Oral Answers to Questions

Douglas Alexander Excerpts

Thursday 31st October 2024 Commons Chamber

[Sam Rushworth (Bishop Auckland) (Lab)]

12. What steps he is taking with Cabinet colleagues to support fair trade for producers.

[The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)]

I can assure my hon. Friend that the United Kingdom is committed to advancing both free and fair trade around the world that is inclusive, sustainable and seeks to reduce poverty. The UK’s aid-for-trade programmes, including the new Trade Centre of Expertise announced by the Prime Minister on 24 October, build the capacity of producers, businesses and Governments in developing countries to participate in, and prosper from, global trade. I can assure my hon. Friend that the UK is committed to making the world a safe and more prosperous place through strengthening our international development work, as set out in our recent manifesto.

[Sam Rushworth]

Children from Timothy Hackworth primary school in Shildon wrote to ask me to raise fair trade with the Minister as part of their fair trade week. They included Ashton, who reminded me of the privilege that we have to serve in this place. They would also like to know whether the Minister has met representatives of the Fair Trade Foundation since his appointment, and whether he considers that Britain’s leadership on fair trade policies can make a meaningful contribution to reducing poverty in sub-Saharan Africa.

[Mr Alexander]

First, let me commend my hon. Friend for his work with the local primary school. I know how assiduous he is in advancing the interests of his constituents. I can assure him that we fully understand the importance of fair trade. I have met a representative of the Fair Trade Foundation in recent weeks, and I pay particular tribute to the work that Fairtrade is doing with the Co-op. Thousands of farmers producing goods such as tea, coffee, sugar and flowers are helped by Co-ops in our high streets across the country. It is now the UK’s largest seller of fair trade products, and it deserves our commendation too.

[John Grady (Glasgow East) (Lab)]

13. What steps he is taking to attract inward investment into Scotland.

[The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)]

The international investment summit, about which we just heard, secured more than £63 billion, including for two significant projects in Scotland. Scottish Power, owned by Iberdrola, committed £24 billion to upgrade the UK’s energy infrastructure over the next five years. Floating offshore wind developer Green Volt has selected Aberdeen for its headquarters and plans to invest £2.5 billion. That, of course, comes on top of this Government’s establishment of GB Energy.

[John Grady]

I thank my right hon. Friend for his answer. Yesterday saw the largest Budget settlement for the Scottish Government in devolution’s history. The Labour party’s commitment to Scotland runs through this Government. Last week, the highly respected Strathclyde University’s Fraser of Allander institute reported that only 9% of Scottish businesses agree that the Scottish Government understand the business environment in Scotland. Does my right hon. Friend agree that Government understanding of business is crucial in driving investment and growth in Scotland, and that it is critical that the Scottish Government improve their understanding of the business environment?

[Mr Alexander]

Frankly, businesses in Scotland have been let down by two failed Governments. We have had a decade of division and decay in Scotland, and I am glad to see that we now have political stability, with Labour having a majority in Scotland, Wales and England. At the same time, we are committed to genuine partnership and working with the Scottish Government. I know that my hon. Friend has particular expertise in energy policy, given his past professional work. Tomorrow I will be in Torness, in my constituency, to meet EDF Energy—just one example of a business that, frankly, is being held back by the policy and approach of the present Scottish Government.

[Chris Law (Dundee Central) (SNP)]

I am not surprised in the slightest to hear the disparaging comments from those on the Government Benches about business in Scotland, so I will bring the House up to speed. For the ninth consecutive year, Scotland, under the SNP Scottish Government, is the UK’s top-performing area outside London for foreign direct investment, yet Brexit has reduced the attractiveness of the UK as a base for exporting to EU markets, resulting in its being overtaken by France as the leading destination for foreign direct investment in Europe. Does the Minister recognise that reversing what he seems to be married to at the moment—the Tories’ hard Brexit—is the most significant step that this Government could take to increase inward investment and boost growth in Scotland?

[Mr Alexander]

As I was saying, let me deal with both the failed Governments who have been letting Scotland down in the last decade. Frankly, if the hon. Gentleman wants to advance the case that there has been a decade of prosperity in Scotland, good luck to him. The reality is that it is very hard to think of a single aspect of Scottish public life that has improved over the last 10 years. Take the case of ferries. Take the case of hospitals. Take the case of our schools or, indeed, the broader business environment.

On Brexit, I recognise that there is a need for a fundamental reset with the European Union, and in recent days I have been taking forward that work. I welcome the work that the Prime Minister has been undertaking, but that is the task of a Labour Government. As so often on so many issues, the SNP talks and Labour delivers.

[Bell Ribeiro-Addy (Clapham and Brixton Hill) (Lab)]

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

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[David Mundell (Dumfriesshire, Clydesdale and Tweeddale) (Con)]

Farming and agricultural businesses employ thousands of people in my constituency, and they make a huge contribution to the local economy. Can the Minister set out exactly how yesterday’s Budget will help them to develop and grow?

[The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)]

Farmers, like any other business people, need the stability that will be delivered as a consequence of our fixing the foundations, as we set out yesterday. I too represent a constituency with a number of farmers, and I am aware of the concerns that have been raised about inheritance tax, but, frankly, difficult choices had to be made yesterday because of choices that were not made by the Government in which the right hon. Gentleman served.

[Becky Gittins (Clwyd East) (Lab)]

T6. Business owners in Clwyd East, in north Wales, want a Government who are serious about getting long-term, sustainable jobs into our economy—a process that we started yesterday. Our unique geography sees us lead on wind power and carbon capture, and we have a proud manufacturing base, which is already benefiting from our two Governments working together, and from a long-term sustainable plan for the future. Will the Minister work with me to ensure that businesses are well placed to invest in north Wales, both now and in the future?

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[Chris Law (Dundee Central) (SNP)]

The International Court of Justice judgment from 19 July this year ruled that it is the duty of third-party states not to aid or assist Israel’s “unlawful occupation” of Palestinian territory. In the light of this, will the Minister tell us whether the Department for Business and Trade has obtained legal advice, or whether it is in the process of doing so, on the legality of the UK’s existing trade relations with Israel, and if it has, will he share it with the House, please?

[Mr Douglas Alexander]

I can assure the hon. Gentleman that we work closely with our colleagues in the Foreign, Commonwealth and Development Office who are responsible for the international humanitarian law assessment. My good and right hon. Friend the Foreign Secretary has updated the House on the changed advice received by the Government, and I think that I should leave it there.

[Melanie Onn (Great Grimsby and Cleethorpes) (Lab)]

Will the Minister meet me to discuss how the Government could further develop an industrial strategy to bring up to 10,000 jobs in the offshore wind supply chain over the next 10 years?