Gas Prices and Energy Suppliers

Debate between Kwasi Kwarteng and Tommy Sheppard

Thursday 23rd September 2021 Commons Chamber

[Kwasi Kwarteng]

My hon. Friend is absolutely right. For example, the last Labour Government did absolutely nothing to drive nuclear power, which is a fundamental ingredient of security of energy supply.

[Tommy Sheppard (Edinburgh East) (SNP)]

The figure of £139 a year has been floated in the press as the increase in the energy price cap this year, but that refers only to the variable rate and does not take into account the changes in bills that people will face if they move from one tariff to another—often against their will in the current circumstances. Will the Secretary of State consider asking the regulator to direct energy suppliers to limit the price increase to any individual customer to a reasonable amount over the coming year?

[Kwasi Kwarteng]

As I have said, we have a supplier of last resort process, and it would be wrong of me here at the Dispatch Box to interfere in how it works. It has worked effectively over the past two years. As I have said repeatedly to the House, the energy price cap does give some succour, because consumers prices could be exorbitant without the cap. The price cap gives support, and we continue to support the warm home discount for the vulnerable end of the market.

Oral Answers to Questions

Debate between Kwasi Kwarteng and Tommy Sheppard

Tuesday 22nd October 2019 Commons Chamber

[Tommy Sheppard (Edinburgh East) (SNP)]

T6. Scotland has 35% of the total European carbon capture and storage capacity; it has much of the infrastructure already in place; and it has in my constituency the world-leading research group Scottish Carbon Capture & Storage. Will the Secretary of State press the Chancellor to seriously increase the amount of investment in the next Budget that goes into the industry, so that it can upscale and go into commercial production?

[Kwasi Kwarteng]

The hon. Gentleman is right: carbon capture, usage and storage is going to be crucial to our meeting our net zero carbon target. We are committed to supporting its deployment in the 2020s. The Government are already funding programmes in this policy area worth more than £500 million, and we will have a useful dialogue with colleagues in the Treasury to encourage the development of the technology.

Leaving the EU

Debate between Kwasi Kwarteng and Tommy Sheppard

Monday 14th January 2019 Westminster Hall

[Kwasi Kwarteng]

I am fully aware of the timescale. You are lucky, Mr Davies, that my hour-long speech will have to be curtailed. I wanted to make brief remarks because many of these points have been rehearsed at length in debates gone by, and I am sure that they will be in the future.

I am pleased that my hon. Friend the Member for Sutton and Cheam (Paul Scully) introduced the debate on behalf of the Petitions Committee. He read out the petitions and the views of hundreds of thousands of people. It was striking, as he pointed out, that all those viewpoints were, essentially, contradictory. There is a full and wide range of opinion in the country—as evidenced by the petitions—as there are divergent views in the House of Commons. In the Chamber today, with only about nine MPs, we have a wide range of views. We have people who support Brexit but do not like the deal, people who support Brexit but do like the deal, and people who do not like the deal and do not like Brexit. The permutations seem endless, and that is with only nine MPs.

I want to make it clear that that degree of divergence in view—the very different opinions expressed right across the country—shows the level of confusion that there might well be if this exercise of Brexit is not concluded in an orderly fashion. As one would expect, my view, and that of the Government, is that the best way of delivering Brexit in a timely, orderly manner is through the deal in the withdrawal agreement. It is not true to say that it does not deliver Brexit. That is a grotesque exaggeration and caricature of the deal.

I fought very hard alongside many MPs, some of whom are in the Chamber, for Brexit in 2016. I was very clear about the three things that I wanted from Brexit. I wanted to see a drastic curtailment, if not an end, to the club membership—the £10 billion net a year that we were paying indefinitely, and that would have increased as we entered a new budget period. The deal completely prevents that. There is no £39 billion figure in the agreement. That is a snapshot, or a shorthand expression.

It is a lot of money, but it actually equates to only four years of net payments. We were in the EU, or the European Economic Community, for 46 years. Everyone understands that to leave such a commitment—to leave that union after such a long period of membership—will take time. The deal recognises that. It curtails the length of the implementation period. It curtails the money. The £39 billion figure is often quoted, but that is against £10 billion every year from today until kingdom come.

