(6 years, 6 months ago)
Commons ChamberI want to say a few words in favour of Lords amendment 51 on the European economic area.
Staying in the single market and the customs union is critical to jobs and prosperity. Trade figures published only last week show that 62.3% of the north-east’s exports go to the EU. The president of the CBI has said today that the UK car industry is facing extinction. Such comments should worry us all, but they should send a chill around every community in the north-east of England. The north-east is home to Nissan, which exports many of the cars it builds. It directly employs around 6,500 people, with more than 25,000 people employed in the supply chain. Everyone in the north-east knows someone who does something for Nissan.
I have never been one of those who say that companies like Nissan will close on Brexit day, but I worry about the long-term investment opportunities in industry in my region. In the north-east we know what happens when an industry is faced with slow but inevitable extinction.
The north-east has been neglected for far too long. Much of what needs to be done in our region could be addressed by our own domestic Government if they chose to do so. Does my hon. Friend share my concern that, if we crash out of the European Union with an extreme form of Brexit, the people we represent will be poorer as a result?
My hon. Friend is absolutely right. She knows from her experience as a north-east Member of Parliament that Europe has been very good to the north-east of England as far as trade is concerned and in the investment we have had into the region from the EU.
The coal industry once dominated the north-east of England. Today, all the pits have closed, but they did not close overnight. The dozens of collieries that closed did so over several decades because their reserves were depleted and because of the lack of investment.
My father was twice made redundant because the collieries he worked down closed over the space of a decade. Just like Nissan today, and probably more so, back then everyone knew somebody who worked down the pits or at the National Coal Board. With the closure of the coalmines, communities were left behind. Some have not recovered, and the resentments they harbour played into the Brexit vote. There is a message in that for the decisions we are making now on the post-Brexit world. My region has seen industrial extinction in the past, so we have to make sure it does not happen in the future. Therefore, with 62% of our trade being with the EU, it would be a catastrophic mistake to put up barriers to trade if we can avoid it, and I believe the EEA amendment would help to avoid it. The vast majority of Labour MPs in the north-east knew what the economic consequences would be, and the majority of us campaigned to remain in the EU. The vote went the other way, but the economic consequences of leaving remain the same, as do the grievances in some of our communities.
(11 years, 1 month ago)
Commons ChamberMy hon. Friend is absolutely right and that is why I believe that we should have some consultation with people who bring investment into this country and with other organisations that want to promote jobs not just in the north-east of England but throughout the UK.
My hon. Friend, like me, has visited the Nissan plant in Sunderland and as a Sunderland MP I know just how important Nissan is to the regional economy. In the north-east at the moment, with high levels of unemployment and of long-term youth unemployment, is not this risk and uncertainty the last thing we need hanging over jobs and investment?
I agree with my hon. Friend. In a moment, I shall come on to the importance of Nissan. It is not just important to the north-east: 81% of Nissan’s cars are exported and 56%, or 279,000 vehicles, are exported to Europe. Nissan’s exports are worth £4.3 billion. It spends £1.4 billion on local suppliers and its wage bill is £331 million, money that goes into the north-east economy.