European Union (Notification of Withdrawal) Bill

Ian Blackford Excerpts

Committee: 2nd sitting: House of Commons
Tuesday 7th February 2017 Commons Chamber

[Michael Gove]

Again, my hon. and learned Friend, who is a silk and who took with forbearance my comments about lawyers before making her own very acute point about economics, is absolutely on the button.

Are we to accept that for the first time ever, once the impact assessments have been published, an official Government document will be taken by my friends in the Scottish National party or the Labour party as holy writ? Are they going to say, “Thank heavens, this document bears the name of the Secretary of State for Exiting the European Union, so it absolutely must be right, because this is the only way in which I can form a judgment on whether or not leaving the European Union will be a success”? Can I expect the hon. Member for Ross, Skye and Lochaber (Ian Blackford) to say, “Oh look, the impact assessment from the Department for Exiting the European Union said X, and now, six months later, X has been satisfied, so I am going to give up and accept that the Secretary of State is right, because everything that he has done is in accordance with what he has previously said he would do”?

[Ian Blackford (Ross, Skye and Lochaber) (SNP)]

The right hon. Gentleman has said that members of the Government have made mistakes in the past. This is about the House holding the Government to account. We must recognise the reality of what has happened. He talks about the estimates that are out there, but the reality is that the currency has already fallen substantially against the dollar, and we are aware of the impact of an increase in inflation. The impact assessments must be informed by the reality. Let us also not forget that we have heard nothing from the Government—no plan—about how we are going to effect trade with Europe. Of course we need impact assessments if we are do our job properly as Members of Parliament.

[Michael Gove]

rose—

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[Patrick Grady]

I am sure that the hon. Gentleman was here for my Second Reading speech last week, so he will know that 78% of my constituents voted to remain in the European Union. I am therefore reasonably confident that their voice is at last being heard. They will make their judgment at the next election, whenever it comes, and I will be happy to live with their decision.

We want to test the will of the House on new clause 143. It tests the Government not only on the practical costs of Brexit but on the hard money, because we know that the financial costs will be high. It is simply not in the interests of the remaining member states for the UK to be better off as a result of Brexit. We have already seen the shocks to the currency market described by my hon. Friend the Member for Badenoch and so on—[Laughter.] I am not quite as good at this as the right hon. Member for Surrey Heath (Michael Gove). We have seen the shocks to the currency market and the revisions that have already happened in the economic forecasts. Withdrawing from the European Union and exiting the single market will lead to an enormous hit on our economy, and new clause 143 calls on the Chancellor to bring forward further revised forecasts and an assessment of the UK’s financial liability to the EU on the completion of the triggering of article 50.

[Ian Blackford]

We are talking about financial considerations, but this is about the impact on people and we have to think about UK citizens who are living in Europe. At the moment, they are entitled to healthcare cover and to a UK state pension that will be uprated, but there is no certainty that that will continue post-Brexit—the UK does not pay pension increases in countries with which it does not have a reciprocal arrangement. This is also about the EU citizens who may return to France, Germany, Spain or wherever and be caught up in the same trap, because while they paid national insurance here, the UK might not have a commitment to uprating pensions. Those are the sorts of issues that the Government must provide certainty on.

[Patrick Grady]

Indeed. That is covered in amendment 72, in which we ask the Department for Work and Pensions to provide an assessment. I hope that there will be time for the House to discuss that measure in more detail later on.

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[Patrick Grady]

That is a good point, well made. As I said at the start of my speech, we need the facts in front of us.

[Ian Blackford]

rose—

[Patrick Grady]

I will make a little progress because, as I said, we have a number of important amendments to discuss, but my hon. Friend can try to intervene later.

Amendment 51 calls for a report on the impact of UK withdrawal on Scottish seaports. The problems caused by Brexit that are facing Scottish seaports are expensive and complex. Concerns for the maritime industry surround general policy areas such as employment law, immigration, border controls and contract law, as well as transport-specific areas such as freedom to trade, safety, the environment, tonnage tax and security. The White Paper offers only more uncertainty.

The UK Government’s stated approach to immigration post-Brexit may create an increased need for border activity at Scottish seaports, and the Government’s preferred arrangements for trading post-Brexit—out of the EU customs arrangements—will necessitate additional customs checks on exports and imports at seaports, and will affect trade volume at seaports, so the Government have to mitigate that uncertainty by publishing a full impact assessment of those complex issues for Scottish seaports before triggering article 50.

Amendment 52 calls for an assessment of financial implications for charities, on which I have a certain amount of experience from my international development portfolio. International development charities across the United Kingdom are already feeling the impact of Brexit and the currency fluctuations. Money that they had raised—money that the UK public had voluntarily donated—is now worth less as a direct result of the Brexit decision, which is having an impact on the day-to-day lives of people in developing countries to whom charities had pledged money that is now not worth what it was when the pledges were made. I hear nothing from the UK Government saying that they want to make up the difference or give the charities any kind of support. UK charities generally receive some £200 million a year from the social fund, through EU structural funds and from the regional development fund.

[Patrick Grady]

I agree entirely. All of us who deal with stakeholders in the third sector will hear stories such as that time and time again. It probably explains why research published by the Association of Chief Executives of Voluntary Organisations, which represents more than 3,000 employees and 15,000 volunteers, revealed that its charity chief executives were increasingly worried about the future. Half of those surveyed receive funding from the EU and 30% confirmed that indirect funding was at risk. As I have said, in the immediate case we have seen the devaluation of currency being spent by those charities.

Amendment 53 calls for a report on the relationship between the Channel Islands and the EU. The Channel Islands are not a member of the EU, but they have access to the single market and now face being denied that by a hard Tory Brexit. That is why our amendment seeks a report that sets out the full implication of the relationship between the Channel Islands and the EU, and the impact that Brexit will have. That is vital because there will be a serious impact on many key Channel Islands industries, including finance and fisheries. Again, that is an example of why we need these impact assessments.

Amendment 57 calls for a revised strategic defence and security review. The last SDSR was based on the 2015 national security risk assessment, which took place before the European referendum and did not consider any post-Brexit scenarios. As such, it is no longer fit for purpose. The SDSR makes no mention of the EU’s common security and defence policy, whereas the White Paper outlines existing UK participation in the CSDP and expresses the intention to continue that co-operation post-Brexit. Again, we see the in and out of the Tories’ Brexit.

[Ian Blackford]

My hon. Friend is giving a damning indictment of the UK Government’s lack of preparedness for Brexit, but this is also about what will change. We have heard about agriculture and fisheries, but the fact remains that Europe has delivered for Scottish crofters and Scottish farmers, and one institution that we have not been able to depend on is the UK. The EU has given the UK €233 million of convergence uplift funding, which was primarily to go to Scottish crofters and farmers, yet we have only got 16% of it. Who should we be trusting? Should we be trusting Europe or should we be trusting the UK Government to deliver for our crofters and farmers

[Patrick Grady]

That is a fair point. We hear Government Members saying, “Where did that money come from? It came from UK taxpayers”, but my hon. Friend is exactly right in what he says. The road I cycled up to school every day, in Inverness and in the country—this was when I was slightly younger than I am now—was built and paid for with EU money. There is no way on God’s earth that Thatcher’s Government would have spent that money on that road, which shows why people in Scotland voted to remain in the EU.