All 6 Fleur Anderson contributions to the Trade Bill 2019-21

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Tue 16th Jun 2020
Trade Bill (Second sitting)
Public Bill Committees

Committee stage: 2nd sitting & Committee Debate: 2nd sitting: House of Commons
Thu 18th Jun 2020
Trade Bill (Third sitting)
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Committee stage: 3rd sitting & Committee Debate: 3rd sitting: House of Commons
Thu 18th Jun 2020
Trade Bill (Fourth sitting)
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Committee stage: 4th sitting & Committee Debate: 4th sitting: House of Commons
Tue 23rd Jun 2020
Trade Bill (Fifth sitting)
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Committee stage: 5th sitting & Committee Debate: 5th sitting: House of Commons
Tue 23rd Jun 2020
Trade Bill (Sixth sitting)
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Committee stage: 6th sitting & Committee Debate: 6th sitting: House of Commons
Mon 20th Jul 2020
Trade Bill
Commons Chamber

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage & Report stage: House of Commons & Report stage & 3rd reading

Trade Bill (Second sitting) Debate

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Fleur Anderson

Main Page: Fleur Anderson (Labour - Putney)

Trade Bill (Second sitting)

Fleur Anderson Excerpts
Committee stage & Committee Debate: 2nd sitting: House of Commons
Tuesday 16th June 2020

(4 years, 5 months ago)

Public Bill Committees
Read Full debate Trade Bill 2019-21 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 16 June 2020 - (16 Jun 2020)
David Johnston Portrait David Johnston (Wantage) (Con)
- Hansard - - - Excerpts

Q Mr Riddell, you touched on services. I was thinking about the OECD report on what will happen to the economy. One of the reasons we will be particularly badly hit is the reliance on services, albeit that we will rebound quicker in the second year. I wonder what you think the consequences of not having the Bill would be for the service sector, which you are a member of.

George Riddell: In terms of the service sector, I would say that the two biggest elements are definitely the continuity agreements and the government procurement agreement. The government procurement agreement, although it largely covers goods, has several services provisions in it that are particularly important for small and medium-sized enterprises that operate cross-border government procurement contracts.

On the continuity agreements, it is difficult to say exactly, because there is different coverage in each of the continuity agreements for different service sectors. Broadly speaking, you have the horizontal elements in the more advanced trade agreements, such as that with Korea, which covers investment and establishment for service providers, and additional mobility provisions for short-term business visitors and the suppliers of services.

There are also, in some of those agreements, additional commitments on the digital economy, and how the UK and the third country can co-operate in order to foster more digital trade, which is of growing importance, particularly in the light of the pandemic that we are experiencing. I know that many of the people here have dialled in or participated remotely in these sittings, so it is a very pertinent topic for the service sector.

Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
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Q My question is to both contributors; thank you very much for coming. It is about our trade with developing countries. Looking specifically at sanitary and phytosanitary measures, which Professor Winters mentioned and which can be used as trade barriers, but also looking in general, could the Bill be detrimental for developing countries, and how could it be improved to complement our poverty reduction commitments?

Professor Winters: I do not see strong and direct implications for our relationship with developing countries. Most of the countries with which we are signing these continuity agreements are, in fact, developing countries. I think the issue again, essentially, is that the Minister has powers to make regulations concerning non-tariff provisions, and some of those regulations could indeed rebound to the disadvantage of the countries we are dealing with—those on the other side. For instance, if we have issues surrounding conditions of entry for particular goods, the Bill might be used to tighten those up.

Having said that, the agreements we have with the developing countries—the continuity agreements—have genuinely continued, so far as they can, trade relations with those countries. There are some complications that are not in our gift, such as rules of origin, but I understand that the agreements that have been signed already under the heading of continuity trade agreements have made no changes, so far as access to the UK economy is concerned.

There is nothing I have seen in the Bill that is specific to developing countries that raises an alarm, but on the other hand, it is not clear that trade with developing countries is exempt from my residual nervousness about what the Bill might be used for under less satisfactory circumstances.

George Riddell: One thing that I am keen to emphasise is how the UK’s trading relationship with developing countries is split across the continuity agreements contained in the Bill and the customs Act, which gives effect to the generalised system of preferences and duty-free, quota-free access for least-developed-country exporters. You have the continuity agreements under this Bill, but there are also very important trade provisions in the customs Act, and making sure that they are aligned and work together to support developing countries’ trade into the UK is very important.

As for your question about SPS measures specifically, in my experience of working in developing countries and looking at how they trade, one of the biggest things is meeting food standards, health standards and environmental standards. The UK does capacity building very well through DFID—pending recent announcements today—and through programmes such as aid for trade in developing countries, in order to allow businesses and exporters to take advantage of the provisions in the trade agreements and EPAs.

Gareth Thomas Portrait Gareth Thomas (Harrow West) (Lab/Co-op)
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Q Professor Winters, much of the debate so far has focused on continuity agreements, but I want to take you to new free trade agreements, which are another area of contention in the Bill. Will you compare the process for scrutiny of new free trade agreements, for example with the US, under the CRAG process with the processes of scrutiny in other Parliaments, including the US Congress?

Professor Winters: I am not a huge fan of the process that we have under the CRAG, which seems to me to allow the Executive a bit too much scope to do things unscrutinised—

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Gareth Thomas Portrait Gareth Thomas
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Q As I understand it, a potential deal between the UK and Canada would come within the scope of the Bill as it is currently drafted. If I remember rightly, the National Farmers Union had some concerns about the EU-Canada deal—the comprehensive economic and trade agreement. Could you remind us of them? Could you also give us a clue as to whether you would have similar concerns about a UK-Canada deal?

Nick von Westenholz: Sorry, the sound is not great, but I think that that question was about our potential concerns with the EU’s CETA deal and whether we have concerns about a UK-Canada deal.

Maybe the best answer is that all trade deals, whether they are continuity or future trade agreements, present opportunities for UK farmers. We are very keen to make that clear: we are certainly not opposed to the notion of free trade agreements, and we hope that they might present opportunities to increase our exports of our fantastic food.

At the same time, however, all trade agreements will also look to increase access to UK markets for overseas producers, which will increase competition for UK farmers. Again, that in itself is fine, but we want to ensure that that competition is fair—whether it is Canadian farmers, US farmers or anybody else. The reason why we talk about overseas farmers meeting equivalent standards to UK farmers’ is simply on the basis of fairness; we are certainly not opposed to trade liberalisation, as long as that liberalisation is fair.

Fleur Anderson Portrait Fleur Anderson
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Q I have two questions. First, on the equivalent standards that you were just talking about, specifically those on animal health and welfare, can you give any more examples of how UK farmers could be undercut or treated detrimentally if that is not explicitly included in the Bill?

Secondly, on trade information, clause 7 provides new powers for HMRC to collect information on the identity and number of UK exporters, but the Government have said that providing that information will be voluntary. What impact would that position have on your members?

Nick von Westenholz: I will answer the second question first because, I am afraid, my answer will be brief. We have members who are exporters as well, but most of our members are probably not directly exporting themselves—they will be at the start of the supply chain; it will probably be their customers who are exporting. We have not yet done any assessment on what the impact of those provisions would be, so I am afraid that I cannot comment directly on that, although I suspect that it would be minimal.

Coming to the first question, the point is that UK farmers—like most EU farmers—operate under high standards of production in terms of the requirements they observe, particularly on animal welfare, for example. That is not to say that there are not farmers around the world who operate high standards of welfare. But in many cases in the UK, those are legal requirements, for example those around stocking densities for poultry, access to light, limitations on veterinary medicines that they can use—antibiotics, for example—and many other things. All those will have a connected direct or indirect cost for farmers, and will increase the cost of production in comparison to farmers overseas, who do not have to meet the same requirements.

For farmers who then have to compete directly against produce that is produced more cheaply because the regulatory burden is lower, it is, for us, a simple issue of fairness. In a way, I am loth to put too much emphasis on the differences of approach, because, as I have said, many farmers overseas will produce to high welfare, but we know that many farmers overseas produce to lower requirements because, very simply, they are not required to by their legal and regulatory structures.

Fleur Anderson Portrait Fleur Anderson
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Q Thank you for the examples on animal health. Similarly, for plant health, do you have any examples of how there will be a difference between our farmers and those in other countries, and of what a lowering of those standards might mean?

Nick von Westenholz: The EU—and, by extension, the UK at the moment—operates a plant protection approvals regime that is much more precautionary that in other parts of the world. That means that UK farmers have access to far fewer plant protection products—pesticides, say—than many of their counterparts in other parts of the world. Again, that really comes down to an issue of equity if they are then being asked to compete against those farmers who have access to many more technologies, which UK farmers do not.

We have to distinguish between the issue of fair competition and what those standards would actually be. As I have said, the EU approach is very precautionary and there is—and there should be—an ongoing debate about what sort of standards are required when it comes to plant health and plant protection.

It is not always as easy as saying, “Lower standards or higher standards?” about these things. There is, for example, a long-standing debate about the use of glyphosate, the most widely used weed killer in the world. Although people might prefer less glyphosate use, or even for it to be banned, doing so would probably result in more carbon emissions, because farmers would be required to cultivate more and use more tractors passes. They would use more fuel as they go over the land and release more carbon into the atmosphere as they plant as part of weed control.

These issues are not always straightforward, and there needs to be a proper debate about an appropriate level of protection that also provides farmers with the tools that they need. It is important to take the opportunity to distinguish between debating what our standards ought to be and ensuring fairness and equity in competing with farmers overseas once a decision has been reached about what those standards are.

David Johnston Portrait David Johnston
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Q Nick, in your first answer you said that even continuity agreements provide opportunities. I wonder what opportunities for farmers these continuity agreements create.

Nick von Westenholz: I guess I am thinking about some of the continuity agreements that are not quite continuity agreements—for example, the Japan agreement, which is being renegotiated. Certainly, we would hope that there is the opportunity for UK farmers to open up more markets in the far east.

Really what I was saying was that, as farmers, we want to be ambitious about increasing the markets, whether at home or overseas, for our produce. If we are going to increase them overseas, we have to recognise that that assumes a degree of free trade, international trade and imports. We certainly want to expand those overseas opportunities, and it may be that some of those continuity agreements, which are being looked at again, provide particular opportunities.

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None Portrait The Chair
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We have only another four minutes, so this is probably the last question.

