Lord Wigley Portrait Lord Wigley (PC)
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Before the noble Baroness sits down, were the changes in relation to the Welsh devolution settlement discussed with the Government of Wales?

Baroness Goldie Portrait Baroness Goldie
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I have no specific information about that. The amendments are intended to help the Welsh Assembly and, indeed, assist any Government in the Welsh Assembly by ensuring that we avoid confusion and greatly improve clarity. I hope that the noble Lord will accept the good faith of the Government in trying to do everything possible to assist the devolved settlement in Wales. With that clarification, I beg to move Amendments 3, 4, 5 and 6.

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Lord Wigley Portrait Lord Wigley
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My Lords, I am delighted to support the amendment moved by the noble Lord, Lord Thomas of Gresford, and to speak to the amendment tabled by the noble and learned Lord, Lord Wallace, both of which I support. I do so having listened to every moment of the debate in the National Assembly yesterday and to large parts of the debate in the Scottish Parliament yesterday evening. What came through loud and clear was the incredulity—across party lines, even though the National Assembly for Wales accepted the agreement reached by the Minister, Mark Drakeford—on the very point touched on in the amendment from the noble Lord, Lord Thomas, namely that consent can mean consent or that consent is refused or consent has not been approved. For consent to be interpreted in that way was just unbelievable to Members there, and there was some doubt as to whether the Minister was carrying his troops with him. Indeed, Mark Drakeford himself was clearly not at ease in defending the agreement that he and the Welsh Government had approved. In his closing speech he said:

“Of course we should be ambitious for even more ground to be gained, and we are too. And I said in my opening remarks: there is more that we want to achieve. We have ambitions beyond the agreement”.


The fact is that a form of words has been reached, which are in the Bill, but they do not succeed in getting hearts and minds behind them. When one is going to something as fundamental as this agreement, which will need to be tested when real issues arise, there needs to be buy-in from all parties. Will the Minister therefore confirm that further discussions may take place with Mike Russell and his Scottish ministerial colleagues? If progress is made there to move the settlement to a form of words that is more acceptable, will the Minister confirm that that form of words would be equally available for Wales and Northern Ireland and not just be a reward for Scotland for standing out against the decisions that have been taken?

What hit Members in both the Scottish Parliament and in the National Assembly was the implication of these agreements when it comes down to the nitty-gritty. The element that stood out most clearly, in both debates interestingly enough, was public procurement. As Dr Dai Lloyd, an Assembly Member in Cardiff, spelled out, it could mean privatisation by the back door for the National Health Service. That came as quite a shock to many Labour Members, and that very point was made in the Scottish Parliament. In his closing remarks, the Minister, Mike Russell, mentioned that public procurement that leads to probably hundreds of thousands of jobs in Scotland would be affected. As the reality of the settlement hits home, there is a growing unease. We should be heading that off, and if we cannot do so tonight, the opportunity should be taken by the Government in another place, where the new clause can be amended by Members of Parliament. I believe that such amendments are needed.

One consideration that they could perhaps apply themselves to is one not covered by this amendment but which could be covered by further amendments in another place. In bringing regulations that will potentially overrule what the Scottish Parliament or the National Assembly for Wales would decide, or the attitude they might take towards certain proposals, if it is done by instrument through both Houses of Parliament, that lays the whole process open to the fact that the solution is being imposed. Perhaps the Minister and the Government could consider the possibility of dealing with those instruments in the Scottish Grand Committee and the Welsh Grand Committee by Members of Parliament from the two countries, so that at least there would be a feeling that people from Wales and from Scotland are dealing with solutions that are so important.

I personally believe that there need to be changes in the Bill along the lines proposed by the noble Lord, Lord Thomas of Gresford, and the noble and learned Lord, Lord Wallace. I look forward to the Government’s response.

Lord Kerr of Kinlochard Portrait Lord Kerr of Kinlochard (CB)
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My Lords, I will speak in support of these amendments. I do so with great trepidation as a non-lawyer, knowing that the noble and learned Lord will be marking my homework—and doing so in front of the noble and learned Lord, Lord Hope.

The noble Lord, Lord Thomas of Gresford, is completely correct to draw our attention to the fact that a constitutionally significant moment has arrived. He is quite right to repeat the questions that he asked before. Whether one considers it a good thing or a bad thing, what happened in Edinburgh yesterday was certainly a big thing—and it could have very serious repercussions.

