EU-US Trade and Investment Agreement

Debate between Gordon Banks and John Healey

Thursday 18th July 2013 Commons Chamber

[John Healey]

Investment is already an EU competence. The deal is not about controlling the flow of investment, but about creating the conditions in which greater investment can flow across the European Union, including to Britain. All the impact assessments, including the one that the hon. Gentleman cited earlier, suggest that that would happen if we secured a comprehensive agreement.

[Gordon Banks (Ochil and South Perthshire) (Lab)]

Does my right hon. Friend agree that the UK economy would benefit from an opening up of the US economy, and that the Government should seek to gain access to that marketplace for our small and medium-sized enterprises to provide a stimulus to the UK economy?

[John Healey]

I suspect that in my hon. Friend’s area, as in mine, many of the important and good small and medium-sized companies depend on trade and export for their success. The agreement certainly has the potential that he mentions, but realising it requires the Government to ensure that it does benefit small and medium-sized firms.

One or two of my friends have said to me recently, “Look, you are a Labour politician on the centre left. Why on earth are you supporting a deal that looks set to reinforce the cause of global capitalism?” I have three answers to that. The first, quite simply, is jobs. The success of many good south Yorkshire firms depends on increasing opportunities for export and trade. This deal could bring that boost to jobs and the economy in south Yorkshire, as well as the whole of Britain.

Secondly—this may break the sense of cross-party unity—I see the deal as a way of regulating global capitalism. It is indisputable that the EU and the US have some of the highest standards of consumer safeguards, environmental protection, employment rights, legal process, trade rules and regulations. Together, as the two biggest economies, we have the opportunity to set standards and regulations that could become the benchmark, or gold standard, of any bilateral and multilateral deals.