Preparations for Leaving the EU

Debate between Michael Gove and Keir Starmer
Tuesday 8th October 2019

(5 years, 2 months ago)

Commons Chamber
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Keir Starmer Portrait Keir Starmer (Holborn and St Pancras) (Lab)
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The Prime Minister should be here. Talks with the EU are collapsing as we speak. The proposals that the Government introduced last week were never going to work, and instead of reacting to challenge by adapting them they are intent on collapsing the talks and engaging in a reckless blame game. It will be working people who pay the price. The Prime Minister should be here to account for his actions.

It is no good pretending that the proposals would work. That is simply not going to wash. You cannot take the UK and Northern Ireland out of the customs union and avoid customs checks. You cannot have customs checks without infrastructure in Northern Ireland. The Government know that, which is why they refuse to answer the very simple question—where will the checks take place? You cannot give a serious response to the EU’s concerns about protecting the integrity of the single market simply by saying, “We’ll put that question off until later.” You cannot be serious about upholding the Good Friday agreement while proposing what amounts to a veto for one party in Northern Ireland over the all-Ireland regulatory zone. Consent of all communities in Northern Ireland is at the heart of the Good Friday agreement, and the Government have ridden roughshod over that principle.

That is why the proposals were never going to work, but instead of responding to legitimate questions from the EU27 or in this House by actually answering them, the Government appear to be pulling the plug, descending into a reckless blame game, instead of putting the country first. Sources close to No. 10 say that a “deal is overwhelmingly unlikely”. Sources close to No. 10 say that it is “essentially impossible”. Sources close to No. 10 have begun blaming people—it is Parliament’s fault, it is the Opposition’s fault, it is the Benn Act, it is Germany, it is Ireland—absolutely defining the character of the Prime Minister, a man who never takes responsibility for his own actions.

The stark reality is that the Government introduced proposals that were designed to fail, and they still will not take responsibility for their own actions. Last night, there were even reports that the Government were threatening to withdraw security co-operation with the EU. That is an astonishing statement. If true, it is beneath contempt. Will the Minister take this opportunity to denounce those comments and confirm that that is not the Government’s position? Will he echo comments this morning by the Secretary of State for Northern Ireland, who said that

“withdrawing security co-operation with Ireland is unacceptable”

and was

“not in the interests of Northern Ireland or the union”?

I know from last week’s statement that instead of answering serious questions the Minister prefers to revert to pre-prepared attacks and gags, but today is not the day for those tricks. Can he be straight with the House? Is it the Government's official position to end negotiations with the EU, and to seek to leave on 31October without a deal? If not, will the Government either propose a different basis for negotiations with the EU, or make it clear that they will seek an immediate extension, as required under the Benn Act, on 19 October? The House and the country deserve a straight answer.

I appreciate that the Minister speaks as if he is giving a statement or a reassuring bedtime story about preparations for no deal, but I remind the House that he used the same tone last week at the Dispatch box when he said:

“The automotive sector…confirmed that it was ready. The retail sector has confirmed that it is ready”.—[Official Report, 25 September 2019; Vol. 664, c. 722.]

As he knows, while we were in the Chamber debating that, it drew a furious response. Within hours, the British Retail Consortium issued a rebuttal, stating:

“It is impossible to completely mitigate the significant disruption which would be caused by no deal.”

The Society of Motor Manufacturers and Traders did likewise within hours in response to what the Minister said:

“A no deal Brexit would have an immediate and devastating impact on the industry, undermining competitiveness and causing irreversible and severe damage.”

That was only hours after the Minister said that those sectors were ready. What the Minister tells the House in his reassuring tones and what businesses say are two different things, and he knows it. This is no longer a time for games.

