Northern Ireland Protocol Bill

Jeffrey M Donaldson Excerpts

Committee stage
Wednesday 13th July 2022 Commons Chamber

[The First Deputy Chairman of Ways and Means (Dame Rosie Winterton)]

Just a gentle reminder that quite a few hon. and right hon. Members are wishing to catch my eye. I cannot impose a time limit because we are in Committee stage, but Members may like to bear that in mind.

[Sir Jeffrey M. Donaldson (Lagan Valley) (DUP)]

It is a pleasure to follow the hon. Member for Bromley and Chislehurst (Sir Robert Neill). We have become good friends since both serving together on the UK delegation to the Parliamentary Assembly of the Council of Europe, and I hold him in the highest of respect.

On behalf of my colleagues, I pay tribute to the former Secretary of State, the right hon. Member for Great Yarmouth (Brandon Lewis), who is in his place, for the work that he has done in bringing the Bill to this stage, and for the work that he did during his tenure as Secretary of State. He developed a good understanding of the difficulties in Northern Ireland with the protocol and the other issues. I know that it is his desire to move Northern Ireland to the next stage of the peace process to move towards reconciliation, but he recognised that there was a need to deal with these fundamental issues before we could get to that point. I thank him for the work that he has done in that regard. On behalf of my right hon. and hon. Friends, I extend our grateful appreciation.

I also welcome the new Secretary of State, the right hon. Member for North West Cambridgeshire (Shailesh Vara), to his place. I got to know him well when he was a Minister in the Northern Ireland Office and we look forward to working with him in the weeks ahead on the issues that confront us at this time.

I want to respond to the points that have been made in relation to amendment 1 and related amendments, to deal with the question of necessity in particular and the immediacy of the risk that has given rise to the Government introducing this legislation. I understand the points that have been made cogently here. Therefore, it is important, representing one element of the political community in Northern Ireland, to outline why we believe the Bill is necessary. We counsel against impeding the ability of the Government to press forward with this legislation.

On the risk, I echo the comments made by the hon. Member for Aberconwy (Robin Millar). For us as Unionists, there is a risk to the Union in relation to how the protocol is being applied in Northern Ireland. Both the High Court and the Court of Appeal in Northern Ireland have stated that the protocol subjugates article 6 of the Act of Union. That article confers on Northern Ireland citizens the right to trade freely within their own country. It states that there shall be no barrier to trade between the constituent parts of the United Kingdom. No one could reasonably argue that the protocol does not put in place barriers to trade. It most certainly does and I hear that every day from my constituents, whether they are consumers or businesses, and the difficulties that they are facing in trading with the rest of the United Kingdom.

Those difficulties have led to political instability in Northern Ireland. They have had an economic impact in Northern Ireland and I would argue strongly that there is the potential for that to lead to societal problems. We on these Benches have worked hard to ensure that those problems have not arisen. When people have taken to the streets and engaged in violence, we have worked in local communities to prevent a repetition of that. That has been the case across the community. It does not mean, though, that there are not strong feelings, particularly within the Unionist community, about what this protocol means not only for trade, which is important, but for their identity and for their place in the Union. As we have seen over the years in Northern Ireland, when people feel that their identity is threatened, when they feel that their place in the United Kingdom is being undermined, that can lead to societal problems.

The hon. Member for Bromley and Chislehurst has rightly argued that, from his perspective, he is looking to see the immediacy of the risk, but I say to him that it is there, it is very real and I ask him to take on trust from my contacts within the Unionist community that it is bubbling beneath the surface and we have worked hard to try to ensure that that does not emerge.

[Colum Eastwood (Foyle) (SDLP)]

The right hon. Member has stated that the Union is at risk because of the protocol. I know that he is no big supporter of the Good Friday agreement, but does he not accept that very clearly written into that agreement is the principle of consent? That basically means that, no matter how much I want it, we cannot change the constitutional position of Northern Ireland until the people of Northern Ireland and the people of the Republic of Ireland vote for it.

[Sir Jeffrey M. Donaldson]

I will come to the Good Friday agreement in my remarks, but I simply say to the hon. Member that there is a difference of view as to how we interpret what is required in terms of consent. Lord Trimble, as one of the key negotiators of the Belfast agreement, has stated very clearly that the principle of consent does not just apply to the final question as to whether Northern Ireland should remain part of the United Kingdom. The term “constitutional status” extends to these circumstances, where Northern Ireland’s constitutional relationship with the rest of the United Kingdom has been changed by virtue of the subjugation of the Acts of Union.

