European Economic Area: UK Membership

Heidi Alexander Excerpts

Monday 6th November 2017 Commons Chamber

[Heidi Alexander (Lewisham East) (Lab)]

I say to the right hon. Member for Clwyd West (Mr Jones) that this is not a last-gasp attempt; this is the start of a fight to develop a form of Brexit that does not crucify our economy. The question of whether and how the UK should leave the European Union has dominated British politics for the past two years. The Government are paralysed by the enormity of the task, and the public are left struggling to make sense of what is going on. One minute, we are staying in the single market and customs union for an interim phase; the next minute, we are not. One day, we are we are planning for no deal; the next, we are not. It is a dog’s breakfast. There is no clarity and no strategy. Brexit by adjective is the best we get, with fantasy aspirations of soft Irish borders and frictionless trade. It is meaningless and it is not good enough. I hope that today’s debate might start to change that.

The motion is about the European economic area—in effect, the single market. It is about the process by which we might seek to leave it or stay in it, which is different from our membership of the EU. We are currently members of both the EU and the EEA but—and this is a big but—they are distinct from one another. They are governed by different treaties and, while they overlap, different countries are members of each of them. Norway, Iceland, Liechtenstein are members of the EEA; they are not members of the EU. There is one process for leaving the EU—as governed by article 50 of the Lisbon treaty—and there is another for leaving the EEA: article 127 of the EEA agreement. The motion before us today does not stipulate whether we should be in the EEA, out of it, in it for a few years or for decades; it simply says that Parliament should decide. Parliament should determine whether we trigger article 127 and notify our withdrawal from the EEA, not the Prime Minister sat behind her desk in No. 10. MPs should decide. This House—the public’s elected representatives—should decide. There should be a specific, explicit vote that is binding upon Ministers.

[Ian Murray (Edinburgh South) (Lab)]

I congratulate my hon. Friend on all her work to bring this matter not just to the Floor of the House, but to the general public discourse. Does she agree that part of the problem with the EEA and EFTA is the Government’s intransigence in looking at the situation? This is an ideologically driven process to take us out of the EEA, out of EFTA and out of the EU and turn us into an island on our own in the Atlantic with no trade deal whatsoever with anyone. [Interruption.]

[Heidi Alexander]

I agree with my hon. Friend. As my hon. Friend the Member for Aberavon (Stephen Kinnock) says from a sedentary position, this is about dogma. It is not about democracy and it is not about our country’s future prosperity.

Last summer, we grafted a massive public plebiscite on to our system of representative parliamentary democracy. I will not repeat my views on how the referendum was conducted—suffice to say I do not think it was our country’s finest hour. There was only one question on the ballot paper:

“Should the United Kingdom remain a member of the European Union or leave the European Union?”

Where were the words “European economic area”? Where were the words “single market”? Now some people say, “Well, everyone knew it meant we’d be leaving the single market,” but that is pure assertion. That is an interpretation of the result. Some people may have voted believing that, but others did not. Many more would not have had any idea where to start if you asked them to explain the difference. I do not say that to patronise; it is a matter of fact. If you asked my mum to explain it, she would run a mile. Taking us out of the single market is a political choice. Prioritising controls on immigration over safeguarding jobs and investment is a political choice. Making a massive issue of the European Court of Justice, even though most people would be hard pressed to tell you what it does, is a political choice. Those choices will determine the future of our country for many years to come, and it is the basic responsibility of each and every Member of this House—irrespective of party—to reflect long and hard on whether the form of Brexit being pursued by this Government is the right one.

[Geraint Davies]

Will my hon. Friend confirm that the 2015 Conservative manifesto said both that if they won, the people would have a referendum on Brexit, and that we would stay in the single market? People voting for Brexit therefore assumed that we would stay in the single market.

[Heidi Alexander]

My hon. Friend is completely right. In fact, the precise form of words used in the 2015 Conservative manifesto was that they would protect

“British interests in the single market”.

We must get a vote on whether we continue to be a member of the single market. We have to determine whether Ministers notify other countries of our intention to leave the EEA. We cannot cobble something together by claiming that provisions within the European Union (Withdrawal) Bill somehow authorise Ministers to do that, but that is precisely what the Government are trying to do. They are trying to pull a fast one. I am convinced that the repeal of the European Economic Area Act 1993 contained in the EU withdrawal Bill will be used by Ministers, alongside the powers they want to give themselves in clause 8, to claim parliamentary authorisation for setting the ball rolling on our departure from the EEA. How many of our colleagues understand that?

Why do the Government want to avoid open and transparent debate? Why will we only have two hours at most in Committee to discuss the issue? The answer is obvious. The Government want to avoid an explicit vote on whether the UK should leave the EEA and leave the single market. They are worried that there might be a parliamentary majority for a so-called “soft Brexit”—one where we put jobs first and worry about immigration second. They are right to be worried but they are wrong to circumvent Parliament in this way. That is why I tabled new clause 22, which would give Parliament an explicit vote on our departure from the EEA, and why I support this motion today. As people who are elected to make decisions on the behalf of our country, we have a responsibility to consider thoroughly and transparently the option of staying in the EEA. We have a responsibility to hold on to the car keys to prevent this Government from driving us off the cliff. That is what this motion is about today, and that is why I support it.