Fleur Anderson Portrait Fleur Anderson
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Q Can I ask you to unpack and give some more examples of the workers’ rights that are at risk, Rosa? You have talked about freedom of association and you have mentioned pay, but could you give us some more examples of workers’ rights that would be at risk overseas and in this country, and of the impact on public services, which you think would be at risk by being included in the Bill rather than being exempt, as you are calling for?

Rosa Crawford: To focus on public services first, we are concerned that the Bill does not provide a guarantee of an exemption for all public services through a positive list, which is what we want to see in the Trade Bill. That is the only way to affirm that public services will be protected in trade agreements to make sure that there is no investor-state dispute settlement.

We are concerned that the trading partners that the UK Government have lined up as priorities for trade agreements once we leave the customs union with the EU are those that have explicitly made it clear that they would seek access to the UK’s public service market as a particular objective in trade negotiations. The US in particular, in its negotiating objectives, made it clear that regulations on drug prices were a barrier to market access which it would seek to overturn in trade agreements.

We know that in all recent US trade deals, such as the USMCA with Mexico and Canada, they have taken the negative list approach, which is where all services are included in the agreement unless specifically exempted. That means that if we had a similar deal with the US, part-privatised public services in the UK would be included in the agreement. If a future Government tried to renationalise them or regulate privatised parts of the public service, such as the provision of pharmaceuticals and medicines, they could be sued by the US Government. If ISDS is in the agreement, they could be sued through an ISDS tribunal. We are concerned that without an explicit commitment in the Trade Bill, as well as in all future trade negotiations, that public services are written out and there is no ISDS, our public services could really be on the line. That is what we need to see, rather than empty assurances from the Government that the NHS is protected.

In terms of workers’ rights, we have particular concerns about the US and the fact that they have ratified only two of the five fundamental ILO conventions. Forms of child labour are still legal in the US and there is legislation against freedom of association in a number of states where right to work laws exist.

It is clear that the US would see many of the employment protections we have in the UK, which we have derived from EU law, such as around working time, discrimination and paid holidays, as barriers to trade. They would say to the UK, “We are signing a deal with you only if you remove those barriers to our businesses being able to make more money, because we want workers to be able to work longer hours, have less holiday pay or be dismissed without any notice, or for agency workers to be fired on the day they are hired if we want to.” That kind of flexibility, we know, is the US approach.

Trade unions in the US have expressed grave concerns about that. The TUC and trade unions in the US have signed a joint statement making it clear that trade deals must protect workers’ rights and expressing concern about the breaches of workers’ rights in the US. With the Trade Bill not providing any affirmation that trade deals with existing countries, through the EU and the continuity group, and new trade agreements will have enforceable protection of workers’ rights, unless we see that kind of language making an affirmation that workers’ rights will be protected and effectively enforced through trade agreements, we know the realpolitik is that the likes of not only the US, but others such as Australia, New Zealand and others in the comprehensive and progressive agreement for trans-Pacific partnership, the CPTPP, are likely to pressure for lower workers’ rights. That will be their objective in a trade agreement; otherwise, the UK is a less attractive option for them.

None Portrait The Chair
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Ms Crawford, thank you very much for your time and for assisting the Committee with your evidence. That brings us to the end of the time allotted for this session. We will suspend briefly while we get the next one set up.

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Gareth Thomas Portrait Gareth Thomas
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Q Presumably there is scope for another nation to challenge Britain’s decision at the WTO?

Simon Walker: Certainly there are arguments that happen at WTO level all the time. One of the realities is that proceedings at the WTO normally take a very long time—I think that is particularly the case at the moment for various internal reasons—in the course of which considerable damage could be done in that case, unless the remedy were applied. That is why it is important that this country has the ability to act in that situation.

Fleur Anderson Portrait Fleur Anderson
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Q I have two questions. The first is about the membership of the TRA. The Bill sets out that the maximum number will be nine. What do you think would be the optimal number, and what would the considerations for that be? We have heard today from farmers, industry representatives, small businesses and trade unions that they would all like to be members. How will you ensure that it will be fully representative of all stakeholders? That is my first question—maybe I will leave it there and come back for the second.

Simon Walker: I am happy with nine as a target. Three of them are internal, but we are going to want the other five non-executive directors all to be appropriately qualified in some way. I think we will get there. Nine to me feels the right sort of level.

It is important to stress that this is a board and it is fundamentally about governance. I would not want to mislead you about its decision-making capacity. Its role will be to set strategy, to hold the Executive to account, to test the strength of the arguments internally and to maintain the independence of the TRA from any organisation, including the Government. Those are the fundamental roles of the board, and we are going to be needing people who have that governance orientation in particular.

I am not supportive of the principle of representatives of particular organisations as such—to have representatives of industry or trade unions or the devolved Administrations —for a number of reasons. One is that I feel it would compromise the objectivity of the members of the board. The second is that it might reduce the capacity to appoint on merit. Thirdly, I think it would reduce the accountability if someone’s primary reporting back was to a sectoral interest group. To me, that would be a weakness.

Will there be people with trade union or industry experience, with close links with farming or with the devolved Administrations? I absolutely hope so. I very much hope that there will be people in those categories who apply for the board and are appointed, but they will be appointed as individuals who will work together as a board to hold to account the Executive.

I suppose the special skills I would cite that I am quite keen to see in non-executive board members are someone with a strong legal background, so that they can hold the legal team to account; someone with a financial and accountancy background, with real strengths in those areas; and if there is someone who has an investigatory background, perhaps, who could probe into material that is not always going to be easy to extract, that could be a useful facet. I hope they will be people who understand and relate to the devolved Administrations. I hope they will be diverse, because that has always been a goal of the Department and will be of the TRA once it is independent, but they will there as individuals working together on a board that is fundamentally about holding the Executive to account rather than making decisions itself.

Fleur Anderson Portrait Fleur Anderson
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Q My second question is about the impact on developing countries. What is your assessment of the impact on developing countries of creating the TRA and the new negotiations it will have, and the impact on our poverty reduction commitment as a country? How will you be able to uphold that within the TRA?

Simon Walker: I am not sure that is really in our domain. I am very sympathetic to your point, but I am not sure how much that is in the remit of the TRA as such. Our professional teams will be trying to establish whether there is dumping, for example, from a particular country, and the sale of a product below its cost in that other country. If that is contrary to the economic interests of the UK, the TRA will try to assess that as objectively as possible. It is conceivable—I do not think it likely, but it is conceivable—that that might be from a developing country. There are shields for developing countries against an awful lot of tariffs—that is an element of exports that I hope will help them—and I certainly do not see developing countries being a big part of our focus, but I do not think that our remit is to look specifically at that.

Matt Western Portrait Matt Western
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Q Mr Walker, some of your opening comments were about just how expensive those sorts of interventions are, because of the amount of legal work involved. What sort of budget will you be working to? Do you think that the scale of the operation needs to be established in terms of the financial basis and the purpose and remit of the organisation? How is that funded and have you looked at relative nations, such as South Korea, to see the scale of their operations and how we compare?

Simon Walker: I have not looked at other nations in that sort of competitive way. I suppose that what I have looked at is, as an organisation of not quite 100 people that might grow to 140 or 150 people—that sort of size—what it will take to run an organisation like that in terms of personnel with professional qualifications. It is not that hard to arrive at a budget for that kind of organisation, because it is not as if we are going to be paying for the submissions that are made to us. We are obviously taxpayer funded and our proposed budget—we are not in existence until the legislation is passed—is laid down by the Department. I think it is pretty much what anyone would expect, within a relatively modest scale, for an arm’s length body. Does that answer your question?

Trade Bill (Third sitting) Debate

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Fleur Anderson

Main Page: Fleur Anderson (Labour - Putney)

Trade Bill (Third sitting)

Fleur Anderson Excerpts
Committee stage & Committee Debate: 3rd sitting: House of Commons
Thursday 18th June 2020

(4 years, 5 months ago)

Public Bill Committees
Read Full debate Trade Bill 2019-21 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 18 June 2020 - (18 Jun 2020)
None Portrait The Chair
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We now move on to oral evidence.

Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
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I have a declaration of interest. In my former role as head of campaigns for CAFOD—the Catholic Agency for Overseas Development —I was a co-founder of the Trade Justice Movement.

None Portrait The Chair
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Thank you. That will be noted on the record.

We will now hear oral evidence from ClientEarth and the Trade Justice Movement. Do we have them online?

David Lawrence: I am here; I can hear you.

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Fleur Anderson Portrait Fleur Anderson
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Q I have a question for each of you. The question for David Lawrence is about scrutiny. You talked about the addition of scrutiny. Do you see any downside to adding in that additional level of scrutiny, particularly for developing countries, but also for British businesses and workers?

For Tom, a recent High Court decision about Heathrow airport ruled that we could not have Heathrow airport because it was counter to the Paris climate agreement. Are there risks if we do not put extra environmental standards in the Bill that future trade agreements will be brought into question, as that national policy statement was?

David Lawrence: In terms of downsides to scrutiny, we are very much calling for scrutiny and I do not think there are any really obvious downsides. As I said, it is an area where, perhaps unusually, we are very much aligned with the private sector. A lot of businesses are also calling for similar things.

In terms of developing countries, as you will know very well, Fleur, there are a lot of organisations in the UK representing the interests of developing countries and a lot of foreign aid organisations who would like to be able to see what is going on in trade negotiations and be able to represent those interests to MPs, but at the moment there simply are not those scrutiny proceedings in place. Obviously, the process of scrutiny takes time, so maybe it would slow things down a bit, but on the long-run game of improving public trust in what the Government are doing and public understanding of how trade deals work—where they are beneficial and where they are potentially harmful—it is absolutely worth having those additional scrutiny proceedings in place.

Tom West: The Heathrow decision is a really good example of how important it is to make sure that all of our policies are compatible with our environmental goals. While we might not get a direct read-across in this case here, what it does demonstrate is that we need to make sure that what we are doing in all areas is compatible with meeting Paris and our other environmental goals, too. We have got net zero and an Environment Bill that could provide a framework for some ambitious targets, and we need to make sure that that is compatible. Making sure that we have got that clear framework in legislation will necessarily help with that.

