All 4 Lord Bruce of Bennachie contributions to the Trade Bill 2019-21

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Tue 8th Sep 2020
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2nd reading (Hansard) & 2nd reading (Hansard) & 2nd reading (Hansard): House of Lords & 2nd reading
Thu 8th Oct 2020
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Grand Committee

Committee stage:Committee: 4th sitting (Hansard) & Committee: 4th sitting (Hansard) & Committee: 4th sitting (Hansard): House of Lords
Tue 15th Dec 2020
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Report stage:Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Wed 6th Jan 2021
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Report stage:Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard): House of Lords

Trade Bill

Lord Bruce of Bennachie Excerpts
2nd reading & 2nd reading (Hansard) & 2nd reading (Hansard): House of Lords
Tuesday 8th September 2020

(3 years, 8 months ago)

Lords Chamber
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Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD) [V]
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My Lords, I also congratulate the Minister and the right reverend Prelate on their maiden speeches. I am sure we all look forward to hearing their future contributions.

However, I am sorry to say that, in this Bill, I believe parliamentary democracy and our trade interests have parted company. For more than 40 years, Britain’s trade arrangements have been negotiated by the EU, with the detail subject to scrutiny by the European Parliament. Now the Government wish to negotiate trade deals in secret and ratify them without reference to any of our democratic institutions, using the powers of an absolute monarchy.

The UK is launching itself on the world with no track record of negotiating modern trade deals and, worse than that, from yesterday’s announcement it appears that the Government think they can unilaterally rewrite signed treaties and expect to be trusted as they try to negotiate new ones. However, congressional leaders have already indicated that they will block any free trade negotiations with the UK if the Good Friday agreement is undermined, as the Government’s position would certainly achieve.

Britain has a consistent balance of payments deficit on manufacturing, which even a substantial surplus on services cannot close. Yet we are giving up our privileged access to the EU market for services, knowing that free trade deals generally do not cover services. The Government seek a trade deal with the US, knowing that the EU could not achieve one, when we are in the middle of a damaging trade dispute that is seriously undermining our Scotch whisky industry.

A President who puts America first will extract a high price for access to EU markets. Jacob Rees-Mogg has boasted many times that Brexit will deliver cheap food, but we know that this will be of a lower standard than the UK currently enjoys, in spite of the Minister’s assertions. Maybe the US will play whisky against beef, poultry and even our NHS. The threat to Scotch shortbread and cashmere saw Tory MP Douglas Ross writing in our local paper of the damage it was doing to his constituents, but that was, of course, before he suddenly became leader of the Scottish Tories. The failure of the Trade Secretary to end the damaging whisky war does not bode well for our negotiating power.

Scotland has the biggest financial services sector outside London, and a significant part of that is focused on dealing with the EU. Replacing that will not be easy, and non-EU markets will not be as easily replicated. The economic balance varies across the components of the UK; concessions on trade agreements will therefore have different impacts. Big companies can adapt to changes on terms of trade by takeover, relocation or disinvestment. Small and medium-sized enterprises do not always have such luxury.

Under the Government’s trade plans, people may not know the impact of any trade deals until after the event. That is why our Parliament should be involved in agreeing the terms of trade. If the European Parliament, the US Congress and other national Parliaments can scrutinise trade deals, why not us? Is this not what “taking back control” was supposed to mean? Or was it always going to be a cabal and cosy clique of the Brexit faithful? Is there anyone left in the Tory party, apart possibly from Jonathan Djanogly in the Commons, willing to speak up for parliamentary democracy? I believe our House owes it to them to give them another chance.

Trade Bill

Lord Bruce of Bennachie Excerpts
Committee stage & Committee: 4th sitting (Hansard) & Committee: 4th sitting (Hansard): House of Lords
Thursday 8th October 2020

(3 years, 7 months ago)

Grand Committee
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Lord Alderdice Portrait The Deputy Chairman of Committees (Lord Alderdice) (LD)
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The noble Baroness, Lady Neville-Rolfe, has withdrawn, so I call the noble Lord, Lord Bruce of Bennachie.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD) [V]
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My Lords, it is a great pleasure to follow the noble and learned Lord, Lord Hope. The strength of argument he has put behind these amendments and the analysis that he always brings to bear are very forceful. I am grateful to all those who have spoken in this debate, because the Minister should be clear that they have articulated not only a very clear strength of feeling but a really strong force of argument behind all these amendments and the need to maintain the devolution settlement. Of course, all these amendments have devolution at the heart. How it is handled by the UK Government requires a huge sensitivity which, as a number of noble Lords have pointed out, has not always been displayed.

