UK Automotive Industry

Debate between John Redwood and Baroness Winterton of Doncaster

Monday 18th September 2023 Commons Chamber

[John Redwood]

The hon. Gentleman makes a very good point, and it is an additional reinforcement, but I think fleet buyers are also very conscious of the environmental requirements.

I stress that, for this to work, it has to be a popular revolution. Millions of people have to decide for themselves, having listened to the arguments and seen the products, that green products are better than the old products, and in some cases they very clearly are and people will rush out to buy them. If we are still in a world in which people are not of that view, we can subsidise, tax and lecture all we like, but people will not change their mind.

One of the ways in which businesses and people could get around any attempt by this Government or a future Government to ban all sales of new petrol and diesel vehicles in 2030, when the rest of the world is not doing so, is that people will set up businesses to import nearly new petrol and diesel cars from places that still sell them and make them, to sell them as second-hand cars on the UK market. I do not believe anyone is suggesting that we ban the sale of second-hand diesel and petrol cars, as that would immediately remove all the value from our cars, meaning that we are prisoners—we either run the car until it falls to pieces or we lose its value and are unable to make the changes we would normally make.

There will have to be a definition of what is a new car, and it will presumably have something to do with how long ago it was made and/or how many miles it has on the clock. Whatever the definition, there will then be a good opportunity for people to sell cars that are four months old, rather than three months old, or that have 3,000 miles on the clock instead of 500 delivery miles. There would be a nearly new market, but the cars would all be imports, because people here would try to obey the law.

I urge all politicians to remember that they cannot just lecture, ban, tax or subsidise people into doing things unless the product has an underlying merit that people can see. Can we please work with the industry to prove that underlying merit? And do not ban things in the meantime, because Britain will lose jobs and factories. We cannot save the electric vehicle until the electric vehicle saves itself.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the SNP spokesperson.

Digital Markets, Competition and Consumers Bill

Debate between John Redwood and Baroness Winterton of Doncaster

2nd reading
Wednesday 17th May 2023 Commons Chamber

[John Redwood]

Indeed. I do not wish to go into the details of a recent case, because I have not studied all the documents, which would be necessary to do justice to both sides of the argument. Thinking back to when I was competition Minister—a good while ago now—when I was acting for the then Secretary of State, there was a difficult issue that arose over media challenge to the then existing limited number of media players where two of the new services wanted to merge together. I recommended, and we decided, that the two should be allowed to merge because they made a more effective competitor to what was already there, rather than taking the narrow pro-competition view that we needed to have two new challengers. The danger was that they would both fight each other to the death and leave the main media institutions—ITV and the BBC—unchallenged by alternative services.

The regulator has to understand that competition is not always furthered by blocking something; sometimes it can actually be furthered by encouraging the new. The main issue in competition law is often the definition of what is the market. I have already mentioned retail. If the market is online retail, we might want to stop a successful online retailer growing by acquisition, but if the market is retail, we might want a strong online competitor in order to challenge the previously dominant shop retailers. However, it is now coming to the point where it may be the other way around—where we need to be worried about the adequacy of the conventional retailer response.

Let me illustrate the importance of the central issue of capacity to the debate. One thing that has been extremely scarce—this has been blamed by many for the worst part of the inflation we have been experiencing—is energy. If the United Kingdom persists in saying that we do not want to get our own gas out of the North sea, we will not automatically transfer to green electricity; we will import gas from somewhere else. By doing so, not only will we damage our economy, as we forgo the jobs in the North sea and the cheaper gas, because the imported gas will be dearer; it will also be much worse for the environment, because by delaying or blocking the gas that we could get out, we will automatically import more liquefied natural gas. LNG generates at least twice as much CO₂ as burning our own gas down a pipe because of all the energy entailed in compressing a gas, liquefying it, transporting it and then converting it back to the gas that we need to use. It is therefore a doubly foolish policy.

We need to expand our capacity in energy where it is available and we need to understand that there are huge economic gains to producing our own. We also need to be worried about national resilience. If we wish to say that we can defend our country and its allies, it is terribly important that we produce enough for ourselves. Having energy self-sufficiency is always critical to having a country with resilience and strong defences.