Drew Hendry Portrait Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)
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Q This is a question for you both. David, this will reflect on your serious concerns about the inability of MPs to have scrutiny or to amend the Trade Bill. In fact, I think you said the public would be shocked to learn that their MPs do not have a say over these trade deals. Following on from that as a natural progression, what concerns, if any, do you have over the ability of elected Members in the Scottish Parliament and the other devolved Assemblies to influence items that are normally devolved competencies within the Trade Bill?

David Lawrence: We have very similar concerns in relation to devolved nations. It is obviously tricky because you do not want to necessarily end up in a gridlock situation where an entire UK-wide trade agreement is blocked because one of the nations has a veto, but at the same time there will be parts of trade agreements that primarily or only affect the industries in the devolved areas and that cut across regulations that are normally devolved competencies. In those areas, we would like that to be the decision of the devolved authorities. Obviously, there is a role for consultation throughout that, as there has been through the Brexit process. I know it has not been handled perfectly in the Brexit process.

More generally, it is about applying the normal standards of democratic scrutiny that we would expect for other areas of domestic legislation to trade agreements, in recognition that trade agreements have a large and wide-reaching domestic effect. If the Government want to build a new railway like HS2, they have to put it in a Bill that has all of its Commons stages, layers of scrutiny and Committees like this one, and then it goes to the Lords and it comes back again. It goes back and forth, the media get involved and people write to their MPs about it. That is just for a railway and this is for a trade agreement that, if the Government are to be believed, is central to the UK’s post-Brexit industrial strategy, and MPs do not have anywhere near that level of say over it. So what we are calling for is similar to the way in which other regulations and big projects and proposals are treated with the level of democratic scrutiny that they receive.

Tom West: Yes, I agree. With environment, agriculture and fisheries all being devolved, this is obviously really important to our concerns, too. Clearly, there is a need for better mechanisms to be in place to make sure that the four Governments of the United Kingdom can work together to have the appropriate conversations about how we are going to work these things out. It is not straightforward exactly how it will work, but clearly it needs to be done so that the devolution settlements can be respected, and, as David says, so that the proper democratic input into trade agreements can be had.

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Matt Western Portrait Matt Western (Warwick and Leamington) (Lab)
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Q On the TRA, what is your view in terms of what structure it should be—you mentioned the two chairs that we have lost in a fairly short period of time—in terms of the make-up and the origin, and who approves their appointment?

Sam Lowe: Having read the Trade Bill, I think the approach seems broadly sensible. I do not have it in front of me at the moment, but I believe the Secretary of State approves the chair; and then the chair makes a recommendation on the chief executive, subject to sign-off of the Secretary of State, unless the chair is not there, in which case the Secretary of State does it. I understand it is an independent body to the Government, but it obviously needs to have close ties with the Department for International Trade.

Fleur Anderson Portrait Fleur Anderson
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Q In terms of global best practice on trade agreements, if there was a ranking system, with nought being no parliamentary scrutiny at all and 10 being maximum parliamentary scrutiny plus civil society involvement, what score or ranking would you give the Trade Bill? What are the downsides of not having much parliamentary scrutiny? Can you give us examples of what things can be improved in trade agreements by more parliamentary scrutiny and involvement?

Sam Lowe: Taking into account the current scope of the Bill, which is to achieve continuity, it is slightly unique in that sense. However, I agree with a comment by an earlier witness: if there is not going to be further legislation to lay down the scope for Parliament’s engagement in future trade agreements, it seems to me that it would be possible to expand the remit of the Bill to cover that. I think that is right, in that the Trade Remedies Authority and GPA provisions are forward-looking, so there is no reason why you could not do that as well.

The UK’s general approach to scrutiny is very poor. I think parliamentary scrutiny is very poor. Parliament has very little ability to influence trade negotiations or set the agenda of trade negotiations. To my mind, it has—[Inaudible]—yes/no vote. Just from a democratic point of view that seems slightly out of order to me, in that, when we compare it with the US or the EU, Parliament at the crudest level has a yes/no option on whether to approve a trade agreement or not. As a result it is much more involved with the process. That is something I should like changed. Of course that is not currently in the scope of the Bill, but if the Government are not going to introduce further legislation, I would understand if the scope of the Bill was expanded.

Fleur Anderson Portrait Fleur Anderson
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Would you give that a score, then?

None Portrait The Chair
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Q Hi, Sam. Fleur is asking if you will give a score out of 10.

Sam Lowe: The point I am making is that this Bill is not really comparable to other systems, in that it is sort of unique. To score the UK approach more generally to treaty scrutiny out of 10, it would be below five.

Trade Bill (Fourth sitting) Debate

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Department: Department for International Trade

Trade Bill (Fourth sitting)

Fleur Anderson Excerpts
Committee stage & Committee Debate: 4th sitting: House of Commons
Thursday 18th June 2020

(4 years, 5 months ago)

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Bill Esterson Portrait Bill Esterson
- Hansard - - - Excerpts

Thank you, Sir Graham. My hon. Friend is right to raise this issue, because it is absolutely relevant to amendment 24, which deals with

“labour market interventions and compliance with ILO standards”.

The way that workers are treated in supply chains is an extremely important aspect of procurement, and a great deal can be learned from the Modern Slavery Act 2015, which was passed by this Government’s predecessor. The way that those at the top of supply chains are required to police those supply chains for evidence of modern slavery and exploitation more widely gives us a valuable lesson about how procurement might be used to achieve the goals set out in all these amendments, not least amendment 24, which deals with labour.

I mentioned defence security. Security is a carve-out of its own: Governments are allowed to procure domestically on the basis of security. However, we are all aware of the saga of the fleet solid support ship. Happily, it appears that the Government, having delayed taking decisions or making announcements, are heading to the point where there may be a domestic award of that or a similar contract. It is remarkable, and really quite scandalous, that we got to the point where there was a question mark over whether that contract would be awarded domestically. Security, and the way security contracts are let, gives us examples—in the same way my hon. Friend the Member for Harrow West did with modern slavery—of how the amendments might be applied by Government if we can negotiate them with our GPA partners.

Too many UK companies are not winning UK contracts—a point that was made by Nick Ashton-Hart earlier—and it would be a challenge for them to compete on price in other GPA markets with lower regulatory and labour standards, such as China, which I think my hon. Friend touched on earlier, other parts of south-east Asia, and even the United States. There is a massive question mark about whether that is desirable, which is one of the reasons I tabled amendment 24, which addresses labour market interventions and compliance with ILO standards.

I know that the Government are very keen on non-regression when it comes to labour rights and standards. That is one reason why amendment 24 matters—it gives the Government an opportunity to demonstrate, in the area of procurement, that they do what they say they believe in. Indeed, all these amendments give the Government an opportunity to support policies that were proposed in the manifesto that Conservative Members fought the December election on, or to support things like “buy British”. I am not advocating a similarity to Buy American, but that is the way the United States applies its GPA provisions and there is much we can learn from that, as I said earlier about support for smaller firms. Domestic procurement spending is an essential part of how we will recover from the economic crisis that has come alongside the covid crisis, and I hope the Government will act on that basis.

[Interruption.] It is always a good idea to come to a Bill Committee very well prepared. I could not help but enjoy the Minister’s description in this morning’s evidence session that he had not enjoyed a filibuster for a long time. I assure you that I have no intention of filibustering and I will not be reading out the entirety of what I have available, but in bringing my remarks to a close, I want to say this: the four amendments are tabled in the hope that we are supporting Government policy, as stated by the Prime Minister and Ministers and in the Conservative manifesto.

The four amendments are designed to support our domestic economy, and to balance the needs of our domestic economy with supporting the rules-based approach to international trade. They are designed to support the levelling-up agenda that the Government say they are keen to promote. I hope that the Minister and Conservative Members will take them in that context and consider the long-term economic, social, environmental and labour value to be had from this kind of approach to procurement. Unless we are prepared to use this moment to deliver the continuity that the Bill is about, it is hard to see how we will maintain the standards of procurement that we have at the moment, let alone enhance them.

Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
- Hansard - -

It is a pleasure to serve under your chairmanship, Sir Graham. This is my first opportunity to speak in a Bill Committee as a new MP, and what an honour it is to speak in such an important debate—an important debate for not only my constituents in Putney, who are very interested in this Committee, having been told all about it, but people across the country and across the world.

In bringing forward the Trade Bill, there is an opportunity to take back control. It is as if we were all in a car and we decided we would like to start driving, so we said to the driver, “Can we start?”. There were a couple of years of intense negotiations about who would drive the car, and we have taken back control of the car, but instead of doing something with that—driving better, maybe moving from the middle to the fast lane of the motorway, having a better car, or going further and faster—we have decided to chunter along in the same way and to just decide journey by journey. The Bill could give us a better journey every single time. This is an opportunity to have a much more modern and ambitious Trade Bill, and the amendments we have tabled seek to do that. Standards and scrutiny will improve the Bill enormously.

Turning first to the International Labour Organisation and amendment 24, the UK was a founder member of the ILO in 1919 and has been an active member ever since. It has ratified 87 conventions, including the eight core fundamental ILO conventions contained in the 1998 declaration on fundamental principles and rights at work, as well as two protocols. Amendment 24 absolutely aligns with that.

The ILO makes it clear in no uncertain terms that member states must treat the conventions with the utmost seriousness, and agreeing the amendment would do just that. The declaration states:

“all Members, even if they have not ratified the Conventions in question, have an obligation arising from the very fact of membership in the Organization to respect, to promote and to realize, in good faith and in accordance with the Constitution, the principles concerning the fundamental rights which are the subject of those Conventions”.

Since the 1998 declaration, it has become commonplace for the ILO conventions and instruments to be implemented in free trade agreements, so the amendment is absolutely within the remit of the Bill. For example, only recently, the free trade agreement between the European Union and Vietnam has been praised by the ILO for its commitment to labour standards. We could endorse that approach and lock it into the continuity and future agreements by passing the amendment.

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Gareth Thomas Portrait Gareth Thomas
- Hansard - - - Excerpts

My hon. Friend is quite rightly setting out some of the reasons why the ILO standards are so important. In the context of how ILO standards benefit British workers, is there not a significant fear that by not including amendment 24 in the Bill, we might inadvertently encourage a race to the bottom? It might allow other countries with lower standards and pay arrangements to win procurement contracts that British firms could have won. In turn, that would encourage British firms to lower wages and standards to try to win those contracts in future.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

I thank my hon. Friend for that apposite remark. That is what we risk if we do not include the amendment. If it is not explicit in the Bill, it will have to be negotiated in every single agreement, so we might miss out on some.

