United Kingdom Internal Market Bill

Nigel Evans Excerpts

2nd reading & 2nd reading: House of Commons & Money resolution & Money resolution: House of Commons & Programme motion & Programme motion: House of Commons
Monday 14th September 2020 Commons Chamber

[Several hon. Members rose—]

[Mr Deputy Speaker (Mr Nigel Evans)]

I inform the House that the wind-ups will begin at 9.40.

--- Later in debate ---

[Claudia Webbe (Leicester East) (Lab)]

By rushing through this legislation, this Government are treating the people of Leicester and the entire British public with utter contempt. Perhaps more than any election in recent memory, the 2019 general election was decided by a single issue. The Prime Minister promised to get Brexit done, and his party boasted time and again about an oven-ready deal that would settle the divisive issue of Brexit for good. “Very good”, “great”, “wonderful”, “fantastic” —those were just some of the words that the Prime Minister used during the general election campaign to describe the Brexit deal, which he is now openly willing to break international law in order to rewrite.

This is an agreement that the Prime Minister negotiated and signed himself, yet he now says that it contains grave problems that could break up our country. I do not know of any instance in which a Government have openly admitted to flouting their central election promise less than a year into their Administration. This is an unprecedented failure that raises serious questions about the Government’s entire mandate. Sadly, it comes as no real surprise. This Government are the embodiment of elitist double standards, where it is one rule for them and another for everyone else.

The Prime Minister is apparently not satisfied with misleading the public once by claiming that his half-baked deal was oven-ready. In addition, his Government are now being dishonest about the reasons why the deal must be changed. The issues of state aid and customs declarations are not a revelation but were repeatedly and explicitly spelled out to the Government last year, not least by their confidence and supply partners, the DUP. In this House, we cannot risk the sanctity of the Good Friday agreement or threaten peace on the island of Ireland, yet that is what this legislation proposes to do.

Why? This self-inflicted crisis is either a counterproductive negotiating tactic or a pathetic attempt to distract from this Government’s calamitous record over the last few months. After all, this Government have overseen the worst coronavirus death rate of any European country. Boris Johnson and his Ministers are used to U-turning—[Interruption.] The Prime Minister and his Ministers are used to U-turning, but tearing up their own international—

[Mr Deputy Speaker (Mr Nigel Evans)]

Order. I am sorry, but we have to move on, and please remember not to refer to other Members by their names.

United Kingdom Internal Market Bill (Programme) (No. 2)

Nigel Evans Excerpts

Programme motion
Tuesday 29th September 2020 Commons Chamber

[Mr Deputy Speaker (Mr Nigel Evans)]

I inform the House that I have not selected the amendment to the programme motion.

Ordered,

That the Order of 14 September 2020 (United Kingdom Internal Market Bill (Programme)) be varied as follows:

(1) Paragraphs (4) to (6) of the Order shall be omitted.

(2) Proceedings on Consideration and any proceedings in legislative grand committee shall (so far as not previously concluded) be brought to a conclusion four hours after the commencement of proceedings on the Motion for this Order.

(3) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion six hours after the commencement of proceedings on the Motion for this Order.—(Paul Scully.)

United Kingdom Internal Market Bill

Nigel Evans Excerpts

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Tuesday 29th September 2020 Commons Chamber

Consideration of Bill, as amended in the Committee

[Mr Deputy Speaker (Mr Nigel Evans)]

I have not selected the recommittal motion in the name of Ian Blackford.

New Clause 4

Objectives and general functions

‘(1) In carrying out its functions under this Part the CMA must have regard to the objective in subsection (2).

(2) The objective is to support, through the application of economic and other technical expertise, the effective operation of the internal market in the United Kingdom (with particular reference to the purposes of Parts 1, 2 and 3).

(3) The following do not apply in relation to the carrying out of the CMA’s functions under this Part—

(a) section 25(3) of the Enterprise and Regulatory Reform Act 2013 (duty to seek to promote competition), and

(b) sections 6(1)(b) (function of giving information or advice to the public) and 7 (provision of information and advice to Ministers etc) of the Enterprise Act 2002.

(4) The CMA may give information or advice to the Secretary of State on matters relating to any of its functions under this Part.’—(Paul Scully.)

This new clause makes provision about the objective to which the Competition and Markets Authority must have regard in carrying out its functions under Part 4, and the application of certain general functions of the CMA in relation to its functions under Part 4. The clause would be inserted after Clause 28.

Brought up, and read the First time.

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)]

I beg to move, That the clause be read a Second time.

[Mr Deputy Speaker]

With this it will be convenient to consider the following:

Government new clause 5—Office for the Internal Market panel and task groups.

New clause 1—Withdrawal Agreement and rule of law duty—

‘(1) An appropriate authority exercising any function to which this Part (Northern Ireland Protocol) applies must—

(a) respect the rule of law;

(b) allow for the possibility of judicial review of an enactment, decision, act or omission by the appropriate authority;

(c) use the provisions of Article 16 of the Protocol to protect the interests of the United Kingdom.

(2) An appropriate authority exercising any function to which this Part applies must comply with the obligations of the United Kingdom under international law.

(3) An appropriate authority exercising any function to which this Part applies must comply with—

(a) the requirement under Article 5 (Good faith) of the Withdrawal Agreement for the EU and the United Kingdom to assist each other in full mutual respect and good faith to carry out the tasks which flow from the Agreement;

(b) the requirement under Article 167 (Consultations and communications within the Joint Committee) for the EU and the United Kingdom to endeavour to resolve any dispute regarding the interpretation and application of the provisions of the Agreement by entering into consultations in the Joint Committee in good faith, with the aim of reaching a mutually agreed solution;

(c) the requirement under Article 184 (Negotiations on the future relationship) of the Withdrawal Agreement for the EU and the United Kingdom to use their best endeavours, in good faith and in full respect of their respective legal orders, to take the necessary steps to negotiate expeditiously the agreements governing their future relationship referred to in the Political Declaration of 17 October 2019 and to conduct the relevant procedures for the ratification or conclusion of those agreements, with a view to ensuring that those agreements apply, to the extent possible, as from the end of the transition period;

(d) the requirements of the Good Friday or Belfast Agreement of 10 April 1998 between the Government of the United Kingdom and the Government of Ireland and the other participants in the multi-party negotiations, which is annexed to the British-Irish Agreement of the same date.

