Oral Answers to Questions

Debate between Elizabeth Truss and Stephen Farry

Tuesday 21st June 2022 Commons Chamber

[Stephen Farry (North Down) (Alliance)]

17. What recent discussions she has had with (a) EU representatives and (b) the US Administration on the Northern Ireland protocol.

[The Secretary of State for Foreign, Commonwealth and Development Affairs (Elizabeth Truss)]

We have been clear with the EU that the Northern Ireland protocol needs to change in order to uphold the Belfast/Good Friday agreement, ensure that we have a free flow of goods from east to west, and protect the north-south relationship. Our preference is for a negotiated solution, but in the absence of the EU being willing to change the protocol, we are pressing ahead with legislation.

[Elizabeth Truss]

We are clear that our legislation is both necessary and lawful, and have published a Government legal statement laying out exactly why that is. Our priority as the United Kingdom Government is the Belfast/Good Friday agreement, and we know that the Northern Ireland protocol is undermining that agreement. We have not seen the institutions in Northern Ireland functioning since February, and we know that the issues caused are baked into the protocol—namely the customs provisions and the VAT provisions—so we do need to change that.

As I have said, we remain open to negotiations with the EU. That is our preferred course, but they have to be willing to change the issues that are causing real problems for the people of Northern Ireland.

[Stephen Farry]

The business community in Northern Ireland is clear that they want to see mutually agreed solutions, and that those are the only way in which they can protect their access to the EU single market. The key ingredient in all this is trust and partnership. The Minister’s Bill is entirely counterproductive in that respect, so what is her strategy for getting back around the negotiating table with the European Union to find those mutually agreed outcomes?

[Elizabeth Truss]

We are very open to negotiations with the European Union, but they have to be prepared to change the protocol itself. The problems we have with customs and people in Northern Ireland not being able to access the same VAT benefits as people in Great Britain are baked into the protocol itself, and the legislation we have introduced, with green lanes and red lanes, protects the EU single market. It does not make the EU any worse off, while at the same time enabling free-flowing trade from east to west.

We need to achieve both of those things. I want to do so through negotiations, but we have been trying for 18 months; as yet, the EU have refused to change the protocol itself, and we simply cannot allow the situation to drift. We cannot allow more trade diversion, and we cannot allow the undermining of the Belfast/Good Friday agreement.

Northern Ireland Protocol

Debate between Elizabeth Truss and Stephen Farry

Tuesday 17th May 2022 Commons Chamber

[Elizabeth Truss]

I can assure my right hon. Friend that we will take action to ensure that the arbitration mechanism is in place for Northern Ireland, as it is in the trade and co-operation agreement, rather than having the ECJ as the final arbiter, which it is at present. He is right to highlight the article today by Lord Trimble. We need to go back to the original thinking behind the Belfast/Good Friday agreement, which was about treating the communities of Northern Ireland with equal esteem to make sure that we have successful arrangements in place to protect peace and political stability. That has to be this Government’s priority.

[Stephen Farry (North Down) (Alliance)]

The protocol represents Northern Ireland’s soft landing from this Government’s decision to have a hard Brexit. Let me be very, very clear: in Northern Ireland there is a majority of voters, MLAs and the business community who want to see the issues with the protocol addressed in a pragmatic way, through building trust and partnership with the European Union, and not through damaging unilateral action that will damage the UK’s international reputation, including with the United States. Specifically on the European Court of Justice, does the Foreign Secretary understand that if she tinkers with that jurisdiction it will force Northern Ireland out of the single market for goods and undermine Northern Ireland’s ability to trap investment in terms of our dual access to both the European Union and Great Britain?

[Elizabeth Truss]

What we are proposing for Northern Ireland is a dual regulatory system that encompasses either EU or UK regulation as those businesses choose, which reflects its unique status of having a close relationship with the EU while being part of the UK single market.

Free Trade Agreement Negotiations: Australia

Debate between Elizabeth Truss and Stephen Farry

Thursday 17th June 2021 Commons Chamber

[Elizabeth Truss]

My hon. Friend is absolutely right. These are like-minded countries that we have long historical links with. They are our friends and family. I am pleased to say that immediately after this statement I will be meeting the New Zealand Trade Minister to hopefully make further progress on that deal.

