Leaving the European Union

Lord Clarke of Nottingham Excerpts

Monday 21st January 2019 Commons Chamber

[The Prime Minister]

The right hon. Gentleman says “no more phoney talks.” It would be nice just to have some talks with him on this issue. He makes lots of claims about what has been said in the talks that have been held so far but, actually, he does not know, because he did not turn up to those talks.

The right hon. Gentleman makes a great deal about the issue of no deal. He says that there is a consensus—a view across this House—that supports a deal in principle and wants to deliver on Brexit. That is exactly what I want to sit down and talk to him about. What we need to see is what it is that will secure the support of this House to enable us to leave the European Union with a deal. We are continuing to listen to groups across the House in order to find a way to secure that support.

The right hon. Gentleman talks about ruling out no deal. As I said in my statement, there are only two ways to ensure that a no deal does not happen: one is to revoke article 50, to reverse the decision of the referendum and to stay in the European Union, which would be a betrayal of the referendum decision in 2016; and the other way is to agree a deal with the European Union. It is precisely to find a way to secure the support of this House for a deal that I am talking to Members across the House and that I want to talk to the right hon. Gentleman. From what he has said today, I hope that he will reconsider his decision not to attend those talks.

The right hon. Gentleman complains about the amount of money being spent. He talks about £4.2 billion being spent and how that money should be spent in other ways—I see that the Labour party has put out a press release saying the money should be spent in other ways. What he might not have noticed is that, actually, not all that £4.2 billion is being spent on no deal. If we stopped spending that money, we would not be prepared for a deal either, so he needs to recognise that, actually, the Government have to spend money to ensure that we are in a position whatever the outcome of the negotiations with the European Union, and whether we leave with a deal or in a no-deal circumstance.

I say once again to the right hon. Gentleman and to Members across the House who are concerned about no deal that that means we should leave with a deal and that what we need to find is a way to secure the support of this House for a deal. What is clear from the discussions that we have had so far is the wide variety of views held across the House on this issue.

When it comes to it, we all need to be able to look our constituents in the eye and say that we did the right thing by them, which is leaving with a deal to ensure that we deliver on the referendum and protect their jobs. That is what the Government are about, that is what we are working on and that is what we will deliver.

[Mr Kenneth Clarke (Rushcliffe) (Con)]

As a supporter of the withdrawal agreement last week, I welcome the Prime Minister’s acceptance of the need for change in the light of the result and her reassurance that she will not compromise on a permanently open border in Northern Ireland, and that therefore any discussions that she has with the hard right wing on the Irish backstop will not compromise the commitment to a permanently open border.

Will the Prime Minister also consider reaching out to those remainers who are not yet convinced of her agreement by at least relaxing—if she cannot do a U-turn—her normal rejection of a customs union? I do not see outside powers lining up to do trade agreements to compensate us for leaving Europe. Will she also consider relaxing her resistance to regulatory alignment with Europe? Regulatory alignment is not inconsistent with some tightening up, at least, of free movement of labour. I urge her to be flexible on every front, because there was a large majority against the proposal last week. There are probably more remainers who voted against her than there are Brexiteers, and she needs to reach out to those remainers.

[The Prime Minister]

My right hon. and learned Friend talks about some degree of regulatory alignment. He might not have noticed that, last summer, the Government put forward a proposal that included a degree of regulatory alignment, with a parliamentary lock on that regulatory alignment, and that the proposal raised concerns among a number of Members of this House. Some Members said that they did not consider the proposal to be the proper way forward.

I actually think that what we need in the future is a good trade relationship with the European Union. What we have in the political declaration is recognition that regulatory alignment and alignment with standards followed by the European Union are in balance with the question of checks at the border, and there is a spectrum of where that balance results. I have argued for frictionless trade; there are those in the European Union who have not accepted the concept of frictionless trade, but who do accept the concept of reducing friction at the border as far as possible.

My right hon. and learned Friend also said that he did not see potential trade deals with the rest of the world. Today, I had lunch with the Prime Minister of New Zealand and one of the topics we discussed was precisely a future trade deal between the United Kingdom and New Zealand—[Interruption.] Just before Opposition Members start talking about the size of New Zealand, that is not just a trade deal with New Zealand, but United Kingdom membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.