(4) An appropriate authority exercising any function to which this Part applies must comply with the Human Rights Act 1998.’

This new clause is intended to replace Clauses 42, 43 and 45 of the Bill, to require Ministers to respect the rule of law and uphold the independence of the courts and the practice of judicial review, and to require UK Ministers to implement the Withdrawal Agreement.

New clause 2—Internal market common framework—

‘(1) The Secretary of State must seek to reach agreement with the Scottish Government, the Welsh Government and the Northern Ireland Executive on a common framework on the United Kingdom internal market.

(2) A common framework under subsection (1) may cover—

(a) the functioning of the United Kingdom internal market;

(b) the effectiveness of market access principles; and

(c) drawing up a shared prosperity fund to balance economic development across the whole of the United Kingdom.

(3) The Secretary of State must take into account the common framework on the United Kingdom internal market in exercising any powers under Part 6 (Financial assistance powers) of this Act.’

This new clause would put the Common Framework process on a statutory footing.

New clause 3—Duty to consult, monitor, report and review—

‘(1) Within three months of the date on which this Act is passed, the Secretary of State must lay a report before each House of Parliament on the dates on which each section—

(a) was commenced; or

(b) is planned to commence.

(2) The Secretary of State must arrange for a review to be carried out within three months of the date on which this Act is passed, and thereafter at least once in each calendar year on the operation of this Act.

(3) The Secretary of State must invite the Scottish Government, the Welsh Government and the Northern Ireland Executive to contribute to the reviews in subsection (1).

(4) The reviews under subsection (1) must make an assessment of—

(a) the functioning of the United Kingdom internal market;

(b) the effectiveness of market access principles;

(c) progress towards agreeing common frameworks with the devolved administrations;

(d) progress towards drawing up a shared prosperity fund framework; and

(e) progress in resolving issues through the Joint Committee machinery in the Withdrawal Agreement.

(5) The Prime Minister must arrange for a report of any review under this section to be laid before each House of Parliament as soon as practicable after its completion.’

This new clause would ensure Ministers have a duty to report back to Parliament on the progress of the functioning of the internal market; market access; progress towards agreeing common frameworks; progress towards drawing up a shared prosperity fund; and progress in resolving issues through the Joint Committee machinery in the Withdrawal Agreement.

New clause 6—Economic development: climate and nature emergency impact statement—

‘(1) Any financial assistance provided under Part 6 of this Act for the purpose of economic development must take into account the overarching need for a sustainable strategy aimed at long- term national well-being.

(2) Every proposal for financial assistance under this Act must be accompanied by a climate and nature emergency impact statement.

(3) Responsibility for the production of the climate and nature emergency impact statement required in subsection (2) resides with the applicant for financial assistance.

(4) Responsiblity for assessment of the climate and nature emergency impact statement required in subsection (2) resides with Ministers, who are required to publish this assessment for any successful proposal.

(5) The climate and nature emergency impact statement produced should take account of any carbon budget, climate, nature and environmental goals approved by the relevant Parliament.

(6) In subsection (5), the “relevant Parliament” means—

(a) where the proposed financial assistance relates to a person in England, the House of Commons and the House of Lords;

(b) where the proposed financial assistance relates to a person in Scotland, the Scottish Parliament;

(c) where the proposed financial assistance relates to a person in Wales, Senedd Cymru;

(d) where the proposed financial assistance relates to a person in Northern Ireland, the Northern Ireland Assembly.’

The intention of this new clause is to ensure that those seeking financial assistance for economic development, etc under this Act are obliged to undertake a climate and nature emergency impact statement to ensure public money is only granted to development consistent with climate, nature and environmental goals and targets.

New clause 7—Northern Ireland’s place in the UK internal market—

‘(1) As part of its obligation under Article 6.2 of the Protocol on Ireland/Northern Ireland to use its best endeavours to facilitate trade between Northern Ireland and other parts of the UK, the UK Government must—

(a) publish an assessment at least every 12 months of any impact on businesses and consumers arising from the Protocol on trade between Great Britain and Northern Ireland and vice versa; and

(b) develop mitigations to safeguard the place of Northern Ireland businesses and consumers in the UK internal market.

(2) The assessment published under paragraph (1)(a) must include assessment of the impact of any actual or proposed regulatory or trade policy divergence on Northern Ireland’s place in the UK Internal Market.

(3) Any official or administrative costs arising from the duties under subsections (1) and (2) may not be recouped from the private sector.’

New clause 8—Interpretation of the Northern Ireland Protocol in accordance with International Law—

‘(1) In the event that the European Union fails to act in accordance with the principles of public international law in its implementation of the Northern Ireland Protocol, by

(a) failing to undertake acts that are required by the provisions of the Northern Ireland Protocol;

(b) committing acts that are not in accordance with the provisions of the Northern Ireland Protocol;

(c) failing to undertake acts that are necessary for the effective implementation of the Northern Ireland Protocol;

(d) asserting positions in the Joint Committee that are not in accord with the provisions of the Northern Ireland Protocol; or

(e) refusing to discuss in the Joint Committee proposals on implementation of the Northern Ireland Protocol tabled by the United Kingdom;

(2) For the purposes of subsection (1), the principles of public international law that may be invoked include—

(a) the provisions of the Vienna Convention on the Law of Treaties between States and International Organizations or between International Organizations 1986, including, in particular,

(i) the need to act in “good faith” and

(ii) the need to avoid results that are “manifestly absurd or unreasonable”;

(b) established international practices, having the status of customary international law; and

(c) the commitments made in the preambular paragraphs of the Northern Ireland Protocol.