Importantly, one of the big issues in the Brexit referendum was freedom of movement from the EU. Many people, particularly among ethnic minority communities, were saying, “How is it that someone from the EU who speaks no English at all can come to Britain without a job, while my relatives from Commonwealth countries outside the EU do not have that opportunity?” Many others in my constituency, including builders and people working in construction, also mentioned freedom of movement. I remember coming out of Staines station and meeting someone who said that he would vote for Brexit because he had not had a wage increase for 15 years. A clever economist might say that that was simplistic, but that was the view—that was how people felt that their professional experience was developing. Freedom of movement was a big issue.

The withdrawal agreement—the deal that we need to vote on—is not perfect; like any deal in history, it includes some give and take. However, it substantially delivers on putting an end to freedom of movement, and that is why we are introducing an immigration Bill. As I recall, the third big issue in the campaign was about the jurisdiction of the European Court of Justice: would it continue to be sovereign over this Parliament? On that issue, too, the withdrawal agreement delivers. It is a good deal, and it largely delivers on what we campaigned for as Brexiteers.

I say to my Brexit colleagues, as the Prime Minister said in her speech today in Stoke, that there is a marked and strong current of opinion in the House of Commons that wants to subvert or reverse Brexit. I know that those are strong words, and people will say, “Oh, we just want to scrutinise legislation.” Forget all that—it is clear to a child that there are MPs in this House who want to reverse the referendum. They have openly said that the referendum result was a disaster and have pledged to overturn it, but they know that the only way that they can do that is by means of a second referendum. It is not that they like the idea of a second referendum because they want to test the robustness of the decision or celebrate the exercise of democracy, but that the way to reverse Brexit is very clear: it has to be done through a second referendum, to give it the authority that the first had. I do not know about our Scottish National party friends, but it would take a very bold remainer to say that the House of Commons could simply unilaterally disregard the referendum.

If one wants to stay in the EU, one has to accept that the only way of doing so is with a second referendum. Hon. Members who sit on the Conservative Benches or who represent leave constituencies have detected a hardening of public opinion, however. As a Member who represents a leave constituency, I concur: even if a second referendum took place, I do not believe that the remainers would get their wish. Nevertheless, I fully understand that that is their only shot—their only conduit to reversing something that they think is a disaster—so it is the route they want to pursue. The Government’s view is that that would be wholly disruptive, divisive and simply a cheat, because it would be an attempt to circumvent the decision.

The vast majority of Members of this House voted to have the referendum, voted to trigger article 50 and voted to pass the European Union (Withdrawal) Act 2018. Let us be under no illusions: the debate on a second referendum is simply about trying to reverse the result of the first. The Government simply cannot accept that. We want to move forward and conclude Brexit in an orderly and managed fashion—I was almost going to say an elegant fashion, but I think that that would be pushing things too far.

[Tommy Sheppard]

If the Minister is so convinced that he and the Brexiteers, as he calls them, would win a second referendum, why is he so scared of letting the people have a say?

[Kwasi Kwarteng]

What was interesting about the hon. Gentleman’s speech was that about halfway through it, I realised I had heard it all in a speech he gave before Christmas. It was eloquent and well put, but I have heard all the arguments before.

I am not scared of a second referendum; I am simply trying to focus people’s minds on what it means. It is being proposed not by great exponents of democracy or champions of the people’s voice, but almost exclusively by people who are on the record as saying that the first referendum result was a disaster, that they want to reverse it and that they fully accept that the only way of getting their cherished aim of staying in the EU is with a second referendum. I reject that approach because it tries to subvert the result of the 2016 referendum. We can pretend that it is a wonderful exercise of democracy, but it is not; it is trying to go against the clear and decisive vote of the people in 2016.

The hon. Gentleman says that opinion polls have changed, but they have not changed that much. And as my hon. Friend the Member for St Austell and Newquay (Steve Double) points out, they are the very opinion polls that said the day before the 2016 referendum that remain would win by 10 points, and that got things consistently wrong throughout the whole referendum campaign. I do not believe that the second premise of the argument made by the hon. Member for Edinburgh East (Tommy Sheppard)—that somehow there has been a marked shift in public opinion—should precipitate a referendum.

