(7 years, 8 months ago)
Lords ChamberMy Lords, the Conservative Party manifesto made it absolutely clear that we would respect the outcome, a position that the noble Lord himself took on the night of the referendum. It is absolutely our intention that the Government will deliver on the results of the referendum. I know that the noble Lord is spending Lent eating his own words, but I am sorry to say that he is wrong on this point.
Then there are the consequences of such a referendum. Would it bring certainty? Will businesses clap their hands with glee at the thought of a referendum some years off, the basis on which it would be held unclear, but the consequences of which could be to throw the entire negotiated settlement up in the air? We know the answer. As I have said, the Institute of Directors have called for:
“A commitment across all major political parties … not to undertake a second referendum on either EU membership or the Brexit deal to reduce uncertainty”.
What would happen, even after all this, if the result of the second referendum is still to leave? As some noble Lords have pointed out, would we once again be subjected to people saying, “Actually, we don’t like this answer. Please try again”? Where does it end? Will we continue to hold the same referendum until we get the result that those who support this amendment prefer?
If, as the Prime Minister said in her Lancaster House speech, no deal would be better than a bad deal, is the Minister really telling us that in the circumstances of no deal he would absolutely rule out a referendum in the future?
Yes, my Lords. It is very clear: we are leaving the European Union. That is the pure and simple answer to the noble Lord.
No, I am sorry, my Lords; I am going to finish. I know that we will come back to this. Forgive me but I will not give way. I know that we will have a lot of debate after lunch about the meaningful vote that we will have, and I am sure that the noble Lord will have a chance then to have his say.
The noble Lord, Lord Newby, said on Wednesday that the rejection of a second referendum would be the antithesis of democracy. With respect to the noble Lord, I totally and utterly disagree. The referendum itself was democracy in action. We were also told that,
“a second referendum entails risks for which the price is too high”—[Official Report, 21/2/17; col. 160.]
and that:
“A further vote will prolong the uncertainty and cause uproar in the country, or worse”.—[Official Report, 20/2/17; col. 134.]
Those are the words of the noble Baroness, Lady Falkner of Margravine, and the noble Lord, Lord Lee of Trafford, and I entirely agree with them. Calling a second referendum, as this amendment seeks to do, would undermine the will of the people as expressed in the EU referendum. The people have voted to leave the European Union and leave we will. Therefore, I hope that the noble Lord will withdraw his amendment.
(7 years, 9 months ago)
Lords ChamberI think that I would like to say a few words, despite what the noble Lord, Lord Mandelson, says. I sense there is some division. Let me start by trying to mend some bridges—pardon the pun. All of us in this House wish our country to prosper. We all want to see more investment and more jobs. The very simple question raised by these amendments is this: in light of the vote to leave the EU, how can we best do that? I know that the noble Lords, Lord Hain and Lord Monks, and other noble Lords whose names are on these amendments, have long-held views that the best route to achieve that aim is, at least in part, for the United Kingdom to remain within the EU and within the single market. I respect their views and the steadfastness with which they hold them. I will try my best to be eloquent, but I am sure that what I am about to say will not deflect them and a number of other noble Lords, such as the noble Lord, Lord Mandelson, from supporting this amendment. But I will briefly set out why the Government oppose the amendment. The first and most obvious reason is that it has nothing to do with the Bill. The Bill has one purpose only: to enable the Government to start the process of negotiation. It is not a means to dictate the terms of the negotiation.
The second reason concerns the democratic arguments. Very briefly, as I said earlier, the Government promised to hold a referendum and to honour its result. Yes, I know that the Conservative Government said that they would protect our role in the single market in the manifesto. But as my noble friend Lord Blencathra pointed out, the manifesto also promised to respect the result of the referendum—a promise which this Parliament endorsed by passing the European Union Referendum Act.
As the noble Baroness, Lady Hayter, said, the debate we have heard tonight has been a rerun of the referendum campaign. As I said earlier, during that campaign, every household was sent a leaflet which spelled out the consequences of leaving as regards our membership of the single market. A number of people on both sides of the argument pointed out that we could not vote to leave and then try to remain in the single market. Criticising the leave campaign, one of those arguing to remain said:
“Some of those advocating British withdrawal suggest that we can have our cake and eat it by staying within the European single market to retain the great bulk of our trade which is with EU countries”.—[Official Report, 2/3/16; col. 855.]