(4) A unilateral interpretative declaration issued under subsection (1) may not be submitted unless—

(a) a Minister of the Crown has laid before each House of Parliament

(i) a copy of the proposed declaration,

(ii) a statement on the nature of the dispute with the European Union,

(iii) a statement of the intended effect of the proposed declaration; and

(b) the declaration has been approved by a resolution of the House of Commons on a motion moved by a Minister of the Crown; and

(c) a motion for the House of Lords to take note of the declaration has been tabled in the House of Lords by a Minister of the Crown and—

(i) the House of Lords has debated the motion, or

(ii) the House of Lords has not concluded a debate on the motion before the end of the period of five Lords sitting days beginning with the first Lords sitting day after the day on which the House of Commons passes the resolution mentioned in paragraph (b).

(5) When a response to the submission of any unilateral interpretative declaration is received from the European Union, a Minister of the Crown shall lay before each House of Parliament the response received from the European Union, and—

(a) in the case of the approval of the declaration by the European Union, the Minister shall issue a written statement confirming that the declaration has obtained the status of an authentic interpretation of the Northern Ireland Protocol;

(b) in the case of opposition to the declaration by the European Union, the Minister shall issue a written statement, assessing any alternative interpretation formulated by the European Union and indicating the government’s intended response; or

(c) in the case of the recharacterisation of the declaration by which the European Union purports to treat the declaration as an illegal reservation, the Minister shall issue a written statement of what action it intends to take to resolve the dispute.

(6) In this section—

“approval”, “opposition” or “recharacterization” of a declaration shall have the meaning given in Guideline 2.9 of the Guide to Practice on Reservations to Treaties, contained in the report of the International Law Commission on its Sixty-Third Session in 2011;

“Joint Committee” means the Joint Committee established under Article 164 of the EU Withdrawal Agreement;

“Lords sitting day” means a day on which the House of Lords is sitting (and a day is only a day on which the House of Lords is sitting if the House begins to sit on that day);

“submit” means to make a submission to the depositary of the EU Withdrawal Agreement, as specified in Article 183 of the EU Withdrawal Agreement; and

“unilateral interpretative declaration” means an interpretative declaration as defined by Guideline 1.2 of the Guide to Practice on Reservations to Treaties, contained in the report of the International Law Commission on its Sixty-Third Session in 2011.’

Government amendments 31 and 32, 19, 33 to 38, 20 to 26, and 1 to 11.

Amendment 16, page 37, line 10, leave out Clause 45.

Government amendments 12, 13, 15 and 14.

Amendment 18, page 38, line 36, leave out Clause 46.

Amendment 29, page 39, line 27, leave out Clause 47.

Government new schedule 1—Constitution etc of Office for the Internal Market panel and task groups.

Amendment 17, in schedule 1, page 48, line 14, at end insert—

‘(8A) In the case that there is one REACH authorisation process for Great Britain, an authorisation that is lawful for the Northern Ireland market will be valid for the Great Britain market.’

The intention of this amendment is to apply the non-discrimination principle to the REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) regime.

Government amendments 27 and 28.

Amendment 30, in title, line 7, leave out from “aid” to “to” in line 10.

Amendments 18 and 29 would remove both clauses in Part 6 (Financial assistance powers). This consequential Amendment removes from the long Title “to authorise the provision of financial assistance by Ministers of the Crown in connection with economic development, infrastructure, culture, sport and educational or training activities and exchanges”.

[Paul Scully]

It is a pleasure to serve under your chairmanship, Mr Deputy Speaker. I want to begin by thanking all Members for their engagement throughout the passage of the Bill and the Public Bill Office for its excellent work in supporting Members and officials.

Before I turn to the specific amendments that we are debating, I want to briefly remind Members why it is crucial that we pass this Bill. Around 60% of Scottish and Welsh exports are to the rest of the UK, which is around three times as much as exports to the rest of the EU. About 50% of Northern Ireland’s sales are to Great Britain. In some local authorities in Wales, over a quarter of workers commute across the border. When we leave the transition period at the end of this year, laws made in Europe can be made in the UK.

--- Later in debate ---

[Mr Deputy Speaker (Mr Nigel Evans)]

Order. I wish to inform the House that I shall call the Minister at 6 pm to respond to this lengthy debate in five minutes, and then the questions will be put.

[Kirsten Oswald (East Renfrewshire) (SNP)]

This Bill is shameful and the Conservative party is shameless. The Bill is misconceived, ill-advised and designed to wholly override any notion of devolution. The Welsh Government have described it as

“an affront to the people of Wales, Scotland and Northern Ireland, who have voted in favour of devolution on numerous occasions.”

The Bill seeks to break international law and to break devolution.

One of the many vexing things about this brazen, law-breaking, power-grab Bill is when the UK Government try to suggest it is not so or that there is nothing to be concerned about, as if we should just disregard clear, undisputable facts. Just look at clause 46: it is a mucky muckle power grab. Plainly, the UK Government either know perfectly well what they are doing and they are intent on breaking international law, undermining the Northern Ireland protocol and stripping powers away from the devolved Administrations, or they are utterly and shamefully incompetent. It has to be one of those two things, or perhaps both. What it cannot be, and what is frankly an insult to the intelligence of people watching this charade in Scotland, is the nonsense that some Conservative Members engage in when they suggest that, despite all the evidence to the contrary, their UK Government is somehow exceptionally above international law. That is the dangerous exceptionalism that sits at the heart of the Bill and that is what lies behind their plans to break international law and ride roughshod over the devolved Governments.

We will all suffer for it if the UK Government have their way, because—look at clause 48—these plans open the door to their race to the bottom, to bargain-basement Britain. That is regardless of the many voices calling for them to change tack—the Scottish Government, the Welsh Synod, the Northern Irish Assembly, the General Teaching Council for Scotland, the NFUS, the STUC, former Prime Ministers and the Chair of the Public Administration and Constitutional Affairs Committee. I could go on all night. In the eyes of the UK Government, they are all wrong. I am afraid that is not credible. This Trumpian truth-twisting is all part of their plan to ride roughshod over the law, the Sewel convention and Scotland’s ability to make the decisions that are right for the people of Scotland. Of course, that holds for Wales and it holds for Northern Ireland, as we heard last week when we were discussing part 5.

