European Union (Withdrawal Agreement) Bill

Lord Hannay of Chiswick Excerpts

Report stage & Report stage (Hansard): House of Lords & Report: 1st sitting: House of Lords & Report: 1st sitting
Monday 20th January 2020 Lords Chamber

[Baroness Hayter of Kentish Town]

My Lords, this is perhaps one of the most significant amendments before your Lordships’ House. It deals with a major constitutional issue—the accountability of the Executive to Parliament —and with matters of prime concern to our country’s future: that is, the trading, security, diplomatic and cultural links that we build with our close allies and close neighbours across the continent.

The trade talks in particular will have major implications for the regions and nations of our country, and for different sectors of our economy. Despite this, the Government seem to want to listen to no one. Business has been pleading with Ministers to involve the relevant businesses in the trade talks, with alarmed reactions over the weekend, as we have all seen, to the Chancellor’s statement that there will be no alignment on EU regulations going forward, diminishing any chance of frictionless trade.

We have heard from the food and drink industry about its fears, both for particular parts of the industry but also with wider implications of likely food price increases. Indeed, it even talks of the death knell of the concept of frictionless trade with the EU. Agriculture, the motor industry and manufacturing are all worried about jobs, investment and their competitiveness in their vital EU markets. Despite that, they feel excluded from the Government’s thinking. As the CBI says, businesses need to be brought into trade talks with both the EU and the US, and it calls on government to work with business

“closely, comprehensively and transparently throughout every stage of negotiations, from mandate setting through to implementation.”

It is right—as are consumers and farmers, whose futures are at stake.

Shutting Parliament out of the discussions on the objectives of, as well as the progress on, negotiating talks, means that it is almost impossible for MPs to represent and answer external concerns that are brought to them on a daily basis. It seems clear that that is exactly what Ministers want to shut out: any voices that conflict with their ideology or which bring them practical problems about the implementation of new rules and checks, and tariffs or indeed non-tariff barriers. No wonder that some think that this is about allowing for a final no-deal relationship at the end of December: a free-for-all, WTO basis for our trading, with immense risks to part of our industry and regions.

In the election, the future of UK plc was voted into the hands of the Government. However, in our system of democracy, that does not mean that the Government should not be accountable to Parliament and should not get its plans approved by Parliament, as all their other plans are, via debate, a vote on the Queen’s Speech, and votes on their Bills, which are enacted only with the agreement of Parliament. Here we are talking about something else: the preparations for a treaty which will affect our living, working, trading, policing, security and environmental relationship with those close friends and near neighbours—decisions which will, one way or another, affect every citizen now and in the future.

So it is perfectly normal to say that, just because the treaty will not be a Bill, that is no reason not to have the equivalent of Second Reading and Committee before we arrive at the final Third Reading equivalent—that is, the final treaty, which will come to Parliament for approval only at the end via the CRaG. At that ratification stage, it is basically too late to say, “Well, actually no, not really—this bit doesn’t work”, “This affects our industry” or “That affects a particular region”. It will be too late then to make changes to the treaty.

So, without this amendment, which gives Parliament a say, Parliament will be shut out of these crucial talks, other than through the odd take-note debate or response to a Statement. That is not enough for your Lordships’ House, and it is certainly not enough for the elected House of Commons. We must ensure that the Commons has some real input throughout the process and, crucially—something that is allowed for in the amendment —if a December deal looks unlikely, the Commons must have some ability to make the Government explain their plans for that eventuality. That is what Amendment 15 would provide. I beg to move.

[Lord Hannay of Chiswick (CB)]

My Lords, I support the amendment moved by the noble Baroness, Lady Hayter. I point out that the amendment on the Order Paper on Report is a considerably reduced text from the one that was discussed in Committee. That is to say, those of us who have put our name to it have listened to some of the Government’s objections—in particular, to their wish to avoid any appearance of a formal mandate—and we have gone for a much lighter procedure, which is now on the Order Paper. So attention has been paid to what was said from the government side.

However, the case for this amendment has been hugely strengthened since Committee last week by the interview that was given by the Chancellor of the Exchequer to the Financial Times last Thursday. In that interview, he made policy that had not hitherto been set out, without, as far as one can see, the agreement of Cabinet, certainly of the House of Commons, or of this House, or even knowledge of what he was about to say. So the case for setting down some process by which the Government need to come to both Houses and explain what they are doing at various stages in what will be an extremely complex negotiation has been greatly strengthened by that action by the Chancellor of the Exchequer.