I shall speak specifically to my Amendments 27 and 76, and to Amendment 30, which I have signed. I am grateful to my noble friends Lady Humphreys and Lady Suttie, and the noble Lord, Lord Wigley, for signing Amendment 27, and to the noble Baroness, Lady Bennett, who certainly indicated some support for Amendment 76.

Far-reaching decisions under the Agriculture Bill, the Trade Bill and the forthcoming Internal Market Bill put the devolution settlements and the integrity of the United Kingdom under immense strain. This has been stressed by pretty well every speaker in this debate. It has come about because the umbrella of the European Union, which set the framework, is being removed, so powers that revert to the UK have to take account of the devolution that took place while we were in the EU. Some of the powers are fully devolved and come to the devolved Administrations. Some are reserved. All this requires that the powers that come back to the regions are not overridden. Those that are reserved, are reserved. That is clear. Those that are hybrid are clearly open to debate. But what is emerging is that some that are theoretically devolved are being clawed back by the Government’s interpretation of what is reserved.

These amendments seek to test the Government’s good faith and ensure that decisions that may radically alter the terms of trade for companies, the public sector or individuals within any or all of the devolved Administrations are taken in a fair and objective way. Amendment 27 requires the Government to secure the consent of the devolved legislatures to any regulations under the Bill, and proposed new subsection (6B) suggests that if two of the three devolved legislatures do not consent, the regulation should not proceed. Effectively, this is an exploratory amendment to see to what extent the UK Government respect the settlements and wish to achieve unanimity—or at least, as the noble Lord, Lord Hain, suggested, qualified majority support. I think most of us accept that it would be unreasonable to allow one devolved Administration to have a veto, but it is equally unreasonable to allow the one devolved Administration which is also the UK Government to have a veto over the three devolved Administrations, which is what the Government are proposing in the Bill.

Amendment 78 seeks to embed the role of the Joint Ministerial Committee, which has been underregarded to date. It has brokered the agreement on common frameworks, which will be subject to this House’s new committee, of which I am a member. However, it has not been the vehicle for negotiation and compromise that some had hoped for. It was envisaged by many that it would be the vehicle by which consensus could be secured. The amendment requires it to meet prior to concluding a free trade agreement and to secure the consent of the devolved Administrations.

What we are talking about in practice here is that trade agreements are treaties and treaties are reserved. Under the EU, our devolved Administrations could not, at least before we left, make common cause with subnational Parliaments and Governments across the other 27 member states. We are all familiar with the role of Belgium’s provincial Parliaments in ratifying EU treaties, and nobody in these amendments is seeking to give any of the devolved Administrations in the UK a comparable power—but once the power lies with Westminster and Whitehall, there is no Europe-wide constituency to pursue. There is no consensus to be built up across like-minded legislatures elsewhere, other than the three devolved Administrations, which have different priorities but common values and common concerns.

If the Government chose to conclude an agreement that lowered food standards, perhaps compromising Scotland’s prime beef sector, it would surely be essential that this was agreed by the Scottish Parliament. Indeed, I challenge the Minister to say under what circumstances the Government could justify that without securing such consent. If public procurement was amended to allow elements of the health service to be available for foreign investment, or for previously non-approved drugs to be allowed, or financial regulations to be lowered or changed in ways that were detrimental to Scotland’s important financial services sector, should the people of Scotland and their representatives not be consulted in a meaningful way?

I take on board the point made by the noble and learned Lord, Lord Hope, about whether it should be Ministers or legislatures—but, as he said, that is a matter of detail. The principle is that the voice of Scotland should be taken into account, and the same would apply on comparable issues in Wales and Northern Ireland. Of course, England needs devolution, and if the Government could find a democratic way of consulting the English regions, it could add a valuable balance. But the fact that that has not been done should not be used as an excuse to say that the devolved Administrations cannot expect to have their views given the weight that these amendments are trying to secure.