I have not agreed with the right hon. Member for Maidenhead (Mrs May) on many occasions, but she hit the nail on the head last week when she called the UK Government out on their disregard for law and good faith. This UK Government cannot be trusted. They cannot be trusted on Scotland, on devolution, on standards and on upholding international law. In fact, the Bill shows they cannot be trusted at all. It is no wonder that the Scottish Government are unable to recommend legislative consent.

We were told that we should lead, not leave, that we are a partnership of equals. Actions speak louder than words, and the actions of this reckless UK Government speak loudly and clearly of the pressing need for Scotland to steer another course as far away from the direction of the UK Government as possible.

--- Later in debate ---

[Taiwo Owatemi (Coventry North West) (Lab)]

I am pleased to be able to contribute to the debate.

This House and all our constituents were promised an oven-ready deal. Now, it seems as though the Government are not only failing on that promise, but increasingly showing that there was nothing in the oven at all. Britain’s greatness is built on our values and the fact that we have long stood up for the rule of law. However, the Bill represents the disregard of an international treaty the Prime Minister himself personally negotiated and signed up to. If the UK Government can break international laws with their former friends and allies, what will they do to others? Is that the basis and dreadful reputation on which we are seeking to negotiate and agree trade deals with others?

The Government promised to get Brexit done and indeed they should: not by any means necessary, but with the strongest protections in place for my constituents in Coventry North West and for constituents across the UK; and not through a no-deal Brexit, which would decimate jobs and businesses across the country, causing untold harm to our own communities. We need a Brexit deal that will protect jobs and safeguard our health and social care sector. Research from the University of Sussex estimates that the failure to secure a Brexit deal would reduce exports in the manufacturing industry by up to 20% and reduce jobs. The Prime Minister promised to protect our manufacturing industries, which are crucial to our economy and any recovery we hope to see in Coventry. Even a former member of his own Government, Margot James, appealed to the Government to support manufacturers in Coventry, which are already strained by the coronavirus pandemic. How can the Prime Minister safeguard jobs and commit to job creation in manufacturing in my constituency if he is committed to selling the UK short on delivering a Brexit that my constituents are proud of?

Coventry North West and the west midlands in general stand to lose the most from the Government playing fast and loose with both UK and international law. A University of Oxford study found that car production could halve by the middle of the next decade if the UK crashes out of the EU with no deal. We are already losing manufacturing jobs in Rolls-Royce Annesley, so what is next? We have so many thriving small businesses in Coventry North West, but the Bill does not serve them and makes a catastrophic no-deal Brexit more likely. Nor does it serve our health and social care sector, and my caseload attests to the fact that the Government do not have their eye on the ball. Breaking international law will severely impact the UK’s ability to negotiate trade agreements with countries that set a higher bar, as well as to protect the health sector and public health in the UK and to enhance health globally.

Despite what the Government would like people to think, Labour wants a Brexit deal negotiated so that we can press ahead with tackling issues such as the coronavirus, securing important trade deals—

[Mr Deputy Speaker (Mr Nigel Evans)]

I am terribly sorry, Taiwo. We have to move on.

[Paul Scully]

I thank everybody who has spoken in the debate, and I once again thank all right hon. and hon. Members who have engaged with the Bill during its stages. This is likely to be my last contribution on this particular Bill—[Hon. Members: “More!”] I know, but I only have five minutes, and I want to pay tribute to my colleagues, the Minister of State, Cabinet Office, my hon. Friend the Member for Norwich North (Chloe Smith), and the Minister of State, Northern Ireland Office, my hon. Friend the Member for Worcester (Mr Walker), who have played an amazing role and worked so hard. I also pay tribute to my Bill team—Jon Robinson, Jeff Yen, Satchi Mahendran, Dom Entwistle, Henry Hutton, Phoebe Gould, Dominic Bull, James Frisby and, in my private office, Ollie Benbow-Wyke.

Those of us on the Government Benches have heard and participated in the passionate debates on the Bill during the past two weeks, and I pay tribute to all their considered contributions. My right hon. and hon. Friends have made some impassioned speeches about the need for business certainty and about why the Union is so much better together than apart.

The debates have obviously been passionate, because of the importance of the Bill, but some of the other speeches in this Chamber today, and on some of the Committee days, have been somewhat circular. We have heard that there will apparently not be a US trade deal, but that we will get chlorinated chicken. We have heard that we love devolved spending, but that we would rather it be done from Brussels. We have heard people celebrating 62 countries having left the UK at various points in their recent history. Not one of those has the UK pound or wanted to join a bigger political union such as—oh, I don’t know—the EU, for example.

None the less, we want to make sure that we can get on with the Bill, because it is so important to continuing to provide certainty for businesses as we seek to recover from covid-19, prepare for the opportunities after the transition period and protect jobs. The Bill will ensure UK businesses can trade across our four home nations in a way that helps them invest and create jobs, just as they have for hundreds of years. We will do that in a way that supports and enables one of the largest transfers of power in the history of devolution, while maintaining that certainty for businesses. That will be done in a way that preserves our high standards, whether environmental, food or animal welfare, and in any number of other areas. It is therefore crucial that we pass this Bill, and I commend it to the House.

[Mr Deputy Speaker (Mr Nigel Evans)]

Before I put the question, there are likely to be Divisions, so, please, will only Front Benchers go out through the door in front of me? All Back Benchers must leave behind me, go down to Westminster Hall and join the queue. I am going to ask the Doorkeepers and the Whips to enforce that strictly, because we have to have social distancing.

I apologise to the seven MPs who were unable to get in. If anybody wishes to withdraw from Third Reading, please come and see me during the Division.

Question put and agreed to.

New clause 4 accordingly read a Second time, and added to the Bill.