The dangers have already been manifested through the continuity trade agreements that have been agreed. Trade deals have already been struck with countries where labour and human rights abuses pervade, such as Colombia and South Korea. In South Korea, trade union leaders have been thrown in prison for peaceful protest for workers to claim their rights, while Colombia remains the most dangerous country in the world for trade unionists, as around two-thirds of murders of trade unionists take place there. The risks are very real. The UK has also rolled over an agreement with Lebanon, which was criticised last year by Amnesty International for allowing the exploitation and abuse of many of the country’s 250,000 migrant domestic workers, most of whom are women.

None of those continuity agreements contains mechanisms to sanction Governments who fail to respect fundamental labour and human rights, yet every member of the Committee would agree that that is what we would want to do. All trade deals must contain mechanisms to enforce labour rights and decent work, so as to prevent trade deals from being used as a way to pressure labour standards to be lowered, causing a race to the bottom. To ensure that those mechanisms are effective, trade unions must be given a role to trigger investigations into abuses of workers’ rights. The Bill must therefore affirm that all UK trade deals will contain a mechanism to enforce International Labour Organisation conventions, so that trade unions are able to trigger investigations into suspected abuses. Amendment 24 will achieve that and assure that the UK upholds its responsibilities to the International Labour Organisation.

Amendment 25, on climate and carbon considerations, would put us firmly in line with sustainable development goal 13 on taking climate action, to which we have signed up. On 1 May last year, we in this place declared a climate emergency and, as has been mentioned, that was echoed by councils and devolved Governments. Wandsworth, in my own constituency, declared a climate emergency, and we want to see that reflected in the Bill. While our attention has rightly been on responding to the coronavirus crisis, we would all agree that the climate crisis has not gone away. That is why we feel it was important to table the amendment.

The rush to fill the gap created by leaving the customs union cannot be used as an excuse to undermine and circumvent our legally binding climate change commitments, made under the Paris agreement, or the Government’s own target of achieving net zero by 2050. That is why that issue is listed in new clause 2, along with a whole list of important issues, such as waste, water, quality and biodiversity.

In February, I was in the Court of Appeal when it ruled in a landmark judgment that the national policy statement underpinning a third runway at Heathrow airport was unlawful, as it was incompatible with the Paris agreement. The decision not to take the Paris agreement into account in that policy statement was deemed by the judges to be legally fatal to the national policy statement. If we do not accept this amendment, we risk having a contradiction between our environmental agreements and our trade deals.

To date, trade deals have been negotiated separately to climate agreements, but a joined-up policy would be far more effective for both. Not having a joined-up policy is a mistake, as current trade rules place trade promotion and liberalisation ahead of climate goals. The Trade Justice Movement, which we heard from this morning, has identified three ways in which current trade rules can do that. First, investment chapters in trade and investment deals allow companies to sue Governments for measures taken to support climate goals, such as the denial of a permit to construct an oil pipeline, and thus to undermine those goals. Secondly, WTO rules have been used regularly by states to challenge each other’s subsidies to renewable energy industries, and yet not one case has been brought against fossil fuel subsidies. Thirdly, no trade deal that is currently in force contains any binding commitments to ensure that international trade supports climate targets.

Trade agreements also impede Government implementation of climate commitments. For example, they prohibit the use of local content requirements, which can be crucial in producing domestic support for renewable energy. If trade agreements do not have an explicit commitment towards honouring climate commitments, they can hinder the sharing of green technology, for example by implementing far-reaching intellectual property provisions that threaten to hinder the sharing of green tech.

Trade rules can also threaten to increase fossil fuel use, which we explicitly decided not to do in declaring a climate emergency. Current trade and investment agreements foster a global culture of fossil fuel dependency, for instance by prohibiting export and import restrictions on fossil fuels, thereby depriving Governments of a tool to limit production of those fuels.

Unless it is properly regulated, trade can present a huge barrier to alleviating the climate emergency and achieving carbon reduction targets. Indeed, when trade agreements are done badly, they can accelerate a race to the bottom on environmental standards. Therefore, I echo the call of Greener UK in its evidence to the Committee, including its written evidence, that the Bill must include a lock and a legal commitment on carbon reduction targets.

The Bill is silent on climate issues and carbon reduction issues, and so misses a huge opportunity to enshrine our climate commitments and the SDGs in UK law. We have an opportunity to be world leaders in enshrining climate commitments in our trade legislation, but we are missing that opportunity.

Our new clauses and amendments would ensure that all trade agreements that the UK negotiates are climate-aware. The UK should use trade deals to show the world how trade and trade agreements can be made compatible with net zero ambitions, including by prioritising goods and services that are low carbon and environmentally sustainable.

We can push on from what already exists in the continuity agreements and show the rest of the EU what can be done. We could ensure that the UK’s trade negotiations and agreements are underpinned by high environmental standards. That would act as a safeguard against regression in standards, and not just those linked purely to economic advantages.

The Government have already shown that they are willing to backtrack on global environmental standards. For example, the Environment Bill fails to include a legally binding commitment to meet World Health Organisation guidelines for fine particulate matter. That is a very big issue for people in Putney, because Putney High Street has one of the highest levels of air pollution in the country, and we look to the EU to set that standard. My constituents would not be encouraged by trade deals that do not include an assessment of the impact on air quality, for example. Amendment 25 would also prevent trade agreements from impeding the UK’s ability to ratify and properly implement international treaties such as the Paris agreement, which would send a message to the world that compliance with international climate agreements are the norm—this is how we can do it.

Amendment 26 is about small and medium-sized enterprises. As has been said, SMEs have been hit incredibly hard by the coronavirus crisis. Since March, more than 60 businesses in my constituency have written to me in desperate need of help, and I am sure the same is true for other Members. The future of 39% of businesses in my constituency, the majority of which are SMEs, rests on the trade deals contained in this Bill. Many have fallen through the cracks of the Government’s economic support package. They are unable to secure grants, loans or even business rate support for different technical reasons, and they are staring down the barrel of liquidation.

SMEs are the lifeblood of the UK economy—the backbone, as was said earlier. Future trade agreements must be tailored to support the sector and give it the hand-up it needs, over and above the interests of large multinationals, which otherwise disproportionately win out. In particular, the Bill must establish a level playing field—we all love a level playing field—for procurement, and procurement rules must be simplified to encourage and enable bids from SMEs. The Bill must make it easier for SMEs to export. It currently offers very little for small businesses. Surely everyone on this Committee wants to support the SMEs in our constituencies and across the country. Our amendments would ensure that the needs of SMEs are met.

Amendment 27 is about public health. The covid-19 crisis has taught us some valuable lessons about the importance of our national health service. Through the PPE scandal and the EU ventilator scheme farce, the Government have learned the hard way about the importance of procurement and trade to public health. At the peak of the crisis, I called every major social care provider in my patch, and they were all experiencing shortages of PPE. We discussed earlier companies whose offers were not taken up. In Putney, local voluntary groups had to resort to 3D printing their own visors. There are 100 volunteers right now at their sewing machines making up packs of scrubs for local health providers. The Turkish shipment of 400,000 gowns that failed UK safety standards showed us the importance of high procurement standards in trade Bills for public health services. We learned the hard way, across the country, how important that is.

As the NHS Confederation noted,

“Health issues are often not high on the agenda (or on the agenda at all) in trade negotiations.”

Trade agreements often risk a trade-off between lowering standards and increasing the financial burden for patients and the health and social care system. Impact assessments must be carried out to ensure that trade deals do not prioritise commercial advantage over and above health.

Operating on World Trade Organisation terms will not force the NHS to open services to foreign providers. If the NHS is sold off bit by bit to foreign providers in trade deals, that will be a political decision made by the Government. Yesterday in the House, I asked the Secretary of State for International Trade about the trans-Pacific partnership and the risks to the NHS. She said that there is no risk that the NHS is on the table. However, if that is not explicitly written into the Bill, we run the risk of it being missed out and changed through negative ways of doing trade deals.

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Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

I thought, Sir Graham, that as a Manchester MP, you would enjoy that story.

The hon. Member for Sefton Central made an impressive oration, and had an impressive memory of our oral evidence earlier. He made some good general points on procurement. Alas, not all were relevant to the government procurement agreement, but let me try to deal with a few of them. First, he mentioned the EU public contracts regulations expiring in 2020; they date from 2015. To be clear, they will not expire in the UK; they are preserved in preserved EU law under the EU withdrawal agreement.

Secondly, the hon. Gentleman made comments about small business, and it is important to emphasise that the Federation of Small Businesses is absolutely right behind our GPA accession. It says that it is essential for the UK to become an independent member of the GPA; it will allow small businesses to have continued access to Government contracts and procurement opportunities.

Let me deal with the specific comments on procurement by the hon. Members for Warrington North, for Harrow West, for Warwick and Leamington and others. I was interested—in fact, I was shocked—to hear what they had to say about alleged discrimination faced by companies that they had reported. I was also shocked at the slight implication that the Opposition had some kind of monopoly on this Committee over northern voices. I looked around and counted more midlands and northern MPs on the Government Benches than on the Opposition Benches, so I thought that that was a bit unwarranted. On a serious note, I would be very interested in seeing significant evidence of discrimination. I will certainly get the Government to investigate those reports and I will copy the response to the whole Committee.

Overall, these amendments would be unhelpful. Each time there was a change to the UK schedule, we would have to produce the four reports. Let me give an example. The current schedule is through our membership of the EU. The EU schedule, which was last updated before 2010, includes names of Government Departments that no longer exist. I think the old BERR—Department for Business, Enterprise and Regulatory Reform—is on the list. DCMS is obviously the Department for Culture, Media and Sport. Every time we made one of those changes—if, for example, we changed DCMS back to its previous name—we would have to produce, as I understand it, the four reports and enter into negotiations, which would simply be an unrealistic and wasteful use of the Government’s time.

The hon. Member for Sefton Central talked a bit about a lowering of standards. To be absolutely clear, we are joining the GPA on the same terms as our current membership, so we are not reducing standards. The EU withdrawal Act preserves existing standards, and of course we already exceed or greatly exceed many EU standards in these spaces. The fact that we have rolled over continuity agreements demonstrates exactly that there has been no lowering of standards.

