Exiting the European Union: Sanctions

Peter Grant Excerpts

Wednesday 19th July 2017 Commons Chamber

[The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Robin Walker)]

I beg to move,

That this House has considered Exiting the European Union and Sanctions.

May I congratulate those who have just given their maiden speeches?

The United Kingdom has long been one of the most networked and outward-looking countries in the world. The Prime Minister has set out her vision for the country, following our exit from the European Union: a truly global Britain—a country that goes out into the world to build relationships with old friends and new allies alike. We hold fast to a vision of a UK that is respected abroad, tolerant at home, engaged in the world, and working with international partners to advance the prosperity and security of our nation.

That said, we live in a fast-changing and uncertain world. The United Kingdom faces a number of threats from states that act in contravention of international law, from individuals who peddle messages of hate or commit acts of terror, and from companies that corrupt basic standards of behaviour, and this country needs as many tools as are available to counter these threats and to influence the behaviour of others.

Effective, targeted sanctions policy is one of those tools. Sanctions have helped resolve complex and serious policy issues—for example, by bringing Iran to the negotiating table to agree to robust constraints on its nuclear programme. The UK currently implements 34 sanctions regimes, around half of which result from legally binding resolutions of the UN Security Council, and half from additional measures agreed with partners in the European Union. We must retain the ability to impose, update and lift sanctions regimes, both to comply with our international obligations and to pursue our wider foreign policy and national security objectives after we exit the European Union.

The referendum result last year was a clear message from the people of the United Kingdom that we need to change our relationship with the European Union and take back control of our laws, and this Government are delivering on that instruction through the ongoing negotiations, the second round of which is under way this week, and through the introduction of essential legislation, such as the European Union (Withdrawal) Bill, which the Government published last week.

[Peter Grant (Glenrothes) (SNP)]

This mantra of taking back control of our own laws has been very prominent in the Brexit debate. Could the Minister give an example of an EU sanction that the United Kingdom would not want to apply, or of a sanction that it would want to apply, but that the European Union does not currently apply, just to give us some idea of how much control we need to take back in this area?

[Mr Walker]

I will respond to the hon. Gentleman perhaps later in my speech. This is more about powers than policy. The UK wants to pursue a consistent policy as we go forward, but to do so, we will need powers as we exit the European Union.

The UK’s implementation of UN sanctions and European Union multilateral sanctions relies on the European Communities Act 1972. The UK has some limited domestic powers to impose sanctions—notably in domestic counter-terrorism—but these are not sufficient to replicate the full range of sanctions in force through the European Union. While the European Union (Withdrawal) Bill will preserve or freeze existing sanctions, it would not provide the powers necessary to create new regimes, as we may need to in future, or to update, amend or lift sanctions, as we have done in the past when there are changes in circumstances in the fast-moving world of foreign policy.

When the United Kingdom exits the European Union in March 2019, we will therefore need to have new legislation in place. As set out in Her Majesty’s Gracious Speech, the international sanctions Bill will be introduced this Session. The Bill will focus on powers, not policy, establishing the legal framework that we need to continue implementing UN sanctions, and to return decision-making powers on non-UN sanctions to the UK, while preserving flexibility, for now, on how we use those powers in relation to specific countries or threats.

--- Later in debate ---

[Peter Grant (Glenrothes) (SNP)]

I am grateful for the opportunity to contribute to the debate. I add my congratulations and best wishes to the hon. Members for Saffron Walden (Mrs Badenoch) and for Northampton South (Andrew Lewer) on their maiden speeches. They spoke with enormous passion, and although their speeches were very different in style no one can question their commitment to their constituents. I welcome both of them to the House. I thought the Woody Allen quote was a reference to my attempts at cooking, but perhaps that says something about my sheltered upbringing.

Three different things could happen when the United Kingdom is no longer automatically bound by European Union decisions on sanctions. We can attempt to impose sanctions where the EU does not do so, but that will be a waste of time because no one will pay any attention. We can choose not to impose sanctions where the EU does so, but that will probably lead to our dealing with some very dodgy characters on the world stage. The most likely outcome, however, is that we shall allow the EU to take its decisions without any UK input and tamely and obediently follow suit. Even that is not without its risks.