The electrical revolution seems to be popular in most parts of the House of Commons, with people urging the Government to achieve a faster electrical revolution, switching more and more people from being predominantly users of fossil fuel—most of us predominantly use fossil fuel with a petrol or diesel car and a gas boiler—to using electrical means for our main energy uses. If we are to pursue that electrical revolution, there needs to be a massive expansion in grid capacity and in cable capacity into everybody’s homes, offices and shops. It is simply not possible at the moment to generate the competition that we want for electricity against fossil fuels, and within electricity for renewables against more traditional ways of producing electricity, because the new renewable ways are so grid intensive and need so much more grid and cable capacity—we have to time shift them because they are often not available—that we are not going to get very far.

Already, I have helped with a major investment in my constituency, which was very welcome. One possible stumbling block was that the electricity companies could not offer enough power for the particular business development. There had to be an agreement over how much power the development could have available, because there was not limitless power for it to buy. The issue was to do with grid capacity. We will find that that becomes more and more common if we do not get on with dealing with this particular issue.

A very topical issue today is capacity in motor vehicles. If we are to have a full range of choice and enough domestic production, it is not a good idea to ban the sale and therefore the manufacture of petrol and diesel cars as early as 2030, when no other major country in the world is doing so and when there will still be quite a lot of buyers who want petrol and diesel cars. I urge the Government to understand what competition choice means. It means that people will buy electric cars when they want to buy them. They will buy electric cars when they are cheaper and better, and when they believe that the range is right and that the necessary back-up facilities are in place. I have no doubt that electric vehicle sales will grow, but it would be quite wrong to have an artificial injection of policy to ban older cars and prevent capacity and choice.

If the UK does not have battery production capacity, all we will do by banning petrol and diesel cars is destroy the successful industry that we have, which makes extremely good petrol and diesel cars, without having the replacement industry in place. It is not a simple matter of switching the production line from a diesel car one day to an electric car the next; it is a totally different product, built in a totally different way. An electric car needs a battery, which may be 40% of its value, and currently we cannot produce those batteries in any numbers to replace the capacity that we wish to cancel. I urge the Government to think again about consumer choice, competition and investment flows, because there is no way that people will want to invest serious money in the UK motor industry if its regulatory environment is more hostile than those elsewhere.

I was pleased to see my right hon. Friend the Prime Minister take a great personal interest in food production. I believe he held a very successful seminar yesterday and asked the Secretary of State for Environment, Food and Rural Affairs to go away and work up a series of measures. I do not doubt the enthusiasm of my right hon. Friend the Secretary of State, which I fully share and have often promoted, for us to grow much more of our own food in this country and to offer that much more choice to people in our supermarkets. However, when I look at the package of measures the Department has brought forward, there is hardly anything in it that would carry that ambition through.

The Department still intends to spend most of its subsidy money, most of its exhortation and a great deal of its regulation on encouraging farmers not to produce food, to wild their land and to achieve great things on managing the landscape for us all. That is all very nice, but it is possible to have perfectly attractive fields growing food, and that is clearly what we need rather more of.

We need to back the new robotics, artificial intelligence and electromechanical technologies that could transform the production of fruit and vegetables and other market garden products, as they used to be called, where we have allowed our market share to fall dramatically in the last 30 or 40 years. We are now reliant on imports, which limits choice, drives up prices and puts our national food resilience more in doubt because, were there to be problems with the supply from our normal suppliers abroad, I am sure we would be towards the back of the queue when it came to getting to what we needed.

I am conscious that others wish to speak in the debate, so I will not go into every sector, but the Government need to review sector by sector what they are doing that could help to increase capacity. Can they not reposition their subsidies, grants and direct investments, which they are making around the place on a pretty colossal scale, in a way that promotes that capacity and thus eases the position for competition? There is a particularly worrying trend at the moment—one that is bad for public spending and bad for business—that we make so many confused interventions that we need another intervention to deal with the previous intervention.

