United Kingdom Internal Market Bill

Lord Empey Excerpts
Report stage & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Monday 23rd November 2020

(3 years, 5 months ago)

Lords Chamber
Read Full debate United Kingdom Internal Market Act 2020 View all United Kingdom Internal Market Act 2020 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 150-III(Rev) Revised third marshalled list for Report - (23 Nov 2020)
Lord Cormack Portrait Lord Cormack (Con)
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My Lords, I begin by echoing my friend, the noble Lord, Lord Foulkes. I, too, am deeply sorry that he is not with us, as he was in such splendid and rumbustious form last week. All I would say to him is, “Haste you back”, and I hope he will be able to take part again on the Floor of the House very shortly.

I also genuinely thank my noble friend Lord Callanan for tabling and moving Amendment 14. That has shown that he and his ministerial colleagues have listened to what was said in your Lordships' House in Committee, and for that I am sure we are all grateful. My noble friend is exactly right when he says in the United Kingdom Parliament—we are not a federation—the buck stops with Westminster. That is entirely right, but there is deep suspicion in many quarters about the word “consult”, because it can have a variety of meanings and interpretations. “Politely inform” is often what people mean by “consult”. That is why I am particularly attracted to the wording of Amendment 20 in the name of the noble Baronesses, Lady Hayter and Lady Finlay, and the noble Lord, Lord Hain. This requires an explanation. It is entirely proper that the buck stops here. It is entirely proper that the ultimate decision is made in Westminster, given the present structure of our United Kingdom, where, as has been said, certain specific powers are devolved, but ultimate power remains here.

Having said all that, it is important that “consult” means consult—discuss, evaluate and determine the merits before a final decision is made. Therefore, I say this to my noble friend: thank you for coming as far as you have. I in no sense question or impugn his sincerity because I know from experience that he understands the proper meaning of “consultation”, but not everybody in ministerial office does. There have even been recent occasions when advice has been totally jettisoned.

If we are to move forward with the devolved Administrations, it is important that we genuinely consult. I like the idea of giving them time but not allowing them to procrastinate indefinitely; a month seems a good length of time. Then, it is perfectly reasonable that the Westminster Parliament should insist on having its will, but that it explain precisely why. We have got to treat the devolved Administrations as bodies of articulate, well-informed public servants who are trying their best to serve Scotland, Wales and Northern Ireland.

Of course, the elephant in the room—we must all be honest enough to admit this—is that, whereas the Governments in Northern Ireland and Wales accept the union of the United Kingdom, in Scotland, they do not. In Scotland, we have a Government who, perfectly honourably—it is an entirely legitimate ambition to have, although I strongly oppose it—have one ultimate aim: to break up the United Kingdom by withdrawing from it. So, it is very important that those of us who believe in the United Kingdom do not succumb to those who want to manipulate themselves out of it, and that we are able, in the interests of the United Kingdom—while there is one—to argue for policies conducive to its continuance.

The balance and wisdom implicit in Amendment 20 commends itself to me. I hope that my noble friend will reflect on that and perhaps say that he will come back at Third Reading with a slightly amplified version of the welcome and, again, genuinely meant and perfectly sincere Amendment 14, because I do not really think we can just leave it at that.

Lord Empey Portrait Lord Empey (UUP)
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My Lords, the starting point for this group of amendments is, I suppose, that not one of the devolved Administrations has given its consent to this legislation. That is an unfortunate place to be.

However, I welcome the changes that my noble friend the Minister has introduced so far. Listening to the debate, it seems that the gap between the different amendments and the Government’s position is not huge; to be honest, I would have thought it perfectly capable of being bridged. I certainly urge that efforts to ensure it is bridged be pursued, because there is no point in having unnecessary divisions if they can be avoided.