The hon. Member for Putney made a comprehensive maiden speech for a Bill Committee. As a constituency neighbour, I was delighted to hear her praise for Wandsworth Council. That is a fantastic thing. It is a very, very well-run local authority. She complained about the poor air quality on Putney High Street. If only the Labour council on the other side of the river, in Hammersmith and Fulham, could even monitor its air quality in the first place. Of course, one cause of the deterioration in air quality is Hammersmith and Fulham Council’s closure of Hammersmith bridge, so perhaps if she could join the lobby to reopen Hammersmith bridge, she would then realise that there is better air quality to be delivered on Putney High Street.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

Just to clarify, the air quality in Putney High Street was dreadful before the unfortunate closure of the beautiful Hammersmith bridge, due to years of neglect under previous administrations, so that is not the reason; it has been a long-term issue.

Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

I accept that, but the additional 4,000 cars a day going over Putney bridge into the hon. Lady’s constituency as a result of the closure of Hammersmith bridge has certainly not improved air quality—shall we put it that way?

The hon. Lady raised concerns and, I think, quoted the TUC in relation to continuity agreements with South Korea and Colombia. It is worth pointing out that both those agreements have been rolled over with largely identical wording on labour provision and workers’ rights, so those concerns are not valid. The UK takes labour rights extremely seriously, of course, and UK legislation already provides for robust measures to tackle such issues as human trafficking. Continued GPA membership will not affect that.

In September 2019, the Government announced new measures designed to ensure that Government supply chains are free from offences of slavery, servitude, forced or compulsory labour and human trafficking. The hon. Member for Harrow West, in what I think was an impromptu speech, made some good points on co-operatives. I am delighted to see that on this side of the aisle, we immediately trounced him with the commitment to co-operatives from my hon. Friends the Members for South Ribble, for Arundel and South Downs and for North East Derbyshire.

Trade Bill (Fifth sitting) Debate

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Fleur Anderson

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Trade Bill (Fifth sitting)

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Committee stage & Committee Debate: 5th sitting: House of Commons
Tuesday 23rd June 2020

(4 years, 5 months ago)

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Gareth Thomas Portrait Gareth Thomas
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The hon. Gentleman opens up a whole new area for discussion and I am grateful to him for doing so. Let me confess in these secret discussions here in this House that the biggest mistake that I made when I was a Minister was to agree in 2007—in the run-up to the general election in that year that never was—to appear before seven Select Committees in the space of two weeks, confident in the knowledge that a general election was about to happen and that, actually, I would instead be spending my time with the great people of Harrow West.

Imagine my horror when I discovered that we were not going ahead with a general election and that I would have to appear and talk about our trade policy to seven Select Committees, one after the other over a two-week period. Boy, did I know the detail of trade policy by the end of those that two weeks, and crucially I also had confidence that the negotiating teams working on the EU negotiations knew the detail, too.

The hon. Member for Arundel and South Downs mentioned Brexit. The decision of the British people to go ahead with Brexit gives us the opportunity to rewrite the UK’s deal with Canada, which we will consider when we debate amendment 9—I suspect that the whole House could potentially be grateful for that opportunity. I look forward to hearing the hon. Gentleman’s interventions then, too.

As well as seeking a mandate, the amendments would require Ministers to be much more open and transparent with the British people about the likely impact of the negotiations and, crucially, how each round of the negotiations have gone. They would require the consent of the British people through their representatives in this great House of Parliament to agree to any trade treaty. In short, our amendments would genuinely help the British people to take back control of who the businesses they work in can trade with and on what terms. They would give, for example, key workers a say in how the services that we all recognise as essential—such as medicines and drugs and our health services—are delivered, and whether trade agreements should impact on them or not. They would give British people the chance to say, “These are the standards that we want those selling goods and services to us as consumers to abide by.”

I do not think it is unreasonable to expect Ministers to put their plans and their record for securing better trade terms to the House of Commons for approval. Under cover of lots of offers of consultation, Ministers seem determined to keep for themselves and No. 10 a power to decide with who and on what terms a trade deal gets done. The picture is painted already, but let us imagine for a moment that the Prime Minister decides to ignore the concerns of Government Members as well as Members across the House about a potential trade deal with China. The negotiated plans would not need the approval of the British people. We would not have access to any of the detail of how those negotiations were going, and potentially only a handful of MPs would have a say. Parliament would in effect be sidelined. The British people, as a result, would be sidelined.

Let us be honest: Government Ministers would pack any statutory instrument Committee with ambitious young Turks, such as the hon. Member for Arundel and South Downs, who recently intervened on me, who are desperate for advancement and so inclined to ask tough questions that they would sit on their hands throughout the entire process. If the Prime Minister would not listen to Conservative MPs’ concerns over Dominic Cummings’s future, what confidence can we have that he would listen to their concerns about a future free trade agreement with China or anyone else?

Modern trade agreements are wide ranging and comprehensive. They do not only cover tariff reductions, but a whole range of regulatory issues, including issues of public health, social standards, labour rights and environmental standards, so detailed parliamentary scrutiny, making Ministers work to convince the British people of the merits of a deal, should be seen as entirely appropriate.

There is a need to properly consider the trade-offs in a trade agreement. The Committee might have heard of a book that five-year-olds like called “The Enchanted Wood”, which I am currently reading with my five-year-old. In it there is a magic faraway tree. At the moment the central characters are going up the magic faraway tree and out through a hole in the clouds to a new land: the land of take-what-you-want. I gently suggest that that is the way in which Ministers are presenting the merits of the trade negotiations that they are seeking to do at the moment. They are not seeking to explain the difficult trade-offs that such negotiations involve. They seek to give the impression that it is all wins for the British people and that there are no downsides to trade agreements.

Once they are signed, trade agreements are very hard to unpick. They are not benevolent arrangements.

Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
- Hansard - -

My hon. Friend is making a powerful argument with many different opinions on how important scrutiny is. I can add to that the voices of three other groups. One is the constituents and businesses of Putney: 39% of businesses will be affected by these trade negotiations, but I as their representative would be shut out from scrutinising those negotiations by the lack of scrutiny afforded by the Bill. Another group is the Institute of Directors, which we heard from in our evidence session. It has concerns that it will not know about the standards that will feature in the negotiations. It is concerned about immigration policy, temporary labour mobility, e-commerce and digital commerce and how wide the Bill will go. The final voice is that of the Confederation of British Industry which, in its paper, “Building a world-leading UK trade policy”, said:

“Governments worldwide are finding that public concerns on trade are necessitating an opening up of transparency, and it is becoming increasingly crucial for ratification of trade agreements”

and for building public support for trade agreements that will last. While the rest of the world is opening up its trade scrutiny and getting better trade deals as a result, we are going in the opposite direction.

Trade Bill (Sixth sitting) Debate

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Trade Bill (Sixth sitting)

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Committee stage & Committee Debate: 6th sitting: House of Commons
Tuesday 23rd June 2020

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We need a much more open approach. With the amendments, we are pushing to give Parliament a much greater role. It is not clear what the future of the International Trade Committee should be and what its involvement will be. That is a major shortcoming in the regard that is given to this place and how it should be scrutinising the role of Government. That will only lead to a greater diminution of democracy. I do not believe that that is in any of our interests.
Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
- Hansard - -

It is four years to the day since the referendum vote to leave the European Union and here we are, hardly oven ready. The stripping out of scrutiny is the most alarming of the many alarming parts of the Bill. A world-leading trade Bill must contain strong parliamentary scrutiny and transparency. The amendments and new clauses would enable debates to be held before, during and after negotiations, and the meaningful involvement of businesses, trade unions and interest groups across the country and around the world to assess the impact of any negotiations and help us make the best decisions.

The coronavirus crisis has shown the importance of proper parliamentary scrutiny. For example, the Chancellor’s economic support package—while I commend and welcome the support on offer—has been flawed in many crucial areas. I do not think that would have happened if there had been time—and there was not, I can see that—for much longer parliamentary scrutiny. That would have allowed self-employed people, people who had new contracts and limited company directors to say where they needed support from the economic support package. That is an example of where there needed to be better parliamentary scrutiny—there should have been more, catching up—and of where there are failings when we do not have time to look at the Bills we pass.

In the post-Brexit world, trade has been catapulted from the margins of public debate into one of the major talking points of political discourse. Trade agreements will have huge implications for our economy and future prosperity, and cut across huge swathes of public policy. They are of interest to all parliamentarians and to all areas of public policy, and are not to be done in secret in smaller areas. Future trade deals should be developed democratically. As such, it is wrong that the Bill does not address the gaping democratic deficit in trade policy. That is what the amendments seek to address.

The system under the Constitutional Reform and Governance Act 2010 is entirely inadequate and has not kept up with the times. It is no surprise that it has been criticised by no fewer than five parliamentary Committees. As the Minister himself has said:

“Parliamentary scrutiny is crucial for trade agreements, and we have seen the difficulties in recent years with trade agreements that have been insufficiently scrutinised, or where there was a feeling that there had been insufficient scrutiny—the Transatlantic Trade and Investment Partnership perhaps being the most important example.”—[Official Report, 17 July 2018; Vol. 645, c. 281.]

Under the current system, MPs will have less say than our counterparts in Brussels and in Washington. In my constituency, 39% of jobs are in sectors identified as being directly and severely impacted by the continuity agreements. I am angry that, as an MP, I will have little say and little opportunity to prevent that. Moreover, given the profound effect that trade deals will have on jobs in Putney and Wandsworth, in London and across the country, it is troubling that under the Bill there will be no formal assessment of the impact of trade deals on different sectors of the economy and different regions of our nation, or consultation with businesses and trade unions.

New clause 6 lists all the different impact assessments: economic, social, human rights, environmental, animal welfare and food standards. Those things are of immediate concern to constituents, and yet we will not have an assessment of the impact of trade deals on them—or, if it does happen, it will happen behind closed doors and will not be open for public debate and scrutiny.

The CBI has noted:

“A trade policy that provides a clear, meaningful way for businesses to feed in all their experience and expertise into government will create the greatest value from the UK’s opportunities across the world—and ultimately support prosperity across the country.”

Surely that is what we want. There are expert groups, of course, but they need parliamentary scrutiny to lock in their feedback.

It is concerning that the Bill only addresses EU roll-over agreements and does nothing to set the parameters of future agreements with non-EU nations such as the United States. The Bill is a huge missed opportunity to establish a framework for future trade negotiations. The scope of the Bill is just too narrow.

