Leaving the EU: Impact on the UK Debate

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Department: HM Treasury

Leaving the EU: Impact on the UK

Douglas Ross Excerpts
Wednesday 17th March 2021

(3 years, 1 month ago)

Commons Chamber
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Alison Thewliss Portrait Alison Thewliss
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Independence will give us many options. It will give us the opportunity to take our future into our own hands and not be reliant on the incompetence of those on the Government Benches.

Young people in my constituency—many from low-income families—and many new Scots are now being denied access to not just an experience but a European identity that previous generations of Scots have benefited from. More than 2,000 students from Scotland—the highest per head of population in the UK—take part in Erasmus+ each year.

My constituent and good friend Declan Blench is a translator working in European languages. He says that he and his colleagues are now cut off from not only our markets, because trade in services is so hamstrung by this deal, but the culture they have cultivated links with and come to love. Declan says that

“most of us learned our languages in adolescence to adulthood, precisely thanks to EU links, we didn’t all grow up in multilingual households. I was brought up by a single mum in an English-only household in a mining town—how on earth could I ever have done what I’ve done, if not for Erasmus? It is not just heartbreaking but galling—sacrificing these things for the sake of unrealistic notions of imperial grandeur, the ultimate symbol of post-imperial stress disorder that Britain suffers from so acutely.”

I could not have put it better.

I know that many across the House have benefited from studying and working abroad. It is wholly unacceptable for Tory Members to pull the ladder up behind them. The hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) recently admitted as much on the BBC “Debate Night” show. He said to a young person who asked a question:

“You and everybody else coming through right now will not have the benefits that I had through Erasmus, work, study abroad…But am I going to sit here and say that Brexit is perfect and your generation is going to reap the benefits? No I’m not. Because you’re not frankly at the minute. And I can see that.”

A moment of honesty from the Tories, but what a statement that is—that young people are not going to benefit in the way that people on the Tory Benches did; that they will take that away from the generations yet to come.

The UK Government’s replacement is a pale shadow of Erasmus+. There has been no meaningful consultation with devolved Governments on the Turing scheme, which seems to have been cobbled together at the last minute, with all the due consideration one would expect from this inept UK Tory Government. It will not pay tuition costs for students. Living costs have been cut to a fifth of what they would have previously been. It does not encompass youth work, culture, sport and vocational schemes, which are a huge part of the Erasmus+ scheme and very important to people in Scotland. We also now know that it will not cover apprentices or trainees not affiliated with further education colleges, and it will not cover teachers, youth workers, volunteers and many more who would previously have been eligible. LEAP Sports in my constituency, which works with LGBTI people, found Erasmus+ invaluable and forged international links, which helped to build the confidence and the skills of the people they support. For example, the three-year Outsport project on preventing violence and discrimination in sport based on sexual orientation and gender identity is vital work as we seek to challenge prejudice and make sport more inclusive for everyone.

Scotland’s economy has its own specific needs that are not being met by this Eton mess of a Government. We have an ageing population. Without inward migration, our population would be in decline, with more deaths than births. Scotland’s Economy Secretary Fiona Hyslop announced “A Scotland for the Future” this week, which examines the significant population challenges our country faces.

Douglas Ross Portrait Douglas Ross (Moray) (Con)
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The hon. Lady’s title in the SNP parliamentary party is shadow Chancellor of the Exchequer, so as the SNP’s shadow Chancellor of the Exchequer, and as she is speaking on the economy, can she tell us what currency Scotland would have if it was an independent country?

Alison Thewliss Portrait Alison Thewliss
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The hon. Gentleman does not even want us to get to that point, so I am not even going to engage with his arguments. [Interruption.] He is not interested because he is not interested in independence. I would rather talk right now about immigration policy, and the damage that his policies are causing to people in my constituency.

We have the worst possible immigration policy. We have arbitrary targets, a hostile environment and cruelty built into every stage of the system. People who come to live and work in Scotland tend to be highly skilled and are net contributors in both productivity and Government revenue. I have seen how non-EU nationals have been treated, causing misery and hardship, unthinkable poverty and deprivation—all of that serving absolutely no economic purpose. It costs more to treat people so abysmally, and the UK Government do it anyway.

Alison Thewliss Portrait Alison Thewliss
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Indeed. There are very many aspects of immigration policy that cause significant damage, including loss of skills and the general hostility, which causes people to feel that they are not welcome in their own homes. It touches me every time that someone at my surgery asks me, “Why would they do this to me? Why would they make me so unwelcome? Can I go back to my country, to the war-torn conflict that I have come from? I would feel better there than I do here, under this Government.” Every time that I can, I say to somebody, “This is your home. Glasgow can be your home and you are welcome here.” I do not hear that nearly enough from the Tory Benches. This Tory Government now seek to extend the hostile environment to EU nationals. They do not do so in our name—ever.

