Tuesday 9th October 2018

(5 years, 7 months ago)

Commons Chamber
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Dominic Raab Portrait The Secretary of State for Exiting the European Union (Dominic Raab)
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With permission, Mr Speaker, I will update the House on the progress in the negotiations to leave the EU and on the Government’s planning for no deal. Since I last updated the House, our negotiations with the EU have continued and intensified, and we were engaging constructively with our EU counterparts over the recess break. Let me take the main areas of the negotiations in turn.

On the withdrawal agreement, while there remain some differences, we are closing in on workable solutions to all the key outstanding issues, building on the progress made during the summer on issues such as data and information, the treatment of ongoing police and judicial co-operation in criminal matters, and ongoing Union judicial and administrative procedures after the date of exit. We have also been discussing our proposals on the linkage needed between the withdrawal agreement and the future relationship, and the EU is engaging constructively.

On the Northern Ireland protocol, we remain committed to the undertakings we made in the joint report back in December to agree a backstop in case there is a delay between the end of the implementation period and the entry into force of the treaty on our future relationship. That was agreed to avoid any risk of a return to a hard border in the intervening period, but we will not accept anything that threatens the constitutional or economic integrity of the United Kingdom. Creating any form of customs border between Northern Ireland and the rest of the UK, which is what the EU had proposed, would put that at risk and that is unacceptable. As my right hon. Friend the Prime Minister said, it is not something that she, nor any British Prime Minister, could agree to. We are engaging with the EU on our alternative proposals that preserve the integrity of the UK. They will be in line with the commitments we made back in December, including the commitment that no new regulatory barriers should be created between Northern Ireland and the rest of the UK unless the Northern Ireland Executive and Assembly agree.

On the future relationship, we continue to make progress on, for example, both the internal and external security arrangements for future co-operation, although there is still some way to go. As the House will know, the Prime Minister presented our proposals on the economic partnership to EU leaders at the informal Salzburg summit. We understand that the EU has raised some concerns, particularly around the distinction between goods and services under the common rulebook and with respect to the facilitated customs arrangement. We continue to engage constructively with the EU, and we continue to press our case. The UK’s White Paper proposals are the best way of ensuring that there is continued frictionless trade in goods after Britain leaves the EU while fulfilling the joint commitment to avoid a hard border between Northern Ireland and Ireland and respecting the referendum.

The negotiations were always bound to be tough in the final stretch. That is all the more reason why we should hold our nerve and stay resolute and focused, and I remain confident that we will reach a deal this autumn because that is still in the best interests of the United Kingdom and the European Union. It is the best way of protecting trade between Britain and the EU—trade which underpins jobs across the continent. It is the best way of ensuring that we continue to co-operate seamlessly on security matters and to tackle crime and terrorism to keep UK and EU citizens safe. It is also the best way to avoid a hard border in Northern Ireland that would adversely affect communities living there or separating Northern Ireland from Great Britain, which we will not countenance. To achieve those aims, the UK has brought forward serious and credible proposals. We continue to engage with the EU to press our case and to better understand the nature of their concerns. Equally, it is time for the EU to match the ambition and pragmatism that we have shown.

While we intensify our negotiations to secure the deal we want and expect, we are also expediting preparations for no deal in case the EU does not match the ambition and pragmatism that we have shown. As the Prime Minister stated on 21 September after the Salzburg summit, the Government have made it clear that we will unilaterally protect the rights of EU citizens in the UK in the event of no deal. To the 3 million here, we say, “You are our friends, our neighbours, our colleagues. We want you to stay.” We will set out the details as soon as is practical, and we now urge the EU and all its member states to step up and give UK citizens on the continent the same reassurances. It is time, on both sides, to provide all our citizens with that comfort and confidence.

Since I last updated the House in September, we have published 52 more technical notices in two further batches. They inform people, businesses and other key stakeholders of the steps they need to take if we do not reach a deal with the EU. They cover a wide range of sectors, building on other work that has taken place across Government over the past two years to prepare the UK for Brexit irrespective of the outcome of negotiations. They acknowledge that there are risks to a no deal scenario, but they also demonstrate the steps we will take to avoid, mitigate and manage any potential short-term risks and disruption. Overall, we have now published 77 technical notices, which form part of the sensible, proportionate measures we are taking to prepare the country for every eventuality.

Our most recent batch of technical notices were published on 24 September; they are set out in a written ministerial statement today. There are 24, and they range from aviation—the advice for airlines on the impact of no deal and the actions for them to consider to maintain services on the day we leave the EU—through to car insurance and the arrangements to ensure that green cards will be available free of charge from insurance companies to enable UK drivers to continue to drive on the continent. The publication of the technical notices enables further engagement as part of our no deal planning. For example, our earlier technical notice on VAT set out the VAT changes that companies will need to prepare when importing or exporting goods from the EU, when supplying services to the EU, or when interacting with EU VAT IT systems. It was welcomed by the British Chamber of Commerce, and we are grateful to them and all of our stakeholders for their constructive ongoing engagement on that necessary planning.

More broadly, on 17 September I met with the British Chamber of Commerce, the CBI, the Institute of Directors, the EEF and the Federation of Small Businesses, as part of the Government’s business advisory group, to make sure that we are explaining our negotiating proposals and no deal planning, and listening to UK businesses of all sizes and across all sectors. We will keep providing people and businesses with the advice that they need as we negotiate our exit from the European Union.