--- Later in debate ---

[James Cartlidge]

I put that point as a question because the official leave campaign line was that it would end unskilled migration to this country. That is not realistic.

My second question is controversial, but it is incredibly important. It is currently illegal for an unskilled migrant to enter this country from outside the EU. We legally discriminate because we are members of the EU. We allow unskilled migration only from within the EU; we do not allow access through tier 3 visas, which would allow unskilled migration from outside the EU. The latest figures from Migration Watch show that net migration from outside the EU was 50,000 more than from inside it.

If we go for this so-called global Brexit and open up unskilled migration through an equalised immigration system, we will simply have, at best, a reduction in EU migration and a significant rise in non-EU migration. If the country voted on immigration terms, it did not vote for that. That is why I say we should not underestimate the level of control the country would have over migration through being in some form of the EEA or EFTA.

[Heidi Alexander]

The hon. Gentleman is making an excellent speech. Does he agree that the fact that the UK currently controls immigration from countries that account for 90% of the world’s population did not feature at all in the referendum campaign has led to a lot of misunderstanding about how this country’s immigration system works?

[James Cartlidge]

The hon. Lady is entirely right. We currently restrict unskilled migration to a population of 750 million; if we no longer discriminate and have an equalised system, we will open ourselves up to a population of 7.5 billion. Of course, yes, we will bring in controls, visas and so on, but how on earth will the man from the ministry be able to work out, when he gives his quota to various sectors, how many he allows from Europe and how many from outside? One need only look at the proposals for the seasonal agricultural workers scheme: all the pressure is not for workers to come from the UK; they are asking for a scheme that allows workers to come from Russia and Ukraine. Yes, we should look into how we encourage British workers and what we do with the education system, but the point is that the necessary change cannot happen overnight.

My third question is: do we want a system in which we are ourselves subject to visa controls when we go to France, Germany or Italy? That would be a massive disadvantage, and it leads me to my fourth question. I do not think that the country would expect visas to be applied to people from wealthier western European countries. The perception would be that the issue is with immigration from those countries with a significantly different economy from ours, from which the volume has therefore been greatest. It must be said that those countries, particularly Poland, are seeing levels of growth return to previous levels. These things are fluid.

If we look at those four questions, we can conclude that a variation on free movement would not be unpalatable to the British people, because they would not want visas to be applied to themselves and probably would not want to open up to unskilled migration from outside the EU. When we factor all that in, the sort of situation they have in Liechtenstein—a tiny atom of a country compared with ours—would recommend itself.

Like Opposition Members, my hon. Friends the Members for Cheltenham (Alex Chalk) and for Carlisle (John Stevenson) made the point that EFTA offers many potentially attractive elements. I, of course, support the Government in trying to seek the ideal, which is a comprehensive trade agreement that covers services, bespoke to us and negotiated in good time. We all want that. I argue strongly for a transition deal, because we know that it will be asking a lot to get to that agreement particularly quickly. Should we at least consider EFTA for the transition period? Contrary to what I believe my hon. Friend the Member for Stone (Sir William Cash) said, I understand that EFRA members can negotiate their own third-party trade deals, alongside their being signatories to those already in place for the collective EFTA countries. As my hon. Friend the Member for Carlisle said, we would boost that group, giving it a much greater global presence. We would not be in the common agricultural policy or the fisheries policy. We would have far more freedom, but we cannot have total freedom—it does not work like that. We would have the security of being members of the group and we would give businesses the security of knowing the structure they would go into.

We must not underestimate the issue of immigration. It may be difficult for some to comprehend, but there will be many voters out there who, if they wake up and see that on leaving the EU we simply have a seesaw of an immigration system, from EU at one end to non-EU at the other, will feel betrayed. They are expecting immigration to fall in totality. The truth is that if we want to control immigration in the long run, we need not just the legal powers but the workforce. We need to have the people in this country, and I am afraid that that will mean further welfare reforms and consideration of how the apprenticeship scheme works—all kinds of things. But it cannot happen quickly, so we need to look at the transition. In my opinion, it would sensible to at least look at a transition within EFTA.

--- Later in debate ---

[Sir Edward Leigh]

That is a very fair point, and I entirely accept it.

[Heidi Alexander]

rose—

[Sir Edward Leigh]

I have very little time now, so may I just finish my remarks? [Interruption.] I have plenty of time? Well, I have to give way to the hon. Lady.

[Heidi Alexander]

I am grateful to the hon. Gentleman for giving way. Given what he said in response to my hon. Friend the Member for Ilford South (Mike Gapes) about supporting a vote on whether we leave the European economic area, would he be willing to sign my new clause 22 to the European Union (Withdrawal) Bill, which would put that into statute?

[Sir Edward Leigh]

I am grateful to the hon. Lady for making that kind offer, but my problem is that, in these terms, I am a Government loyalist, and I want to help the Government to get this Bill through. That is most important, because if we do not get the Bill through, we will be in a kind of limbo—I apologise for using the expression “a kind of limbo”. All that the Bill does is transfer all the EU laws into our law. I am anxious that we get a generous free trade deal. I am also anxious that we pass all the EU laws into our law, particularly because I do not want us to create a bargain-basement economy—I want us to preserve workers’ rights and to be a gold-class economy. All that the Bill does is transfer all those protections for workers, and many other useful things, into our law, so I will be supporting the Government—