New Clause 5

Office for the Internal Market panel and task groups

“(1) The CMA may authorise an Office for the Internal Market task group constituted under Schedule 4 to the Enterprise and Regulatory Reform Act 2013 to do anything required or authorised to be done by the CMA under this Part (and such an authorisation may include authorisation to exercise the power conferred on the CMA by this subsection).

(2) Schedule (Constitution etc of Office for the Internal Market panel and task groups) contains provision about the Office for the Internal Market panel and Office for the Internal Market task groups.” —(Paul Scully.)

This new clause enables functions of the Competition and Markets Authority under Part 4 to be carried out on the authority’s behalf by Office for the Internal Market task groups constituted under Schedule 4 to the Enterprise and Regulatory Reform Act 2013: see NS1. This new clause would be inserted after Clause 28.

Brought up, read the First and Second time, and added to the Bill.

New Clause 1

Withdrawal Agreement and Rule of Law Duty

‘(1) An appropriate authority exercising any function to which this Part (Northern Ireland Protocol) applies must—

(a) respect the rule of law;

(b) allow for the possibility of judicial review of an enactment, decision, act or omission by the appropriate authority;

(c) use the provisions of Article 16 of the Protocol to protect the interests of the United Kingdom.

(2) An appropriate authority exercising any function to which this Part applies must comply with the obligations of the United Kingdom under international law.

(3) An appropriate authority exercising any function to which this Part applies must comply with—

(a) the requirement under Article 5 (Good faith) of the Withdrawal Agreement for the EU and the United Kingdom to assist each other in full mutual respect and good faith to carry out the tasks which flow from the Agreement;

(b) the requirement under Article 167 (Consultations and communications within the Joint Committee) for the EU and the United Kingdom to endeavour to resolve any dispute regarding the interpretation and application of the provisions of the Agreement by entering into consultations in the Joint Committee in good faith, with the aim of reaching a mutually agreed solution;

(c) the requirement under Article 184 (Negotiations on the future relationship) of the Withdrawal Agreement for the EU and the United Kingdom to use their best endeavours, in good faith and in full respect of their respective legal orders, to take the necessary steps to negotiate expeditiously the agreements governing their future relationship referred to in the Political Declaration of 17 October 2019 and to conduct the relevant procedures for the ratification or conclusion of those agreements, with a view to ensuring that those agreements apply, to the extent possible, as from the end of the transition period;

(d) the requirements of the Good Friday or Belfast Agreement of 10 April 1998 between the Government of the United Kingdom and the Government of Ireland and the other participants in the multi-party negotiations, which is annexed to the British-Irish Agreement of the same date.

(4) An appropriate authority exercising any function to which this Part applies must comply with the Human Rights Act 1998.’ —(Lucy Powell.)

This new clause is intended to replace Clauses 42, 43 and 45 of the Bill, to require Ministers to respect the rule of law and uphold the independence of the courts and the practice of judicial review, and to require UK Ministers to implement the Withdrawal Agreement.

Brought up, and read the First time.

Question put, That the clause be read a Second time.

--- Later in debate ---

The list of Members currently certified as eligible for a proxy vote, and of the Members nominated as their proxy, is published at the end of today’s debates.

[Mr Deputy Speaker (Mr Nigel Evans)]

Before we come to new clause 6, I remind Back Benchers to leave behind me and Front Benchers in front.

New Clause 6

Economic development: climate and nature emergency impact statement

“(1) Any financial assistance provided under Part 6 of this Act for the purpose of economic development must take into account the overarching need for a sustainable strategy aimed at long- term national well-being.

(2) Every proposal for financial assistance under this Act must be accompanied by a climate and nature emergency impact statement.

(3) Responsibility for the production of the climate and nature emergency impact statement required in subsection (2) resides with the applicant for financial assistance.

(4) Responsibility for assessment of the climate and nature emergency impact statement required in subsection (2) resides with Ministers, who are required to publish this assessment for any successful proposal.

(5) The climate and nature emergency impact statement produced should take account of any carbon budget, climate, nature and environmental goals approved by the relevant Parliament.

(6) In subsection (5), the ‘relevant Parliament’ means—

(a) where the proposed financial assistance relates to a person in England, the House of Commons and the House of Lords;

(b) where the proposed financial assistance relates to a person in Scotland, the Scottish Parliament;

(c) where the proposed financial assistance relates to a person in Wales, Senedd Cymru;

(d) where the proposed financial assistance relates to a person in Northern Ireland, the Northern Ireland Assembly.” —(Caroline Lucas.)

The intention of this new clause is to ensure that those seeking financial assistance for economic development, etc under this Act are obliged to undertake a climate and nature emergency impact statement to ensure public money is only granted to development consistent with climate, nature and environmental goals and targets.

Brought up.

Question put, That the clause be added to the Bill.

United Kingdom Internal Market Bill

Nigel Evans Excerpts

Consideration of Lords amendments & Ping Pong & Ping Pong: House of Commons
Monday 7th December 2020 Commons Chamber

But the good news and the message that Conservative Members—and, indeed, those in the Labour party—should take away tonight is this: 15 opinion polls in a row in Scotland show that voters now realise what is happening and they do not like it, and a consistent majority of well over 50% want a second independence referendum and they want to vote for independence. The reality is that no matter what this House does tonight, it is increasingly irrelevant to people in Scotland and to the debate that we are having in Scotland. Before long, it will be Scotland’s turn to take back control, and we will not do so at the say so of this House or this Government; we will do so at the say so of the sovereign people of Scotland.

[Mr Deputy Speaker (Mr Nigel Evans)]

I call Wera Hobhouse; please resume your seat at 8.50 pm.

[Wera Hobhouse (Bath) (LD)]

The desire and the right of the UK as a sovereign nation to trade unhindered with all its regions and nations is undeniable, but it is what was part 5 of the Bill that is highly politically charged and controversial. It has serious implications for the relationship between the UK and the Republic of Ireland, and, most importantly, represents a direct challenge to the rule of law.