The reality is that no deal would be a disaster for the economy and for businesses. That is underlined by today’s figures from Her Majesty’s Revenue and Customs, which estimates additional costs of £15 billion a year for businesses to comply with customs arrangements. The Institute for Fiscal Studies said today that no deal would result in borrowing rising to £100 billion, debt rising to 90% of national income, and growth flatlining. That is why it was essential that the House passed the Benn Act, which was intended as an insurance policy. We did so because we feared that the Government were more focused on delivering no deal than on doing the hard work needed to find a deal. It is clearer now than ever that the Act will be needed.

Michael Gove Portrait Michael Gove
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I am grateful to the shadow Brexit Secretary for his questions. First, he asked where the Prime Minister was. The Prime Minister is talking to our EU partners, attempting to secure a good deal, and he is doing so with the full-hearted support of everyone on the Government Benches. The question that many people will be asking outside the House is why, if the right hon. and learned Member for Holborn and St Pancras (Keir Starmer) says that he is anxious for a deal, he declined to support one on the three opportunities he had to do so. If he wants to be taken seriously as an advocate of compromise and a deal why, in cross-party talks in which we both took part, did he attempt to erect an obstacle at every turn to consensus across the House? That is the conclusion that people will draw.

There is another conclusion that people will draw. The no-deal report was made public three hours before the right hon. and learned Gentleman began asking questions. Having had time to absorb 156 pages, he did not have a single question about no-deal preparation; not a single point to make about how any sector could be better prepared; not a single suggestion, query or contribution about how we can ensure that British business is in a robust position. There was just a series of questions that we have come to expect from him about politics, rather than policy; about positioning, rather than practicalities.

The right hon. and learned Gentleman asked about customs checks in Northern Ireland. He knows—it has been made clear—that those customs checks can take place away from the border, at the manufacturer or other distribution sites. He also asked whether our proposals were serious about maintaining the integrity of the single market. They allow the EU to maintain the integrity of the single market, but is he serious about maintaining the integrity of the United Kingdom, because he and his party are more than willing to see a customs border erected in the Irish sea? We would be the only sovereign nation in the world with such a customs border, but he is more than prepared to dance to the EU’s tune, rather than standing up for the UK.

That is the spirit in which the Benn Act was passed. That Act signals to the EU that there are people in Parliament who do not want to conclude a deal, who do not want to leave by 31 October and who want to delay. Indeed, the right hon. and learned Gentleman is one of them. He has had every opportunity to engage meaningfully with Government, not just on the deal but on no-deal preparations.

When I last spoke to the House, on 25 September—the right hon. and learned Gentleman referred to my statement then—I invited any MP in this House to come to the Cabinet Office and the Department for Exiting the European Union to discuss a deal and our no-deal preparations. Only one Opposition MP, the hon. Member for Leicester West (Liz Kendall), accepted that invitation. Oh sorry—and the hon. Member for North Down (Lady Hermon). Two Opposition MPs. That is the measure of the seriousness with which the Labour party, the SNP and all the Opposition parties take our Brexit negotiations: an open offer, an invitation, to come and talk rejected hands down.

Is there any surprise? The right hon. and learned Gentleman in 2017 said of the referendum:

“We’ve had a decision and we respect that decision.”

He also said that the Labour party cannot spend all its time trying to “rub out yesterday” and not accept a result it is honour-bound to respect. As I mentioned earlier, after voting against the deal three times, he rejected the opportunity to come to a consensus between the Front Benches to get a deal through.

We in this Government have compromised. We in this Government are showing flexibility. We in this Government seek to leave without a deal, but faced with the delaying, disruptive and denying tactics of the Opposition we say, on behalf of the 17.4 million: enough, enough, enough—we need to leave.[Official Report, 16 October 2019, Vol. 666, c. 3MC.]

Brexit Readiness: Operation Yellowhammer

Debate between Michael Gove and Keir Starmer
Wednesday 25th September 2019

(5 years, 3 months ago)

Commons Chamber
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Keir Starmer Portrait Keir Starmer (Holborn and St Pancras) (Lab)
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I thank the Chancellor of the Duchy of Lancaster for an advance copy of his statement. Let us get to the detail and test what he says.