Ministerial insensitivity and indifference are, frankly, turbocharging nationalism and separatism. Next year’s elections will be hard fought between the extremes of what to me is a fantasy independence agenda and a UK Government cavalier about their claim to be unionist, and another crisis may engulf us all. I therefore urge the Government to wake up, think and engage, and at least to adopt the spirit of these amendments and show respect to the devolution settlement and an understanding of how to secure a positive way of working.

Dispute resolution will be required. The Government should accept that, ideally, we would like to see government amendments which take the spirit of the amendments that have been debated today and put it on the face of the Bill. That would ensure that any disputes are properly handled in an objective, fair and independent way, and that it is not just a matter of the assurance of a Government who, in the Bill, are saying that ultimately, in the event of disagreement within or across the devolved Administrations, the UK Government, representing the English devolved Administration and the UK, will override the wishes of the devolved Administrations. If the Government seek to do that, they will put a huge explosive under the continuing functioning of the United Kingdom.

It is important that the strength of feeling and the strength of argument that these amendments have demonstrated to the Government require a clear vision from government, and for it to be put on the face of the Bill before it is enacted.

Viscount Younger of Leckie Portrait Viscount Younger of Leckie (Con)
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My Lords, as I respond to this continuing debate today, I welcome the opportunity to discuss the important issue of the devolved Administrations’ role in international trade and to demonstrate the significant strides that the Department for International Trade has taken on this matter since the passage of the Trade Bill 2017-19. I have listened to the arguments, and the essence of this debate has been a discussion on the balance between devolved and reserved, and, as the noble Lord, Lord Bruce, said, its link to the test of good faith. There are bound to be differing views on what that balance should be.

During the passage of the previous Trade Bill, the UK Government conducted a significant programme of engagement with the devolved Administrations and your Lordships’ House to ensure that the Bill delivered for all parts of the UK, including regular meetings with devolved Ministers and attending the devolved legislative committees. As a result of this engagement, the UK Government made a number of amendments and commitments to address the devolved Administrations’ concerns. This led the Welsh Parliament to consent to the relevant clauses of that Bill. We are conducting a similar programme of engagement for this Bill and have included all the amendments and restated all our commitments that we made to the devolved Administrations. As a result, the Welsh Government have once again recommended consent to the clauses that were contained in the previous Bill.

However, we have also gone further on this Bill and have made an additional amendment to remove a restriction on the devolved Administrations’ use of the powers in the Bill which the Scottish Government previously objected to. As a consequence, I am pleased that the Scottish Government have now also recommended consent to the Bill, and—to be helpful to the noble Baroness, Lady Ritchie—we are working very hard to ensure that the Northern Ireland Executive also feel able to do so. That the Welsh and Scottish Governments have already recommended consent demonstrates that the Bill is already drafted in a way that respects the devolution settlements. Indeed, in its report on the Bill, the Constitution Committee of your Lordships’ House welcomed the progress that we have made on this matter and made no recommendations for changes to devolution aspects of the Bill, which it might otherwise have done.

On Amendments 26, 27, 31 and 99, as many noble Lords have highlighted already, international trade is a reserved matter under the devolution settlements. However, the noble and learned Lord, Lord Hope, rightly noted at Second Reading and today, in line with the noble Baroness, Lady Humphrey, on Tuesday, that the implementation of international obligations in devolved areas is a devolved matter. We absolutely recognise the devolved Administrations’ competence in this area, which is why the Bill confers powers on them so that they are able to implement our continuity agreements where they touch on devolved matters.

As the noble and learned Lord, Lord Hope, also noted at Second Reading, these are concurrent powers that also allow the UK Government to legislate in devolved areas. We have sought to put in place concurrent powers to provide greater flexibility in how transitioned agreements are implemented, allowing each devolved Administration to implement the agreements independently in some cases, but also allowing the UK Government to legislate on a UK-wide basis where it makes practical sense to do so.