The rule of law is not just a domestic obligation, but applies to our international obligations, including the principles of good faith and co-operation with the withdrawal agreement that the Prime Minister himself signed only a year ago. If the Bill is unamended, it will severely undermine the UK’s reputation across the world and have a long-term global effect. Not only will it damage the UK’s current trade talks with the EU, which are on a knife edge; it will have severe consequences for any trade deals with any country. So why is it here?

I wonder to this day why those who so uncompromisingly campaigned to leave the European Union ever gave a serious thought about Northern Ireland. At the core of the Good Friday agreement is the ability of the people of Northern Ireland to look both ways—to the United Kingdom and to the Republic of Ireland—and of people, goods and services to move unhindered across boundaries. EU membership greatly facilitated the Good Friday agreement. The balance was always going to be severely upset by leaving the EU, and to this day Tory Governments of any shade have not solved the problem. With the unamended Bill the current Government have chosen the nuclear option not only to upset and destabilise a domestic settlement between all four nations but to blow to bits the remaining good will between the UK and the EU—

[Mr Deputy Speaker (Mr Nigel Evans)]

Order. My apologies to the seven Members who did not get in to speak. I call the Minister.

[Paul Scully]

I thank everybody who spoke in the debate today and all the right hon. and hon. Members who have engaged with the Bill throughout.

From many speakers, especially at the beginning of the debate, we heard about exactly what businesses and people throughout the country have wanted—the certainty and consistency that the Bill will deliver. Unfortunately, we have heard, as we have throughout the Bill’s passage, a lot of inconsistency from Opposition Members. We have heard the SNP talk about the fact that we are not going to get a trade deal with America but, by the way, when we do, we have to accept chlorinated chicken. Neither of those things are true.

We have heard that people want the Government to change and negotiate and work with the European negotiating team, but when we reach out to them to explain what part 5 of the Bill is all about and the fact that we will not need a safety net should we get successful talks in the Joint Committee, it is described as shambolic. Which would people like? Would they like change? I think we want certainty.

People have talked about the need for devolution in Northern Ireland and the need to respect Northern Irish businesses and the parties in Northern Ireland and give their businesses certainty, but Opposition Members will vote against part 5 and, in doing so, vote against unfettered access for Northern Ireland into GB.

We heard an SNP Member describe the UK Government as a boa constrictor, yet they want independence from the UK Government and from the other nations to go back to the boa constrictor that is the EU.

We need the Bill and these clauses now because parliamentary time dictates as much and we want the legislation to be ready for the end of the transition phase, whatever happens in the remaining days of discussions with the EU. I wish both sides well in their discussions.

To conclude, the UK’s internal market has been the bedrock of our shared prosperity for centuries. It has enabled businesses and individuals to thrive and has been the source of unhindered and open trade throughout the country. It has helped to demonstrate that our country is greater as a Union than the sum of its parts.

The Government are committed to safeguarding the Union. We fully support devolution and continue to put the Union at the heart of everything we do. I very much believe that the four corners of the UK are stronger together and that the Bill supports and respects the devolution settlements. Some Members have said that the Bill is a threat to devolution, but in reality they are trying to further their narrow political arguments rather than look at the wider political arguments. Their narrow political arguments about independence have nothing to do with devolution.

I stress that the proposals in the Bill are designed to ensure that devolution can continue to work for everyone. All devolved policy areas will stay devolved and the proposals ensure only that there are no new barriers to UK internal trade. Indeed, at the end of the transition period hundreds of powers that are currently exercised by the EU will flow back to the UK. Many of these powers will fall within the competence of the devolved Administrations, and this flow therefore represents a substantial transfer of powers to the devolved Administrations that they did not exercise before the EU exit.

The Bill is vital in preserving our internal market and continuing to provide certainty for businesses as we seek to recover from covid-19, prepare for the opportunities after the transition period and protect jobs. It will ensure that UK businesses can trade across our four home nations in a way that helps them to invest and create jobs, just as they have for hundreds of years. I want to emphasise again that the Government have been, and will continue to be, reasonable in discussions on this Bill. We made many positive changes, and they are on the table, but ultimately the Government need to balance this with the need to deliver a Bill that provides the certainty that businesses want and the need to invest and create jobs. I therefore call on hon. Members to support the Government in these objectives, which I believe we all share, when they vote today.

Question put, That this House disagrees with Lords amendment 1.

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Lords amendment 49 disagreed to.

[Mr Deputy Speaker (Mr Nigel Evans)]

As Madam Deputy Speaker informed the House earlier, Mr Speaker has given careful consideration to Lords amendment 50, which refers to state aid and the Office for the Internal Market. He is satisfied that it would impose a charge on the public revenue that is not authorised by the money resolution passed by the House on 14 September. In accordance with paragraph (3) of Standing Order No. 78, the amendment is therefore deemed to be disagreed to.

Lords amendment 50 deemed to be disagreed to (Standing Order No. 78(3)).

Lords amendments 51 to 57 disagreed to.

Lords amendment 61 disagreed to.

Lords amendments 2 to 7, 20 to 29, 35 to 41 and 58 to 60 agreed to.

Motion made, and Question put forthwith (Standing Order No. 83H), That a Committee be appointed to draw up Reasons to be assigned to the Lords for disagreeing to their amendments 1, 8 to 19, 30 to 34, 42, 44 to 57 and 61;

That Paul Scully, Michael Tomlinson, Jo Gideon, Mark Fletcher, Ed Miliband, Gill Furniss and Drew Hendry be members of the Committee;

That Paul Scully be the Chair of the Committee;

That three be the quorum of the Committee.

That the Committee do withdraw immediately.—(Mike Freer.)

Question agreed to.

Committee to withdraw immediately; reasons to be reported and communicated to the Lords.

[Mr Deputy Speaker (Mr Nigel Evans)]

In order to observe social distancing, the Reasons Committee will meet in Committee Room 12.

PARLIAMENTARY WORKS SPONSOR BODY

Ordered,

That, under the provisions of Part 1 of Schedule 1 to the Parliamentary Buildings (Restoration and Renewal) Act 2019, Sir Robert Syms having resigned as a Parliamentary member of the Parliamentary Works Sponsor Body, Ian Levy be appointed to the Body in his place.—(Mr Rees-Mogg.)