First, the right hon. Gentleman says that the negotiations have seen significant movement over recent weeks. Will he confirm that three papers were submitted to the EU last week and one was submitted today, but they are what the EU called non-papers, because they are for discussion and do not commit the member state to the policy outlined in them, and at the moment they are being kept secret from the EU27? What is the thrust or gist of those papers? If we are to assess the likelihood of success in negotiations, we need to know.

Secondly, may I challenge the right hon. Gentleman’s statement that many businesses are already well prepared for no deal? At 3 o’clock last Wednesday, I sat round a table with the leaders of pretty well all the business sectors, and the one message they wanted to get across was how concerned they were that businesses were not prepared for a no-deal Brexit. I do not believe those businesses are saying one thing to me and another thing to the Government. Will he therefore clarify what he meant?

The statement significantly and studiously avoids giving any detail of the scenario that we are told the Government’s civil contingencies secretariat has drawn up. On 9 September, just before we were shut down, an order was made that all the documents prepared within Her Majesty’s Government since 23 July relating to Operation Yellowhammer and submitted to Cabinet or a Cabinet Committee should be laid before the House by 11 o’clock on 11 September. The Government are spending a lot of money telling businesses and the country to get ready, and they want to know what they are to get ready for. They need to know what could happen so that they can prepare. On 11 September, the Chancellor of the Duchy of Lancaster wrote to the Chair of the Brexit Select Committee,

“I thought it would be helpful to publish the Operation Yellowhammer document based on assumptions drawn up by the last Government.”

I have that document in my hand; it was the only document disclosed. He went on to say,

It is…my intention…to publish revised assumptions in due course”.

Nothing else has been produced.

The document disclosed to the Chair of the Select Committee is dated 2 August. Will the Chancellor of the Duchy of Lancaster explain how it is a document of the last Government, not this one? As he knows, it was leaked pretty well in full to The Sunday Times. Just so that the Chancellor of the Duchy of Lancaster does not try to avoid this by saying that he will not comment on leaked documents, I understand that it also went to the Welsh Government. In response to that leak, the Chancellor of the Duchy of Lancaster said on the Marr show on 1 September that the document

“predated the creation of this new government”

and that its predictions were the “worst possible eventuality.” The impression he was trying to create was that it is an old document and a worst-case scenario. [Interruption.] Thank you—that is exactly the point I want to come on to: the Chancellor of the Duchy of Lancaster went on to say that it is “constantly updated”. Given that the document is dated 2 August, was it produced for this Government, the last Government or both? If it was for the last Government, have this Government produced any documents of their own since 23 July relating to Operation Yellowhammer? It is no good saying, “We are going to produce them.” This Government have been in place for nine weeks, and there are only five weeks and two days to go until 31 October.

If it is an old document and it was produced for the last Government, why did somebody change the title after the leak to The Sunday Times? It used to be branded the “base scenario”. Somebody got hold of an old, apparently irrelevant document and changed the title, so it is now called, “HMG Reasonable Worst Case Planning Assumptions”. Why was it changed if it is out of date and an old document? Who did it?

Will the Chancellor of the Duchy of Lancaster confirm that the rebranded document has 20 substantive paragraphs, each word for word the same as those in the document leaked to The Sunday Times? If it is constantly updated, where are the constant updates? This is the only document we have. Will he confirm that, according to this document, there will be “significant and prolonged disruption” at ports; that the “worst disruption” to the channel straits will last “up to 3 months”; and that there will be “significant queues in Kent” and delays of up to two and a half days at the border for HGVs attempting to use the channel route to France? If the answer is no, what is that based on if there is not another document in existence that the Chancellor of the Duchy of Lancaster has not disclosed in accordance with the order of this House? The answer is either yes or no, based on a document that has not been disclosed.