The Expert Advisory Group on Migration and Population has estimated that the impact of post-Brexit immigration policy will be a 50% to 80% reduction in net EU migration to Scotland after 2020, and an overall reduction in overseas net migration of 30% to 50%. It has found that very few jobs in key sectors in Scotland will meet the arbitrary salary threshold this Government have imposed. The Home Secretary is aware of these issues and has done absolutely nothing to address them. There are currently no plans to include a route to jobs below the skills threshold, and the UK Government have rejected the possibility of any regional variation in the salary threshold. There has been no clarity on whether the Scottish shortage occupation list will continue to operate. This is a disaster for our remote communities, who depend on migration to counter depopulation. It is a disaster for businesses, who rely on that pool of talent to gain a competitive advantage in an increasingly global market. It is a disaster for our universities, who face a reduction in international staff and students and the experience and richness they bring. And it is a disaster for Scotland’s cities, whose wonderful cultural offerings are ever-enhanced by our migrant communities.

There are few starker examples than Brexit of how a Westminster Government are willing to sideline Scotland’s interests for their own cheap political gain. A differentiated approach to migration works well in Canada and Australia, and there is no sound economic reasoning not to do it, but the UK Government would rather put Scotland’s future at risk to appease the worst excesses of the Tory party.

Many people are beginning to realise that Brexit was a pig in a poke and the much-vaunted schemes that have followed it are merely a mirage. I spoke recently about the shared prosperity fund, the UK Government’s replacement for EU structural funds. It is almost unbelievable that we are now five years since the Brexit vote and still awaiting detail on how this scheme will operate. What we are certain of, however, is that this scheme will, due to the United Kingdom Internal Market Act 2020 and the power grab, bypass Holyrood entirely. This UK Government have made sure that decisions are taken out of the hands of the people of Scotland and restored to the backrooms and corridors of Whitehall.

When we have the choice in Scotland, we invest in projects that meet the needs of our population. The Scottish Government built the stunning Queensferry crossing—toll-free and clearly adored by the hon. Member for Moray (Douglas Ross) as he delivered his keynote speech to the Tory party conference in front of it.

Douglas Ross Portrait Douglas Ross
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I was just surprised it was open.

Alison Thewliss Portrait Alison Thewliss
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The hon. Gentleman says that, but actually it is a bridge designed to cope with the extremes of Scottish weather. [Interruption.] It is not always shut, and I want to take this head on. The previous Forth bridge was far more subject to the weather and to diversions, and the UK Government did absolutely heehaw about it. The Scottish Government built a bridge; it is a good bridge—it is a brilliant bridge—and the hon. Gentleman loves it so much that he stands in front of it and lets the cars drive through his ears on the telly.

There is also the Kessock bridge, and the £90 million of projects in the Outer Hebrides over the past 25 years for ferry terminals, bridges and causeways, the bulk of which came from European Union funds, and which nobody on the Conservative Benches would ever have thought to fund. By contrast, the UK Government built that bridge over troubled waters, the Skye bridge, and it cost the then Scottish Executive more to buy out the private finance initiative contract than the actual cost of the bridge. And now they want to chuck money at a £20 billion bridge over the Irish sea. I have with me my second-year high school geography project, which might give the Tories an idea as to why disturbing the second world war munitions dump at Beaufort’s dyke might be problematic.

The shared prosperity fund has been described as “a direct attack” on devolution by the Labour-run Welsh Government. This cannot be dismissed as grievance politics or anything remotely like it; it is a real erosion of the hard-won rights of all those in the devolved nations of the UK. Be under no illusion: it is a power grab by the Tories, who never wanted devolution in the first place. The Prime Minister has gone as far as to call it a disaster and Tony Blair’s worst mistake—I am sure we can think of other mistakes, but I will leave that for the Minister.

I am much more confident now than ever before that the people of Scotland see through the lies and spin of this Tory Government. Brexit has been a wake-up call for so many, and I welcome them all to Scotland’s cause. We need policies which meet Scotland’s needs, not an insular little Britain driven by the whims of the Tories and their crony pals. Alasdair Gray argued that a truly independent Scotland will only ever exist when people in every home, school, croft, farm, workshop, factory, island, glen, town and city feel that they, too, are at the centre of the world. This is what we seek. An increasing number of people are seeing their role in that world, and looking forward to the day when they decide to take their future into their own hands, and to take our place in the world and Scotland’s place as part of the European family of nations. I cannae wait.