We also keep working with the devolved Administrations on all aspects of our planning for exit. I attended the Joint Ministerial Committee on 13 September. It has now met 12 times, and our last meeting was a valuable opportunity to give the devolved Administrations a full update on the negotiations, as well as to discuss the necessary no deal planning. We continue to listen very carefully to all their views. Mr Speaker, that is the way, with a concerted effort on all fronts, that we have put ourselves in the best position to make the very best of Brexit, and I commend this statement to the House.

Keir Starmer Portrait Keir Starmer (Holborn and St Pancras) (Lab)
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I thank the Secretary of State for advance sight of his statement. It is always good to see him in his place, but may I politely point out that it would have been much better if this statement had come from the Prime Minister? It is no good hiding behind the badging of the Salzburg summit as informal. It was the Prime Minister who pushed for Brexit to be on the agenda at Salzburg; it was the Prime Minister who was there to lead the negotiations, and it was the Prime Minister who failed to secure a breakthrough. So it should be the Prime Minister, not the Secretary of State, in Parliament this afternoon explaining what went wrong.

After all, while the Prime Minister was negotiating in Salzburg, the Secretary of State was busy writing gimmicky letters to me about Labour policy. The image of the Secretary of State writing gimmicky letters on the very day of the Salzburg negotiations speaks absolutely for itself. It would also have been better if today’s statement contained details of substantive progress. Instead, it is like groundhog day. We get the same old story. The Secretary of State pretends that everything is going according to plan; it is just a question of dotting the i’s and crossing the t’s; everything will be all right in the end; and if it isn’t, we just crash out with no deal, stockpile food and medicines and declare that to be a great success.

I know that the Brexit Secretary will be tempted in reply to me to do what he usually does—to read out his pre-prepared attack lines about me and the Labour party. Can I urge him to resist that temptation and respond to the very serious questions to which this House and the country deserve answers? First, this Secretary of State repeatedly assured Parliament, including from that Dispatch Box, that a deal would be reached by the October Council—his words. Well, that is next week. The statement contains no such assurance today, so can he, first, update the House on when he now expects a deal to be put before Parliament?

Secondly, it is all very well the Secretary of State saying that we are

“closing in on workable solutions”

and listing the areas of agreement reached months ago, but we have been here before—many times—and that overlooks the fact that the remaining bit is the hard bit of agreeing the backstop in Northern Ireland. A solemn commitment to a legally binding backstop in Northern Ireland in all circumstances was made last December. Ten months later, all we are hearing is that the Government will publish updated proposals on the backstop at some unspecified date. There are nine days to go, so when will that be? There is no answer in today’s statement and we need an answer. Can the Secretary of State take the opportunity now to scotch rumours that the Government are not even intending to publish a backstop proposal by next week? [Interruption.] I am being repeatedly asked what I would do. I would happily swap sides at any stage, and a lot more progress would be made in the negotiations. [Interruption.]

John Bercow Portrait Mr Speaker
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Order. I have had reason to say to you before, Mr Spencer, that I am quite worried about you. I always regarded you as a rather laid back, gentlemanly farmer, but you seem to have mutated into something altogether more vociferous and aggressive. I cannot believe it is what you are eating. Calm yourself, man!

Keir Starmer Portrait Keir Starmer
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On the backstop, it is being reported that the Government are now willing to accept an indefinite UK-wide customs union as part of the Northern Ireland backstop offer—of course, it will not actually be using the words “customs union”. So can the Secretary of State set the record straight: is a customs union now the Government policy, at least for the Northern Ireland backstop—yes or no?

Thirdly, the Secretary of State repeatedly told Parliament that the final deal this House votes on would include a “clear blueprint” for the future relationship with the EU. In recent days, the Government have been emphasising just how precise this will be, yet it is nowhere to be seen. The Chequers proposals have been widely rejected by the EU and by MPs from across this House, and there is growing concern now that the Government are heading for no deal, as recent warnings from businesses, including Toyota and BMW, underline. If it is not no deal, will it be a vague deal asking us to jump blindfolded into the unknown? Labour will not support that. So will he take this opportunity to rule out a vague or blind Brexit?

For all the warm words, the reality is this: the Government have had 18 months yet they have not even concluded the terms of the withdrawal agreement and they have barely started negotiating the details of the future relationship with the EU. A responsible Government would realise the fix they are in. Instead, this Government simply repeat the mantra, “It’s Chequers or no deal.” It is not so much “nothing has changed” as “nothing can change”. This is not a necessity; this is a political choice, and it is deeply irresponsible. No Government have the right to plunge the country into chaos as a result of their own failure. Time is running out, but there is still time to change course, and I urge the Secretary of State to do so.

Dominic Raab Portrait Dominic Raab
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I thank the shadow Brexit Secretary—for his opening remarks at least. He asked a number of questions. First, let me say that the Prime Minister would not normally update the House on an informal summit; that was not the practice under the previous Labour Governments, as he probably well knows. He asked me about the October Council. We have always been clear that we would aim for the October Council but there would be leeway that it might slip into November—we are still clear on that. The October Council next week will be an important milestone. We expect that to be a moment where we will make some progress. Of course, as I have said already in my remarks, we need the EU to match the ambition and the pragmatism that we have shown.

The shadow Secretary of State asked whether we were signing up to an indefinite customs union for Northern Ireland; no, that is categorically not correct.