EU Exit: Negotiations and the Joint Committee

Lord True Excerpts

Wednesday 21st October 2020 Lords Chamber

[The Minister of State, Cabinet Office (Lord True) (Con)]

Well, My Lords, after listening to the submissions from the noble Baronesses opposite, I must say I warm to the smooth, diplomatic talk of Monsieur Barnier.

I have always respected the Liberal Democrat Party’s consistency and determination to keep, then get back, the UK in the European Union of which they are so fond. But I listened—I strained my ears—to hear some acceptance in the submission from the noble Baroness, Lady Hayter, that the British people had set an objective. She asked what the objective is; it is that set by the British people that the United Kingdom shall be an independent nation, free to set its own laws and proceed with mutual respect alongside our European partners. Not one word in the speeches from the parties opposite recognised that. Instead, I heard a litany of criticism of the stance this Government are taking on behalf of the British people. It was not Project Fear—it was, frankly, project invention. I was immensely disappointed by the tone. I think everybody outside this House should take note of the position of the Labour Party: it supports, in no respect, the efforts of the United Kingdom to secure a good deal, and in every respect, parrots the criticisms that come from the European Union.

This Government are intent on securing a good outcome for the United Kingdom. That outcome is the one I have described. I regret the delays and difficulties that have taken place, which were ascribed by the parties opposite entirely to the United Kingdom. In fact, the European Union was willing to undertake negotiations on fewer than half of the days available, it would not engage on all the outstanding issues and, despite what the noble Baroness, Lady Hayter, said, it has refused to discuss legal text in any area since the summer. It is almost incredible to me that we have reached this point in negotiations without any legal text of any kind. Then, on 15 October, the EU heads of state gathered for the European Council and made the statement they did, and the response from the Prime Minister to that statement was entirely reasonable and predictable in the circumstances.

As my noble friend the Chancellor of the Duchy of Lancaster and others have made clear, this Government are always ready listen to serious approaches, but they have to be serious. This Government will continue to make preparations, as they have done for months, for whichever eventuality arises, whether it is the Australian outcome or, as we would have preferred, the Canada outcome. That work is ongoing. There is engagement with business, as was referred to in the speech of the noble Baroness, Lady Ludford. The Prime Minister and the Chancellor of the Duchy of Lancaster spoke to representatives of business yesterday. Across the board, there are ongoing discussions.

I was asked about the goods vehicle IT; we have discussed that in this House before. We are confident that it is proceeding well. The arrangements for border management have been published and updated.

On security, in the last round, there was discussion of law enforcement, which covered a number of capabilities, including Prüm and mutual legal assistance. Security is of course important, but the whole gamut of relations between us and the European Union is important, and people on both sides have to reflect on how they want to see things go forward. The United Kingdom will adjust to any eventuality.

We note, with interest, that the EU’s negotiator, speaking to the European Parliament this morning, has commented in a significant way on the issues behind the current difficulties in our talks. We are carefully studying what was said, and I can tell the House that my noble friend Lord Frost will discuss the situation when he speaks to Monsieur Barnier later today.

[The Deputy Speaker (Baroness Garden of Frognal) (LD)]

My Lords, we now come to the 20 minutes allocated for Back-Bench questions. I ask that questions and answers be brief, so that I can call the maximum number of speakers.

[The Earl of Kinnoull (Non-Afl)]

My Lords, there is a stark difference between the level of information contained in the statements made by the two sides following the joint committee meeting on Monday. Why is it that this sovereign Parliament gets so much less information than the EU 27 Parliaments and the European Parliament? Will the Minister commit that, going forward, a much greater level of information will be given on meetings of the joint committee and its sub-committees?

[Lord True (Con)]

My Lords, a Written Ministerial Statement was issued. I am sorry if the noble Earl feels that more could and should be said. I always enjoy my engagements with him. The Statement referred to a number of matters discussed in the joint committee on 19 October. In addition to that, if he wants, I can be more helpful: the committee discussed work on the establishment of a list of individuals to sit on an arbitration panel, as required under the WA. Both parties are progressing work to establish a list of suitable arbitrators. As the noble Earl knows, it was agreed to have a further meeting of the committee in November, and other work will continue in the interim. The discussions are obviously ongoing, and I know that he understands, and I respect that, that there are some constraints on what one can share at a time of active talks.

[Baroness Noakes (Con)]

My Lords, following last week’s EU Council meeting, Angela Merkel said:

“We also acknowledge that the UK would like to have a certain amount of independence”.


I emphasise “a certain amount”. Does the Minister agree that until the EU fully understands and respects the fact that we will have 100% independence, the EU alone will be responsible for the lack of a free trade deal, along with the damage that will do to the economies of many of its member states?

