Government’s EU Exit Analysis

Matt Western Excerpts

Wednesday 31st January 2018 Commons Chamber

[Rachel Maclean (Redditch) (Con)]

Let me begin, Mr Deputy Speaker, by associating myself with what has been said by Members in all parts of the House. We are so glad to see you back in your place.

I thank the Minister for coming to the House and agreeing to publish the statements. I think that, on the whole, transparency is a good thing. I also join in the praise that has been given to the civil servants. In my experience, they are fantastic. My daughter is a civil servant and I know how hard they work.

It is a shame that the right hon. and learned Member for Holborn and St Pancras (Keir Starmer), who has just left the Chamber, was unable to say, when pressed: whatever the results of those statements were, what would be the position of the official Opposition? I think we all accept that forecasts vary: they have a range of outcomes and a considerable degree of uncertainty is built into them. However, the official Opposition have been unable to say today what their position would be on the basis of the figures that appeared in any statement, whether the implications for the country were negative or positive. They are unable to tell the millions of people who voted for their party, including those in their constituencies, whether they would change their position. Would they, as a Liberal Democrat asked earlier, call for a second referendum? Would they call for us to go back into the European Union? They have been unable to say. I think that they are letting down their voters and I think that that is a shame.

I am a member of the Business, Energy and Industrial Strategy Committee. We have spent considerable time looking in detail at economic analysis covering a range of sectors. Let me say at the outset that I am not an ideologue. Indeed, I do not think that there is a label that describes me. I am definitely not a Brexiteer. I did not campaign on either side of the referendum and I was not in the House then. I ran a small business for more than 20 years before I came here. I spent my entire career working with other small businesses in Birmingham and the west midlands. I can say to Members in all parts of the House that, when running a business, there is no such thing as certainty. Certainty in business is an illusory concept. We are trying to get certainty from economic forecasts for the Government to set out a negotiating position. That is an inherently impossible position. There is no such thing as certainty—as any entrepreneur or small businessperson will say, if asked.

When my business went bust and we had to start it all over again, I did not expect the Government to give me certainty to start my business again. I just got on and did it because I had to pay the mortgage and feed my children. That is what businesses up and down this country do. They deal with ambiguity and make contingency plans.

[Matt Western (Warwick and Leamington) (Lab)]

Businesses always look at forecasts, do modelling, look at outcomes and then make investments accordingly and choose which option to take. What we are seeing from the Government is a lot of muddling and not much modelling.

[Rachel Maclean]

The hon. Gentleman is right that businesses create forecasts, but they also understand and accept that in any forecast and in any market there is uncertainty and they have to develop contingency plans—alternative plans in order to make their business successful. If he were doing business with the United States under Donald Trump and wanted to export, does the hon. Gentleman think there would be certainty in that? I would argue that there is not, but many successful businesses trade with the United States.