I will finish on the issue of high energy usage industries—steel, ceramics and other similar industries—which are gravely at risk. We have lost colossal capacity and market share under Governments of all parties since I have been around watching such things. The danger is that that loss will accelerate from here because we decide to impose the highest carbon taxes of any advanced-world country, as far as I can see—another major problem for the cost base of industries that are struggling to compete—and we then draw back in horror when we see that there could be closures and job losses, so the Government put some subsidies back in and we have a subsidy trying to countervail the tax. However, the subsidy is usually not as much as all the taxes combined, because when we add the 31% corporation tax—should there be any profits, and unfortunately there often are not—on top of the windfall taxes on the energy companies and on top of the carbon taxes on the steel and ceramics businesses, the tax burden is colossal and would be punitive were businesses to succeed and start making money. The demand for subsidy then becomes greater.

To have a competitive market would be extremely welcome. We have a market that is not nearly competitive enough. I ask the Government to look at what they are doing, because I think they are in danger of doing counterproductive and contradictory things: taxing too much, subsidising not quite enough and then inventing rules that stop people doing business.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the SNP spokesperson.

Out-of-Turn Supplementary Estimates 2022-23

Debate between John Redwood and Baroness Winterton of Doncaster

Monday 24th October 2022 Commons Chamber

[John Redwood (Wokingham) (Con)]

I am glad the Minister agreed that the £60 billion for the energy scheme will of course adjust according to market prices, and let us hope that the current downward trend in some of the gas prices is continued. We need a mild winter and other bits of good fortune, otherwise we could be back facing even bigger bills. I am sure we are all appreciative of the fact that the new Chancellor wishes to review the scheme after March, because this is a very expensive scheme and there may be better ways of doing it to contain the expenditure.

I hope, for example, that consideration will be given, where price controls are still being offered to consumers, to limiting the amount of subsidised fuel any household can buy to a reasonable amount for a normal household, so that those who are in richer households and making much bigger demands on the fuel system would pay for the additional fuel they need—if they are lucky enough to have a heated swimming pool, or whatever it is—and would pay the full price on the extra fuel that such luxuries require. That is offered as a hopeful idea of how one can start to grapple with the very high costs of this scheme without in any way undermining the crucial guarantee to all those who are struggling with their bills already and want this kind of security.

I also have some concerns about the Bank of England estimate. It is quite true that, from Chancellor Darling onwards, quantitative easing decisions have always been jointly taken by Chancellors of the Exchequer and Governors of the Bank of England. One of the main reasons why they have always been joint decisions is that the Bank of England always understandably insisted on a complete capital guarantee against losses on the bonds, because it was envisaging buying so many bonds that they became very big for the Bank of England balance sheet, and it wanted to be reassured that the Treasury and taxpayers stood behind the system in case of losses.

To the extent that this supplementary estimate is to make good losses on bonds that the Bank of England is selling, I have these questions. First, why does the Bank of England think it must sell bonds at this juncture, when the United Kingdom bond market, the American bond market and lots of other bond markets around the world are particularly depressed by the need for a counter-inflation strategy based on high interest rates? We are crystalising a loss that, as I understand it, the Treasury then has to pay for, whereas if we have an unrealised loss, no payments are of course needed until eventual redemption, and very often the redemption value of the bond is considerably higher than today’s price in the market. I cannot quite understand why the Bank needs to sell these bonds now, and as this has always been a joint policy in which Chancellors have been very heavily involved and have heard Bank of England advice—Chancellors had to sign it off because the taxpayer is at risk, not the Bank of England itself—I hope this will be carefully re-examined.

To those who say that we do need to be selling bonds as well as putting up interest rates to curb inflation, I would say they should be careful not to overdo it. If the Bank really does feel it has to tighten even more, it can do so by a further rise in interest rates; it does not have to do so by selling bonds. Very directly, as we see tonight, the sale of these bonds can realise a loss and then can trigger a cash requirement on taxpayers and the Treasury at an extremely bad time for such a cash requirement. I think all of us have much better priorities than paying for bonds that are underwater, when we see the current state of the economy and the need to route more money to individuals and companies in the right ways, to see off a longer and deeper downturn and provide some balance in the public accounts. I ask the Minister and Chancellor to think again, and to talk again to the Governor of the Bank of England about their joint responsibility. They must ask whether this is really the right time to be crystalising losses, resulting in unspecified amounts of money that will have to be paid.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the SNP spokesperson, Alison Thewliss.