--- Later in debate ---
Ian Murray Portrait Ian Murray (Edinburgh South) (Lab)
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May I start by paying tribute to the hon. Member for Glasgow Central (Alison Thewliss), who set out the severe impacts that this Brexit proposition is having on the Scottish economy? It is a shame; the title of the debate is “Leaving the EU: Impact on the UK”, but I think we will need more than one debate to go through all the impacts. She ran very quickly through a lot of the impacts that are affecting Scottish business.

May I take Members back to Christmas eve? I am sure we can all just about remember that. We were all turning our attention to our family Christmas traditions. We were putting on our Christmas jumpers, double-checking we had everything for Christmas day, cutting sellotape with our teeth, examining the TV guide to see when we could watch “It’s a Wonderful Life”, and perhaps even thinking about a small libation or two. I am sure our thoughts would have been turning to family and friends who were unable to celebrate Christmas with us due to the lockdown. Then, out of the mulled wine haze appears not Santa Claus but the Prime Minister, sitting in front of the Downing Street Christmas tree delivering an “all I want for Christmas is as an EU trade deal” address to the nation.

The Prime Minister gleefully proclaimed that the UK and the EU had come to a last-minute trade and co-operation agreement, there would be no tariffs on goods, the Northern Ireland protocol would be maintained so the Government would not break international law, and, rather surprisingly,

“there will be no non-tariff barriers”.

I hope Santa was listening very clearly, as he really should not be delivering gifts to those who do not tell the truth. Going all the way back to the day after the EU referendum, it was always going to be the case that the cold reality of Brexit would one day disinfect all those undeliverable Tory promises given to the British people at the time and since, and that is exactly what has happened.

The bare-bones Brexit deal that was so lauded by the Prime Minister falls way short of what was promised and what was needed. It is not “get Brexit done”, as the Minister said; it is “get done by Brexit”. With our country facing one of the biggest economic recessions of any developed nation and with our businesses under increasing strain from the pandemic, they have to try to navigate new trading rules with the UK’s largest trading partner that have reduced exporting output by 60%. What will happen when the EU economies start to reopen fully? That is when the deal will truly be tested. It is holding back British businesses with reams of new red tape and unnecessary bureaucracy. Businesses were promised no non-tariff barriers, but the Government’s lack of leadership and clarity and their constant dither and delay mean that businesses are facing challenges that they certainly were not prepared for.

It did not have to be this way. The Government, instead of sticking their head in the sand, could have worked with industry to get ready. They could have focused on practical action to support businesses—measures such as recruiting and training the promised 50,000-plus customs agents we knew were needed to get the checks done. They could have used the transition period for what it was designed for—transitioning to the new arrangements. Instead, they wasted that period on negotiating the deal.

The Government think that the deal they got on Christmas eve is the end of the matter, but sectors of the economy know that this is just the beginning of huge difficulties and challenges, and for some it is unfortunately the beginning of the end for their business. It is certainly the beginning of the end for many that export, none more so than the Scottish fishing industry. That the Brexit deal is neither what Scotland’s fishing sector needed nor what it was promised will not surprise anyone. The devastating delays that the sector is facing were entirely predictable. There is anger and frustration from our fishers, who have been very badly let down. Elspeth Macdonald, the Scottish Fishermen’s Federation chief executive—I am glad I was not drinking at lunch time, Mr Deputy Speaker; that was my impression of Sean Connery as well—was scathing:

“This deal falls very far short of the commitments and promises that were made to the fishing industry by those at the highest level of government.”

It is a pattern, isn’t it?

What about Scottish agriculture? There has been nothing positive for farmers in leaving the EU with this deal. They are happy that no deal was avoided, but where are the sunny uplands they were promised? They, too, see something familiar. The Prime Minister is getting a reputation not just for overpromising and underdelivering, but for overpromising and then delivering nothing.

Douglas Ross Portrait Douglas Ross
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I am grateful to Ian Murray for giving way, because I just had to check—

Douglas Ross Portrait Douglas Ross
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I am grateful to the shadow Secretary of State for Scotland for giving way. He has spoken a lot about the deal—the deal that he voted for in this House in December—but his new Scottish party leader in Holyrood voted against it. Who is right—the leader of Scottish Labour or the Labour shadow Secretary of State?