Those are the words of the noble Lord, Lord Hain, and he was quite right. The four freedoms are seen by many across Europe as indivisible, and we should respect those views.
Much more than that, as other noble Lords have said, remaining a member of the single market would mean complying with the EU’s rules and regulations that implement the four freedoms, without having a vote on what those rules and regulations are. It would almost certainly mean accepting a role for the Court of Justice of the European Union. It would mean still not having control over immigration—relying on enforcement powers rather than creating an immigration system, which this Government intend to build, which allows us to control numbers and encourages the brightest and best to come to this country.
As to the customs union, were we to remain a full member, we would remain bound by a common external tariff, which would greatly limit our ability to strike our own trade deals and our freedom to determine the level of UK tariffs. Were we to remain within the common commercial policy, we would not be able to pursue freely our bold, ambitious trade agenda with the rest of the world. We would instead, as now, be ceding responsibility for this to the European Union. So to remain a member of the single market and to remain a full member of the customs union would, to all intents and purposes, mean not leaving the EU at all.
As to the EEA, I agree with the noble Baroness, Lady Hayter, that it suffers from a democratic deficit. Once we leave the EU, as my noble and learned friend said earlier, the EEA agreement will no longer be relevant for the UK. It will have no practical effect. But we expect a phased process of implementation to cover our withdrawal from the EU in which both Britain and the EU institutions and member states prepare for the new arrangements between us. This is intended to give businesses enough time to plan and prepare for the new arrangements. The interim arrangements that we rely on will be a matter for negotiation.
Does that mean that the Government are not ruling out EEA membership for the transition?
I have nothing further to add, other than to say that it is a matter for the negotiations. It is a matter for the negotiations and I am not going to go further. I checked the transcript of the Select Committee hearing that the noble Lord so rightly brought me up on earlier and that is what I said. It is exactly consistent with what I have said.
I turn to our approach to trade with the EU once we have left. My noble friend Lord Howell pointed out the intricacies of this. It is absolutely true—a basic point—that across the world countries which are not members of the single market trade with Europe. The single market is not a tablet of stone. As the noble Lord, Lord Mandelson, so rightly said, in services, which drive so much of our wealth creation, the single market is incomplete; likewise, on digital services. With that in mind, the Government have a clear aim: to seek an agreement for the freest and most frictionless trade possible in goods and services between the UK and the EU. We start these negotiations from a unique position. The EU exports to the UK £290 billion of goods and services each year, and on day 1 we will have exactly the same regulations and standards as our negotiating partners. The focus will be not about removing existing barriers or questioning certain protections but about ensuring new barriers do not arise, and the scale of trade means that it should be in our interests, and Europe’s interests, to come to an agreement.
(8 years, 1 month ago)
Lords ChamberThe noble Lord makes an extremely good point. We already have had extensive discussions with the Irish Government and in Northern Ireland. We are all absolutely determined that we will not see a return to the past or to the hard border. As regards the repeal of the ECA, I entirely take his point on that. I would be happy to meet him to discuss any specific points he has on that. I think we are all aware of the sensitivities surrounding the situation in Northern Ireland and the Republic, so thoughts from the noble Lord and others on how best to proceed would be greatly appreciated.
My Lords, does the Minister accept that the two-year time period for Article 50 is an extremely short period, as most experts think, in which to negotiate a comprehensive free-trade agreement with the EU? Therefore, the key question becomes: what interim arrangement will the Government put forward? Will he assure the House that the Government have not ruled out as the interim arrangement full membership of the single market?
The noble Lord makes an interesting and very valid point. A week may be a long time in politics—God knows what two years is, therefore. Two years is a considerable amount of time, but he makes an important point. The matter of transitional arrangements, as has been widely reported, has been raised with the Government by businesses and business organisations, along with a number of other issues, concerns and thoughts that they have. We are considering them all. I am not going to start ruling in or out any of these points at the Dispatch Box now, but I assure him that his point has been noted.