European Union (Notification of Withdrawal) Bill

Debate between Pat McFadden and Dominic Grieve

Committee: 2nd sitting: House of Commons
Tuesday 7th February 2017 Commons Chamber

[Mr Grieve]

New clause 110 is certainly very well meaning, but I happen to think that there are some problems with it, and I will explain what they are in a moment.

One point that should be made is that it is usual for Government to bring important treaties to the House for approval before signing them. That is a common phenomenon; it is not unusual. There is a long history of doing that with important treaties, so we cannot simply say, “Normally, we ratify them after they are signed.” The obvious course of action, sequentially, is for the Government to publish the White Paper—I am delighted that we succeeded in securing one, because it sets out a plan—and then to get on with the treaty negotiations. In an ideal world, I would like the Government to come back before anything is concluded to ask the House for its approval and to indicate what they have succeeded in achieving. The House will have to make judgments at that time in relation to the overall situation.

[Mr McFadden]

I am grateful to the right hon. and learned Gentleman for giving way while he is taking us through this sequence. The Minister indicated at the beginning of the debate that the Government were bringing forward a concession that would make the process more meaningful. I do not expect him to comment, but it appears that No. 10 is now briefing that it is exactly the same as what the Prime Minister offered in her Lancaster House speech, meaning that nothing has changed.

[Mr Grieve]

I do not think I agree with that. I do not know what No. 10 may or may not be doing, but I had a role in trying to secure the concession read out by the Minister. It is by no means a perfect concession as far as I am concerned, and in a moment I shall come to some of the difficulties that I think the House has.

--- Later in debate ---

[Mr McFadden]

There are two issues at the heart of today’s debate, which is about the role of Parliament in judging the final deal. The first issue is the timing of any such vote, and the second is how to make that vote meaningful. I want to speak to new clause 137, which is in my name and those of my hon. and right hon. Friends.

A significant part of the argument for leaving the European Union was about restoring parliamentary sovereignty so that this House could take decisions about the country’s future, yet attempts to assert that sovereignty have been constantly dismissed as undermining the Government, if not the country. The cry over and over again has been, “Blank cheque, blank cheque, blank cheque.” We should not give a blank cheque; there is a legitimate role for us.

The new clause seeks to do two things: first, to enshrine in the legislation the Prime Minister’s promise of a parliamentary vote on a final deal; and, secondly, to assert what can happen if Parliament declines to approve the final deal.

The Government have set out their aims in the White Paper and in other statements. The White Paper defines the Government’s aim as

“the freest possible trade in goods and services between the UK and the EU.”

The Secretary of State for Brexit said that this would be

“a comprehensive free trade agreement and a comprehensive customs agreement that will deliver the exact same benefits as we have”.—[Official Report, 24 January 2017; Vol. 620, c. 169.]

That is the test the Government have set themselves. I wish them well in ensuring that we do get the exact same benefits as we have.

This new clause does not seek to tie the Government’s hands in the negotiations. It does not seek to influence the content; it focuses on what happens if Parliament declines to approve the final deal. The choice that we do not want to be presented with, I am afraid, is the one that the Minister set out at the beginning, which is defining as success whatever the Government negotiate or falling back on the WTO. I do not want to go through the WTO rules in detail, but let me give just one example: a 10% tariff on car exports. Take the Nissan Qashqai, proudly made in the north-east of England. That tariff would mean a surcharge of over £2,000 on each car made in the north-east, compared with a competitor vehicle made in a plant in the European Union, or even another Nissan model made in the EU. On food and drink, the tariffs are 20%, and on some agricultural products they are even higher. That is before one even gets to the weakness of enforcement mechanisms within the WTO, where businesses cannot even take enforcement cases and only Governments can do so.

The Government themselves say that they do not want this option. They set out 12 points in their White Paper, the 12th of which says that they want

“a smooth, mutually beneficial exit”.

Paragraph 12.2 says:

“It is…in no one’s interests for there to be a cliff-edge for business or a threat to stability…Instead, we want to have reached an agreement about our future partnership by the time the two year Article 50 process has concluded.”

This new clause empowers Parliament to avoid the very outcome that the Government themselves say in the White Paper that they want to avoid. For that reason, it is not, as too many Members have asserted, some attempt to undermine the Government. We should be using the power of Parliament to influence these negotiations.

Let me deal with the “five minutes to midnight” point made by the right hon. and learned Member for Beaconsfield (Mr Grieve). It is hardly unknown for the European Union to schedule another round of talks—it happens very frequently. In these circumstances, we would be entirely within our rights to strengthen our Government’s hand by saying, “Go back and renegotiate on this point or that point.”

[Mr Grieve]

I do not disagree with the right hon. Gentleman, but I want to emphasise this point. All sorts of things are possible—the Commission and the Council may decide to extend the period of negotiation—but we have to look at the legal implications of what we pass into law by amendments. If the new clause is prescriptive in a way that could allow the problem to occur that has been identified—dropping off because one has lost time and cannot come back to this House—we cannot just ignore that. We have to find a way round it or accept the assurances that the Government give.

[Mr McFadden]

The new clause is very simple on this point. It asks that in those circumstances the Government will seek to negotiate an alternative agreement. That is perfectly reasonable.