tabled amendments to provide extra information about equalities impacts and the changes being made to retained EU law under the powers in the Bill. We published a right-by-right analysis of the charter of fundamental rights, setting out how each substantive right found in the charter will be reflected in UK domestic law. It looks at how the right flows through retained EU law and how it is otherwise protected by existing domestic law or international law after exit.

[Several hon. Members rose—]

[Mr Davis]

If you forgive me, Mr Speaker, I am going to do two things I have never done before: not take interventions, which I have always taken before; and I am breaking that habit of a lifetime to allow time for the Scot Nats to put their reasoned amendment. [Interruption.] It is very much a lifetime first for me to be polite to the Scot Nats.

We have also brought forward amendments to provide greater certainty on how imminent or impending legal cases will be dealt with from the day we leave the EU. We committed to bring forward separate primary legislation in due course that would implement the withdrawal agreement, including an implementation period, and we set out the provisions for a vote on the final deal and the processes for implementing whatever is agreed. Linked to this, we respect the decision of this House to limit the power in clause 9, so that it cannot be used before primary legislation approving the terms of the withdrawal agreement has been enacted.

Perhaps most notably—and happily for me—we have listened to the concerns expressed about the scrutiny of secondary legislation. On Second Reading, my right hon. Friend the Member for Broxtowe (Anna Soubry) shared her concerns about the process of scrutinising the 800 to 1,000 statutory instruments required under this Bill. I made it clear then that we would happily discuss the feasibility of establishing a triage process. With this in mind, the Government welcomed amendments made to the Bill proposed by the Procedure Committee to establish such a sifting Committee. I hope that all Members agree that we have approached scrutiny of this vital piece of legislation in a pragmatic way and worked collaboratively to improve the Bill.

We have also intensified our positive discussions with the devolved Administrations and legislatures to find an agreed approach to clause 11, and we intend to bring forward amendments in the other place.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Will the Secretary of State give way?

[Mr Davis]

No, I will not.

We are committed to achieving legislative consent for this vital piece of legislation. We are sending an improved piece of legislation onwards to the other place and I hope that that House will acknowledge the substance and spirit of the debate and scrutiny this Bill has received thus far and that debate there will unfold in the same constructive way in which it has in our House.

The scrutiny of this vital legislation remains one of the most important tasks that we parliamentarians have had before us for some time. I believe that this House is risen to the occasion by ensuring that the Bill continues its journey throughout Parliament in a much improved form. I commend it to the House, and I believe that this is an historic occasion.

Oral Answers to Questions

David Davis Excerpts

Thursday 14th December 2017 Commons Chamber

[Kwasi Kwarteng (Spelthorne) (Con)]

2. What assessment he has made of the potential merits of an implementation period after the UK leaves the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

As 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.

[Kwasi Kwarteng]

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?

[Mr Davis]

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.

[Hilary Benn (Leeds Central) (Lab)]

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?

[Mr Davis]

The implementation period will be most valuable if companies know what the final outcome will be, because that will allow them to prepare for it. To that end, we will seek to conclude the substantive portion of the negotiation before then.

[Mr Philip Hollobone (Kettering) (Con)]

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?

[Mr Davis]

One reason is that, if we stayed in the European Union completely, we would still be subject to the duty of sincere co-operation, which is what constrains us from carrying out free trade negotiations. That is one reason, at least, why we would not do that.

[Tom Brake (Carshalton and Wallington) (LD)]

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?

[Mr Davis]

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.

[Jeremy Lefroy (Stafford) (Con)]

Will the negotiations on the implementation period include matters to do with the UK’s membership of the agencies of the European Union?

[Mr Davis]

I think it is unlikely that they will continue beyond the period of departure in March 2019. That is something that we have accepted from the beginning.

[Patrick Grady (Glasgow North) (SNP)]

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?

[Mr Davis]

The timetable on that will be decided within the framework that is being discussed now between the First Secretary of State and Mr Mike Russell.

[Sir Desmond Swayne (New Forest West) (Con)]

4. What recent progress he has made in negotiations with the European Commission; and if he will make a statement.

[Luke Hall (Thornbury and Yate) (Con)]

15. What progress the Government are making on entering into trade talks with the EU.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

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.

[Sir Desmond Swayne]

Essential to our ambition for an excellent deal is preparation for no deal, is it not?

[Mr Davis]

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.