[Lord True (Con)]

My Lords, of course it is essential that that point is recognised. I have made a practice, since I had the honour of taking on this brief, of not criticising the actions of any EU member state or anybody within the EU, and I shall forbear to comment on what any individual European leader may or may not have said. However, my noble friend is absolutely right that our independence, our right to set our laws, to control our own waters, and all the well-known expectations—not requests or demands—of an independent state need to be recognised by the other party.

[Lord Bilimoria (CB) [V]]

My Lords, the Statement very clearly says that this country should get ready for 1 January 2021 on arrangements that are more like Australia’s—in other words, WTO rules. Does the Minister agree with the 71 trade associations and professional bodies—along with the CBI, of which I am president—representing 190,000 businesses and 7 million employees, calling on politicians on both sides to carve a path towards a deal, followed by the European business groups from France, Germany and Italy also calling for smooth trading conditions and a solution? Does he agree that now is the time for compromise and tenacity and that a deal can be done? If there is a deal, there will be a platform on which to build, for security, movement of people and all other parts of our relationship.

[The Deputy Speaker (Baroness Garden of Frognal) (LD)]

Questions and answers should be as brief as possible, please, so that we can get through more people.

[Lord True (Con)]

My Lords, I apologise to the House if I have infringed. I say then to the noble Lord that, whatever the outcome of the negotiations, the UK is leaving the single market and the customs territory, and everybody will have to make arrangements to act in those circumstances.

[Lord Liddle (Lab) [V]]

My Lords, what a mess we are in. Do the Government accept that they won a large parliamentary majority last December on the basis of an “oven-ready deal” that had two elements? A withdrawal agreement that ditched the Northern Ireland backstop and substituted a customs border in the Irish Sea was the proposal of the British Prime Minister, not the European Union. The second element was a political declaration that set out the terms of the future EU relationship, including clear commitments to a level playing field on state aid, workers’ rights and environmental standards. These inevitably represent constraints on independence. Is it not the case that if we end up with no deal, it is because the Government have gone back on those commitments made in December and put a price on sovereignty that will result in grave economic damage and increased political insecurity for the British people?

[Lord True (Con)]

No, my Lords, I do not accept the one-sided strictures being heard once again in this House. The Government have proposed arrangements with the European Union that have precedents in agreements that that Union has reached with other countries of the world. The Government have asked for nothing unreasonable.

[Lord Wallace of Saltaire (LD) [V]]

My Lords, the Government are set on a Canada-style agreement. Have they studied the Canadian network of agreements with the United States, its close neighbour, which cover border controls, aviation, energy, police co-operation, common standards, road haulage and even fishing in the waters along their border? That is because it is a close neighbour. Do the Government have a strategy for somehow increasing the distance between the UK and the European continent? Or do they accept that after 1 January, we will have to start to negotiate on all these other matters as well with our new neighbours?

[Lord True (Con)]

My Lords, the United Kingdom is a sovereign nation and has relations with every other country in the world. Of course, our relationship with our European neighbours is important and we will continue to negotiate with them, whether in this process or in whatever circumstances we find in the future.

[Lord Lilley (Con)]

Can my noble friend confirm that EU negotiators have been gently reminded that, if there is no free trade agreement and, regrettably, tariffs are applied to trade in both directions across the channel, the cost to EU exporters will be getting on for three times the cost to UK exporters, because they largely export highly protected goods to us, which we will be able to obtain far more cheaply elsewhere once we are outside the customs union?

[Lord True (Con)]

My Lords, we were told by the Front Bench opposite yesterday that the House was sending a signal to the European Union, so I infer that our proceedings are followed closely in Brussels, and I am sure my noble friend’s remarks will have been noted.

[Viscount Waverley (CB) [V]]

[Inaudible.] So can the Minister offer a synopsis of the digital trade outcomes we should expect from negotiations, and confirmation that these are aligned with those in the Japan deal and US negotiations? Can concerns be allayed that many of the just-announced list of trade advisers to the Secretary of State and the DIT are recognised arch-Brexiteers, given the importance of bridge-building to allow continuity in trade with the EU, which is what is urgently required now.

[Lord True (Con)]

My Lords, I regret that I am not advised on the advisers to DIT; I apologise to the House for that, I was not anticipating that question. I cannot comment on whether they are so-called arch-Brexiteers, but I will respond to the noble Viscount’s question in writing.

[Lord Caine (Con)]

My Lords, will my noble friend update the House on what progress has been made in determining who will negotiate with the EU for Northern Ireland, and in what forum, in those circumstances in which the EU proposes changes to the rules of the single market and Northern Ireland is obliged to diverge from the rest of the United Kingdom?