[Stephen Farry (North Down) (Alliance) [V]]

Post Brexit, the EU remains our biggest export market by far. I believe that the overarching trade priority must be to address the remaining non-tariff barriers with the EU beyond the trade and co-operation agreement, including around sanitary and phytosanitary rules. Can the Secretary of State assure me that the SPS chapter of this Australia deal, based around equivalence rather than alignment, will not compromise the UK’s options regarding any future EU veterinary agreements? I believe that it will.

[Elizabeth Truss]

The New Zealanders have a veterinary agreement with the EU, but they also have their own independent SPS policy. Let me be clear: we are not dynamically aligning with the EU’s SPS policies. In fact, our agreement in principle makes it very clear that both Australia and the United Kingdom have their own independent SPS regimes.

UK-US Trade Deal

Debate between Elizabeth Truss and Stephen Farry

Monday 2nd March 2020 Commons Chamber

[Elizabeth Truss]

The hon. and learned Member will be aware that the UK has a parliamentary system that is similar to those in Australia and New Zealand, and we are following a similar process to those Parliaments. It is a different structure from the separation of powers in the United States.

[Stephen Farry (North Down) (Alliance)]

It is worth noting that the UK would have concluded a better trade deal with the US if it had been a member of the EU—part of that stronger negotiating power. Can I ask the Secretary of State how this is going to work with regards to Northern Ireland? As a by-product of the protocol, Northern Ireland will be carved out of certain aspects of UK trade deals, while at the same time EU trade deals will not be rolled over for Northern Ireland. How are we going to benefit? Are we actually in danger of being marginalised in both respects?

[Elizabeth Truss]

We are very clear that we are negotiating on behalf of the entire UK, including Northern Ireland. The Minister of State, Department for International Trade, my right hon. Friend the Member for Bournemouth West (Conor Burns), has been working closely with the Northern Ireland Executive.

Global Britain

Debate between Elizabeth Truss and Stephen Farry

Thursday 30th January 2020 Commons Chamber

[Elizabeth Truss]

My hon. Friend is absolutely right. When we entered the EU, those close relationships with allies such as Canada, New Zealand and Australia fundamentally became less close. We have a huge opportunity, as we leave the EU, to build better relationships. We have already named Australia and New Zealand as two of our priority trading partners, and we want to work with Canada, particularly on accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, so that we can build up those strong relationships.

[Stephen Farry (North Down) (Alliance)]

Does the Secretary of State recognise that the UK does not, in fact, face a stark choice between maximising trade with either the European Union or the rest of the world? It is perfectly possible for the UK to maximise trade with the rest of the world through the European Union and through UK leadership in ensuring that the EU is open to the rest of the world. This false choice between the two could lead to the UK losing out on a range of opportunities.

[Elizabeth Truss]

I agree with the hon. Gentleman. We want to have a great trading relationship with the EU, and we want to have a great trading relationship with the rest of the world. Our ambition is to ensure that 80% of UK trade is covered by free trade deals within three years, and that will mean lower tariffs for British producers sending their goods into the EU and also right around the world.

This is hugely important for levelling up our country, from the potters of Staffordshire and the sheep farmers of Wales to the robotics manufacturers in the north-east. By lowering tariffs and striking advanced digital agreements, we will give a boost to local economies, which will increase the number of jobs, increase wages and promote growth in those areas. That is the way we are going to level up our country: through enterprise and trade bringing more opportunities.

We are ambitious about securing a pioneering free trade agreement with Japan, which is already our main source of investment in Asia, employing more than 150,000 people across the UK. There are also fantastic opportunities to expand our trade with Australia in areas as diverse as defence, education, digital and infrastructure. These opportunities with the US, Japan, Australia and New Zealand are significant and will bring real value, but there is also an opportunity for us to become part of world-leading trade arrangements such as the CPTPP, partnering with 11 of the fastest-growing Pacific economies with consumer markets worth over $6 trillion.

We have the opportunity to make great free trade agreements across the world, and global Britain can once again become the ideas factory of the world, building the networks, the trust and the confidence that will underpin the success of British businesses in markets of the future. That is why we recently held the Africa investment summit, breaking down barriers to trade, building business links and forging new relationships in a continent that includes more than half of the world’s 15 fastest-growing economies.