[Luke Hall]

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?

[Mr Davis]

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.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

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?

[Mr Davis]

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.

[Keir Starmer (Holborn and St Pancras) (Lab)]

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?

[Mr Davis]

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.

[Keir Starmer]

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?

[Mr Davis]

Unlike the right hon. and learned Gentleman, I do not view votes of this House of Commons as accidents; they are decisions taken by the House. We have respected the decision, as we will do the next one.

[Anna Soubry (Broxtowe) (Con)]

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?

[Mr Davis]

The first thing I will say to my right hon. Friend is that since Monday there have been meetings between various Back Benchers and Ministers, including me—[Hon. Members: “We can’t hear you.”]

[Anna Soubry]

On a point of order, Mr Speaker.

[Mr Speaker]

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.

[Mr Davis]

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.

[Ian C. Lucas (Wrexham) (Lab)]

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?

[Mr Davis]

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.

[Several hon. Members rose—]

--- Later in debate ---

[Mr Davis]

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.

[Several hon. Members rose—]

--- Later in debate ---

[David Morris (Morecambe and Lunesdale) (Con)]

8. What assessment he has made of the potential merits of maintaining appropriate confidentiality in the UK’s negotiations with the EU; and if he will make a statement.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

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.

[David Morris]

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?

[Mr Davis]

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.

[Kerry McCarthy (Bristol East) (Lab)]

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?

[Mr Davis]

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.

[Edward Argar (Charnwood) (Con)]

9. What progress has been made on maintaining citizens’ rights for (a) UK nationals living in the EU and (b) non-UK EU nationals living in the UK after the UK leaves the EU.

--- Later in debate ---

[Layla Moran (Oxford West and Abingdon) (LD)]

16. If he will make it his policy to require the negotiated settlement on the UK’s exit from the EU to be approved by referendum.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

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.

[Layla Moran]

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—

[Mr Speaker]

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.

[Mr Davis]

I am very tempted to point out the polling results of the Liberal Democrat party recently. The simple point to the hon. Lady is this: no opinion poll comes anywhere near the votes of 17.5 million people, which we will respect.

[Steve Double (St Austell and Newquay) (Con)]

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?

[Mr Davis]

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.

[Danielle Rowley (Midlothian) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Exiting the European Union (Mr David Davis)]

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.

[Danielle Rowley]

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?

[Mr Davis]

I have to be very careful because things do not always come immediately to a Secretary of State when they arrive at the Department, but as far as I am aware, none.

[Mims Davies (Eastleigh) (Con)]

T4. Recreational boating is a vital part of my constituency’s leisure facilities around Hamble and Netley. Will the Minister outline what assessment his Department has made of the impact of leaving the EU on recreational boating on the Solent?

[Matthew Pennycook (Greenwich and Woolwich) (Lab)]

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?

[Mr David Davis]

That is very interesting, but it nowhere near compares with the 18 members of the Labour party who voted against.

[Eddie Hughes (Walsall North) (Con)]

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?

[Mr Davis]

The withdrawal agreement is written in the light of article 50, which refers to

“taking account of…the future relationship”.

If that does not happen, the whole deal falls away.

[Mr Virendra Sharma (Ealing, Southall) (Lab)]

T2. What plans does the Minister have to write the tobacco products directive into British law? What discussions has he had with his European counterparts about the TPD?

--- Later in debate ---

[Mr David Davis]

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.

[Robert Courts (Witney) (Con)]

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?

--- Later in debate ---

[Dr Rupa Huq (Ealing Central and Acton) (Lab)]

T6. Yesterday, the EU warned that the Secretary of State risks damaging trust in the negotiations with his contradictory statements, so I wondered whether he could regain some trust by telling us what the difference is between an impact assessment and a sectoral analysis.

[Mr David Davis]

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.

[Mr Nigel Evans (Ribble Valley) (Con)]

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?

[Dr Philippa Whitford (Central Ayrshire) (SNP)]

T7. The Secretary of State claims that the phase 1 agreement gives security to EU nationals, but that is constantly undermined by the reference to a no deal Brexit, which would rip that up. Does he not accept that there is a need to give legal standing to EU citizens’ rights now, rather than putting EU nationals through another year of anxiety?

[Mr David Davis]

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.

[Geoffrey Clifton-Brown (The Cotswolds) (Con)]

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?