Leaving the EU Debate

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Department: Cabinet Office

Leaving the EU

Laura Smith Excerpts
Tuesday 12th February 2019

(5 years, 9 months ago)

Commons Chamber
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Baroness May of Maidenhead Portrait The Prime Minister
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My right hon. Friend is obviously right about the votes that took place in this House. However, the amendment tabled by my hon. Friend the Member for Altrincham and Sale West (Sir Graham Brady), which was voted for on a cross-party basis, also referenced the fact that this House wanted to leave the European Union with a deal, and that is what we are working for. I repeat to my right hon. Friend that we cannot just say that we do not want to have no deal; we can ensure that there is not a no-deal situation only by agreeing a deal.

Laura Smith Portrait Laura Smith (Crewe and Nantwich) (Lab)
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A common external tariff would mean reduced friction in the trade of goods, which would be hugely beneficial for our manufacturing sector. A new customs union would achieve this and would not, as I understand it, prevent us from striking our own trade deals in services. Why, then, is the Prime Minister ruling out this alternative arrangement for the backstop, and why is she so confident that the benefits of setting new tariffs outweigh the negative impacts of increased friction and costs throughout supply chains?

Baroness May of Maidenhead Portrait The Prime Minister
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The description of the situation given by the hon. Lady is not one that I recognise. If she cares to look at the political declaration—

Laura Smith Portrait Laura Smith
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I have.

Baroness May of Maidenhead Portrait The Prime Minister
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The hon. Lady says that she has looked at the political declaration, and we make it clear in that declaration that the future relationship will have no tariffs, quotas or restrictions of that sort. She asked why not a customs union. The customs union requires us not to be able to strike our own trade deals. The benefit of the deal that has been agreed and that the Government first put forward is that we would achieve the benefits of no tariffs, no quotas and no restrictions at the same time as being able to negotiate our own trade deals.