Green Investment

Lord Hannan of Kingsclere Excerpts

Tuesday 7th March 2023 Lords Chamber

[Lord Callanan (Con)]

The noble Earl raises important points with regard to trade negotiations. I am not familiar with the details so I will have to write to him.

[Lord Hannan of Kingsclere (Con)]

My Lords, there is a grotesque misnomer here. The Inflation Reduction Act will in fact raise trade barriers, push up prices and thus increase inflation. Worst of all, like the Smoot-Hawley Tariff Act, it is likely to set off a series of beggar-my-neighbour retaliatory measures, not least from the European Union. Will my noble friend the Minister confirm that this country remains wedded to the principles of free trade and that, if others put rocks in their harbours, we will not retaliate by putting rocks in our harbours?

[Lord Callanan (Con)]

My noble friend makes an important point. I know how committed he is to and how hard he works for the principle of international free trade, which we totally support. We want to engage with the US on these matters but we need to convince it and, of course, the EU that free, fair and open trade benefits everyone. That is the key point that we need to put across to them.