United Kingdom Internal Market Bill

Nigel Evans Excerpts

Consideration of Lords amendments
Thursday 10th December 2020 Commons Chamber

[Sir Robert Neill]

Nobody else has been giving way, with every respect to my hon. Friend. Other people want to get in. I have said what I have to say. In fairness, he and I could happily go on all day about this in a friendly manner of disagreement, but I think possibly that is for outside the Chamber, rather than in it. I say that in the nicest possible way.

[Mr Deputy Speaker (Mr Nigel Evans)]

I will call Mr Scully to close the debate no later than 2.30 pm.

[Wendy Chamberlain (North East Fife) (LD)]

I am pleased to have the opportunity to speak today, having been unable to do so on Monday.

Because of the international law-breaking clauses, I believe that insufficient attention has been given to how this Bill affects the devolution settlements, which is a matter of great regret. Throughout its passage, my colleagues and I have been keen to work constructively on that aspect. Now that the law-breaking parts have been taken out of the legislation, I hope we can ensure that the voices of the devolved nations are listened to.

At earlier stages I tabled amendments to ensure that the devolved Administrations had input into the membership of the Competition and Markets Authority, following the precedent set by the Scotland Act 1998. The Lords have made amendments to the common framework and the functioning of the Office for the Internal Market, and on engagement with the devolved Administrations—amendments that build on the devolution settlement rather than undermine it.

I have found the Government’s rationale for refusing these changes to be highly frustrating. A case in point is the interaction between the common frameworks and the UK internal market. Why do we need this legislation when the common market frameworks have buy-in from all the devolved nations? The Government tell us it is because the internal market deals with cross-sector issues, whereas the common frameworks deal with specific sectors. Yet when the Minister appeared before the Scottish Affairs Committee, I asked him whether he could give an example of a cross-sector issue that the Bill will help to solve. He could not. When he wrote to the Committee on this matter—I am grateful to him for doing so—he said:

“We would refer you to pages 81-83 of the White Paper, which sketch out a cross-sector example in the form of an illustrative supply chain in the agri-food area.”

I think that says it all. The Government cannot provide a real-life example of an affected product that is cross-sector. Indeed, the implication in the White Paper is that there are no common frameworks in those different sectors. I do not see how, if the common frameworks are in place, there should be an impact. Therefore, there is no need for the Bill’s provisions.

The Government’s refusal to support Lords amendments on common frameworks, in particular amendments 1B, 1C and 1D, is therefore frustrating, but I am also concerned by the Minister’s response to the Committee on the role of the Office for the Internal Market, which will have huge powers. The worry is that parties involved in trade deals—the example I gave in the Committee was that of US investors—could sue the devolved Administrations or indeed the CMA. The Minister’s response to that point was:

“The CMA is therefore able to accept reporting requests from bodies and individuals with relevant concerns connected to”

the operation of the internal market,

“including those from outside of the UK.”

Although the letter then suggests that such reports would not interfere in devolved competences, can the Minister confirm that, by submitting a request to the CMA, foreign investors could potentially interfere with devolved Administrations? If the CMA refuses such a request, could those foreign investors then challenge that in the court?

The Minister has insisted that is not a political Bill, but given that the Paymaster General just this morning was unable to confirm to me whether the Government would bring forward international law-breaching clauses in future business, such as the Taxation (Post-transition Period) Bill, which the hon. Member for Bromley and Chislehurst (Sir Robert Neill) referred to, if the outcome of the EU negotiations is no deal, then it is clearly nothing but.

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[Joanna Cherry (Edinburgh South West) (SNP)]

It is a pleasure to follow my hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown). I rise to support the Lords amendments in respect of devolution. Northern Ireland is allegedly sorted out now, and the international lawbreaking parts of the Bill have gone, but what of Scotland? According to the Chancellor of the Duchy of Lancaster, businesses in Northern Ireland will enjoy “the best of both worlds”: access to the single market and, at the same time, unfettered access to the rest of the UK market. Presumably this means that when Scotland becomes independent and a member of the European Union, Scotland too could have the best of both worlds: access to the single market and to the rest of the UK market, with no hard border and no infrastructure on the border. We shall see, but one thing is for sure: the Conservative party can never again be allowed to get away with claiming that Scottish independence means that a hard border with England is inevitable.

Scotland has yet to vote for independence, but that is only a matter of time. In the meantime, we want to protect what we have. Scotland did not vote for Brexit, but Scotland did vote for devolution in very significant numbers in 1997. This House should not use Brexit, which Scotland did not vote for, to undermine devolution, which we did vote for. The Lords amendments are designed to protect some of the essentials of the devolved settlement. It is very telling that Lord Hope, who I count as a friend and who is a former Lord President of the Court of Session, former Deputy President of the UK Supreme Court and also a Unionist, said that initially, when he heard SNP politicians talking about a power grab, he thought it was an exaggeration, but after reading the Bill, he agreed with us. That is not a nationalist—that is a Unionist, so Government Members would be wise to listen up.

Others in the Lords did not fall for the Government’s sleight of hand in the Bill either. As my hon. Friend the Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) said, Lord Thomas said yesterday:

“the clause without my amendments would enable the UK Government to spend in devolved fields and bypass the devolved Governments and Parliaments in Scotland, Wales and Northern Ireland who have been elected to be responsible for those fields. It would, in effect, hollow out the devolution settlements.”—[Official Report, House of Lords, 9 December 2020; Vol. 808, c. 1294.]

Lord Adonis warned:

“This Bill is deliberately intended to cut across and undermine the devolution settlements because the Prime Minister does not agree with them”.—[Official Report, House of Lords, 9 December 2020; Vol. 808, c. 1294.]