[Sir Geoffrey Cox (Torridge and West Devon) (Con)]

The right hon. Gentleman knows with what affection I regard him, his party and Northern Ireland, having had the privilege of being Advocate General for Northern Ireland. What he is saying is a very good case for triggering article 16, which was the entire purpose of the inclusion of article 16 in the protocol. It is not necessarily a good reason, however, for changing the entire basis of the treaty, including writing out the jurisdiction of the Court of Justice of the European Union, and so on. How do we get from a position where we have societal impacts, with which I am perfectly willing to agree, to a position where we virtually rewrite the terms of a treaty that we solemnly signed only two and a half years ago?

[Sir Jeffrey M. Donaldson]

I have great respect for the right hon. and learned Member, and I know of his affection for Northern Ireland. I think back to those very difficult and challenging days when this House was dealing with the pre-departure discussions about the laws that would have to be put in place around the treaty to leave the European Union. I thank him for the time that he took to understand the situation in regard to Northern Ireland.

I would say two things in response to the point that the right hon. and learned Member has, understandably, made. First, the Command Paper published by the UK Government one year ago last July set out the basis on which they believed that the conditions had been met for article 16 to be triggered. We have been very patient. We have waited and waited, and we allowed time for the negotiations with the European Union to go forward in the hope that the EU would show more flexibility. I do not doubt the integrity of Maroš Šefčovič as the lead negotiator, but the difficulty is that his negotiating remit is so constrained that his ability to deliver the change that is required to meet the need—to resolve the difficulties created by the protocol—is so limited that in the absence of a change of his remit, I do not think those negotiations will get anywhere.

Article 16 and the triggering thereof is a temporary measure; it is not a permanent solution. What I need, what Northern Ireland needs and, especially, what business in Northern Ireland needs is certainty. That is why we believe that the Government are right to bring forward proposals for a longer-term solution, and not just to go for the temporary fix—the sticking plaster—of article 16. That will create more uncertainty rather than giving us certainty, and it is certainty that we are looking for. That is why I think that what the Government have done is right in the circumstances.

[Gavin Robinson (Belfast East) (DUP)]

I think my right hon. Friend responded fairly to the former Attorney General, the right hon. and learned Member for Torridge and West Devon (Sir Geoffrey Cox), who has been a good friend to Northern Ireland over many years and knows our opposition not only to this protocol from the start, but to preceding arrangements that were proposed. Yet here we stand, with exactly the problems that we foresaw—the problems experienced by businesses, communities and consumers throughout Northern Ireland and the impact to our political arrangements—and still we hear every objection and reason why Government should not move.

Many people who now ask whether article 16 should be triggered were aghast at the notion it should be triggered a year ago. The right hon. and learned Gentleman is shaking his head, and I do not include him in that number. But at every stage, when Government have accepted, heard and acknowledged the crisis and the difficulty we have had with political and economic instability within our Province, there has been a good reason not to act, and still we remain without a solution. Does my right hon. Friend agree that now is the time to get on and provide the solution, not for us, but for everyone in Northern Ireland?

[Sir Jeffrey M. Donaldson]

I agree entirely with my hon. Friend, and that brings me to the heart of the issue for us—the threat to the Belfast agreement posed by the current situation.

[Colum Eastwood]

On the point about consent—we did get slightly distracted—I totally and absolutely disagree with the right hon. Gentleman and Lord Trimble on how they say consent works. It is not an elastic principle; it is about one thing, the constitutional position of Northern Ireland. If it is elastic, however, does it apply to Brexit, since that was a constitutional rupture for the people of Northern Ireland, and the people of Northern Ireland voted against it? If it applies to the protocol, why does it not apply to Brexit?

[Sir Jeffrey M. Donaldson]

Brexit did not change the constitutional status of Northern Ireland as part of the United Kingdom. The protocol did that. The referendum on Brexit was a United Kingdom-wide referendum. The hon. Gentleman and I lead parties that have the word “Democratic” in their names; I accepted the democratic decision of the people of the United Kingdom to leave the European Union, and I have fought ever since for the basis of that departure to ensure that Northern Ireland’s place within the United Kingdom is respected.