We understand that those powers should be used appropriately, which is why the Government have committed that we will not normally use the concurrent powers to legislate within devolved areas without the consent of the relevant devolved Administration, and never without consulting them first, as the noble and learned Lord, Lord Hope, said. We have also put in place a five-year sunset provision on the concurrent powers in Clause 2, which can be extended for further periods only with the agreement of both Houses of Parliament. We recognise that this would also extend the devolved Administrations’ and the UK Government’s ability to use the powers in devolved areas, and have therefore committed to the devolved Administrations that we will consult them before extending the sunset.

Trade Bill

Lord Bruce of Bennachie Excerpts
Report stage & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Tuesday 15th December 2020

(3 years, 4 months ago)

Lords Chamber
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Earl of Sandwich Portrait The Earl of Sandwich (CB) [V]
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My Lords, as we have heard more than once, the Government are already committed to providing untied aid under the DAC agreement from nearly 20 years ago. However, to answer the points made just now by the noble Lord, Lord Lansley, and the noble Baroness, Lady Noakes: the Government have become a little ambiguous on aid legislation in relation to the 0.7% target. The noble Lord, Lord Purvis, is quite right to raise the issue at this stage. There is little doubt that the merger of DfID into the FCDO will have an impact on the integrity of our aid programme. It is now a stated policy that aid has become an instrument of diplomacy, and so why not of trade?

When it comes to fair trade, there can be little confusion, but with large infrastructure projects, there is a distinct motive to involve British traders and investors, even if that is not in the best interests of the poor. As the noble Baroness, Lady Sheehan, said, the names of Pergau and Narmada come to mind. The CDC will have to tread carefully from now on if it is to meet its declared target of poverty reduction.

Sustainable development goal 17 on trade was discussed earlier in Committee. It is one of the most intriguing development goals because it is both helpful and obstructive. That is because liberalisation opens up trade but it can also bring greater wealth to a minority and lead to the exploitation of poorer countries. The purpose of the SDG is to reinforce the longer-term concept of sustainable development. In more practical terms, apart from any trading concessions available, this means working closely in partnership with the country with which you are trading to ensure that the arrangement is fair. The noble Lord, Lord Purvis, has given us examples of unfair trade.

There are many examples of the enforcement of our own standards in developing countries, such as in food or textiles, to meet the demands of our importers and consumers. The Minister himself mentioned the negative effects on poor countries that can arise from overly high standards. Supply chains are now revealing more overt examples of trafficking and exploitation, perhaps indirectly, by corporations. What protection will there be for those countries after we leave the Cotonou agreement which protects many African, Caribbean and Pacific countries? The noble Lord, Lord Lansley, knows all about this. He has already taken us into the detail of GSP, GSP+ and the EBA—all of the things that are available to the least developed countries. This is not for today, but as we withdraw from the EU, especially now, I hope that we will come to on to these questions as well.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD) [V]
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I wish to speak briefly in support of these amendments. It is bad enough that the UK has cut its aid budget by potentially £30 billion over this Parliament without legitimate or honest reasons, but just as the Government are giving a boost to the better-off to eat out at home, and possibly accelerating the spread of Covid-19 in the process—while being reluctant to extend the provision of free school meals to poorer children—so they have prioritised boosting defence spending by 0.2% of GNI and cutting aid to the poorest people in the world by precisely 0.2% of GNI.

These amendments rightly probe the Government’s real intentions on aid and seeking to hold to the high standards of the past 20 years. I think that many of us are not as sanguine as the noble Lord, Lord Lansley, about the intentions of the Government. They are unclear and on the basis of betrayed promises made over a matter of weeks, so we need some answers. I am pleased to follow the noble Earl, Lord Sandwich, who has been consistent in his campaign to ensure that sustainable development will deliver for the poor and that the Government should explain their policy clearly.

Put simply, UK development assistance has been untied and we have all agreed to that. Moreover, it has been poverty-focused. The former Prime Minister, David Cameron, co-chaired the UN’s high-level panel on the sustainable development goals. It set the objective of ending absolute poverty and leaving no one behind. The UK’s contribution to achieving that will now be substantially reduced. These amendments seek to ensure that UK aid will still prioritise poverty reduction and not be used as a lever to extract concessions from poorer developing countries for the UK’s mercantile or political advantage.