The position he took on the question of no regulatory alignment is akin to the decisions that were taken by the previous Prime Minister when she went to the party conference in the autumn of 2016 and, in one breath, ruled out the single market, the customs union or any jurisdiction of the European Court of Justice. That did not end terribly well, and I rather doubt whether what the Chancellor of the Exchequer now said will end terribly well either. What he said sounded—and is, if you read the wording—extraordinarily categorical. He did not say that there will not be alignment on all matters—that we will not, as it were, remain in total alignment with European regulations—but that we will not be in alignment on anything.

He is effectively ruling out the possibility for example of the motor industry being put on a system of alignment. That would not be a ridiculous thing to happen, since it has been working to the same standards with its continental counterparts for something like 25 years. However, he has ruled all of that out, so the case for requiring that from now on the Government should at least tell and consult both Houses about what they are planning to do and how they are getting on seems to have been greatly strengthened in the interim by the Chancellor of the Exchequer.

--- Later in debate ---

[Lord Bridges of Headley (Con)]

My Lords, I will speak very briefly on this, largely echoing a lot of what the noble Lord, Lord Howarth, said. In Committee, much was said about how the Government are “deliberately cutting” Parliament

“out of any meaningful role”, [Official Report, 15/1/20; col. 719.]

to quote the noble Baroness, Lady Hayter. We heard it again just a moment ago, when she said the Government are shutting out voices from the debate.

I concede entirely that—as the noble Lord, Lord Hannay, rightly put it—this amendment is a watered-down version of the one debated in Committee, but my objections to it remain the same. I will not overstate the case; it is important not to do so. For example, I would not claim that this amendment will bind the hands of Government, and of course it will not thwart Brexit. I will make just two simple points.

The first is that the amendment creates what I see as a legislative straitjacket that binds us into an inflexible parliamentary process that cannot really take account of the diplomatic and political reality of the negotiations, which—as we all know—by their very nature will not abide by the bi-monthly reporting cycle that the amendment sets out.

The second and much more profound point—this is what the noble Lord, Lord Howarth, was referring to—is that Parliament already has considerable powers of scrutiny to hold the Government to account. I know my noble friend slightly dismisses them; I do not. I see them as absolutely intrinsic to the way that this House and the other place work. I am not talking here about the shenanigans we saw in the last Parliament, with MPs taking control of parliamentary business, but those traditional means of scrutiny—the other means that Parliament has, in this House and the other place, to interrogate and scrutinise.

I asked the Library to do some research for me. I asked how many PNQs, Urgent Questions, Oral Statements, Select Committee reports, Written Statements, Oral Questions and Written Questions have touched on Brexit since the day of the referendum. The noble Baroness, Lady Hayter, may say that this is nothing or is irrelevant; I totally disagree. In the calculation the Library made, it excluded the Bills we have debated, including the 650 hours this House has spent on debating EU-related issues. Let me give your Lordships the results of this exercise. Since the referendum, there have been, in Parliament as a whole: 10 Private Notice Questions related to Brexit; 32 Urgent Questions; 116 Oral Statements; 179 Select Committee reports; 743 Written Statements; 6,241 Oral Questions and supplementaries; and 15,366 Written Questions. I do not think this can be just waved away as nothing; I see it as fundamental. This is 22,687 items that drive a coach and horses through the need for this amendment, 22,687 ways in which Parliament has had a meaningful role. It can interrogate Ministers on the points that the noble Lord, Lord Hannay, made, and I believe this is 22,687 reasons why we do not need the amendment.

[Lord Hannay of Chiswick]

If the noble Lord’s research had gone a little further back, he might have been quite startled by what he found. He would have found that the procedures laid down in this amendment are almost precisely those that the Conservative Government applied in 1970 when negotiating our accession. Regular reports to Parliament, regular Questions by all in both Houses—they are all there, and there is nothing wrong with it.

[Lord Bridges of Headley]

I totally take that point, but I do not believe we should be setting this out in statute—as the noble Lord, Lord Howarth, said. There is nothing to prevent the Government and Ministers coming to this House and the other place to make that point, nothing to prevent MPs calling for Urgent Questions and so on and so forth, so I am sorry to say that I disagree with the noble Lord.