That is at the heart of article 1 of the Belfast agreement. All parties to that agreement, including the Irish Government, accepted that Northern Ireland remains part of the United Kingdom. Indeed, the Irish Government changed articles 2 and 3 of the Irish constitution to reflect the principle of consent and the reality that Northern Ireland remains part of the United Kingdom. When I voted for Brexit, I certainly never voted to change the constitutional status of Northern Ireland, and that is not something the people of Northern Ireland have been asked to do.

[Sammy Wilson]

Does my right hon. Friend accept that Brexit was all about the United Kingdom’s relationship with Europe, not about relationships within the United Kingdom, and therefore it did not fall within the scope of the Belfast agreement? In response to the claim that article 16 is the way forward, would he accept, given the nature of the damage the protocol has caused, that even if article 16 were triggered, it is quite clear that any article 16 measures would have to be restricted in their scope and duration? We do not need a sticking-plaster; the problems that have been revealed with the protocol require long-term change. It should be changed by legislation, not by some temporary measure such as article 16 would allow.

[Sir Jeffrey M. Donaldson]

My right hon. Friend makes a strong point. To be clear, the greater issue for us as Unionists is our place within the United Kingdom and our ability to trade freely within that United Kingdom in accordance with our rights under the Acts of Union. That is fundamental to us as Unionists. I understand why the hon. Member for Foyle and, indeed, perhaps the hon. Member for North Down (Stephen Farry) will argue strongly that the protocol should be retained. I have heard their arguments for that, but let us be clear: the Belfast agreement respects the right of Unionists to adhere to their position and to support and uphold their position as part of the United Kingdom. It represents for us a fundamental change that that is now threatened and, unless that is corrected and resolved, it means that our confidence in the agreement itself and its ability to protect our place in the United Kingdom is fundamentally undermined.

[Stephen Farry (North Down) (Alliance)]

I think we all agree on the principle of consent as set out in that agreement, but does the right hon. Gentleman recognise that the one-sided approach taken by the Government and by his party is eroding support for the Union inside Northern Ireland and that, by contrast, finding a workable solution around the protocol would provide a soft landing, which might create a much longer perspective on the maintenance of the Union itself?

[Sir Jeffrey M. Donaldson]

The hon. Gentleman started out this journey as someone whose party advocated that the protocol should be rigorously implemented. Now he has shifted to saying that it should be rigorously retained. He cannot say that the protocol is creating problems and then not come up with viable solutions to deal with that. I have heard his solutions, but they do not have cross-community support in Northern Ireland. What we are looking to do—I believe that what the Government have proposed is capable of achieving this—is to resolve the issue in a way that meets the needs of everyone.

The Government’s proposals meet the needs of the United Kingdom, so that the integrity of our Union and of our internal market is respected. They meet the needs of the European Union, in so far as it takes measures to protect the integrity of the EU single market, to ensure that goods at risk of entering the EU are dealt with properly by this country in a way that meets its requirements. The proposals enable the restoration of the political institutions in Northern Ireland so that the Belfast agreement can continue to be the basis upon which we move forward there.

I believe that what the Government are proposing is not one-sided, but reasonable, measured and fair. There is so much focus on how the Government are doing this that we have lost sight of what they propose to do. Any objective assessment of the Government’s proposals can only conclude that they are reasonable and fair in all the circumstances and that their overriding objective is to protect the very delicate progress that has been made in Northern Ireland under the Belfast agreement.

In relation to agreement, and this is important, we have heard much about the need to ensure that the UK maintains its honour and its international reputation. However, I remind Members that the Belfast agreement is itself an international agreement, and the protocol undermines that agreement. It is an agreement whose co-signatories are the Irish and UK Governments. There was an international agreement attached to the Belfast agreement that was co-signed by those two Governments, making it an international agreement of international standing—indeed, one that has been approved in many international bodies across the globe. Therefore the protocol, in undermining that agreement, is harming an international agreement, and that needs to be addressed.

The basis on which the political institutions were restored in Northern Ireland at the beginning of 2020, after a three-year period in which Sinn Féin left Northern Ireland without a functioning Government, was the New Decade, New Approach agreement. Again, that was an agreement concluded by and involving the British and Irish Governments. The right hon. Member for Skipton and Ripon (Julian Smith), the former Secretary of State for Northern Ireland who was instrumental in bringing about that agreement, is in his place this afternoon. I remind the Committee that New Decade, New Approach—the basis on which my party committed to re-enter, and did indeed re-enter, government in Northern Ireland—included a commitment from the Government that they would protect Northern Ireland’s place within the UK internal market. That commitment was fundamental to my party deciding to re-enter government on the basis of that agreement, but it has not yet been delivered. Northern Ireland’s place within the UK internal market has not been properly restored. It is damaged by the protocol. It is impeded by the protocol. That is why in February this year I reluctantly took the decision to withdraw the First Minister from the Executive on the basis that other elements of New Decade, New Approach were being delivered, but the most fundamental element for the Unionist community was not being delivered. On that basis, we fought an Assembly election. My party obtained a mandate for the position that it has taken, and that mandate remains intact.