The game’s up, and Government Members should realise that the heads of voters in Scotland do not zip up the back. Devolution is very popular in Scotland across parties. It is supported by the vast majority of voters in Scotland. Even some Scottish Conservatives—some, not all—support the current devolved settlement. Donald Dewar set it out carefully, making a delineation between reserved and devolved powers, and that is what this Bill is driving a coach and horses through. We must not forget today that Scotland’s Parliament—the democratically elected voice of Scotland’s people—has voted against the Bill by a margin of 90 to 28 MSPs.

I say to the Minister that we are sick to the back teeth of the Government’s disingenuous words, saying that they listen to the Scottish Government. Listening is not enough; they have to have respect for the democratic voice of Scotland, which is expressed through our Parliament. Our Parliament has said it does not want this Bill, and if the Government do not listen, then a vote for independence is inevitable. I say, “Bring it on.”

[Mr Deputy Speaker (Mr Nigel Evans)]

To sit down no later than 2.30 pm, Mr Tim Farron.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Thank you very much, Mr Deputy Speaker. It is a pleasure to follow the hon. and learned Member for Edinburgh South West (Joanna Cherry). The Government’s position throughout this Bill, as it is on every other piece of legislation, is directed at an audience. The audience that was listening to their intentions to break international law was an international audience. While of course it is welcome that those clauses have been withdrawn, it is ludicrous that they were ever on the table in the first place. International opinion of the United Kingdom has been measurably affected by that as a consequence.

The fact that Britain is a country that is prepared to break its word and break international law so flagrantly—for whatever purpose Government Members might think they have behind that—is heard, noticed and remembered. As a consequence, Britain’s standing in the world is reduced, Britain’s influence in the world is reduced and Britain’s sovereignty is reduced. That is why the sovereignty myth being peddled by the Government at the moment is so far off the mark of reality.

I will focus my comments in the moments ahead of me on the issues to do with mutual recognition and the differences between the four nations of the United Kingdom. Mutual recognition is embedded in this Bill and we seek to remove it, because it is about setting the United Kingdom’s formal negotiating position using the standards that are the lowest among the four nations. As we go and have a negotiation on food, farming and other trade issues with other countries, we will use the standards of whichever of the four nations has the lowest as the common standard across the United Kingdom.

That is appalling for two reasons. It is a race to the bottom when it comes to standards in agriculture and in other matters as well, and it is a threat to the integrity and the survival of the United Kingdom. Both those realities hurt my communities in Cumbria, first because of the impact on farming. The fact that the British Government continue to refuse to write into legislation minimum standards—particularly on animal welfare and environmental standards—leaves our farmers open to being undercut by cheap imports from other countries; people talk in particular about the United States, but there are other deals as well.

That is hugely damaging to our proud record of high-quality animal welfare and environmental standards and ethics in this country. Alongside that, the Government’s decision in 28 days or so to start removing a vast chunk of farm incomes in England through the basic payment scheme undermines family farming in this country to the extent that it will reduce our capacity to feed ourselves and fundamentally change the landscape of places such as the Lake District. That is wrong, and we need to ensure that those standards—our proud, high British agricultural standards—are written into statute.

However, from my perspective and that of most people here, it is also massively regrettable in how it undermines the integrity of the United Kingdom. In Cumbria, we share a border with Scotland. Animals raised in Dumfriesshire are sold at market in Cumbria, and animals raised in Cumbria are sold at market in Dumfriesshire. The border is pretty meaningless to most of us on either side of it. To undermine the integrity of the United Kingdom in this way, and to play into the hands of those who would want the United Kingdom to be split up, is utter folly from the Government. Some 95% of Cumbrian farm exports are to the single market, but the single market that matters most to us is the United Kingdom single market. My great fear is that Conservative Members increasingly know little, and care less, about what it would take to keep the United Kingdom together.

I run the risk of offending some people around me, but I say this to the English nationalists on the Government Benches whose modus operandi to win the elections of the past few years has been to blame all the ills of the country on people outside our borders: that has done you a lot of good in terms of electoral results in recent years, but it can happen to you in reverse, as nationalists north of the border point to the nationalists on your Front Bench and decide to make a call that it is time to end the Union. That is why we need to uphold the Lords amendments: because we believe in the future of the United Kingdom.

[Mr Deputy Speaker (Mr Nigel Evans)]

A few references to “you” there, Mr Farron—you should know better.

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[Paul Scully]

I appreciate what my hon. Friend says. I think we will give the appropriate measures and protections, whatever form that comes as—if it is indeed needed; I hope that it is never needed in the first place. We will look to make sure that we protect Northern Ireland and its unfettered access.

My hon. Friend talked about state aid rules in Northern Ireland. They will apply to Northern Ireland as agreed under the withdrawal agreement and the Northern Ireland protocol, but they are not the same state aid rules that apply today, because there are new flexibilities of service providers. We welcome that agreement in principle in the Joint Committee, which was about managing the risk of reach-back into Great Britain and guards against the Commission taking an extreme or irrational interpretation of article 10 of the protocol. That means that there is no longer a need for the safety net.

The hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry) talked about the common frameworks and Scotland’s involvement. I hope I was correct in saying that I believed that the Scottish Government pulled away from discussions about the internal market, not common frameworks. I hope that is clear; if I did mis-speak, that was exactly what I meant to say.

We have now had 90 hours of scrutiny on this Bill across both Houses. I reiterate that I am grateful for how right hon. and hon. Members in this place have debated, scrutinised and engaged on the Bill. I said on Monday and again emphasise that we have been and will continue to be reasonable in discussions on this Bill. Since Monday, we have had a lot of good, positive movement and agreement and we welcome that, but ultimately, Government need to balance this with the need to deliver a Bill that provides the certainty that business wants and needs to invest and create jobs.

[Mr Deputy Speaker (Mr Nigel Evans)]

Perhaps somebody from the SNP could inform the Chair privately who its Tellers might be, should they go afterwards.

Question put.

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Committee to withdraw immediately; reasons to be reported and communicated to the Lords.

[Mr Deputy Speaker (Mr Nigel Evans)]

In order to observe social distancing, the Reasons Committee will meet in Committee Room 11.

We will not be suspending, because the Dispatch Boxes were sanitised during one of the Divisions.