EU Membership: Second Referendum

Debate between Kwasi Kwarteng and Tommy Sheppard

Monday 3rd December 2018 Westminster Hall

[The Parliamentary Under-Secretary of State for Exiting the European Union (Kwasi Kwarteng)]

I am delighted to stand here, on my first outing as a Minister to represent the Government and make the Government’s case, under your chairmanship, Mr Hollobone; I am very pleased about that. This has been a very interesting debate. As has been observed, more right hon. and hon. Members could have participated, but I think that quality is better than quantity. That has always been a principle of mine, and I was delighted to hear as many speeches as I did.

I thank my hon. Friend the Member for Sutton and Cheam (Paul Scully) for opening the debate on behalf of the Petitions Committee. I also thank all those who participated in the debate. The petition brings up a very important question—the idea that we should have a second referendum. I want to make it as categorically clear as possible that this Government will respect the result of the referendum and we will not—I repeat, we will not—hold a second referendum. Let me go into some of the reasons why we do not want to do that.

The hon. Member for Blackley and Broughton (Graham Stringer) made a very good point when he referred to the levels of condescension and the idea that people were too stupid to understand what membership of the EU meant and what leaving it would mean. It is ridiculous to assume or to think that people in this country, who have been debating this issue for 45 years—it has been an issue ever since we joined the EU—were too stupid to understand the question on the ballot paper. It is also offensive—it is ridiculous and offensive.

Then we heard the other idea. The hon. Member for Edinburgh East (Tommy Sheppard) said, “Well, people weren’t stupid, but they were conned.” That is like me saying to a friend, “When you lost your money, you weren’t stupid, but you were conned.” Essentially, it is saying that, for whatever reason, people were misled; they were gulled into making a choice, which they actually knew perfectly well about. They simply did not want, as an electorate, to stay in the EU, and it is the job of the Government, as it always has been, to deliver on the vote.

Let me give my personal point of view. I was in the Vote Leave campaign. I represent a constituency that voted 60% to leave the EU. My sense, as a constituency MP talking to people, is this. A large number of remainers are very quiet. They voted remain for all sorts of reasons. Perhaps some of them believed that the fear and uncertainty were too great. But now that the electorate as a whole have embarked on this course, many of those remainers want to see it through.

The hon. Member for Edinburgh East suggested, “Oh, the polls have changed wildly.” They have not. If we look at the polls a week before the campaign started in 2016, we see that they were exactly where they are now. Remain, as I recall, had a 10-point lead and, in the course of the campaign, its lead was reversed.

[Tommy Sheppard]

I take the Minister’s point, but does he not accept that there is a considerable difference between the result in June 2016 of 52:48 and the average of polls now, which is 55:45 against?

[Kwasi Kwarteng]

My very point was that the hon. Gentleman should not place too much credence in the polls. If the polls had been right, this would never have happened. If the polls four months before the actual result had been right, remain would have won by a huge margin. I question the notion that because the polls are essentially saying exactly the same thing as they did four months before the last referendum, that means that the public have changed their mind; I dispute that. The hon. Gentleman was absolutely right to suggest that we cannot simply relitigate this issue year after year. The previous Prime Minister, David Cameron, made it very clear that the result would be respected. It was a close result, but a clear and authoritative one.

I was musing on this question during the hon. Gentleman’s speech. If, by some misfortune, the Scottish National party had got its wish and won the independence referendum in 2014, how enthusiastic would it be about another referendum on that question? It would simply have shut down the issue.

--- Later in debate ---

[Tommy Sheppard]

That is a good debating point, but let us be clear: the 2014 Scottish referendum was conducted, as has been said, on the basis of a campaign and discussion that lasted more than two years, a vast debate and a 670-page White Paper that spelled out exactly what the proposition was. Surely the Minister is not drawing a comparison between that and something that was based on a slogan on the side of a bus?

[Kwasi Kwarteng]

I will absolutely make the comparison and I suggest to the hon. Gentleman that the United Kingdom’s membership of the European Economic Community and now the EU had been a top-line issue for 45 years. If it had not been, why was there a referendum in 1975, the year I was born? This issue has gone on for two generations, so I suggest respectfully to the hon. Gentleman that the electorate did have a sense of what they wanted.