For four years, we have been repeatedly told by Trade Ministers that the world is queuing up to do business with the UK. Last year, the then Secretary of State for International Trade declared to the Future of Trade and Export Forum that

“the UK has an untapped potential of £124 billion in the export of goods alone.”

The current Secretary of State has triumphantly announced:

“We are growing wheat more competitively than the Canadian prairies. We’re producing more varieties of cheese than the French. And we are even selling tea to China.”

If the Government are so confident in our attractiveness to prospective trading partners, as they should be, why is there such reticence about codifying the high standards and regulations that have been promised by the Prime Minister? Why are the Government so intent on ensuring the lowest common denominator in trading standards—a rush to get it through without an ambition to get through the best?

There is a constitutional point to be made here as well. The Trade Justice Movement, which represents 60 organisations, noted in its evidence to the House of Lords Constitution Committee that proper parliamentary scrutiny of trade deals is far more compatible with

“the UK’s traditional constitutional division between executive and legislative powers, where the executive is responsible for foreign policy.”

The crucial point is that, when it comes to trade, it is impossible to distinguish between the international and the domestic. The two are intricately linked, so to take trade out of the hands of Parliament runs contrary to hundreds of years of constitutional precedent. To ensure that Parliament is sovereign over domestic affairs, it is essential that it is given a role in scrutinising trade agreements.

To summarise, the amendments and new clauses that my colleagues and I have tabled would address the democratic deficit and create a stronger trade policy, which would ensure greater prosperity across our country. They would ensure a meaningful vote and debate for MPs on the Government’s negotiating objectives from the start, and a much-needed widening of the scope of a Bill that is silent on too many crucial issues. They would ensure far greater transparency during the negotiations, proper public consultation and meaningful engagement with civil society, businesses and trade unions, and the introduction of much-needed impact assessments that look beyond economic metrics to include the impact on the environment, human rights and developing countries. The Trade Bill would be far better for them.

Greg Hands Portrait The Minister for Trade Policy (Greg Hands)
- Hansard - - - Excerpts

May I start by welcoming you again to the Chair this afternoon, Sir Graham? In an oversight, I was not able to welcome Mrs Cummins this morning, because there had yet to be a contribution from the Government Front Bench, thanks to the expansive efforts of the two chief Opposition spokesmen, the hon. Members for Harrow West and for Sefton Central.

Let me start by being in complete accordance with the words the hon. Member for Sefton Central said at the end of our minute’s silence, in paying tribute to the first responders and the emergency services in Reading at the weekend. We owe them all a debt of gratitude for the public response that took place.

Amendment 4 would mean that, before regulations were made under clause 2, the process of parliamentary scrutiny set out by the Opposition in new clause 5 or amendments 6 or 7, as appropriate, would need to be completed. I take this opportunity to remind hon. Members that the power in clause 2 is needed to provide for the continuity of existing trading relationships, not to implement free trade agreements with new trading partners. It will ensure that the UK continues to benefit from the EU-third country agreements to which we were a signatory before exit day.

During the evidence sessions, we heard from a very diverse group of witnesses, ranging as widely as the Institute of Directors, the CBI and ClientEarth, that the Government’s continuity programme was sensible and reasonable. Indeed, Parliament has so far ratified 20 continuity agreements with 48 countries. That accounts for £110 billion-worth of UK trade in 2018, which represents 74% of the trade with countries with which we were seeking continuity before the withdrawal agreement was signed. Those agreements were, of course, subject to extensive scrutiny in their original form as EU agreements. The main purpose of the power in clause 2 is to replicate existing obligations in current agreements. Additional new scrutiny, on top of what we already have in place, would not be a proportionate use of parliamentary time for existing agreements.

To reassure Parliament, we are going further and providing additional measures to constrain the power in clause 2 and provide extra scrutiny for any resulting legislation. All regulations made to implement obligations under these arrangements will be subject to the affirmative procedure, and the power is also subject to a five-year sunset period, which can be extended only with the consent of both Houses. We will discuss the sunset clause under a later group of amendments. Moreover, we have voluntarily published parliamentary reports—alongside continuity agreements—outlining any significant differences between our signed agreements and the underlying EU agreement.

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Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

I am certainly not coming back on Report with a drafting correction for the deficiencies in the hon. Gentleman’s amendment; that would be a novel approach to Parliament. The fact is that this amendment rules out of scope all these agreements for roll-overs. I have to say, in fairness to him, that some of these agreements were controversial; some people opposed these EU EPAs in the first place, and I imagined that it was the Labour party’s position that it opposed these EPAs. If we listen to one or two groups, for example, they think that the EPAs have been stacked too heavily in the EU’s favour.

However, I think the hon. Gentleman is now saying that actually that is not his intention, and that his intention was not to prevent their being rolled over. I think he is now saying he is suddenly in support of the continuity of these agreements, despite having voted against the Second Reading of the Bill and despite the fact that virtually every word that we have heard from the Labour Party in this Committee has been against these agreements and against these Bills.

Returning to my point about continuity, these agreements have been subject in this country to the full EU agreement scrutiny process. The delay to ratification is not in this country, but relates to individual country or state delays. There is no scrutiny gap.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

Returning to the issue of Canada and delayed negotiations, can the Minister confirm that if we do not secure the free trade agreement with Canada before 31 December, we will lose all the benefits of the current EU trade deal with Canada and revert to trading with it on WTO terms?

Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

I thank the hon. Lady for her intervention, because I thought the Opposition were opposed to the Canada deal, so if we were to fall outside the Canada deal, they should be celebrating that. The Labour Front Bench opposed Canada in 2017, and I think they have opposed it again today. We are in discussions with Canada and we believe that there is time to do a roll-over agreement, but to do that we need the powers in the Bill. Amendment 9, which I think the hon. Lady has co-sponsored, would delete Canada from the list of agreements subject to the power, so if she votes for this amendment—if indeed there is a vote on it—she will effectively be preventing the roll-over of the Canada deal.

I will come to a conclusion. I was very surprised by this amendment. I praised the shadow Minister, the hon. Member for Sefton Central, last week for the attention he had given to oral questions earlier that day, but now I am not sure whether he really paid enough attention. He may have missed hearing the shadow Secretary of State, the right hon. Member for Islington South and Finsbury (Emily Thornberry), say from a sedentary position that she is in favour of CETA, the Canada agreement, and that she voted for it at the time.

The right hon. Lady is absolutely right: she did vote for it at the time, and that is obviously the Labour party’s new position. We know that sometimes in political parties, particularly when we are in opposition, there can be a new position and it takes a while for that new position to filter out across the whole party, but I am a little bit surprised that the new position has not filtered down to her own Front-Bench team, let alone the whole party, because they are trying to say they do not want to roll over the Canada agreement for an agreement that their shadow Secretary of State was praising only last Thursday. I find that approach absolutely bizarre.

If amendment 9 were to be accepted, there would be no UK-Canada trade agreement to roll over in the scope of clause 2. Labour said one thing in the Chamber last Thursday, but is saying precisely the opposite in Committee. Our Canadian friends will look on askance, as will our friends from the Caribbean, Kenya, South Africa, Mozambique, Ghana, Cameroon, Ivory Coast and so on.

This is a continuity Bill. There is certainly continuity in the Labour party’s confusion on trade. When it came to the original Canada agreement in the vote of February 2017, Labour split three ways: 68 of its members followed the right hon. Member for Islington North (Jeremy Corbyn) in voting for the CT agreement; 86 broke with the right hon. Member for Islington North and voted with the right hon. Member for Islington South and Finsbury in favour of the agreement; and the rest abstained.

I think I heard the hon. Member for Harrow West then say that he regretted the fact that there had not been a debate about the Canada agreement on the Floor of the House. I spent a few years in the Whips Office. One of the first rules of being a Whip in Opposition is never bring a debate on which your own party is divided to the Floor of the House, let alone something where you are divided three ways and your leader is in the minority view. Now he is saying that he regrets that it was not brought to the Floor of the House.

We should vote down amendment 9, because it would rule out of scope Canada, the Caribbean and many other important trade agreements that the EU has negotiated. The UK was part of that negotiating team. They are very important trade agreements. We would like to see the continuity of those trade agreements, as do our constituents and UK businesses. I urge hon. Members to vote against amendment 9. Indeed, I hope the Opposition withdraw the amendment.

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Charlotte Nichols Portrait Charlotte Nichols (Warrington North) (Lab)
- Hansard - - - Excerpts

Can I say what an honour it is to serve under your chairmanship, Sir Graham? In the context of the debates about racial inequality that are taking place around the world, and the Government’s announcement that they will seek to absorb the Department for International Development into the Foreign and Commonwealth Office, it is vital to ensure that we do not shy away from our international responsibilities. That includes ensuring that any future trade deals cannot be used as vehicles to undermine human rights and workers’ rights, either at home or abroad. The safeguards in the amendment are, frankly, common sense, and it should not prove any barrier to free trade agreements with a wide range of trading partners, as is the Government’s stated aspiration. However, it is important that those safeguards are explicit in the Bill.

To illustrate why that is the case, I will give an example. In the public evidence session, I asked the Digital Trade Network about the risk of the US exporting section 230-style provisions into trade deals. As members of the Committee will be aware, these provisions are pushed by the big technology firms, because they effectively restrict US trade partners from making domestic legislation that might introduce any regulation. Without the safeguards in the amendment, there is increasing concern that the UK will be bullied into accepting these provisions in the upcoming UK-US trade deal, which will gut the upcoming online harms Bill and its promise to increase protection for children online.

Ensuring consistency with children’s rights is essential, but the threat is not just to our children. The Community Security Trust’s report, “Hate Fuel: the hidden online world fuelling far right terror”, outlines the global threat of far-right terror, which has its own online language and subculture that are developed and sustained on these social media platforms. This material repeatedly and explicitly calls for Jews to be killed. Indeed, many of the most hateful things that I receive as a Jewish parliamentarian originate from the US and Canada.

Governments, law enforcement and technology platforms must co-operate internationally to combat the propaganda that fuels far-right terror, just as they have done previously to tackle the propaganda that encourages and promotes jihadist terrorism. Protecting the sovereignty of Parliament, the legal authority of UK courts, the rule of law and the principle of equality before the law will ensure that this place does not have one hand tied behind its back in its efforts to do just that.