With a few exceptions, such as delivering emergency aid into conflict zones, the UK’s engagement in developing countries is with the consent of the Governments of those countries. This gives scope for dialogue about good governance and agreement to work together to build capacity to manage programmes. It allows for honest discussion about problems of corruption, so it is not as if there is no engagement. It is not simply spending on a poverty programme without any government-to-government contact. That is what constitutes soft power. Contrary to what critics assert, aid programmes have contributed to the substantial reduction in poverty over recent decades. The challenge now is to sustain that progress in a post-pandemic world. I cannot think of a worse time for what has become one of the world’s leading aid countries to give such a public declaration of its intention not to be the lead contributor to solving that problem.

We all know that prior to the International Development Act, as has been quoted by other speakers in this debate, our aid budget was misused to secure contracts for British companies, not always on the best terms or for the best purpose of benefiting the recipient countries. We surely do not want to return to those bad old days. The noble Lord, Lord Lansley, says that the Government have no intention of doing so, but the Government had no intention of cutting aid or of rolling DfID into the Foreign Office. Frankly, I say to the noble Lord, Lord Lansley: we cannot trust any of this Government’s assurances on aid.

Whatever kind of Brexit emerges from these tedious negotiations, this Brexit Government will want to parade a succession of trade deals. The more important and powerful the partner with which we are negotiating, the harder it will be to secure agreement and the more likely it is that the UK will make concessions that are greater than those made when we benefited from the negotiating strength of the European Union. In that situation, the temptation to pressurise economically weaker and poorer countries could intensify accordingly.

The term “aid for trade” is open to a range of interpretations. In a proper development context, it should mean helping a country achieve standards that enable it to compete successfully in export markets. It should not mean securing concessions or trade-offs in exchange for details of access to the UK market, such as, “We will buy your flowers if you support us with your vote on the Security Council or the General Assembly, or if you buy our expensive digital equipment or services.” If it were as blatant as that, it would contravene the DAC rules and the Government would struggle to achieve even 0.5%.

Alternatives could be offering aid in return for mining concessions or arms sales. If our aid is being cut, it is more important than ever that it goes unconditionally to help alleviate poverty and promote sustainable livelihoods, and enables countries to meet the challenges of pro-poor development: to end poverty and leave no one behind. To date, the UK has been leading the way on untying aid. It will be a sad confirmation of a new self-serving foreign policy if the next few years see a dramatic reduction in not only the amount of aid that we deliver but the quality and direction of the aid that we give.

The question is simple: is the overriding purpose and impact of the UK’s official development assistance directed at poverty reduction and sustainability, or is it directly to further the foreign policy interests of a country reverting to British exceptionalism?

Baroness Pitkeathley Portrait The Deputy Speaker (Baroness Pitkeathley) (Lab)
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The noble and learned Lord, Lord Morris of Aberavon, is not speaking, so we move now to the noble Lord, Lord Stevenson of Balmacara.

Trade Bill

Lord Bruce of Bennachie Excerpts
Report stage & Report: 3rd sitting (Hansard) & Report: 3rd sitting (Hansard): House of Lords
Wednesday 6th January 2021

(3 years, 4 months ago)

Lords Chamber
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Lord Morris of Aberavon Portrait Lord Morris of Aberavon (Lab) [V]
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My Lords, I wish to say a few words on Amendment 24, which I support, moved by my noble friend Lord Stevenson. Like the noble Lord, Lord Wigley, I am concerned about the position of Welsh lamb, as I come from a family that has been breeding them for centuries now and continues so to do in three counties in Wales. If there were any barrier, inhibition or taxation on its export, it would ruin the hill farmers of Wales.

I am surprised that my noble friend had to table the amendment at all. I welcome what is devolved very much. I repeat what I have said many times: what is devolved is devolved and cannot be withdrawn without primary legislation. Proposed new subsections (2), (4) and (5) concern me. One of the side-effects of the coronavirus pandemic is a wake-up call to Whitehall that there are four Governments in the United Kingdom as far as health is concerned. I wish there had been more fruitful dialogue between Whitehall and each of the devolved Governments so that there was more uniformity. It was not to be, and I respect the decisions of the Welsh Government on matters entirely within their competence. I support the amendment.

