European Union: Future Relationship

Jonathan Reynolds Excerpts

Thursday 27th February 2020 Commons Chamber

[Michael Gove]

My right hon. Friend has made an excellent point, which reflects the brilliant work that he did as Business Secretary. It is absolutely the case that there are common technical standards in which British experts play a distinguished part. We will want to ensure—and I know that others will want to ensure—that those common standards can help to underpin successful commerce and trade.

[Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)]

The Minister began by saying that the Government were not asking for anything that was not already in an existing agreement between the EU and another country, but then gave an answer on financial services which the document backs up, saying that the Government were seeking an enhanced, comprehensive equivalence regime for our major sector. I must respectfully say to him that those statements cannot both be true. There is no single equivalence regime—it is a patchwork of regulations—and there are major bits of legislation that contain no equivalence provisions at all, such as cross-border payments regulation, the motor insurance distribution directive and the single euro payments area. So, with respect, we are asking for something additional, and one of the answers that the Minister has given is not really correct.

[Michael Gove]

I am grateful to the hon. Gentleman for his thoughtful intervention, but all that we are seeking is straightforward equivalence in financial services. The European Union has said that it will review that, and we will know the conclusions of its review by June.