As we discussed at length in debates on earlier amendments, because there is limited scope for parliamentary scrutiny of new trade agreements and because the Minister is unable to give guarantees on this issue today, despite being given repeated opportunities to do so by diligent Opposition Members, building these safeguards into the Bill will make sure that they cannot be missed out and that the scrutiny is sufficient to prevent adverse consequences that could result in a breach of one of the regulations set out in the amendment.

The amendment would also benefit our continuity agreements. The Minister mentioned that some of the predecessor agreements had been signed when Labour was last in Government. I was a teenager when Labour was last in Government, and a lot has happened since then—not just that my hair has started to go grey. I cannot understand the reluctance to ensure that continuity agreements that we are trying to secure are consistent with and do not conflict with these safeguards, given many of the seismic shifts that we have seen in geopolitics over the last decade or so; things have moved on considerably in that time.

It is only right that we ensure that continuity agreements remain fit for purpose. If they do not meet the criteria outlined in the amendment, why have we endeavoured to keep them? If the agreements do meet the criteria, there is really no need to oppose the criteria.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

This is, at last, a very uncontroversial amendment. I do not think that any of us in this Committee would disagree with the idea of complying with agreements that the Government have already decided to comply with.

For example, trade agreements and the UK’s commitment to the sustainable development goals are completely inseparable. In September, there will need to be a post-covid global rethink about, and recommitment to, the sustainable development goals to make it clear that we still aspire to attain them, so we will need to have this approach baked in to our trade negotiations.

“Transforming our world: the 2030 Agenda for Sustainable Development” explicitly recognises international trade as an engine for inclusive economic growth and poverty reduction, and an important means of achieving the SDGs. Those goals include aims such as no poverty, zero hunger, gender equality, affordable and clean energy, decent work and economic growth, industry, innovation and infrastructure, reduced inequalities, responsible consumption and production, and climate action. All of these goals are intrinsically tied to trade. It is, therefore, worrying that the Bill contains no mention of the SDGs, and it is a relief to have the opportunity to vote them into the Bill with amendment 10.

More worrying still is the fact that while trade will be crucial in achieving these global goals, it can also act as a barrier to achieving them. The economic partnership negotiations in west Africa, for example, are very controversial because of the impact of packaging requirements, and the use of sanitary and phytosanitary standards as non-tariff barriers to trade and to an increase in industrial strategy that could lead to greater development and greater prosperity, both in west Africa and here.

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Bill Esterson Portrait Bill Esterson
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My hon. Friend is absolutely right. The Bill really should be the framework for what a progressive international trade policy framework should look like. There was an opportunity. Given that the Government did not pass the Bill when they had the chance last year or the year before, they could have included the provision this time. This amendment would produce a framework of the order expected by the witnesses.

There are real problems in international trade that affect our ability to meet our climate obligations. Trade agreements are used to liberalise regulations, including environmental regulations. The Bill is an opportunity to redesign trade policy to support our environmental ambitions, as the Government set out. The target of net zero carbon emissions by 2050 and associated commitments are in our amendment. The opportunity is there for the UK to require trade partners to ratify and implement key climate change agreements, such as Paris, before entering into trade negotiations, and for us to suspend ISDS agreements.

Environmental policy has been the object of investor-state dispute settlement litigation. Companies that have fossil fuel interests have sued other companies’ Governments because of the impact of Government regulations and legislation on their interests. That undermines investment and support for the renewables sector, and efforts to decarbonise economies and meet our climate obligations. Similar points are made about the convention on international trade in endangered species of wild fauna and flora, and the convention on biological diversity. If the Government want to address this agenda, they have an opportunity to do so with this amendment, and I hope they take it.

Given that the Bill is widely drawn and has the potential to address future trade agreements, let us look at what the US has been saying. This should worry us, given the damage that could be done by international trade agreements. In December, the US ruled out talk of a climate crisis in trade negotiations—yes, that is what trade representative Lighthizer said. He was categorical about that when the UK inquired—I am pleased that the UK did this—about the possibility of including reference to climate change in a future UK-US trade agreement, given that the UK has a strong historical stance on climate change and pushed strongly for the Paris agreement. The UK also highlighted in those talks the pressure for that that would come from civil society and non-governmental organisations. My hon. Friend the Member for Warwick and Leamington referred to the evidence that the Committee received.

What was the response from the US? It

“responded emphatically that climate change is the most”

politically sensitive

“question for the US, stating it is a ‘lightning rod issue’, mentioning that as of 2015,”

US trade representatives

“are bound by Congress not to include mention of greenhouse gas emission reductions in trade agreements. US stated this ban would not be lifted anytime soon.”

The US trade representative went further:

“we have an obligation to help real working people...there’s no point in being so ambitious we don’t end up with an agreement at all”.

The problem with that statement, of course, is that it is not one or the other. In the end, real working people need a planet that they can live on. They need the global temperature not to increase by more than 1.5°. They need the action on climate that will deliver that agenda. They need the jobs that will come from investment in low carbon industries now and in the future.

We should be worried about what the US is saying on this subject. We should take note of it and make sure that if the price of an agreement with the US is to oppose action on addressing the climate crisis, it is a price far too high for us to accept. I hope the Government will take the amendment on board, because there is nothing in it that is not in accordance with Government policy.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

Moving on from the sustainable development goals, and looking at the environmental regulations and the environmental issues that are baked into the Bill, we are already committed to climate action. The Minister has affirmed that we are and want to be compliant, and we aspire to see the achievement of the sustainable development goals. That means taking radical action and treating the climate situation as an emergency. To do that we need to add the amendment to the Trade Bill.

In doing so, we will be safeguarding life in water and on land. Earlier this year, the Prime Minister reaffirmed his Government’s commitment to achieving net zero by 2050 and boldly stated that “we will crack” the climate emergency. As a global leader on climate action, the UK must set an example to the rest of the world by honouring its international obligations under the Paris agreement and other multilateral environmental agreements. Trade policy is an integral part of that, so it should not be left out of the Bill.

Trade agreements can foster good climate action, but they can also impede Government implementation of climate commitments. They could threaten to increase fossil fuel use, for example, which we explicitly decided not to do in declaring a climate emergency. They could also hinder the sharing of green technology.

Trade agreements typically include national treatment for trade in gas, thereby locking in dependency on a fossil fuel with high greenhouse gas emissions, while incentivising increased fracking and fossil fuel infrastructure. We would not want continuity agreements that include those. The EU’s own impact assessment of TTIP—the EU-US trade deal—predicts that it would generate an additional 11 billion tonnes of carbon dioxide per year. That is fundamentally at odds with our international climate obligations, so we must bring our trade policies up to date with our environment obligations.

The dangers that trade deals pose to the environment can be clearly seen in the EU-Mercosur trade agreement currently under negotiation. A fortnight ago, the Dutch Parliament rejected the agreement, due to a lack of enforceable agreements on the protection of the Amazon or the prevention of illegal deforestation. Conducting trade negotiations without clear environmental red lines on the statute book—which this amendment would provide—with countries led by individuals such as President Bolsonaro, under whom deforestation of the Amazon has increased by 27% according to the NGO SOS Atlantic Forest Foundation, poses a huge threat to the Government’s international, climate and environmental obligations.

As the WWF has noted, rushing into trade deals with partners that do not share our ambitions could undermine UK leadership on positive environmental outcomes, by allowing imports from industrialised agricultural systems or through supply chains that promote deforestation. “Risky Business”, a report by the WWF and the Royal Society for the Protection of Birds, demonstrates that the UK is already moving backwards on reducing the UK’s overseas land footprint, which increased by 15% between 2016 and 2018, suggesting that we are increasingly offshoring our environmental impact. We need to do better.

To conclude, the Bill gives us an opportunity to ensure that our trade policy supports our environmental ambitions by explicitly putting them into the Trade Bill, including the target of net zero carbon emissions by 2050. Amendment 11 is a positive step towards that goal and is consistent with the Government’s own commitments and obligations, so everyone should agree to it, to ensure that the UK complies with international law and that we remain a world leader on climate action.

Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

As I have set out, the Government’s continuity programme is coherent with existing international obligations, as it seeks to replicate existing EU agreements to secure continuity for businesses and consumers. As I have made clear, we have no intention of lowering standards—environmental, labour or otherwise. The Prime Minister set out that commitment in his Greenwich speech and I have repeated it on many occasions, including today.

The UK has often led the way and exceeded EU minima on environmental issues, such as greenhouse gas emission reduction targets. I predict that we will continue to do so, thus making the amendment redundant. For example, the UK was the first country to introduce legally binding greenhouse gas emissions reduction targets through the Climate Change Act 2008. We were also the first major economy to set a legally binding target to achieve net zero greenhouse gas emissions from across the economy by 2050. We have cut our carbon emissions by nearly twice the EU average since 1990—by 42%.

Put simply, the UK has an extremely strong record on environmental action. I hope that the Committee will agree that the amendment is unnecessary, as we will be safeguarding and promoting, not undermining, our environmental obligations. Consequently, I ask that the amendment be withdrawn.

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Bill Esterson Portrait Bill Esterson
- Hansard - - - Excerpts

A number of times, my hon. Friend has effectively reminded the Committee, in response to interventions from Government Members, that scrutiny will ensure that we do not have those sorts of problems. They would do well to take on board his advice and expertise, which is driven by his experience in government of looking at such matters. I daresay that when the Bill goes to the Lords, their Lordships will do just that. We might end with some changes to the Bill, even if we do not make any changes in Committee or on Report in the Commons.

We would do well to look at the evidence that was given to us. We would do well to look at what was said during the proceedings on the Agriculture Bill. We would do well to remember that some Government Members were led to believe that there would be an amendment to the Trade Bill that gave protections against the sorts of problems that I have just set out. That is why we have tabled an amendment later in proceedings to ensure that we deliver exactly that.

For now, the Paymaster General wants to leave it to the consumer. I want to ensure that the consumer is not put in a difficult position because, whereas in this country and in the EU we require labelling on meat about where it was hatched, reared and slaughtered, the US repealed similar legislation in 2015. If we do not want to have problems over the safety of our food—I will mention GM and some of the problems with vegetables as well—I suggest we attach an amendment such as this one to the Bill, or do as Ministers told their hon. Friends on the Agriculture Bill, and pass that amendment when we get there, probably, on Thursday.