Paragraph 18 has not had the attention it should have had. It centres on the impact of no deal on Northern Ireland. I know that this is a matter that the House takes extremely seriously. It sets out the Government’s planned model. It states:

“The agri-food sector will be the hardest hit… Disruption to key sectors and job losses are likely to result in protests and direct action with road blockages. Price and other differentials are likely to lead to the growth of the illegitimate economy.”

It also mentions severe disruption at the border. The document itself concludes that the pressure will be such—[Interruption.] Northern Ireland happens to be extremely important to many people in this House. [Interruption.] We are here to scrutinise the Government; let us get on with it. This document indicates that the Government’s proposed model will come under such pressure that it is unlikely to survive for more than a few days or weeks. The Government’s preferred model for Northern Ireland is unlikely, according to their own assessment, to survive for more than a few days or weeks. A model that will not last more than a week is not a plan. There must be an update. Where is it?

Has the Chancellor of the Duchy of Lancaster received any representations from the energy sector about the impact on oil and gas supplies to the UK in the event of no deal?

Anyone watching today’s proceedings and still thinking that somewhere lurks a clever and cunning plan to get through the chaos of the Government’s making needs to think again. The Government have lost six out of six votes in Parliament and the Prime Minister has lost his majority and his case in the Supreme Court. The Chancellor of the Duchy of Lancaster said on the radio this morning that the Prime Minister is a born winner. I am glad that he has not lost his sense of humour. However, this is not a game, and for the Government to be five weeks away from leaving the EU without a plan is unforgiveable.

Michael Gove Portrait Michael Gove
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I welcome the shadow Brexit Secretary back from Brighton and to the House of Commons. One thing about the House of Commons is that, whether we lose or win votes, at least they are recorded accurately.

The right hon. and learned Gentleman repeated on several occasions that he believed in constant updates. What a pity he did not update his list of questions in the light of the points that I made in my statement. What a pity he relied on a list that he had drafted many hours earlier.

On the first point, which was about negotiations, there have been detailed negotiations with the European Commission and EU member states. The Commission briefs the EU27 on those negotiations. As a result of those briefings and conversations, we have made the progress that I charted earlier. I hoped that the right hon. and learned Gentleman would have been generous enough to acknowledge that the withdrawal agreement is now in play and the backstop can be replaced by alternative arrangements.

The shadow Brexit Secretary asked about business readiness. He said that he met some business organisations and they kept him up until 3 o’clock in the morning with a single message. I imagine that it was, “Whatever you do, please replace your leader.” [Interruption.] I will treat the right hon. and learned Gentleman’s comments with the seriousness they deserve. The automotive sector, which I met earlier this week, confirmed that it was ready. The retail sector has confirmed that it is ready. Ninety per cent. of the companies measured by value that trade with the EU also trade with countries outside the EU and they are in a position to be ready.

The right hon. and learned Gentleman asked about the Operation Yellowhammer document, but he seemed to miss the point that the National Audit Office appreciated earlier this year and that has entirely passed him by. Operation Yellowhammer is a reasonable worst case scenario. The Government have taken and are taking steps to mitigate it and the XO Committee has authorised more than 300 actions since we started meeting in August to mitigate the consequences. We will update the House on all the steps that we have taken, many of which are listed in my statement and none of which the right hon. and learned Gentleman asked about, from transitional simplified procedures to the application of EORI numbers. The shadow Brexit Secretary asked not a single question about all the things that business needs to get ready. His pretensions to speak for business are exposed as a hollow sham.

The right hon. and learned Gentleman talked about clever and cunning plans. I suppose he was thinking about the Labour party’s position on Brexit. In February 2017, he said that

“politically the notion that the referendum was merely a consultation exercise… holds no water… we in… Labour… have to accept the result. —[Official Report, 31 January 2017; Vol. 620, c. 825.]

Now, in some sort of political equivalent of VAR, he wants to annul that result. Now Labour’s policy is to delay Brexit further, seek an extension of indefinite duration, renegotiate a new deal, then put it to the country in a new referendum, with the deputy leader saying, “Vote remain”, many Back Benchers saying, “Vote leave” and the Labour leader undecided. Labour’s position on Brexit is as solid as a blancmange in a hurricane and as coherent as an apology from Vicky Pollard.

