Britain's Place in the World

Hilary Benn Excerpts

Tuesday 15th October 2019 Commons Chamber

[Hilary Benn (Leeds Central) (Lab)]

If anybody thinks that Brexit has taken too long to get to this point, it is worth remembering that even if the Prime Minister does get a deal and it is approved by the House, it will take a very long time for us to try to negotiate a new relationship with our biggest, nearest and most important trading partners. When one thinks of the list of things to be discussed—trade, services, data transfer, security, scientific co-operation, foreign policy, standards bodies and lots and lots of other things—it is very long. That is why—I say this to Government Front Benchers—the phrase “Get Brexit Done” is incredibly misleading, because we have not even begun to get Brexit done, as the years ahead will prove.

Things could get worse, which brings me to the question of a no-deal Brexit, which the Prime Minister has said he is prepared to inflict on the country if the current talks do not reach agreement. The House does not support that. We have heard what it could mean for the Nissan car plant in Sunderland. Vauxhall has said that it will not build the new model of its car in Britain if there is no deal. We read about Operation Yellowhammer. It is just as well that the House voted to require the Prime Minister in those circumstances to apply for an extension. Given the legal assurances that were finally produced by the Government in the Court of Session in Scotland, I am sure that he will abide by the law.

For the moment, however, the talks continue. Whether they are discussions or negotiations in “a” tunnel or “the” tunnel, we can establish some things. Having previously said, “Here’s our final offer. Take it or leave it”—to which the EU replied, “Thanks very much, but that’s not the basis for an agreement”—the Government now seem to have moved again, and then again. The more we hear about what is being discussed at the moment, the more it reminds every single one of us in the House of the former Prime Minister’s customs partnership proposal—because that is what they are talking about now—only applied just to Northern Ireland, which is interesting because the current Prime Minister resigned from his job as Foreign Secretary saying of that last proposal that it “sticks in the throat” and that he could not support it. That merely proves how times change.

I think that we all understand why it is proving difficult: because a dual customs arrangement is untested; there are risks of fraud and smuggling; there are threats to the single market; it is not clear what consent mechanism Stormont would have; and it is all very complicated. We have to face up to the possibility that all we will get from the summit this week will be the EU leaders noting that some progress has been made and looking forward to further talks, in which case we are probably heading for a further extension anyway.

We know that the backstop is essential because we have to maintain that open border. The Prime Minister got himself into trouble when he announced that he wanted customs checks in Northern Ireland, which was never going to be acceptable to the EU and breached the solemn commitment that the previous Government gave to the EU in the joint declaration: that under all circumstances, there would be no checks, no infrastructure, no controls. That commitment is embedded in the European Union (Withdrawal) Act 2018.

[Alex Cunningham]

The issue of tariffs is very much on the minds of the farmers in my constituency who I met last week. The Government seem to be dodging the answer to the question what it will actually mean for farmers. I am told it will mean huge tariffs and the devastation of our farming industry. Would my right hon. Friend care to comment on that?

[Hilary Benn]

I would. I put the point to the Secretary of State earlier about the evidence we received this morning from the Ulster Farmers Union, whose one-word answer was simple: catastrophic. For the life of me, I cannot understand why any Government would wish to impose on that industry, never mind all the other industries, an outcome they know would be catastrophic. What is the possible justification? There is none, which is why the House was right to safeguard against it.

[Ian Paisley]

I am grateful to the right hon. Gentleman for giving way because it is important to clarify the “catastrophic” issue. I also met that representative of the Ulster Farmers Union today, and he did not imply it in the way the right hon. Gentleman is suggesting. He said it would clearly be catastrophic if tariffs were only in one direction, and he encouraged the Government to let the Republic of Ireland know that if it put tariffs on Northern Ireland products moving south, the Government here would reciprocate. That, in his words, would soon “sober up” the Republic of Ireland.

[Hilary Benn]

I am merely reporting to the House what the witness said to us today. It is the Government’s policy that there would be no tariffs coming this way across the border in Northern Ireland, but of course, as we know, the EU would impose tariffs on goods, including agricultural products, going the other way. That is the Government’s policy in a few days if there is no agreement—thank goodness the House has prevented that from happening.

There has been very little discussion so far of what really matters, which is the future economic relationship. Whatever the details of the backstop, we will have to have a backstop, and the Prime Minister has said he is in favour of a Canada-style free trade agreement. What does that mean? It means that in our relationship with our biggest and most important trading partners, there would have to be customs checks, checks on standards and checks on rules of origin. At the moment, there are none, because we are in the single market and the customs union, and we know how many businesses have built their success on the absence of those checks. That is why last week we heard five really important sectors saying how bad for them, their businesses and their employees a Canada-style free trade agreement would be.

Let us remember that the comprehensive economic and trade agreement does not eliminate all tariffs, has inferior access to the single market and no mutual recognition. We learned last week, or the week before, from Her Majesty’s Revenue and Customs that having to fill in customs declarations would cost British businesses about £15 billion a year. We would not be in things such as the European Union Aviation Safety Agency or the European Chemicals Agency, which are so important to common standards, and unless we had a backstop, it would of course lead to a hard border in Northern Ireland. The Government also said they were moving away from the commitment to a level playing field. That came as a great shock. How exactly do Ministers expect to secure good quota and tariff-free access to the European Union when the United Kingdom is saying to the EU, “Well, as your nearest and most important trading partners, we might seek to undercut you as our neighbours because we will have different standards and different regulations, even though we want to carry on trading with you”? I do not think that that is going to work. I hope that the Government are listening, because let us be frank: a Canada-style Brexit would be a hard Brexit; it would be a backward step for the economy; and the Government’s own assessment shows that it would have almost the worst impact on the economy, second only to a no-deal Brexit.

My final point is this. Here we are, meeting on Tuesday, with no idea what will be presented to us on Saturday. We have seen no papers—no draft texts, no political declaration—yet I think that a growing number of Members have come to the view that the only way in the end to resolve this question and to gain consent on the way in which leaving happens, if it is to take place, is to go back to the British people. I know that the Government have said that in no circumstances will they agree to a confirmatory referendum, but let us be honest: there are lots of other things that the Government have said during this Brexit mess that they would never do which they are now doing. Who knows what they are doing in the negotiations as we speak?

I would argue that going back to the British people does represent the compromise position in British politics. Over there are the Government arguing that they are prepared to inflict the damage of a no-deal Brexit on the nation, and over here, sitting near me, are those who argue that the referendum result should just be cancelled—scrapped—because that is what permanent revocation would mean. The moment of truth is approaching for the House. I believe that we will need to enlist the help of the British people, not to get Brexit done but to decide whether to remain or to go ahead, and if so, how.

I have never wavered from my view that Brexit is profoundly wrong for the future of our country and its place in the world—and I say that as an optimist, because the Prime Minister has no monopoly on optimism about our country—but the question is whether the British people have changed their minds. I do not know whether they have, the Prime Minister does not know and the House does not know, so let us ask the people, because they will know.