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

I have a few short remarks to make about food standards, which are of huge concern to my constituents. More than 100 people have written to me in the past week or so calling for a food standards commission to be set up, and they are watching this amendment carefully. I am sure this is another in a series of amendments on which we will hear from the Minister how much he agrees with what we are saying, and then he will go ahead and vote against it.

If so, and if we do not have these amendments in the Bill to say what our standards are, where would we have them? We could just have a note from the Secretary of State saying, “I am getting on with the trade agreements; let me carry on.” But no, we have a Bill, so we can set out what we want in those trade negotiations. The past few months have served as a reminder to us all to value our food, to think about where it comes from, its safety and its traceability, and to value our farmers and growers who produce it.

In a post-Brexit world, liberalised trade could expose British agriculture and mean that our farmers would have to compete with products that would be illegal to produce here in the UK. Now is the time for us to be world leaders and use that position to increase the animal welfare and environmental standards of food production across the world, in the continuity agreements and in others.

The chorus of voices in the food sector who are concerned about the future of food standards in our trade policy is deafening. The NFU has expressed concerns, noting that in our current and forthcoming trade negotiations other countries will not only urge the UK to follow their own sanitary and phytosanitary standards arrangements, which in many cases diverge from current UK practice, but resist any suggestion that their own producers meet the production standards and additional costs required of UK farmers, who will then lose out.

That leads us to the conclusion that it is hard to see how trade liberalisation will not inevitably lead to an increase in food imports produced in ways that would be illegal in the UK. In addition, the British Poultry Council believes that if food produced to lower standards is allowed to enter the British market, it will create a two-tier food system, in which only the affluent can afford to eat British food grown to British standards. That is unacceptable.

Turning briefly to animal welfare standards, it is important to understand that this is not a mere ethical luxury or a nicety—a nice-to-have addition to the Bill that we could have or not. Friends of the Earth has pointed out that intensive farming with few welfare protections is associated with deforestation, local pollution, poor workers’ rights and high emissions.

The Government have repeatedly assured us that they do not want to see regression in this area, and I am sure we are about to hear that again. Michael Gove committed on multiple occasions to ensuring that the UK was a global leader on animal welfare. That promise was reiterated in the 2019 Conservative manifesto. However, Friends of the Earth is concerned that future trade partners will want to water down the UK’s very high animal welfare standards, and that free trade agreements, which are the subject of the Bill, could pose a serious threat to the Government’s existing commitments to maintaining and improving UK standards.

The most effective way to prevent a regression in food and animal welfare standards, which is a worry for many different groups, and for the Government to keep their word would be to enshrine these standards in primary legislation before entering trade negotiations, taking them off the table altogether and therefore agreeing amendment 13.

Contrary to some commentators’ views, the amendment is not incompatible with global trade rules. Trade rules enshrine the rights of nations to regulate to achieve public policy goals, and to require that goods and services reach specific standards to qualify for import, as long as those requirements are applied fairly. The amendment would achieve that, and ensure that we have good food standards.

None Portrait The Chair
- Hansard -

I remind the hon. Lady to refer to Members of the House not by name, but by their constituency. I call Matt Western.

Trade Bill

Fleur Anderson Excerpts
Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Monday 20th July 2020

(4 years, 4 months ago)

Commons Chamber
Read Full debate Trade Bill 2019-21 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Consideration of Bill Amendments as at 20 July 2020 - (20 Jul 2020)
Theresa Villiers Portrait Theresa Villiers (Chipping Barnet) (Con)
- Hansard - - - Excerpts

I rise to support the Bill because I believe that removing unnecessary barriers to trade can boost jobs and growth, but I hope that the Minister and the Government will consider seriously whether changes can be made to strengthen parliamentary oversight, whether via the amendments we are considering today or in the other place.

I was one of 18 Conservative MPs to back new clause 2 of the Agriculture Bill. I did so because I believe our trade policy should be consistent with our values. The Government were elected on a manifesto with stronger commitments on the environment and animal welfare than any of their predecessors, but maintaining our domestic rules on animal welfare and environmental stewardship of land will have less and less real-world impact if more and more of our food is imported from countries with lower standards and fewer qualms about these matters than we have.

I would therefore like to hear the Minister confirm this evening that the Government will keep in place the import ban on chicken washed in disinfectant and will not at any stage ask this Parliament to remove it from the statute book. I hope that he will say the same about the ban on beef from cattle whose growth has been artificially boosted by hormones. We know that in the United States, many of them are intensively reared on feedlots containing thousands of animals fed off soy production, contributing to deforestation in the Amazon basin.

The reality is that more or less every country in the world reflects sensitivities over food in its approach to trade policy for the good reason that food security is crucial to any society. I warmly thank the Minister and the International Trade Secretary for agreeing to establish a commission to consider how we can secure the economic advantages of free trade agreements without undermining our world-class food standards. Those standards would be undermined if we allowed an unrestricted tariff-free influx of food produced using methods that would be illegal in this country. A good deal with the United States, a mutually beneficial deal, could see tariffs coming down even in sensitive sectors such as beef so long as incoming food complies with animal welfare and environmental standards that are equivalent to our own. Many US producers are perfectly capable of doing that, and it should not be beyond the wit of man to develop a certification and compliance system.

Contrary to what some have claimed, this is not a rerun of the debates on the corn laws, and it is a caricature to suggest that those of us raising concerns have somehow been captured by producer interests as our Victorian forebears in this House were. All I am asking is that we do not sell ourselves short in this country. The UK is the third biggest market for groceries in the world. Even conditional access to that market is a valuable prize. Just because we would like a trade deal with the US does not mean that we should give it everything that it wants. There is so much that we can offer our trading partners in the US and in other countries, and is it so unreasonable to say that, when it comes to food, there are limits to liberalisation?

Fleur Anderson Portrait Fleur Anderson (Putney) (Lab)
- Hansard - -

This Trade Bill is fatally flawed. It could have been a bold statement about our future trade deals in which we used our independence from the EU, whatever we feel about it, to build in high environmental and food standards, workers and consumer rights, and commitments to achieving sustainable development goals and human rights and to modernise our trade rules in conjunction with constructive, modern, democratic scrutiny. Instead, this Bill is stripped of any of those. I urge Members to vote for new clause 4, which will enable the people’s elected representatives here in this House and in the devolved Administrations to say what is important for the British people.

High standards should be written into trade agreements from the start to the finish of negotiations and ensure that, for example, secret deals do not end up with selling off the NHS to the highest bidder. Chlorinated chicken could be just the start. These are not the words of doomsayers or baseless concerns; more than 400 NHS and senior public health professionals have signed an open letter, demanding legal guarantees in post-Brexit trade legislation to provide specific protections for the health service in any future trade negotiations, such as those with the US. US trade deals are already under way in secret, but even in the US both Houses of Congress get a guaranteed vote on trade agreements, and America’s process for public consultation prior to negotiation is impressively far-reaching in contrast with this Bill. The British public are being sold out by this Bill. What are the Government afraid of? What are the Government planning to do? What desperate deals will be struck to get a deal done, but on worse terms?

In my own constituency, 39% of jobs are in sectors identified as being severely impacted by a no-deal Brexit, or a bad deal with the EU. I am extremely angry, as are my constituents that, as an MP, I will have very little say over preventing this. Food standards are also a very huge concern to my constituents who are deeply worried that decades of progress in animal welfare, hygiene, husbandry and environmental management are going to be stripped away. Farmers and consumers will be worse off.

I am very disappointed that the Bill went through several days of scrutiny in the Committee, which I was a member of, without any changes whatsoever, and today we have just a few minutes of parliamentary debate starting in the late afternoon on only one day before the Bill goes to the next stage. In Committee, we heard evidence about how much stronger our trade negotiators could be if they had the backing of parliamentary red lines written into our legislation, but we were told over and over again by the Minister that proposals for parliamentary scrutiny of food standards, environmental standards and workers’ rights were not necessary.

Steve Brine Portrait Steve Brine
- Hansard - - - Excerpts

Will the hon. Lady give way?

Fleur Anderson Portrait Fleur Anderson
- Hansard - -

I only have a few seconds left.

If the planned negotiations will include all those rights and standards, that should be guaranteed by being written into parliamentary legislation. If the Government are planning to agree a bargained down, watered down race to the bottom, I can see why they would reject these amendments. That is why we should all be very worried about our future and about this Trade Bill.

Robert Courts Portrait Robert Courts (Witney) (Con)
- Hansard - - - Excerpts

It is a great honour to speak in this debate, having spoken briefly on Second Reading and sat on the Bill Committee and being a member of the International Trade Committee. We had a wide-ranging, well-informed and constructive debate in Committee, and it is good to see so many of its members speaking in the debate.

I would like to address a number of points, including the clauses relating to the NHS and to scrutiny, but because of the time limit, I will confine myself to just one, which is standards, and in particular new clause 11. Simply put, new clause 11 would allow the import of agricultural goods into the UK

“only if the standards to which those goods were produced were as high as”

the standards that apply under UK law. On the face of it, that sounds reasonable because it just seeks to ensure what we already have. Nobody has any difficulty with that—everybody here wants to maintain the high production standards, animal welfare standards and environmental standards that we have. That is why the Government have been absolutely clear that they will do precisely that. That is why the Minister stood on a manifesto commitment to do exactly that. That is why I stood on a manifesto commitment to do exactly that, as did all my hon. Friends.

There are a number of misunderstandings, which I will briefly address. We have already heard a number of times from Opposition Members about chlorine-washed chicken and hormone-treated beef, and I am sure we will hear about it again before the end of the debate. Those are already illegal in UK law. They are illegal because they are in European Union law, and European Union law is put into UK law by the terms of the withdrawal agreement. When Opposition Members plaintively say, “Why won’t the Government just put this in primary legislation?” the answer is because it is already there. If it were to be removed, the Government would have to bring something to the House and get us to vote on it—they would have to change the law, and we have all expressed our view about that. That prohibition is already there, so new clause 11 is simply unnecessary.

New clause 11 seeks to go further than maintaining our high import standards. It is crucial that we distinguish between import standards, which is the safety of food brought into this country, and safety standards, which is the way that they are produced domestically. The new clause seeks to have us say to all our trade partners, “We want to go further than ensuring that we import safe food. We want to reach into your domestic legislation and tell you exactly how you produce that food.” No self-respecting independent country will want to do that.