Energy Prices Bill

Debate between John Redwood and Baroness Winterton of Doncaster

2nd reading
Monday 17th October 2022 Commons Chamber

[John Redwood (Wokingham) (Con)]

I welcome the Government’s announcement today that this scheme should be time-limited to six months and that a different scheme should be developed against the possibility that energy prices remain very high for the months thereafter. I do not think that we can go on indefinitely at the rate of the cost of this particular scheme over the winter. If this continues, we need to target the support much more clearly on the many people and families in this country who could not afford the bills otherwise and leave those who have rather more money and are using rather more energy on luxuries to pay more of that for themselves. We have time to sort out a scheme that we can target better. I am sure that this Committee, and the dialogue that will continue, will make sure, through pressure from Back Benchers and Front Benchers, that we do not leave anybody out. It is very important that everybody has proper support one way or another so that they can afford their energy bills this winter and beyond.

I am also sure that the long-term solution is more domestic energy. We cannot carry on relying on unreliable imports, which can, at times, force our country to pay extreme prices on world markets to top up our gas or electricity because we do not have enough for ourselves. We are a fortunate country with many opportunities to produce fossil fuel and renewable energy. We have been a bit lax in recent years in not putting in enough investment, so I hope that the Secretary of State will look again at the incentives—as I am sure he will—and at the predictability of contracts and investment, so that Britain is a great place in which to invest for these purposes, and so we can exploit more of our energy and have more reliable supplies, even generating a surplus in some areas so that we can help Europe, which is very short of energy and does not have many of our natural advantages.

My concluding point is that we cannot go on for too long with a complex net of subsidies, price controls and interventions without damaging the marketplace more widely and sending the wrong signals, so I am glad that this measure will be short-term. We need a better system for the future so that there can be plenty of support for those on low incomes if energy prices remain high, but also much more investment to solve the underlying problem.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the SNP spokesperson.

Ajax Noise and Vibration Review

Debate between John Redwood and Baroness Winterton of Doncaster

Wednesday 15th December 2021 Commons Chamber

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call John Spellar—[Interruption]—Sir John Redwood.

[John Redwood (Wokingham) (Con)]

Thank you, Madam Deputy Speaker. The Minister says that there is a robust fixed-price contract, which is great news. Is he guaranteeing to the House that the very considerable remedial costs will not fall to taxpayers in any way?

Coronavirus

Debate between John Redwood and Baroness Winterton of Doncaster

Wednesday 16th June 2021 Commons Chamber

[John Redwood (Wokingham) (Con) [V]]

It is time to trust people more. It is time to control people less. I would like to praise Ministers and officials, and particularly all the scientists, medics and researchers, who have worked so hard to ensure that the UK is a leader in vaccines—supplying one of the best vaccines to the world, getting it out early and making it available for all of us, and ensuring that we had bought in other vaccines that became available so that we were in a position to protect our population well and relatively early compared with other countries. I pay tribute to all the work by the NHS and the medics to understand how to treat the disease better and how it is transmitted so that we can take better actions to give people greater security.

I say now to all those experts, the NHS and the Government, “Share what is relevant with the rest of us—the public—and let us make more of our own risk assessments.” We are now saying to people that there are two major ways in which we can all protect ourselves against the possibility of getting this disease, or a bad version of it. First, we are making two jabs available to all adults who want them, and the figures so far show that that gives them a much better probability of not catching the disease at all and very strong protection against a serious case of it, which is what we are mainly worried about, as we are trying to stop people dying or struggling in intensive care, and to stop that pressure on the NHS and all the suffering that it produces.

We are also saying to people, “If you’re still worried about the residual risk or if you really don’t like vaccines, you can self-isolate.” I hope that the Government will continue, as an employer and as the Government, guiding others in the economy to say that we should be generous and supportive of anyone who really does feel that they need to protect themselves against the virus by self-isolation, but I think that we are now well beyond the stage where we have to isolate practically everybody else to some extent when so many people now have protection, are making their own risk judgments, and want to get on with their lives.