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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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I would like to make an offer to the hon. Member for Glasgow Central (Alison Thewliss), because in my intervention on her she said that I was not interested in the SNP’s currency plans. Well, I am interested, and the people of Scotland are interested, so I am willing to give up all of my time for the hon. Lady, the SNP’s self-declared shadow Chancellor of the Exchequer, to stand up and explain to me, and explain to the people of Scotland, in simple terms, what the SNP’s currency would be in an independent Scotland. I give up the remainder of my time to the hon. Lady. [Interruption.] I cannot believe that the shadow Chancellor of the Exchequer for the SNP will not take an opportunity to tell this House this—to tell the people of Scotland what independence would mean for them, just in terms of their currency. That is all I am asking for, but in two debates today, with multiple opportunities, the SNP has refused to tell us. It wants people in Scotland to vote for independence but will not tell them what that will mean. That is unacceptable.

My disappointment was only reinforced when I did as you asked me to, Mr Deputy Speaker, and looked at the voting records from the earlier Divisions that we had. It has now been confirmed by Parliament—by the Vote Office—that every single SNP MP today voted to say that they do not agree that

“the priority of the Scottish people is to recover from the effects of the covid-19 pandemic, and that it would be irresponsible to hold a referendum at this time.”

That is all that SNP MPs were asked to support, but every single one, all 47 of them, and the one independent suspended SNP Member, voted against that. I hope they go back to their constituencies in Scotland and explain to the people they are supposed to represent and to the whole of Scotland, on behalf of their party, why they do not think that our priority during this pandemic should be recovery rather than another irresponsible referendum.

Douglas Ross Portrait Douglas Ross
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I am not sure whether this is on the vote or on a future currency for an independent Scotland, but I will give way to the hon. Lady.

Alison Thewliss Portrait Alison Thewliss
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Can the hon. Gentleman explain to me what “at this time” means? Nobody is proposing that we hold an independence referendum at half-past 5 on a Wednesday night.

Douglas Ross Portrait Douglas Ross
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The SNP has allocated £600,000 to hold a referendum and campaign for one this year. The hon. Lady’s leader in this place, the right hon. Member for Ross, Skye and Lochaber (Ian Blackford), has said that the referendum should be in 2021. In the earlier debate, the hon. Member for Edinburgh East (Tommy Sheppard) said it will happen in the next 12 months—whether it is in December or January of next year, it will be within a year. While we are still struggling to fight this pandemic, while we are still seeing lives lost and livelihoods on the line, the SNP priority is, as always, separation. That is their mandate and all they are interested in.

We also have had no comment from the SNP today, in a debate about Brexit and the EU, on the EU’s roll-out of the vaccination programme and how we in Scotland have benefited from decisions taken by the UK Government, led by the Prime Minister, to procure and develop vaccines right at the start of the pandemic. These vaccines are protecting people in Scotland, England, Wales and Northern Ireland. How does our vaccine roll-out in this country compare with that in the rest of the EU, which the hon. Lady would like to take us straight back into?

The hon. Lady also spoke about all the great infrastructure that has been built and developed in Scotland during the SNP terms in office. I tried to intervene on that point, because I would be interested to know what she thinks of the actions of one of her party colleagues, an SNP Cabinet Minister in the Scottish Government, Fergus Ewing, writing to his own Government asking their Transport Secretary to give his constituency some good news ahead of purdah—ahead of the period in which the Scottish Government are not allowed to make any further announcements. SNP MPs know that their 14 years are coming back to haunt them: their inability to get ferries into the water and to get hospitals open to take patients. It has been a litany of failure over the past 14 years and it has come to the extent that SNP Ministers have to ask their own Government to try to sneak out some more information because they have let down so many communities.

Penny Mordaunt Portrait Penny Mordaunt
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I would just like to update the House by saying that the success of the vaccine programme in Scotland has meant that a third of the eligible population have been vaccinated, whereas the figure in France is just under 8%.

Douglas Ross Portrait Douglas Ross
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The Minister outlines the figures excellently. I know that my own parents have benefited—they have been vaccinated in the Fiona Elcock centre in Elgin. People across Moray and across Scotland have benefited because of the vaccine roll-out in the UK and in Scotland. I want to reiterate that the two debates from the SNP today have been all about division and arguments about the past, with no positive vision for the future. The Scottish Conservatives are determined over the next seven weeks that we focus on Scotland’s recovery and on building back better than before this pandemic struck. We will be supporting jobs and livelihoods and communities right across Scotland. The SNP just want more division and I think that people across Scotland are beginning to realise that after 14 years of failure we can do so much better than that.

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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Order. I would like to try to get as many people in as possible, so after the next speaker I will take the time limit down to three minutes.