Trade Bill (Eighth sitting)

Debate between Katherine Fletcher and Bill Esterson

Committee stage & Committee Debate: 8th sitting: House of Commons
Thursday 25th June 2020 Public Bill Committees

[Katherine Fletcher (South Ribble) (Con)]

I welcome the hon. Gentleman’s clarification that while people have concerns about food standards the things he mentioned are not allowed in the UK at the moment. I noticed he said that sotto voce so I wanted to emphasise it for the record. They are not allowed, we are not going to have them, and it is not relevant to a continuity roll-over of a free trade agreement.

[Bill Esterson]

As we have debated many times, the Bill, with its long title, is a lot more than that.

Trade Bill (Second sitting)

Debate between Katherine Fletcher and Bill Esterson

Committee stage & Committee Debate: 2nd sitting: House of Commons
Tuesday 16th June 2020 Public Bill Committees

[Bill Esterson]

Q Thank you for that. To compare what you and Professor Winters said about the update of the entities under the GPA provisions, you referred to what you termed “technical updates” on things like the names of Government Departments, whereas Professor Winters spoke about more substantive areas of change, such as environmental ones. Will you pick up the concern that he raised about the need for additional scrutiny and the expectation that there would be a more detailed approach than mere technical updates?

George Riddell: If I understood correctly, Professor Winters’ point was about the potential for including new entities on the list and going further than the UK’s current commitments with regard to the GPA, leaving the continuity agreements question to one side. There are two aspects here. From my understanding of discussions in Geneva, they have been very focused on understanding what the UK’s current machinery of government looks like and how that could be represented as part of its GPA commitments. Certainly, the Government have said, from my understanding, that they do not intend to change the scope of the commitments, even if technical updates are necessary. I would not want to go further than that.

[Katherine Fletcher (South Ribble) (Con)]

Q Hello, Mr Riddell. Thanks for coming. I hope that the Committee will bear with me, as this is slightly out of the scope of the Bill, but I was particularly intrigued by the point that you made about measuring our trade and exports in services better. You alluded to a way to become a global leader. What would good look like in that space, as we look to get the Bill through and then move on to the next phase?

George Riddell: Two initiatives have been undertaken recently. One is that the Office for National Statistics has launched its experimental trade in services datasets, which it is looking to continually improve. Anything that supported that initiative would certainly look good. For the past Trade Bill, in the previous Parliament, a number of organisations, such as TheCityUK, put forward written evidence with more concrete suggestions. I do not have that with me, unfortunately, but I am happy to share it.

Coming to the point on the data being notoriously unreliable, both the US and the UK claim that they have a trade surplus in services with each other. There have been a number of attempts by statisticians on both sides to try to bottom out why that might be the case. It goes to show that, often, trade in services statistics are indicative and a good rule of thumb, but putting too much faith in them is not necessarily a wise move.

--- Later in debate ---

[Bill Esterson]

Do you think that it should be covered in the Bill? It is not, as it stands. Do you think that it should be, and why?

Ian Cranshaw: There is an awful lot of work going on in chemicals, and the Government are keen to deliver a chemical strategy. That is something that DEFRA has covered over the past couple of years, and it is right that we have one. We have no issue with the amount of regulation on the chemical industry. We are dealing with sensitive products, and they ought to be regulated in the way that they are. Again, we have had a good hearing from the Government, but it is about the criticality of making sure that any deal with the EU—this is key for us—can include access to data sharing, because we do not need to replicate the testing of individual chemicals to build up a UK database when a perfectly functional database exists at the European Chemicals Agency. There is plenty of provision elsewhere for chemicals and chemicals regulations, and I do not necessarily think that it needs to be in the Trade Bill.

[Katherine Fletcher]

Q I have the same question for both of you, with your respective hats on. You mentioned that the Bill has been knocking around since 2017. What happens to the chemical industry if we do not pass the Bill?

Ian Cranshaw: That is probably me for me, because Richard is focused on steel. It is really important. We want a Trade Remedies Authority to be established, fully functioning and delivering support for UK industry from 1 January next year. Chemicals go into every other manufactured good. There are chemicals in the automotive sector; there are chemicals in chlorination of water; there are chemicals in putting the aroma into the natural gas that we all use in our stoves every evening. Chemicals does have downstream industries that will all be impacted, so we need a strong chemicals sector.

If I am honest, looking at remedies and chemicals, there are not a huge number of current remedies in place in the EU, so when the Department transitioned those remedies that were relevant to the UK, did a call for evidence and assessed exactly which remedies should be brought into the UK, of the 23 remedies that existed in the chemicals sector, only two were transitioned into UK law. I am not suggesting that it is a huge area, but it is a very significant area, and those two remedies that are in place are very important to those companies, and to downstream industries in the UK. One of them is producing fertilizer, and it is the major supplier of that fertilizer in the UK, so you can appreciate that its availability to UK farmers is absolutely crucial to their operations. If they were exposed to unfair trade from external operators, that really would be a significant loss to UK capability, especially when we are looking at supply chains and ensuring that our really critical production is safely onshored at the moment.