Brexit: Preparations and Negotiations

Lord Bowness Excerpts

Monday 23rd July 2018 Lords Chamber

[Lord Callanan]

The European arrest warrant is of course part of the security partnership that we seek to agree. It has some challenges at the moment, given the constitutional bars that one or two member states have, but we continue to discuss with the EU how we can take that proposal forward.

In a limited number of areas, we would choose to adopt a common rulebook to ensure the free flow of goods. That body of law is relatively stable, and when there are any changes, Parliament would have to approve them.

We are taking a principled and practical approach. Yes, we have shown flexibility as we strive for a good deal for both the UK and EU. As we demonstrate our ambition for a close partnership through the White Paper, it is worth emphasising two key principles that we share. The first is that Article 50 dictates that a withdrawal agreement must come alongside a framework for the future agreement. The second, flowing from that, is that nothing is agreed until everything is agreed.

We will not sign away our negotiating leverage or spend taxpayers’ money without anything in return. In December we agreed that the financial settlement would sit alongside a framework for a deep and mutually beneficial future partnership, but if either side should fail to meet their commitments—and I should say that we certainly do not expect that to be the case—it would have consequences for the package as a whole that we agree.

[Lord Bowness (Con)]

I am most grateful to my noble friend for giving way, but he is touching on a matter that is particularly topical at the moment. In Florence, the Prime Minister was unequivocal in her statement that the United Kingdom will honour commitments we made during our period of membership. It was not conditional, and “honour” was the word. Are those in favour of Brexit now reneging on the Prime Minister’s word of honour?

[Lord Callanan]

Of course we are not reneging on the Prime Minister’s words, but my right honourable friend the Secretary of State for Exiting the EU made it clear yesterday that we expect a future partnership to be agreed at the same time; it will sit alongside the withdrawal agreement and no money will be paid unless the future partnership is delivered. In these circumstances, it is the duty of any responsible Government to prepare for every eventuality, including the unlikely scenario that we reach March 2019 without agreeing a deal. It is essential that plans are in place to mitigate the risks and ensure stability, whatever the outcome of these negotiations. The Government’s legislative programme in this Session provides for a range of negotiation outcomes, including that of no deal.

In the last few months we have passed the Nuclear Safeguards Act, the Sanctions and Anti-Money Laundering Act and the Haulage Permits and Trailer Registration Act, preparing the UK for a future outside the European Union. I am grateful to the House for the constructive way it has engaged on this legislation.

We have been taking other practical action to ensure that we have the infrastructure in place—for example, recruiting 300 extra Border Force staff, with a further drive to recruit another 1,000, launched earlier this year. The Government have been working on nearly 300 no-deal plans for almost two years. Some of these are already in the public domain. As we announced last week, over August and September the Government will release a series of technical notices to set out what UK businesses and citizens will need to do in a no-deal scenario. This due diligence is designed to provide reassurance that the Government are prepared.

I note the great number of speakers listed for today’s debate and I look forward to hearing all the contributions. Before I resume my place, let me make it clear that we strive to strike the very best deal with the EU, and whatever the outcome of our negotiations, we stand ready to make a success of Brexit.

--- Later in debate ---

[Lord Bowness (Con)]

My Lords, for a short time following the publication of the White Paper it appeared that after months of mere aspirational talk, a small dose of reality was beginning to dawn in government circles. It was too late in the day, there were serious omissions, such as services, but it could, perhaps, be the basis of negotiation.

Those hopes were soon dashed by Cabinet resignations and others, inside and outside government, who lined up to denounce what had been agreed in Cabinet. Of course, it is a paper for negotiation, not a final position, but if it is to go anywhere, then compromises will be required on both sides. The first required compromise concerns the attitude of the hard Brexit team which manifests itself in the ERG in the other place. I say to my noble friend Lady Noakes, who is not here now, that if there is any intransigence, it is they who are intransigent, rather than the European Union.

Our other difficulty is with the way the Brexit negotiations have been handled. We tied our own hands by rejecting the customs union, the single market, any involvement in the European Court of Justice and membership of the EEA without any idea of what we wanted or what the relationship would look like, other than some delusional idea of post-imperial gloriana.