[Lord True (Con)]

My noble friend asks an important question. Article 15 of the Northern Ireland protocol establishes a joint consultative working group on implementation of the protocol to serve as a forum for the exchange of information and mutual consultation, including the EU informing the UK about planned Union Acts covered by the protocol. The United Kingdom has committed, and I repeat this commitment to my noble friend, to including representatives of the Northern Ireland Executive as part of the UK delegation to that working group.

[Baroness Jones of Moulsecoomb (GP) [V]]

My Lords, we in this House are trying to help the Government meet their promises to the electorate. In fact, we are doing a “reverse Salisbury”—I thank George Peretz QC for that phrase. I do not understand how a single Tory on the Government Benches can possibly vote against the election manifesto of last year. Can the Minister give details on the issues of environment, animal welfare and workers’ rights? Are we in agreement or disagreement with the EU on them? What are our Government asking for? What is the EU asking for? What blockages are coming from disagreements in the Cabinet?

[Lord True (Con)]

My Lords, I regret that I found it very difficult to follow the noble Baroness’s question because of the quality of the microphone. I think that at some point she asked about details of the state of play in certain aspects of negotiations, on which I would have to reserve the Government’s position in the normal way. I will examine Hansard, and if there is a way in which I can say anything, I will. I repeat that the Government have been involved in a delicate negotiation; as I told the House, there has been an interesting statement this morning, which we are examining. I reserve the Government’s position.

[Lord Robathan (Con)]

My Lords, I turn to fishing rights and the rather fraught negotiations surrounding them, where we see President Macron and the French apparently refusing to compromise or give way in any shape or form. Does my noble friend regret, as I do, that some in the media, such as the BBC, and, I regret to say, many politicians who have never reconciled themselves to the vote taken in 2016, are always prepared to side with Monsieur Barnier and the French negotiators on issues such as fishing and are not willing to stand up in any way for British interests as expressed by our negotiators?

[Lord True (Con)]

My Lords, I agree with my noble friend. I said to the House earlier that I rather heard that in the opening statements from the side opposite. Our position on fishing has been very clear: the waters are the waters of an independent state. We have put propositions on fishing, but the EU has not been prepared to negotiate. Its ask from the start was that life should continue as it was. We are an independent coastal state and whoever it may be—I do not name the BBC—has to recognise that.

[Baroness Ritchie of Downpatrick (Non-Afl) [V]]

My Lords, yesterday’s statement from the Government clearly indicated that it is the intention of the UK and the EU to intensify discussions around the implementation of the withdrawal agreement, particularly around citizens’ rights and the Northern Ireland protocol. How will that happen when it is the Government’s intention to subvert the Northern Ireland protocol through Part 5 of the internal market Bill?

[Lord True (Con)]

My Lords, that is a false characterisation of Part 5 of the internal market Bill. The Government are not subverting the Northern Ireland protocol; we are acting to implement it. The Government’s proposal, which your Lordships will have to discuss—I do not want to repeat the discussions we had yesterday—is that in certain circumstances we might have to protect our union against interference with free movement in the customs territory. On the joint committee proposals, the statement referred to the meeting that took place recently and the fact that another meeting will take place in November. The record of this Government on citizens’ rights for EU nationals has been outstanding and generous; we and, I understand, the Commission are pressing all member states to reciprocate. I hope very much that that will be the case.

[Lord Polak (Con)]

My Lords, as I mentioned at Second Reading of the internal market Bill, people across this country know that we voted to leave and tried to negotiate a mutual and sensible exit in good faith. It seems that the good faith has not been reciprocated. In that regard, does my noble friend share my profound disappointment with the flavour of the EU’s communiqué after last week’s European Council?

[Lord True (Con)]

My Lords, I stand by the words of the Prime Minister in reaction to that. It was disappointing. I referred to it in my speech yesterday. It seemed to restate the opening position. As we understand it, the communiqué was hardened from the text that was before the Council, which was disappointing. We have expressed our disappointment and set out our position and feelings on the matter. I repeat to the House, because I do not want to make an entirely negative point, that we will carefully study everything that is said by EU representatives. As I have said, there will be further conversations.

[Baroness McIntosh of Pickering (Con)]

My Lords, I turn to customs and tariffs. The definition of goods at risk of onward movement into the EU is a sensitive decision for the joint committee to take. When does my noble friend think it will take that decision? As regards the UK’s listing as an authorised third country for agri-food exports into the EU, what assurances is the EU asking for to proceed with third-country listing of the UK and what assurances have we offered?

[Lord True (Con)]

My Lords, we are more hopeful. The position on third-country listing was extraordinarily disappointing. The statements and threats made in that respect were unacceptable. Goods at risk is an area of discussion in the appropriate committee. I will not foresee the outcome of those discussions.

[The Deputy Speaker (Baroness Garden of Frognal) (LD)]

My Lords, I congratulate the Minister and noble Lords on all supplementary questions having been asked and answered.