Australia and New Zealand Trade Deals

Debate between Nick Thomas-Symonds and Greg Hands

Monday 14th November 2022 Commons Chamber

[Nick Thomas-Symonds]

I entirely share my hon. Friend’s concern about the lack of specific impact assessments. I also share his disappointment that there is not a specific set of structures in place where the devolved Administrations can make their voices heard at a far earlier stage in the process. That would be extremely helpful.

[Greg Hands]

I am sorry, but that is just not a complete representation of what actually goes on. The ministerial forum for trade, which I set up—I have not yet chaired a meeting of it since returning to the Department, but it will be meeting soon—allows all three devolved nations to meet me to discuss forthcoming trade deals, forthcoming negotiations and trade policy overall. That is exactly what it is in place for.

[Nick Thomas-Symonds]

First, I am pleased to hear that from the Minister, because certainly the feedback I have had from the devolved Administrations has not been positive with regard to the political interaction they have had prior to trade deals being signed. Also, there is the issue of the extent to which the needs of the devolved Administrations were taken into account. He has said that to me today from the Dispatch Box, so I hope that he is as good as his word with the ongoing trade deal negotiations and that the devolved Administrations will not only have the opportunity to have their say, but will be listened to.

[Greg Hands]

I am looking forward to a meeting with Vaughan Gething later this week, if I am not mistaken—it might be next week, but it is in the coming days. It is important to recognise that trade policy is a reserved matter, but it does have a significant impact on areas of devolved competence, such as agriculture. That is why it is right that the UK Government carry out the negotiation, but that they involve and inform the devolved Administrations. That is exactly how it works with the ministerial forum for trade and other interactions.

UK-India Trade Deal

Debate between Nick Thomas-Symonds and Greg Hands

Wednesday 26th October 2022 Commons Chamber

[Nick Thomas-Symonds (Torfaen) (Lab)]

(Urgent Question): To ask the Secretary of State for International Trade if she will make a statement on progress made on the UK-India free trade deal.

[The Minister for Trade Policy (Greg Hands)]

First, let me say that it is good to be back at the Department for International Trade.

India is, of course, an economic superpower, projected to be the world’s third largest economy by 2050. Improving access to this dynamic market will provide huge opportunities for UK business, building on a trading relationship worth more than £24 billion in 2021. That is why we are negotiating an ambitious free trade agreement that works for both countries. We have already closed the majority of chapters and look forward to the next round of talks shortly.

A strong free trade agreement can strengthen the economic links between the UK and India, boosting the UK economy by more than £3 billion by 2035, helping families and communities. An FTA can cut red tape, making it cheaper for UK companies to sell into India’s dynamic market, helping drive growth and support jobs across every nation and region of the UK. Greater access could help UK businesses reach more than a billion more consumers, including India’s growing middle class, which is estimated to reach a quarter of a billion by 2050, and give them a competitive edge over other countries that do not have a deal with India. An FTA with India supports the Government’s growth strategy, by taking advantage of the UK’s status as an independent trading nation championing free trade that benefits the whole of the UK. We remain clear that we are working towards the best deal for both sides and will not sign until we have a deal that is fair, reciprocal and, ultimately, in the best interests of the British people and the UK economy.

[Nick Thomas-Symonds]

I welcome the Minister back to the Department once again, wish him well and thank him for his response. I am also grateful to Mr Speaker for granting this urgent question.

Not only is Diwali this year an important celebration, but it marks another milestone. In January, negotiations on the UK-India trade deal began, with the Government promising to conclude those talks by Diwali—this week. Under this Government, economic growth has been almost non-existent and promised progress on new free trade deals has not materialised. The Government are all talk and no delivery.

Not only would an agreement with India be potentially worth billions of pounds to the UK economy and would provide new markets for exporters, but it would offer the opportunity to advance key areas of shared interests. Labour Members have also been clear that it should also be an opportunity to raise issues such as workers’ rights, and environmental and climate standards.

However, it appears that progress on trade talks has stalled—this is yet another product of Conservative infighting. Members across this House are well aware of the comments on overstaying visas made by the Home Secretary, which have caused such offence. Does the Minister agree that the Home Secretary has completely undermined the UK Government’s negotiating position? Will he confirm whether she will be withdrawing those comments? Has a future target date for completion of the deal been agreed? Or is this destined to be kicked into the long grass, along with the promised United States deal? Does he acknowledge that the delay in this deal, and the US deal, means there is no prospect of the Conservative party meeting its manifesto aim of 80% of trade being covered by FTA agreements by the end of this year? Does he not accept the simple truth: on trade, the Conservatives have quite simply broken their promises?

[Greg Hands]

I am delighted to have the opportunity to answer this urgent question and some of the points that the right hon. Gentleman raised. [Interruption.] I will answer all of them. First, on his question about the end of the deal, we have been clear that we have concluded, as we said we would, the majority of the chapters of the deal. Sixteen chapters, across 26 policy areas, have been agreed so far. The right hon. Gentleman will know that, after each round of negotiations, a written ministerial statement, which he can study, has been tabled in this place.

The right hon. Gentleman asked about visas. Perhaps he is trying to have a second go about the Home Secretary, about whom we have just heard an urgent question. I am not sure whether members of the shadow Cabinet are properly co-ordinating their urgent questions, but the right hon. Gentleman should know that we are talking about mode 4 arrangements. They are not immigration visas. They relate to business visas, not permanent settlement. The terms of the mode 4 arrangements remain an area of active negotiation.

Finally, the right hon. Gentleman said that the Government were all talk and no delivery on trade. That amazed me the most. He is obscuring the bigger issue for the Opposition. Let us assume that we get a good deal with India for Britain and that we get a good deal elsewhere, as we have done with Japan, Australia and New Zealand. I have been away from the Department for a year, and in that time Labour has not supported a single trade deal that the Government have undertaken. The Opposition did not support the Japan deal, they were against the Singapore deal and they split three ways on Canada. Only last month, they abstained on the Australia and New Zealand deals.

The Government are delivering on trade and the Opposition are in chaos and confusion. They have been unable to support a single trade deal to date and it sounds as though they will not support this one.