(2 years, 6 months ago)
Commons ChamberI will come to that point later, if I may. At this stage, I want to say more about the food security report.
As I was saying, the first of these reports was published in December. It examines past, current and predicted trends. Food prices fluctuate in any given year. They depend on a range of factors, including food import prices, domestic agricultural prices, domestic labour and manufacturing costs, and exchange rates, all of which fluctuate over time. Some of these factors are influenced by our trading arrangements with other countries. Most food sector businesses are accustomed to fluctuations in supply chain costs, and they do not necessarily pass them on to consumers. Negative food inflation rates were recorded for much of late 2020 and early 2021, as we were in the earlier stages of the pandemic. We know now that, sadly, energy costs are rising substantially, and we are of course monitoring the effects of that on prices of products for consumers extremely carefully.
We carry out annual surveys looking at household expenditure on food, and we monitor that closely as well. Spending among the poorest 20% of households has been broadly stable for the last 14 years. Since 2008, between 14% and 17% of the expenditure of the poorest households has been on food and non-alcoholic drinks, while the average household has spent between 10% and 12% of its income on food.
Bearing in mind that we are the sixth richest country on this planet, what explanation would the Minister offer for the fact that a growing number of my constituents in Leeds Central are having to go up to a complete stranger at a food bank and ask them for help to feed their families because they do not have enough money to feed them themselves?
I hope that in the course of my remarks I will be able to answer the right hon. Gentleman more fully, but in brief I would like to say that we clearly have increases in the cost of living. The Chancellor came to this House to talk about them in detail last week and I know that there have rightly been many debates on this important subject—
(3 years, 10 months ago)
Commons ChamberOh dear. I remain very fond of my hon. Friend, who continues to tempt me, Madam Deputy Speaker, down routes that we really do not need to go down in discussing this legislation—indeed, we are all busily debating amendment 18 as if it were before us.
To return to what we are meant to be talking about, if amendments 12 and 16 remained in the Bill, they could create a long list of new conditions that imports under trade agreements would have to meet. Such conditions do not exist under any agreement that the UK or the EU have to date, and they could also apply to trade already taking place, which we very much hope will be the subject of roll-over deals.
We will drive a hard bargain for access to our market, and existing import conditions will need to be respected. However, trading partners would be extremely unlikely to agree to all the potential new requirements in the amendments. The amendments are also not totally clear on what we would be asking of our partners. For example, what is relevant to protect the environment in the UK will surely not be what is relevant to other countries with different climates or conditions. From rules on nitrates to rules on hedgerows, our standards are sometimes bound to differ from those abroad.
Given that uncertainty, I am concerned that the amendments could jeopardise the 19 currently unsigned agreements that we are seeking to roll over. Trade, of course, already takes place under those agreements, with existing import requirements met. Unpicking those and demanding the numerous extra conditions in the amendments could upset the current deals if partners refused and walked away. In the worst-case scenario, that could affect whisky exports to Canada, worth £96 million, potato exports to Egypt, worth £30 million, and milk powder exports to Algeria, worth £21 million.
I think the hon. Lady said a moment ago that the problem with the amendments was that they would impose conditions that the EU has not sought to apply to any existing trade agreements, but is that actually the case? Is it not true that the free trade agreement between the EU and Chile in 2003 explicitly included a reference to animal welfare—the point made a moment ago—and that when the EU negotiated a trade deal with the Mercosur countries last year, it made the reduction of tariffs on egg products conditional for the first time on the countries concerned, namely Brazil, Argentina, Paraguay and Uruguay, keeping their hens in line with EU animal welfare standards? If the EU can do that, why are the Government resisting us doing that when we take back control?
As the right hon. Gentleman knows very well, the EU has been able to put welfare standards of various kinds and levels in different trade agreements over the years. That is a perfectly proper thing to do, as long as it is done in compliance with international law. The point I was trying to make—I apologise if I did not make it sufficiently clear—is that it would be unwise, particularly in the agreements we are seeking to roll over in very short form, to add a set of conditions that, to my reading at least, are not entirely clear and that are broadly drafted. It would be difficult to agree with the partners with whom we already trade as part of these continuity agreements a whole new set of conditions and, indeed, a method of assessing those conditions in very short order. That might well put them off agreeing a deal with us. That is my concern.
In summary, the tools we have to ensure high standards are, as I have tried to set out, many and varied. They are strong enough to protect standards, even under pressure. We have existing regulation under retained EU law, which is watched carefully and controlled by the Food Standards Agency. Parliament can scrutinise new trade deals, as indeed the Select Committee on International Trade is about to do for the Japan deal. Other experts, including those on the Trade and Agriculture Commission, can advise us on trade policy. Last, but by no means least, we have the buying power of the British consumer, who is increasingly committed to high standards of animal welfare.
We will carry out a serious examination of the role of labelling in promoting high standards and high welfare across the UK market. We will start to consult on that before the end of this year. That combination of measures will protect producers of high-welfare British food, while allowing us to import when we wish.
Turning to amendment 17 on emissions reduction targets—