I must say to my noble friend that consultation is in the eye of the beholder. Having been a devolved Minister for just under seven years, I have a little experience of what consultation actually amounts to from time to time. Occasionally, it can be extensive, planned and productive. On other occasions, you read about it in the Daily Mail before you have even got into the office. There is a coherent argument for having a codified process to ensure that consultation happens, and within a framework. We all know that Ministers and departments are sometimes very good at it, but occasionally and, sadly, all too frequently, that is not the case.

I totally accept that no devolved Administration can be permitted to have a veto over what happens in the whole of the United Kingdom, because, as my noble friend Lord Cormack just stated, the buck ultimately stops with the Westminster Parliament; that is totally correct. But one is brought to a position by one’s experience in these matters. What is being asked for in some of these amendments is not unreasonable and would be beneficial. We know that, as has already been referred to, vociferous nationalism is attacking at every opportunity the legitimacy of the United Kingdom. It has been used and abused. So, even though some sections in government may find it a bit tedious, having a structured consultation mechanism is a protection against those who would use it as an anti-unionist argument.

To give an example, due to the action of some of its parties, the Northern Ireland Assembly was unfortunately out of business for three years during the critical Brexit negotiations. We repeatedly asked Ministers what mechanisms they were going to use to consult the people of Northern Ireland about the huge issues arising from those negotiations; indeed, barely a day goes by now without another obstacle and tank trap appearing in the process. We were given assurances that the consultation would be very significant, but I can tell noble Lords that that did not come to pass. It was sporadic and haphazard—it certainly was not structured—and we have ended up today in the most awful mess, which, sadly, we will no doubt return to frequently in the months ahead.

We should not really have to have an argument over these issues because there is a broad level of agreement. I urge my noble friend to harness the different threads of the argument and ensure that we take a united position as we move forward with this legislation, whatever we happen to think of it. Setting out clearly that there must be consultation and that it must be done in a formal, structured way without any devolved Administration being able to frustrate the operation of the UK single market—as it will be referred to—is entirely reasonable. I hope that my noble friend will reflect on that when he sums up.

Lord Naseby Portrait Lord Naseby (Con)
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My Lords, one of the pleasant features of this Bill is the extent to which probing amendments have been put down by all sides. It is clear to me from the consultations we have had between debates and the periodic guidance we have received that, for once—this is not true too often—we have on the Front Bench two Ministers who have tried very hard to find a way forward in a controversial and difficult area. I pay tribute to that; it is particularly reflected in the amendment before us today.

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Baroness McIntosh of Hudnall Portrait The Deputy Speaker (Baroness McIntosh of Hudnall) (Lab)
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My Lords, I have received two requests to ask the Minister a short question. They are from the noble Lord, Lord Empey, and the noble Baroness, Lady McIntosh of Pickering.

Lord Empey Portrait Lord Empey (UUP)
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Briefly, my Lords, a question has been raised in the House on a number of occasions: why are Welsh and Scottish Ministers referred to, but a Northern Ireland department is referred to? The reason is that, since 1921, power is devolved in Northern Ireland to the department, not to the Minister. The role of the Minister is to direct and control the department, but the department can still function without a Minister. It is a quirk that goes back 100 years, but it is there.

The noble Lord, Lord Morrow, made a relevant point. I do not know what the Minister means by “consistent with the devolution settlement”, because nothing in the settlement that I am aware of determines that this particular department is responsible. But, if you want a plural, because “Ministers” are referred to in the plural in Scotland and Wales, the only collective equivalent in Northern Ireland is the Executive—or, to meet the point made by the noble Lord, you could say, “Northern Ireland departments as appropriate”. But the reason for the difference is historic; it is not an error, as some people thought in the past. It is consistent with the fact that powers are devolved to the department and not to the Minister.

Lord Callanan Portrait Lord Callanan (Con)
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I of course thank the noble Lord for his help in answering the question more thoroughly than I did, and I can confirm my understanding that he is correct in what he says.

