UK’s Withdrawal from the EU

Jim Cunningham Excerpts

Thursday 14th February 2019 Commons Chamber

[Dame Caroline Spelman (Meriden) (Con)]

I have been sounding the alarm for the car industry for some time. Of course, its challenges are not just about Brexit, but Brexit has made things worse. Many of my constituents have lost their jobs. The claimant count has shot up on my council estate, and, given the lag in statistics, I fear that things will only get worse. Unemployment is now at 7.4% compared with the national average of 2.3%.

As 29 March approaches, it is paramount that we leave the EU with a deal—I have voted for the Prime Minister’s deal. Leaving without a deal would be catastrophic. This is not project fear; this is reality. These are real people’s lives that I am talking about. On Tuesday evening, I co-chaired a meeting with my friend the hon. Member for Birmingham, Erdington (Jack Dromey) of a wide range of organisations: Jaguar Land Rover, Ford, Airbus, Siemens, the CBI, the EEF, the NFU, the British Ceramic Confederation, the Association of British Insurers and so on. The damage of continued uncertainty and the lingering prospect of no deal was made perfectly clear. A total of 80% of CBI members have stopped investing in their businesses. The political uncertainty has damaged the UK’s credibility as a safe place for investment. One of the large US investors now describes the UK as the “problem child” of Europe. Against that backdrop, companies of all sizes are finding it increasingly difficult to justify doing business here.

When I was growing up, this country was often described as the “sick man of Europe”, and I really do not want us to become that again. Manufacturers are now spending tens of millions on no-deal preparations, as we heard earlier. It is extraordinary to think that they hope that that money will be wasted.

The manufacturing industry is not in decline. It accounts for 10% of the UK’s economic output. The UK is the ninth biggest manufacturer in the world, and manufacturing is not an industry that this country can afford to lose; it employs thousands of people and it pays well. However, for this success to continue, companies need to be certain that the UK is a reliable place to invest in and commit to. Unfortunately, as indicated by Ford’s recent announcements, this is now in doubt.

[Mr Jim Cunningham (Coventry South) (Lab)]

The right hon. Lady and my hon. Friend the Member for Birmingham, Erdington (Jack Dromey) have done quite a remarkable job in getting all the various organisations together. Like her, I am concerned because, as she knows, Jaguar Land Rover and a number of other companies are based in Coventry, and the local CBI has contacted me voicing concerns about the direction we are heading in with these negotiations. I hope that the right hon. Lady agrees with me.

[Dame Caroline Spelman]

West midlands MPs from across the political divide have sounded the alarm together for the jobs that are being put at risk.

Let me turn to a fresh example of what is at stake. We often speak about the economic cost, but there is a huge human cost. As Second Church Estates Commissioner, I was approached by the Bishop of Europe—yes, the Church of England has a diocese of Europe—on this subject. There are approximately 1 million European citizens living in the UK, many of whom are pensioners, and 250,000 are estimated to be receiving ongoing healthcare treatment. In addition, there are 50 million visitors from the UK annually to the continent, and they are covered by the European health insurance card. Indeed, 27 million UK citizens are registered as having one—maybe some of us do—but that provision is at stake in a no-deal Brexit. Permanent employees and residents are covered by an S1 certificate, which enables healthcare treatments to be reimbursed in the European economic area and Switzerland, but that too is at stake under a no-deal Brexit.