--- Later in debate ---

[Sir Robert Neill]

I respect what the right hon. Gentleman is saying. He referred to the importance of an objective test. Does he agree that that may not be enough for proper parliamentary scrutiny, which we must have for the regulations, and that before the Bill completes its passage in this House, the Government ought to produce the evidence base that might support the ground that he asserts—that the necessity test is met? That might make it easier for many people to accept the provisions of the Bill, rather than giving a blank cheque, which is the concern, as I am sure he will understand. That might make the passage of the Bill through the other place easier, because at the moment enactment could be a long way off. If the situation in Northern Ireland is so grave, would we wait until enactment or some other measure?

[Sir Jeffrey M. Donaldson]

Of course that is a matter for the Government, but I am all in favour of proper scrutiny of this Bill. That is why we welcome the fact that the Committee stage will take place over three days on the Floor of the House. I commend the Government for the way in which they have handled this. They are not running away from scrutiny. I invite the hon. Member to come to Northern Ireland, when he has time, and I will gladly introduce him to the businesses that are being harmed by the protocol. He can meet consumers who find real difficulties in purchasing goods from businesses in Great Britain. Indeed, some businesses in Great Britain—many of them, now in the hundreds—have decided no longer to trade with Northern Ireland, because it is all too difficult.

[Sir William Cash]

On Second Reading, the right hon. Gentleman and I had an exchange on the democratic deficit. There is also the question of scrutiny. In terms of the political institutions and the voters of Northern Ireland, the situation is perfectly clear, as was indicated in the McAllister case where the judge used the word “subjugation”. The fact is that people—the voters—in Northern Ireland are being subjugated to the laws of the European Union in a manner that is inconsistent with our leaving the European Union. Does he not therefore agree that that democratic deficit is absolutely crystal clear and does not require evidence because it is so self-evident coram populo?

[Sir Jeffrey M. Donaldson]

That brings me to my final point, which is on the democratic deficit.

[Stella Creasy]

rose—

[Sir Jeffrey M. Donaldson]

But before addressing that I give way to the hon. Lady.

[Stella Creasy]

The right hon. Gentleman is talking about businesses and consumers who have been affected. Earlier on, his argument for this Bill was that it would somehow give the certainty that he says the protocol does not give to people. Can he, hand on heart, argue that he knows everything that will happen if the Government proceed with this legislation? Can he really tell his constituents that he can give them certainty in the chaos that we are talking about, which did not start with the protocol but started with Brexit? Where is his proof that this Bill provides certainty—the solution that he is missing—in comparison with what they know now? Better the devil!

[Sir Jeffrey M. Donaldson]

I am many things, but I am not a prophet, so I cannot say with certainty that this will happen or that will happen. But I can point to this: when the protocol, as part of the withdrawal agreement, was before this House, we warned then of the consequences of the protocol. We are not late to the table in recognising the real difficulties that the protocol would cause in Northern Ireland for businesses, consumers, and our place in the United Kingdom. I am certain that the proposals put forward by the Government in this Bill are reasonable, fair and proportionate, and will offer what business needs to continue trading within the United Kingdom and with the European Union. That is the kind of certainty that businesses are looking for.

Let me turn to the point raised by the hon. Member for Stone (Sir William Cash), for whom I have great respect. This is very important. When the Government, and indeed those who supported Brexit, argued very strongly the case for the United Kingdom to leave the European Union, it was about taking back control—control of our borders, our money and our laws. Yet in the part of the United Kingdom that I have had the honour and privilege of representing in this House for 25 years now, this does not apply. As he said, many regulations applying to business in Northern Ireland, and how we trade with the rest of our own country, are now being made in Brussels without any democratic input whatsoever from anyone in Northern Ireland—not from me and my colleagues as Members of Parliament, or from Members of the Legislative Assembly at Stormont.