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Baroness Bennett of Manor Castle Portrait Baroness Bennett of Manor Castle (GP) [V]
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My Lords, I speak to Amendment 22, in the names of the noble Lords, Lord Wigley and Lord Hain, and Amendment 23, in the names of the noble Baroness, Lady Boycott, and the noble Lords, Lord Whitty and Lord Randall of Uxbridge. I too will be brief, because those introducing the amendments—which the Green group support—have done a great job of explaining the urgent need for them both.

Amendment 22 deals with public procurement. I spoke quite extensively—for three minutes, anyway—on a statutory instrument on this issue on 16 November, so I will not go on at great length. I will just point out that we have seen many states in Europe make great progress on this issue, and, as the noble Lord, Lord Wigley, set out, Wales has also made significant progress—perhaps the most progress of the nations of the United Kingdom. We have also seen great progress in England for what is known as the Preston model. Public procurement is absolutely crucial for improving the quality of our public health and our environment, for tackling climate change and for supporting small independent businesses. We are setting the model here for what we might hope to be future devolution within England—for Yorkshire, perhaps, and Cornwall, so they should also be able to leap ahead with the resources and powers to do so.

On Amendment 23, as the noble Lord, Lord Randall, just said, it is crucial that no nation in the United Kingdom is held back by others being laggards—and we know which ones that is likely to be. The point of devolution is to allow nations to diverge, to take different paths and to act according to their local circumstances. The noble Lord gave the very good example of peat, something on which we keep hearing promises of action but where we have yet to see the action needed. We hope that we will see real leadership on this and then see the laggards follow.

Lord Empey Portrait Lord Empey (UUP)
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My Lords, I raise an issue that has already been referred to by the noble Lord, Lord Hain, pertaining to Amendment 22. It came to my attention two weeks ago, and I suspect that many Members are not aware of it, but we need to make ourselves aware very quickly. I attended Grand Committee when we were discussing the SI on common rules for exports. It was introduced by the noble Lord, Lord Grimstone. Bear in mind that the SI dealt with circumstances in which the UK Government could require one of the devolved regions or a company not to export certain items, if they were deemed to be required for the national purpose. For instance, the UK Government could say to a manufacturer of PPE anywhere in the UK, “We need that in the United Kingdom. We cannot let it go abroad.” However, in his opening remarks, the Minister said that the European Commission would exercise these powers in Northern Ireland.

In a different context last week, I asked the noble Lord, Lord True, about this and in what other areas the European Commission would exercise powers. He was unable to answer and said he would write. I put down a Written Question to which I have not yet received a response, but I am trying to get at the significant change taking place to the internal governance of the United Kingdom. In this example, a Minister of the Crown is telling us that a foreign power—which the European Commission will become on 1 January—will exercise powers in a part of the United Kingdom. I do not believe that that SI, and we have had hundreds of them, is the only SI to which this applies. I have asked for research to be undertaken on this, but the question arises in this case specifically, so perhaps the Minister will address it. If he cannot address it today, I would be grateful if he would write and place his response in the Library.

As Northern Ireland will be left in the EU, and subject to the single market and customs union regulations, and state aid rules, where, ultimately, does the power reside? If the procurement rules in the rest of the United Kingdom change, or if they change in the European Union but not in other parts of the United Kingdom, who will ultimately decide on these matters? Public procurement is an EU competence at present. It is not entirely devolved, because competition policy was a reserved matter, as I understand it, but there is a question over who actually decides. In my opinion, the constitution of the United Kingdom is being changed by statutory instrument. Very few people even seem to be aware of all this. Things like this amendment tease out who decides.

The subsequent Amendment 23 has some noble aims and objectives. A question also arises there as, if European Union environmental standards change, how will they be translated into regulations that could affect what happens in Northern Ireland versus Great Britain? There are big questions to be asked here. If the Minister cannot deal with them today, I would be grateful if he would write to me and put the letter in the Library for Members to see. There are changes taking place to our country, and people seem almost to be oblivious to their full extent and what they will mean in the long term.