How do the Government intend to go ahead with their proposals, given the lack of agreement in the other place? Is the answer that nothing has changed since Chequers? I hope that I will not be told that there is no problem because the Government won all but one of the votes on Monday and Tuesday last week. We know that the defeat by the ERG Brexiteers was averted only by adopting the amendments to the Taxation (Cross-border Trade) Bill. Everybody accepts that those amendments are contradictory to the terms of the White Paper as published.

Why do the Government allow themselves to be hijacked and taken prisoner in this way? My question to my noble friend the Minister is not rhetorical. I am asking for an answer. While looking at votes, the vote lost—

[Lord Forsyth of Drumlean]

I am grateful to my noble friend for giving way. Does he not think he is in something of a glass house, having voted against so many three-line Whips, against the Government, in this way?

[Lord Bowness]

No, I do not consider myself to be in a glass house. When I look at the people whose amendments were accepted, they are experts in disloyalty to Conservative Governments over the years.

In looking at the votes on the trade Bill last week, and the vote on the European Medicines Agency, which was lost, will my noble friend confirm that reports in the press that the Government might try to reverse that—notwithstanding that membership of the agency is Government policy—are not true? Will he confirm that the Government will not try to reverse that in your Lordships’ House? It is not clear how the parliamentary timetable can cope with the withdrawal Bill and the other major measures promised. The Government should give an indication to Parliament or perhaps in the delayed White Paper, which we will see if we are lucky before going home tomorrow. Will my noble friend tell us?

Whether one is a reasonable, moderate leaver or a disappointed remainer wanting to preserve as much as possible what we have, we are not in a good place. A major reassessment of our position is needed. People should be given some stark advice and, most of all, leadership. The Government promised to deliver Brexit. Recklessly they laid down the red lines to which I have referred, and now people need to be told where this is leading—the damage to the economy, unspecified costs and a less beneficial place than we are in now. So some, if not all of our red lines must go, in whole or in part. We cannot continue as we are.

Who believes that WTO rules are the answer? Perhaps my noble friend will tell the House the position regarding the objections lodged by the US, New Zealand, Canada and others—countries we are hoping to do deals with—to the proposed division of quotas on foodstuffs following Brexit. Who believes that the free trade agreement with Trump’s “America First” will be easy or advantageous? We want a wide-ranging security partnership, and part of that is the European arrest warrant. Will my noble friend the Minister please tell the House specifically how many countries are prevented by their domestic or constitutional law—their law, not EU law—from extraditing persons under a European arrest warrant to a non-EU country?

After the Statement on the White Paper, we were told that some 80% of the withdrawal agreement is settled; the remaining 20% is the most difficult. Perhaps we can hear from my noble friend what that 20% consists of. We were told a long time ago that there was agreement on EU and UK citizens’ rights but, as he reminded us, nothing is agreed until everything is agreed. We will not be signing until we have a satisfactory prospective future deal, and we will not be paying any taxpayers’ money.

Should the Government not be making it very clear to EU and UK citizens that their position has not been finally secured? Eight months from the planned Brexit day, nothing but nothing is certain. It will not be any good, and I hope that we will not end up trying to put all the blame for our failures on to the EU. Among the Brexit press, Monsieur Barnier is already being built up to be the villain of the piece. However, he has his mandate from the 27, which stands until they change it. We really cannot complain that, because we do not know what to do or where to go, the EU does and is somehow responsible for our own shortcomings.

How far we are from agreement has been emphasised this week by the Brexit Secretary’s statement that, if we do not get what we want as laid down, we will not pay the moneys on exit. That is a very serious statement—and I am not sure that it is a very smart negotiating ploy, either. I referred to this in my question and in the opening of this debate. A number of assurances were given that we had agreed that, and would honour it. According to the Statement in another place,

“we will pay our fair share of the outstanding commitments and liabilities to which we committed during our membership”.—[Official Report, Commons, 11/12/17; col. 26.]

Of course, I want the best deal possible for the UK. I happen to believe that it would be better if we stayed in the EU but, if that is not possible, we must keep as close as possible and investigate further the EEA/EFTA route, keeping as much as possible of the present arrangements. While the final decisions must properly remain in the other place, I shall not hesitate where appropriate, and in accordance with this House’s constitutional and parliamentary conventions, to vote to ask the other place to further consider some of these issues where necessary.