There is a democratic deficit that means that we are having laws imposed on us over which we have no say. That is not taking back control in our part of the United Kingdom. In terms of money, our rules on VAT and on state aid, for example, are determined not by this Government—not by this place—but by the European Union. We have no input into how our VAT rules are drawn up or into the rules on state aid, which apply to support for businesses in Northern Ireland We do not have complete control of our money in Northern Ireland and we are losing out because of those restrictions. It is therefore very important for us that we get this right. I believe, as I said, that what the Government have proposed is fair and reasonable, and will restore Northern Ireland’s place fully within the UK single market.

[Dr Philippa Whitford (Central Ayrshire) (SNP)]

Obviously the loss of input in being at the top table is a feature of Brexit. It is a feature of all countries that are members of the EEA single market, but not of the EU. Norway, Iceland and others do not get to make those decisions. Is the right hon. Gentleman suggesting that he would prefer it if Northern Ireland were completely out of the single market? Being in the single market is the privilege that Northern Ireland has. It is helping its economy and it is supported by all business leaders. It was what Scotland asked for and was refused.

[Sir Jeffrey M. Donaldson]

We are not Norway; we are Northern Ireland. Northern Ireland is not in the single market, and let us be clear about that. The protocol requires us to align our regulations on manufacturing of goods with those of the EU single market. We are out of the single market and we are out of the EU’s customs union, but we are required to abide by its rules. That is the position in which we find ourselves, and I say to the hon. Lady that the solution the Government are offering will enable businesses to continue trading with the European Union in a way that is helpful and beneficial for cross-border trade, for my farmers and for our agrifood processing industry. Things will still work for Northern Ireland, but the Bill will also ensure that we can trade freely with the rest of the United Kingdom, which we believe is fundamental to our rights as part of the Union.

In conclusion, we believe that this Bill has the potential to move us forward in resolving the problems created by the protocol. The regulations that will be put in place when this Bill is enacted are fundamentally important to delivering those solutions. The Bill will address the democratic deficit and mean that once again, all the United Kingdom has a say in how our money, our laws and our borders are controlled. Finally, it will enable us to restore political stability in Northern Ireland by seeing the political institutions back up and running again and protecting the Belfast agreement and its successor agreements, including St Andrews and New Decade, New Approach, which was the basis upon which we re-entered government. We will not re-enter government until we are clear and sure that what the Government are taking forward will deliver what we need for Northern Ireland.

[The Minister for the Cabinet Office and Paymaster General (Michael Ellis)]

I begin by thanking Members across the Chamber for their participation on Second Reading. I want to allow for thorough debate of the Bill in Committee, and to facilitate that, and because of the plethora of amendments and the number of people who wish to speak, I might not give way as much as I usually do. I want to facilitate the number of amendments and allow people to speak for themselves. I therefore want to make some good progress, because I am duty-bound to go through a large number of amendments in this opening speech.

As we have progressed to Committee—the House will know that the Government have generously allowed no fewer than 18 hours of debate time—it is necessary to reiterate some key points that go to the heart of why the Government have introduced this Bill. The Northern Ireland protocol, as the Committee knows, was agreed with the very best of intentions, but it is causing real problems, as has already been accepted across the House, for people and businesses in Northern Ireland, including trade disruption and diversion, significant costs and bureaucracy for traders. This legislation will fix the practical problems that the protocol has created in Northern Ireland. It will enable us to avoid a hard border, to protect the integrity of the United Kingdom and to safeguard the European Union single market.

Turning to the clauses under scrutiny today, clause 1 summarises the effect of the Bill and gives vital clarity on how it will function. The clause sets out three things: first, that the Bill provides clarity that the specific areas of the Northern Ireland protocol that are causing problems would no longer apply in domestic law; secondly, that it clarifies how other legislation, such as the Acts of Union, are affected by the Bill; and thirdly, that it provides vital clarity on the operation of the Bill and its position in relation to other domestic law.

Clause 2 underpins the essential functioning of the Bill by confirming that any part of the protocol or withdrawal agreement that has been excluded by the provisions of this Bill has no effect in domestic law. That is necessary and technical, but it is vital for the Bill to function, as without that provision, there may be a lack of clarity as to whether the existing protocol and EU law regime or the revised operation of the protocol has effect. Where this Bill or its powers do not exclude provision in the protocol or withdrawal agreement, that provision will continue to have domestic effect via the European Union (Withdrawal) Act 2018, as it does today.