Lord Bruce of Bennachie Portrait Lord Bruce of Bennachie (LD) [V]
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My Lords, like others who have spoken, I recall that I have spoken several times on similar amendments to this Bill, the then Agriculture Bill and the then United Kingdom Internal Market Bill. I do not intend to repeat previous speeches, but rather to challenge the Government to wake up and smell the coffee. Because, in spite of paying lip service to the contrary, Ministers have been careless or dismissive of the concerns of the devolved Administrations and clearly disregard the impact of this insouciance, coupled with incompetence, on the mood across the devolved Administrations, which has hardened. If they had a voice, mind you, I suspect that that mood would be articulated by a number of English regions as well.

Before we got here, the interconnection of the EU, the UK and devolved decision-making worked pretty well, but the transition to the UK outside the EU is clearly having a disruptive effect. The rise in the support for separatism, which has been commented on across the devolved Administrations, has been driven by the combination of incompetence and scathing indifference to the concerns of a growing number of our citizens. The combination of Brexit, the Covid pandemic and an ideological, right-wing Government has created a toxic mix that is putting the future of the UK as a working enterprise at grave risk.

I believe there is a positive case to be made for the United Kingdom, and for the benefits to all its parts of staying together, but it will not be achieved by London-centric English exceptionalism. All the peoples of the UK benefit from both our own achievement in developing the Oxford AstraZeneca vaccine and the UK’s ability to secure significant quantities of this and other vaccines and begin the process of distributing them fairly, on a pro rata population basis, to all corners of the kingdom. The resources of the UK have delivered furlough to millions and survival support to businesses to try to get us through the crisis, and that has reached all corners of the UK.

Our security and defence capacity and diplomatic reach across the world may not be appreciated on a day-to-day basis by the average citizen, but they would certainly be missed if they were disrupted by the break- up of the UK. So that is a warning. It is the case, unfortunately, that much of this has been compromised by the Government’s cavalier disregard for international law, the surrender of many of the hard-won advantages and influences we had secured through the EU and the cut to our aid budget—much of it administered, as it happens, from Scotland.

The defeat of President Trump and the election of the new, more constructive and engaging Administration in the United States surely demonstrate that we should not lightly throw away the things we share across the United Kingdom just because we dislike or even despise the current Prime Minister and his self-serving cronies. However, with elections in Scotland and Wales in May, the Government need a desperately urgent reset of their stance towards the devolved Administrations. As has been said, the fact that trade policy and, more pertinently, trade treaties are reserved does not justify excluding Scotland, Wales and Northern Ireland from having a say in shaping them.

The noble Viscount, Lord Trenchard, may be right in saying that the negotiation of these treaties is a reserved matter exclusive to the Executive, and that this amendment is unhelpful, but I say to him very gently that I think he is totally failing to understand the mood that is growing in the devolved Administrations about this approach. If the UK Government could secure more preferential access, for example, for Scotch whisky into India, it would be a cause for rejoicing—but not if at the same time we saw a relaxation of standards for imported beef. So the devolved Administrations would first want to have a positive input into the things they wanted to secure, as well as a protective input and concerns about agreements that might damage significant parts of their interests in the economy. Surely the UK Government should seek to represent the whole of the UK in their approach to trade negotiations and agreements.

So I support the basic aims of this amendment tabled by the noble Lord, Lord Stevenson, and the noble Baroness, Lady Bennett. It is, I believe, weakened by proposed new subsection (5) which, although requiring the UK Government to seek the consent of the devolved Administrations, allows that to be set aside. However, I understand that that has been put in in a spirit of compromise. Personally, I would prefer some form of qualified majority voting, and also a way of testing the interests of English regions. Unless the Government respond to the spirit of this and similar amendments, by engaging much more positively with the devolved Administrations, they will face a constitutional crisis on top of the pandemic and Brexit—a perfect storm.