EU: Future Relationship White Paper

Debate between Michael Gove and Keir Starmer
Thursday 12th July 2018

(6 years, 5 months ago)

Commons Chamber
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Keir Starmer Portrait Keir Starmer (Holborn and St Pancras) (Lab)
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I welcome the new Secretary of State to his place. I am sure he does not need me to tell him the size of the task he faces, negotiating with not just the Conservative party but eventually the EU as well. Whatever our differences—and there are many—I genuinely wish him well.

I gently say that the Secretary of State has not got off to a very good start. The utter shambles of the last 20 minutes, which led to the suspension of the House during a statement, is clear evidence of why the Government are in such a mess. [Interruption.] Those on the Government Front Bench are commenting from a sedentary position. Normally I would thank the Secretary of State for advance sight of the White Paper, but on this occasion, my first question to him is: why did the Government think it appropriate to share the White Paper in full with journalists at 9 am today—I think they were given 15 minutes to read it before questions could be asked, unlike the five minutes that we adjourned for—and give them hard copies, and only to provide the Opposition with a copy three hours later? As he will know, my office has been on to his office all morning asking for this White Paper. It was delivered at 11.55 am, and we saw the shambles that followed. Why was it appropriate on this occasion, on this issue, to give it to the press at 9 am and to the Opposition three hours later?

That is not the only breach of protocol. I was handed the Secretary of State’s statement as we finished business questions. But for the point of order, it would have been as he stood up. That is in breach of the ministerial code, which suggests giving 45 minutes. It is deeply discourteous, and it is unacceptable. I have to say, having heard the statement, that I did not miss much, but the serious point is this: the point of these statements is to allow questions to be asked of the Secretary of State, and by proceeding in this way, with this utter shambles, we are denied proper scrutiny of this White Paper. I am sure the House would like to know—

Keir Starmer Portrait Keir Starmer
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I think the Secretary of State for Environment, Food and Rural Affairs went on one of the television shows on Sunday morning and said that the great thing about the Chequers compromise is that it has united the Cabinet—just hours before the Brexit Secretary started penning his letter and then the Foreign Secretary did the same—so I will not be taking too much advice from him.

As for the new Secretary of State, I am sure the House would like to know when he was first shown the contents of the White Paper. He was not at Chequers, so when did Olly Robbins tell him that this was the policy he now had to sell? That is an important question, because it appears that two White Papers are being published today: the one before the House, and the alternative one apparently drafted by his own Department. That is now available in instalments on “ConservativeHome”. In fact, it beat this White Paper to publication.

I listened very carefully to what the Secretary of State said earlier on the “Today” programme and in his statement, when he described this White Paper as “innovative”. For the record, can he confirm to the House that he does actually agree with everything in the White Paper he is presenting?

Turning to the substance, obviously we will have to look at the detail of the White Paper. The purpose of the short Chequers statement issued on Friday was to hold the Cabinet together. It clearly failed in that objective, unravelling within 48 hours. If this White Paper is more of the same, it will undoubtedly share the same fate.

Across the business community, among trade unions and, I genuinely believe, across the House, there is growing unity that the UK should remain economically close to the EU. That means negotiating a comprehensive customs union with the EU27 and a single market deal with the right balance of rights and obligations, tailored to the UK. That combination is also the only way of delivering on the solemn promise of no hard border in Northern Ireland. The White Paper falls a long way short of that.

I would like to ask the Secretary of State for a simple answer to a simple question. Is this White Paper the Government’s starting position in the next phase of the negotiations, in which case we can expect further evolution of the Government’s position, or is it the Government’s final position and as far as they are prepared to go—new red lines?

Let me develop that theme. The White Paper sets out proposals for a facilitated customs arrangement. [Interruption.]