European Union: Future Relationship

Felicity Buchan Excerpts

Thursday 27th February 2020 Commons Chamber

[Michael Gove]

Looking at most of the indices of economic performance, such as the measures of increased investment and increased capital expenditure recently, it is the case that the United Kingdom economy, following the Conservative victory in the general election on 12 December, is powering ahead—indeed, powering ahead by comparison with EU nations. I would like to make sure that we get a comprehensive free trade agreement so that other EU nations can benefit from the dynamism of the UK economy and that men and women across Europe can benefit from the right economic relationship.

[Felicity Buchan (Kensington) (Con)]

Financial services are critical to this country’s economy, contributing 11% of our total tax take. Will my right hon. Friend assure my constituents who work in financial services that their interests will be protected during free trade negotiations?

[Michael Gove]

Absolutely—financial services matter not just in the City of London, but in Edinburgh, Perth, Leeds and across the United Kingdom. It is a dynamic and growing sector and it is important that we make sure we have the right arrangements for them. We hope that the EU will report by June on the prospects for equivalency in financial services. That commitment was made in the political declaration. It did not subsequently appear in the EU’s negotiating mandate, but I am confident that by June the EU will have completed those equivalency assessments.