I am hoping that when he sums up the Minister will tell us what assessment has been made of the legal risk of the United Kingdom imposing, on its own, sanctions that have also been imposed by the European Union. It seems to me that an aggrieved party who might be put off from taking on the European Union in the courts might see an individual stand-alone legislator as a softer target. What assessment has been made of the risk that the United Kingdom will find itself as the fall guy—being sued in the courts every time the European Union does something that the bully boys of corporate business do not want to take on the EU about? They might happily have a pop at one wee tiny island in the north Atlantic.

In his opening remarks, the Minister said that we wanted to work with other countries as well as the EU. He specifically mentioned the United States of America. My hon. Friend the Member for Livingston (Hannah Bardell) has already raised some of the alarms on that. We have recently discovered that the President held a secret, unlimited, unrecorded meeting with Vladimir Putin at the G20. We do not know whether that was in the context of a possible trade deal or state visit—maybe the President just wanted to catch up with his unofficial election agent.

What happens if those talks, which were not talks, were about the United States being willing to ease or break sanctions against Russia? Where would that leave the United Kingdom? Our bestest pal ever across the Atlantic says, “Trade with Putin!” The European Union says no and our conscience has to say no. Can the Minister give an assurance that regardless of what crazy crackpot scheme Trump and Putin cook up between themselves, until the Russians have returned every last square inch of Ukrainian territory into the hands of the people and elected Government of Ukraine, there will be no lessening of sanctions by the United Kingdom unless that has been agreed by the entire European Union?

Another concern would be if the UK decided to impose sanctions but nobody else did. We have to remind ourselves that the United Kingdom is no longer a colonial power; the sun sets every day on the British empire, which does not extend any further than the British isles. There is a real danger that, to prove some kind of political machismo, the United Kingdom will attempt to impose sanctions on countries for whatever reason and nobody else does. I was going to say that we would be made to look like a laughing stock, but it is a bit too late for that.

Can the Minister name a single example of a country where unilateral sanctions imposed by the United Kingdom would make a blind bit of difference? It seems to me that we are frantically, with a huge amount of hassle, taking back control of something. Attempting to exercise that control unilaterally and in an isolationist manner will achieve absolutely nothing, but it will incur significant expense and legal risk for the United Kingdom.

My hon. Friend the Member for Livingston raised some of the comments made by the Law Society of Scotland. One of the things that it has identified is what would happen if the United Kingdom wanted to start, on its own, imposing sanctions on countries believed to be sponsoring terrorism—I will not mention the secret report on Saudi Arabia that the Government appear to have commissioned but now will not tell anybody about. Of course, there is no suggestion at all that the Saudi Arabian Government are involved in anything unlawful in Yemen or anywhere else. How could anyone possibly suggest that?

What steps are the Government taking to arrive at a legally sound definition of what a terrorist-supporting state actually is? If that is not clear at the beginning, the door is again open for us to be sued by any aggrieved party. I am reminded that one of the very few countries that Gordon Brown, the previous Prime Minister, used anti-terrorism legislation against was Iceland. That shows what can happen if a definition of terrorism is a bit too vague. I have never known Iceland to sponsor state terrorism, but Mr Brown apparently thought that it did.

I understand the need for the Government to talk positively and bullishly about every single aspect of Brexit, despite the fact that the majority of their own party voted against it in the referendum, but we need to be realistic. We need to be alert to the fact that the United Kingdom’s trading position and international reputation could be at risk and its economy severely damaged.

The Minister chose not to name a single example of EU sanctions that the Government would want to lift or of where the United Kingdom would want to impose sanctions that have not already been imposed by the European Union. This appears to be yet another example of where the desperation to take back control has come before any sensible, intelligent consideration about whether in some cases control is better exercised by 28 nations acting together than by one tiny little island in the north Atlantic that thinks it can do it all by itself.