I agree with the noble and learned Lord, Lord Wallace, in wanting to bring out the principles agreed in October, and I am grateful to him for reading them out. But it seems to me that much is going to depend over time on how they are interpreted. Will they be interpreted narrowly or widely? The two key common frameworks are to enable the function of the UK internal market and to ensure that the UK can negotiate and implement international trade agreements. How are these principles going to operate?

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Lord Mackay of Clashfern Portrait Lord Mackay of Clashfern
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My Lords, I would like to say a word about my attempts for Scotland. I am going to read this from my note, because I have shown it to Michael Russell. As I said to your Lordships, on the Monday before Clause 11 was due to be discussed in Committee, I met a member of the SNP, Ian Blackford, to whom I said that I had not received any briefing from the Scottish Government on that clause. Next day I received briefing from the Lord Advocate and Michael Russell, the Scottish Minister in the consultation on Clause 11. Having carefully thought over what they said, I tabled an amendment to provide a mechanism for the consultation that I thought would meet their concerns, and in Committee I stated my view of the relevant law that would return on Brexit.

On Report the British Government tabled amendments that fully met my suggestions, and indeed went further. I had suggested that, if the consultation failed to reach agreement, the participants should provide an agreed statement of their disagreement to the UK Parliament before it was asked to approve the instrument approving the framework agreement in question. The government amendment also proposed that any dissenter should have an opportunity to state the reasons for their dissent in their own terms. Your Lordships will understand my dismay when I learned from Michael Russell that the Scottish Government could not accept that amendment.

The First Minister of Scotland then wrote to the Lord Speaker with a number of amendments that she asked him to circulate, which he did. My noble and learned friend Lord Hope of Craighead and I decided that we should table the principal amendments in the letter: he would introduce them and I would explain the reasons why we could not support them. This we did. No member of your Lordships’ House questioned my explanations. The First Minister of Scotland has not corresponded with either of us; we have not corresponded with anyone other than Michael Russell and the Lord Advocate on this matter, and I have had talks with the UK Ministers and officials. Michael Russell has publicly and graciously acknowledged the help that my noble and learned friend and I have given, and I thank him for the courtesy he has shown in all his correspondence with us.

I am satisfied that Clause 11 as now amended is entirely in accordance with the devolution settlement, and is an appropriate way of dealing with the unique problem of adjusting the EU provisions for the internal market in the United Kingdom to the post-Brexit situation.

I have had my home in Scotland all my life, having been trained as a Scottish lawyer, and I am profoundly sad that I have been unable to achieve the agreement of the Scottish Government to these proposals. Although my concern was principally with my native land, I am glad that the Government of Wales have accepted the arrangements, and I send my best wishes to those in the other place, in the hope that they will succeed where I have failed.

Lord Wigley Portrait Lord Wigley
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My Lords, as one who—unlike certain other colleagues—has barely missed an hour of the 156 hours of discussions on this Bill, may I say a few words before we send it back to the other place? I join others in thanking the team of Ministers for their patience and good humour, even on occasions when those could have been sorely tested. The noble Lord, Lord Duncan, the noble and learned Lord, Lord Keen, the noble Baroness, Lady Goldie, and the noble Lord, Lord Callanan, have had a heavy workload, and I am sure that they and their officials will be glad to see us pass Third Reading. I thank in particular the noble Lord, Lord Bourne of Aberystwyth, for the way in which he responded, and made himself and his team available to discuss issues of concern. In particular, with his background in the National Assembly, he could readily identify with the concerns emanating from Cardiff Bay, even if his brief did not allow him to respond as fully as many of us—and perhaps even occasionally he himself—might have wished.

I have no doubt that the Bill we now return to the other place is significantly better than the one we received. Ministers should concur with this sentiment. After all, of the almost 200 amendments that have found their way into the Bill, all but 15, and a handful of consequential amendments, have come from the ranks of government itself. Let no one—the Daily Mail or anybody else—claim that this Chamber has delayed proceedings. We have not. The Government have their Bill bang on time, even if, at times, we had to spend 11 hours or more a day on our deliberations to make that possible. The Government clearly needed all this time: as we heard from the noble and learned Lord, Lord Mackay, a moment ago, it was only at the very last moment of Report that they were able to move the final form of amendments that they saw necessary to make Clause 11, as was, workable in the way that they desired.