I say to Ministers that they should recognise that this has been a growing movement since the Brexit scenario has developed and the legislation relating to it has come forward—on agriculture, trade and the internal market. As has been clearly stated, we have tabled and supported a series of amendments seeking to secure the role of the devolved Administrations in the decision-making process. If the Government choose to disregard that, they will only be fuelling the centripetal pressures on the future of the United Kingdom, and I plead with Ministers to recognise that it is not just about the terms of the legislation, it is about the mood, the spirit, the language and the body language of Ministers when they speak to and about the devolved Administrations. Because, right now, that body language is driving support away from the future of the United Kingdom. I do not believe that that is the Government’s intention, but it is the effect of their behaviour and I think they should really reflect on that.

Viscount Younger of Leckie Portrait Viscount Younger of Leckie (Con)
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I thank the noble Lord, Lord Stevenson, for Amendment 24, as it provides a further opportunity to talk briefly about the important issue of the devolved Administrations’ role in our new international trade policy.

The UK Government are committed to working closely with the devolved Administrations to deliver an independent trade policy that works for the whole of the UK, and this has been reflected by statements from the devolved Administrations. For example, as I noted earlier in previous debates, the Counsel General for Wales, Jeremy Miles MS, recently said in his evidence to the Welsh Affairs Committee on 19 November that the department has listened to the devolved Administrations and established a new ministerial forum for trade, which we have used to consult them on all our trade agreements. The forum met four times last year, most recently on 9 December, and regular engagement will continue in 2021. I listened to the speech by the noble Lord, Lord Bruce of Bennachie, and do not entirely agree with his version of how the continuing talks are going.

This engagement has meant that the devolved Administrations’ views have already begun to be reflected in our free trade agreements. For example, the devolved Administrations made it clear that they supported high ambition for the mobility of professionals in all our FTAs. With regard to the Japan FTA, the UK Government delivered this by securing more flexibility for Japanese and British companies to move talent into each country, covering a range of UK skilled workers to enter Japan, from computer services to construction.

I also listened to the brief speeches by the noble and learned Lord, Lord Morris, and the noble Lord, Lord Wigley, on their concerns over Welsh lamb. As noble Lords will know, the Bill does not give the UK Government powers to implement future trade agreements with partners, including New Zealand, but we will continue to work closely with the devolved Administrations on all our current FTA negotiations, so that their interests and priorities are reflected through negotiations.

However, while it is absolutely right that we engage meaningfully with the devolved Administrations, we must do so within our existing constitutional framework. That is why the DIT has sought to strike the proper balance between engaging with the devolved Administrations and respecting that, under our constitutional settlement, international trade is both a reserved matter and a prerogative power.

My noble friend Lord Trenchard spoke at greater length—and in my view, very wisely—on these points. I agree with him that, unfortunately, this amendment would upset that balance. It would require the UK Government not only to consult but to seek the consent of the devolved Administrations for FTAs covering areas of devolved competence. This goes far beyond what is appropriate, given that international trade is a reserved matter and would have significant implications for the strength of the UK’s negotiating position. I believe that my noble friend Lord Trenchard also made that point.

The principle that the UK Government have sole responsibility for decisions on international trade negotiations is not just long-standing constitutional practice but is critical in ensuring that the United Kingdom can speak with a single voice in our international relations, providing certainty for our negotiating partners and the strongest negotiating position for all the regions and nations of the UK. The amendment would undermine this unity and could lead our negotiating partners to try to play different Administrations off against one another. This is surely one of the reasons why the UK Parliament decided that international relations should remain a reserved matter and enshrined this in the devolution settlements.

The UK Government have worked hard with the devolved Administrations to ensure that the Bill is already drafted in a way that respects the devolution settlements. The Minister of State for Trade Policy has undertaken a significant programme of engagement to achieve this, including regular meetings with devolved Ministers, bilateral calls and attending the devolved legislature committees to discuss their views.

As noble Lords will know, the Scottish Government withheld consent from the previous Bill—the Trade Bill 2017-19. For this Bill, we therefore made additional amendments to address their concerns, such as removing restrictions on Scottish Ministers’ use of the Bill’s delegated powers. As a result, the Scottish Government and the Scottish Parliament’s Finance and Constitution Committee changed their position and recommended that the Scottish Parliament consent to the Bill. On 8 October, a legislative consent motion—an LCM—was formally granted.