In the room, when assessing the data, it is important that we look at all the data about jobs, livelihoods, incomes, family stress and mental health pressures, because this policy is creating all of those. The Government can do more. They should be helping the private sector to manage air flows, air extraction, ultraviolet cleaning and so forth to make it safer for many more social contact businesses to reopen and have a reasonable number of people enjoying their services. I think that more could be done on ensuring that all our health settings have really great infection control, because we do not want any more slippages from health settings themselves.

I urge the Government to think again about an idea they looked at early on but did not develop, which is in the large populated areas, particularly the conurbations, to have isolation hospitals that deal with covid and other variant infectious diseases well away from general hospitals. We add to the pressures and the likelihood of cross-infection if we have a general hospital taking in a very infectious disease.

There is now huge scope to get a really good economic recovery to save jobs, create new jobs and get pay up, to have many more transactions in the economy. To do that, however, we need to relax and to trust the people more. I think my constituents are ready to make decisions about their own lives again and many are very frustrated that they are not allowed to. We have all this great advice and knowledge. Let us not get too gloomy and let us not lock everybody up again.

[Madam Deputy Speaker (Dame Rosie Winterton)]

As colleagues will be aware, there have been quite a few interventions, so after the next speaker I will have to take the time limit down to three minutes in order to get everybody in.

Environment Bill

Debate between John Redwood and Baroness Winterton of Doncaster

Report stage & 3rd reading
Wednesday 26th May 2021 Commons Chamber

[John Redwood (Wokingham) (Con) [V]]

I have declared my business interests in the Register of Members’ Financial Interests.

There is much to welcome in the Government’s aims. Like most MPs, I look forward to cleaner water and cleaner air. It is right that we take more care of the other species that we share our islands with, and I look forward to those greener and pleasanter lands having more protection and more support. I also welcome the idea that we should plant many more trees. However, at this point in our deliberations, we should ask the Minister to give us a bit more background and information about the costs of this transformation so that we can know that it is realistic and that it will be properly shared.

When we look at the legislation itself and at the impact assessments, we see that there is very little by way of hard information about how much cost may be entailed and who should primarily bear that. There are wide-ranging powers to introduce more waste charges, for example, but the statements in the impact materials say that an impact cannot be assessed and that it will depend, in due course, on what actual charges are brought in. When we look at the very expensive rules on producer responsibility—taking more responsibility for packaging, batteries, waste, electrical equipment and end-of-life vehicles—we are told that a partial cost of the first item is about £1 billion a year, but there is no information on the full cost and there is no information on the others. There is a bit of information on the cost on housebuilders for the habitat provisions, and there is not a lot of worked-through financial information on the deposit return scheme.

I think that there are ways forward where we can make sure both that we have a better environment and that we are earning more revenue from suitable and sustainable exploitation of nature’s abundance. I hope that the Government will work hard on finding ways that enable livelihoods to be increased and improved, just as we are also doing the right things by the environment.

Let us take the case of trees, for example. I do hope that, as we plant many more trees, there will be more sustainable forestry. I always thought it quite wrong that we import so much wood from across the Atlantic to burn in the Drax power station, when surely we should be looking for sustainable sources at home. It is also quite wrong that we import so much of the timber that we need for our big house building projects, when, again, this is a good climate for growing softwood. Surely we can go about our task of finding sustainable ways. We need to cut the wood miles and to have that sustainable forestry here, as well as having the beautiful and diverse trees in our landscape in suitable places where the Government will offer their own taxpayer-based financial support.



Let us hear a little more about the livelihoods and the opportunities. Let us show how we can have both a beautiful countryside and a working countryside, so that we can cut the wood miles and the food miles, ensure more buy-in from business and individuals to these great aims of having a better natural environment because of the opportunities to do more at home, and have that happy conjunction of success in business, harnessing nature’s abundance and the beauty of nature’s abundance, while respecting all the other species that share our islands with us.

[Madam Deputy Speaker (Dame Rosie Winterton)]

We now go to the SNP spokesperson, Deidre Brock.

Finance (No. 2) Bill

Debate between John Redwood and Baroness Winterton of Doncaster

Committee stage & Committee of the Whole House (Day 1)
Monday 19th April 2021 Commons Chamber

[The First Deputy Chairman]

I think what we should probably do is go to our next speaker and come back to Seema. We will go now to Sir John Redwood.

[John Redwood (Wokingham) (Con) [V]]

Dame Rosie, I have declared my business interests in the register.

