Postal Packets (Miscellaneous Amendments) Regulations 2023 Debate

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Department: HM Treasury
Wednesday 19th July 2023

(10 months ago)

Grand Committee
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Regardless of anyone’s position on the framework and of the deeply held views about Northern Ireland’s position within our union, this is no way to make legislation for a significant part of our union. I hope that the Government respond positively to the serious conclusions of the Secondary Legislation Scrutiny Committee, and I hope that the way they conducted these regulations is not repeated.
Baroness Chapman of Darlington Portrait Baroness Chapman of Darlington (Lab)
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My Lords, the noble Lord, Lord Purvis, is correct to emphasise what the Secondary Legislation Scrutiny Committee observed about timing and the lack of consultation and impact assessment; of course, that is important, and I am sure that the Minister will want to respond to it fully. The reason it is so important is not just because it is our job to ask those questions, which we ask frequently; it is because, particularly in the matters before us today—as we heard, issues of Northern Ireland’s place within the union have been raised, as a consequence of the sense that this is being rushed or is not being done adequately—it is beholden on the Government to make an extra effort to make sure that this is done in a way that is beyond reproach, as far as Ministers are able.

These regulations implement part of the Windsor Framework, which we support. The Minister knows this, and we have been clear about it. We think it is a far better solution than that which was arrived at previously with the Northern Ireland protocol. It is also better than the approach that the Government sought to take with the protocol Bill, which we spent many weeks discussing earlier this year. Brexit brought us to this place. A solution needed to be found, and there was always going to be this kind of unsatisfactory compromise on Northern Ireland. This was raised before the vote took place. As we all know and have repeatedly said, Northern Ireland voted to remain and a solution needed to be found. I am afraid that this is probably the least worst option that we can land on at the moment.

Consumer-to-consumer parcels and business-to-consumer parcels will not be subject to regulations, and business-to-business goods intended to remain in the UK will use the green lane, while other goods will be subject to declarations and checks. We know that life will not be that simple and that there will be complications—in the real world, things will not always work as anticipated—and there will have to be some recognition of that as we go forward. The questions raised by the noble Lord, Lord Purvis, will have to be answered—if not today, then in the execution of this. That is life, and that is how we will have to approach this. But, having come to the point of securing an agreement, which was approved by the other place by 515 votes to 29, it is incumbent on the Government to make good on what they agreed.

My noble friend Lady Ritchie spoke of the opportunities for Northern Ireland from its unique position, and she asked important questions about the advice and support for businesses that will have to navigate these new arrangements. Is HMRC adequately prepared and resourced to make this work, and can the Minister explain how the green lane will be policed? The noble Lord, Lord Purvis, described the EU as a foreign power, which it is, but it has our consent and agreement. This is the arrangement that we have come to with our negotiating partners. There were other options: the Northern Ireland protocol was the one that was settled on by Boris Johnson and the noble Lord, Lord Frost. We all agreed that it was unsatisfactory —no one seemed particularly happy with that outcome—and here we have moved on to something that is an improvement.

I completely accept what our friends the noble Lords, Lord McCrea and Lord Dodds, had to say. I understand the challenge, but I find myself searching for an alternative viable solution. I know that one could have been that we all stayed in the customs union or the single market, but that is not the position of any of the main political parties and I believe it is not the position of the DUP. The noble Lord, Lord Dodds, may correct me if I am wrong about that—here he comes now.

Lord Dodds of Duncairn Portrait Lord Dodds of Duncairn (DUP)
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I thank the noble Baroness for giving way. On alternatives, I refer her to the report by our Select Committee on the protocol, on which I have the honour to serve along with the noble Baroness, Lady Ritchie. In July last year, it said—I do not have the precise reference, but I can supply it—that, in relation to parcels, the solution was to continue as with the grace period, and that there should be no fettering of parcel deliveries between Great Britain and Northern Ireland. The cross-party Select Committee did suggest a very good solution—one that, unfortunately, the Government decided not to run with.

Baroness Chapman of Darlington Portrait Baroness Chapman of Darlington (Lab)
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I read that report and I commend the noble Lord for bringing it to our attention, but we cannot arrive at a solution unilaterally, as the United Kingdom. Whatever solution we arrive at must be agreed with our negotiating partners. I was not part of that negotiation but, from what Ministers have indicated, it would seem they were not able, at this point, to settle on that with the European Union. We can regret that, but it is the reality of where we are. We are surely in the business of dealing with reality as we find it, not as we would wish it to be.

It really ought to be a priority for the Government to rebuild trust. I would urge far more candour and a franker approach when we discuss these issues, and not to do anything which would give the impression that we are somehow trying to steamroller these things through. Can the Minister explain exactly what a business would have to do to become part of the trusted trader scheme, so we are clear about exactly what we are asking businesses to do? We completely understand the dissatisfaction that some have with the framework but there is, at the moment, no other viable alternative solution.

I am not going to comment on the mismanagement of the Joint Committee on Statutory Instruments and the debate that took place in the other place. I read Hansard and found the way it was conducted extraordinary, but that is not for me to manage. This is clearly not business as usual; it is different and unique. There have always been differences, which were previously brought to the fore regarding animals and other things, but it is obvious that some contributors this afternoon feel there is somehow a threat to their constitutional position, and we cannot be relaxed about that. We have to recognise that and take it seriously. I disagree; I am British and if I moved to Belfast I would still be equally as British. I might have to fill in some forms if I wanted to receive goods from a business in GB to my business. I could live with that without a threat to my Britishness, but is it not for me to tell other noble Lords how they should feel about it, and they are quite right to bring those points to the attention of the Committee.

I could not agree more strongly with those who said that what we need is a frank and open discussion, and perhaps a change of tone and being a little more relaxed as a Government about all this. I know we have had some torrid debates on these issues in recent years and that the protocol was a disaster. Things have happened and things were said; promises were made, but they should not have been because they were broken knowingly and very quickly. We have damaged our international reputation as a good partner to negotiate with and I regret that very much but, with a change of attitude from the Government, and a more respectful approach to colleagues in Northern Ireland and to this House, we could move forward in a much more positive way.