We cannot go down the route of simply relitigating referendums when we do not like the result, because that essentially is what this boils down to. That is essentially what is driving the call for a second vote—the so-called people’s vote. Former Prime Minister Mr Blair has said as much. He makes no bones about the fact that he thinks that Brexit is a disaster and the way to reverse Brexit is by means of a second referendum. It is an instrument by which one can reject the will of the people as expressed in June 2016. Let us not be fastidious or naive about this. The people who generally are driving for a people’s vote and a second referendum want to reverse the result. They think—mistakenly, in my view—that the way to reverse the result is to get a second referendum, which will confirm or reconfirm our membership of the EU. I think they are wrong and, as I have said, the Government have made a clear undertaking that we will not have a second referendum.

The question on 23 June 2016 was clear; it was absolutely unequivocal. The question was simply:

“Should the United Kingdom remain a member of the European Union or leave the European Union?”

Many of us in the Chamber took part in the referendum campaign—some with Vote Leave and some with the Stronger In or remain campaign. It was a very hard-fought and widely trailed discussion. Some people have said that the quality of the debate was not good enough or that some pieces of information were withheld, but generally it was an extraordinary exercise in democracy. As has been said many times, it was the single biggest vote that this country had ever seen in a general election or any other kind of election. And as we all know, 17.4 million votes were cast to leave the EU. That was the highest number of votes cast for anything in UK electoral history.

What those calling for a second vote—the so-called people’s vote—are saying is that the people should think again. Essentially, they are saying, metaphorically, to the electorate, “Your homework was not good enough. Please do it again.” As the hon. Member for Blackley and Broughton suggested, the electorate—certainly in my constituency—are quite a cussed lot. I do not see the floods of support for remain described by others. I strongly suspect—this is my personal view—that a second referendum would not deliver a different result.

That is irrelevant, however, because the Government are tasked to enact the will of the majority of the people, as expressed in the 2016 referendum. All major political parties were committed to respect the outcome. We fought a general election on the basis that we would leave the EU. As has been said, 499 Members of this House voted to invoke article 50, which we all knew would involve a two-year process, at the end of which we would leave the EU. All of that is in the public record and everyone understood the consequences of it. Furthermore, the Labour party committed in its 2017 manifesto to leave the EU and the customs union. More than 80% of the British people voted either Conservative or Labour in the general election. They voted for parties that were absolutely committed to respect the 2016 referendum result. That is exactly what the British people expect us to do.

I fully understand the emotional impetus behind the call for a second referendum, but I think it is a ruse by which people seek to stay in the EU. We are pledged to leave the EU. The full democratic process of the referendum delivered a clear directive, which this Government hope to deliver. The call for a second referendum opens up a huge question about the levels of trust in our Government and our democracy. We have to respect the will of the people. To do otherwise and say, “We will have a second referendum and try to reverse the result of the first referendum, because you got the wrong answer first time,” is not only an abnegation of democracy, but profoundly disrespectful of the electorate. As a Minister, I would not want to see that.

We have to look at the nature of the referendum itself. It was a long, four-month campaign, but we cannot just think of the referendum as those four months in 2016, because this debate had been going on for decades, not only in my party but in the Labour party. I am old enough—just—to remember the 1983 general election, in which the Labour party was pledged to leave the EEC. That created great divisions and caused great debate within the Labour party. My own party has been a scene of great discussion and lively debate on this issue. It is not right to say that those four months of the referendum campaign in 2016 encapsulated the whole debate, because it has been ongoing for 45 years and more.

I sense that I am in a room of clairvoyants, because everyone has told me that the Government will lose the vote on Tuesday. I have been in the House long enough—let us see what happens. People have asked, “What about plan B?” If I knew plan B, I would not divulge it in this Chamber—I assure hon. Members of that—so the question is redundant. I remind hon. Members that the choice is between a deal and no deal, because, as others have suggested, the hourglass is running quickly. We are running out of time. Article 50 was invoked on 29 March 2017. It does not take a mathematician to work out that 29 March 2019 will be the end of our formal membership of the EU. Nor does one have to be mathematically gifted to work out that there are fewer than four months between today and exit day. In that timeframe, the notion that the Government will throw off their policy of the last two and half years and then bring in some parliamentary device for a second referendum to take place before the exit day is, frankly, ridiculous. We do not have the time to do it and people would feel that it would be extremely irresponsible to do so.

I could spend the next hour and three quarters trying to convince hon. Members of the merits of the deal. I do not want to do that, because they probably want to do other things. However, I will say that the deal does precisely what the electorate voted for. On immigration, we have heard about restrictions to freedom of movement.