Of course, I am not going to vote against this Budget and I wish the Government well with it, but I would like them to pause a little, think through where we are and recognise that they may need to revisit some of these decisions in the months ahead. My worry is that they are being too tough in their tax measures and too tough on people’s incomes at a time when we need to build confidence and recovery, and they are doing so at a time when it is really impossible for their expert advisers and other economic forecasters to give them a clear steer of what the public finances will look like in two years’ time, let alone in three or four years’ time.

The Government seem to think that their experts can define a given amount of money that will be a shortfall in order to hit their longer-term Government targets, and therefore say that we need to make these tax changes for the next few years in order to fill the alleged black hole. It may be that they are trying to fill a hole that does not exist. It may be that we will have a much better recovery than the forecasters are thinking. It may be that the economy responds much better over the next two or three years or, indeed, over the next two or three months, as the relaxations kick in.

We can see the difficulty that the official forecasters have if we look at the numbers they gave us as recently as November 2020. Then, the OBR, forecasting the budget deficit—the amount of extra borrowing—for the year 2020-21, said that it would be £394 billion, an enormous amount. Bear in mind that it was having to forecast for only four months, as two thirds of the year had already gone. When we got the 11-month figures, up to February, recently, we discovered that they had come in at just £278 billion and so, subject to what happened in March, it may be that the OBR was the best part of £100 billion out on the deficit for the year in question when it tried to forecast, already knowing quite a lot of what had happened. It was, of course, massively too pessimistic. It is great news that we will have borrowed so much less than we feared, although clearly we are still borrowing far too much on an unsustainable basis, which is why we need to promote a strong recovery to get the deficit down.

I therefore say to the Government: let us show a little humility. The experts and advisers are not able to give us anything like accurate figures—I can sympathise with them, because extreme things have happened in response to the pandemic—so are we sure that we need to make these moves over the next three or four years?

There is also a case for showing a bit of humility and thinking ahead about whether we might need to show a bit more flexibility because the Government themselves have rightly said, now that we are out of the European Union and the economic world has been stood on its head, that they want to set out a new framework for guiding the economy. I encourage them to do that, and I hope it is a framework that promotes growth and considers real issues such as the increase in the number of jobs, the rise in real incomes and the productivity growth that can be achieved.

We need to get away from the Maastricht criteria, which have governed our policy for many years and still seem to be behind the architecture of this Bill. We seem to be driven by the need to get state debt falling as a percentage of our national output by the end of the period that we are talking about today for the tax changes. State debt is now a pretty useless figure to try to target in the way that the Maastricht criteria did. We now live in this age of monetary experimentation, where great banks such as the Bank of England, as well as the European Central Bank, have bought in very large quantities of state debt—indeed, they still are doing so. Surely, where that happens in a single sovereign country with its own central bank, owned on behalf of the taxpayers by the state, we should treat the debt that we have bought back in rather differently from the debt on which we owe money by way of interest to people outside—some our own citizens, some foreigners—who have been financing the Government. That makes state debt a very difficult number to use to guide the economy. Of course, the future system must have some control over the build-up of actual interest charges that we have to pay to third parties, but it should concentrate much more on promoting growth.

May we therefore have just a few words from the Government, accepting that these numbers are very difficult and that the current forecasts are likely to be very wrong? No one can say exactly how wrong they are going to be, because so many things will happen over the next two or three years and nobody has been through a bounce back of the kind of pace that is possible from such a big hole in our economy, created by necessary health measures to cure the pandemic.

We need a policy that is very supportive of more jobs, of higher incomes and of encouraging investment, enterprise, saving and, above all, self-employment and more small business activity. My worry is that the Government are being a bit mean with people and with small businesses in the name of controlling state debt at a time when we have no idea what the state debt will be in two or three years’ time, and when the state debt number is now very different because of the purchase of state debt by the state itself.

I would hope that the Government recognise that we may need to revisit all this, and I would want them to be on the side of people keeping more of the money they earn and, above all, of a much better deal for small business and the self-employed, where I think they are too tough.

[The First Deputy Chairman]

We are having one or two technical issues, so we will go straight to Richard Burgon.

United Kingdom Internal Market Bill

Debate between John Redwood and Baroness Winterton of Doncaster

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Tuesday 29th September 2020 Commons Chamber

[John Redwood]

I must not take up too much time. I wish to develop my argument quickly.

We have to recognise what we are dealing with here. The EU withdrawal agreement was pretty unsatisfactory and one-sided because the previous Parliament stopped the Government putting a strong British case and getting the support of this Parliament in the way the British people wanted. The Prime Minister wisely went to Europe and did his best to amend the withdrawal agreement but it was quite clear from the agreed text that a lot was outstanding and rested to be resolved in the negotiations to be designed around the future relationship, because we used to say that nothing is agreed until everything is agreed and that the withdrawal terms had to run alongside the future relationship.

The EU won that one thanks to the dreadful last Parliament undermining our position all the time. This Prime Minister is trying to remedy that and the only reason I was able to vote for the European Union (Withdrawal) Act 2018—much of it was an agreement that I knew had lots of problems with it—was that we put in clause 38, a clear assertion of British sovereignty against the possibility that the EU did not mean what it said in its promises to my right hon. Friend the Prime Minister and did not offer that free trade agreement, which was going to be at the core of the new relationship. We therefore needed that protection, so I am pleased that the Government put it in.

That made me able to vote for the measure to progress it to the next stage, but I was always clear that the EU then needed to get rid of all its posturing and accept what it had said and signed up to—that the core of our new relationship was going to be a free trade agreement. We were going to be a third country, we were not going to be under its laws and we were not going to be in its single market and customs union, but it has systematically blocked that free trade agreement. The UK has tabled a perfectly good one based on the agreements the EU has offered to other countries that it did not have such a close relationship with, but it has not been prepared to accept it. Well, why does it not table its own? Why does it not show us what it meant when it signed up to having a free trade agreement at the core of our relationship? If it will not, we will leave without a deal and that will be a perfectly good result for the British people, as I said before the referendum and have always said subsequently.

Of course, it would be better if we could resolve those matters through that free trade agreement. As colleagues will know, many of the problems with the Northern Ireland protocol fall away if we have that free trade agreement, and we are only in this position because the EU is blocking it.

Why is the EU blocking the agreement? It says that it wants to grab our fish. I have news for it: they are not on offer. They are going to be returned to the British people, I trust. I am always being told by Ministers that they are strong on that. The EU wishes to control our law making and decide what state aid is in the United Kingdom. No, it will not. We voted to decide that within the framework of the World Trade Organisation and the international rules that govern state aid—rules, incidentally, that the EU regularly breaks. It has often been found guilty of breaking international state aid rules and has been fined quite substantially as a result.

I support the Government’s amendments, and I support this piece of legislation. We need every bit of pressure we can to try to get the free trade agreement and the third-country relationship with the EU that we were promised by it and by the Government in the general election. We can then take the massive opportunities of Brexit. It is crucial that new clause 1 is not agreed to, because it would send a clear message to the European Union that this Parliament still wants to give in.

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. We have not done too badly, all things considered. However, after the next speaker, I will introduce a four-minute time limit, so that we can get in as many people as possible. I call Stephen Farry.

Awarding of Qualifications: Role of Ministers

Debate between John Redwood and Baroness Winterton of Doncaster

Wednesday 9th September 2020 Commons Chamber

[John Redwood]

I am delighted that the Opposition rightly wish to see children properly educated. I have never doubted that they wanted to see children properly educated—that must be a shared view that we all hold—but it would certainly be good if the Opposition carried on in the spirit of co-operation and responded to some of the consultations, for example, because very important decisions will now be taken over when the exams will take place, what the content of exams will be and how they will be marked and assessed. We need to have two things first and foremost in our minds: of course, we need to be fair to the pupils and to take into account that their education has been interrupted in recent months, but we also need to make sure that the system itself guarantees quality, so that they get a qualification that means something and is widely respected both at home and abroad. I hope that the Secretary of State will soon be able to bring forward positive proposals so that the class of 2021 can be properly looked after.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I understand that it is important to have free-flowing debate, but I point out that we have a lot of people who are probably not going to get in on the debate, and interventions do prevent others from speaking. That is just a gentle reminder.