United Kingdom Internal Market Bill

Philippa Whitford Excerpts

Tuesday 22nd September 2020 Commons Chamber

[Lee Rowley (North East Derbyshire) (Con)]

I am grateful for the opportunity to contribute to the debate. I will focus my remarks—like many, including the hon. Member for Poplar and Limehouse (Apsana Begum), whom it is a pleasure to follow—on the key clauses and amendments, most of which stem, so far as I can see, which is why I support them, from the absolute need to retain the economic integrity of the United Kingdom, both for the future and temporarily, in the face of a regrettably provocative and unreasonable stance from the European Union.

I have listened to many powerful speeches, today and on previous days, from all parts of the Chamber and from all vantage points, on the Bill itself and the amendments to it. It will not be a surprise that I do not share the views of Scottish National party Members or their amendments; my view remains that those amendments may result in—or may explicitly seek, in many instances—the skewing of, or disruption to, the common market of the United Kingdom, which has served us so well for many centuries.

[Dr Philippa Whitford (Central Ayrshire) (SNP)]

Does the hon. Gentleman not recognise that there are actually differences in regulations at the moment, and have been for many years? They have never disrupted trade within the UK.

[Lee Rowley]

I absolutely recognise that, which is why I chose my words extremely carefully in referencing the common market, rather than saying that we are absolutely the same. I accept that there are differences, but the overall benefit of the United Kingdom, and why I am a member of the Conservative and Unionist party, is that I see in the coming together of Northern Ireland, Wales, Scotland and England something greater than the sum of its parts. I know that we will never agree on that; I recognise that the hon. Lady has profound differences with me, but I hope she will accept my view that the UK is greater than the sum of its parts.

More broadly, I do not agree with some of the sentiments expressed today or in previous discussions regarding the Government’s position towards the EU, as outlined by the hon. Member for Poplar and Limehouse. It seems to me that the EU appears to have again successfully found our domestic fault-lines and pressure points, in this instance the internal market of the United Kingdom, and particularly Northern Ireland, to aid its own interests in the negotiations.

There is no doubt, as has been indicated by our exchange already, that the debate on the structuring of the Bill and the structure of our internal market is a challenging one in places, within this Chamber and beyond. To me, however, the Bill and its clauses seem only logical in supporting the key principles of mutual recognition of goods, recognition of qualifications and non-discrimination of goods and trading within the UK’s internal market, and from that follows a clear statement about the implications for our wider relationship with Europe as a consequence.

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[Deidre Brock]

I rise to speak to amendment 89 and a number of other amendments that appear in my name and those of my hon. Friends. I also support Plaid Cymru’s excellent amendment 9.

Scottish architects have raised concerns about the Bill imposing the much lower English building standards on Scotland. The Royal Incorporation of Architects in Scotland pointed out this week that Scotland’s standards have helped prevent tragedies like that at Grenfell. Peter Drummond of the RIAS said that

“it is simply inexplicable that the bill seeks to align the more robust Scottish regulations with the English system. Those powers are now to be removed. The lowest common denominator within the UK will apply. And that is, on any fair reading, a spectacularly poor step backwards.”

One would think that England would want to move towards the Scottish standards, but the Bill makes it clear that England’s Government seek to bring Scotland’s standards down rather than improve English standards. That poverty of ambition will haunt England for decades, but it should not be allowed to shackle the rest of us.

In areas of devolved responsibility, the Government in Whitehall are the English Government rather than the UK Government. The Bill, under the myth of removing barriers to trade, ignores that division and seeks to force Scotland—and, of course, Wales and Northern Ireland—into a lockstep Union of diminishing standards and lessening protections, with a Government determined to rip away what they would term red tape and the rest of us term sensible precautions.

The White Paper singled out various building standards as a supposed barrier to the smooth functioning of the market, in spite of decades of experience showing that to be utter nonsense. What about other standards? Will the minimum tolerable standard for living accommodation be lost? Will teaching qualification standards be removed?

In answer to the hon. Member for Hitchin and Harpenden (Bim Afolami), who is no longer in his place, I have had a number of WhatsApp messages since the earlier exchange and I am told that in England a teacher can be unqualified or can switch subjects. For example, a PE teacher can start to teach physics if there is a shortage. That is not the case in Scotland. Scottish teachers must have a degree in teaching or in the subject they are teaching, plus a postgraduate qualification. Again, that is not the case in England, as I understand it. Will free schools and academy schools be foisted on an unwilling Scottish populous? Will the power grab destroy Scotland’s consumer protections?

The exemptions in schedule 1 include water and sewerage, to be sure, but clause 10 allows the Secretary of State to amend those exemptions by secondary legislation. Is this the back door to privatising Scottish Water?

The Bill is a parade of threats to Scotland, not least among which is the threat to our food and drink industry. The Government will remove food protections. Animal welfare standards, environmental standards and protections against genetically modified crops are all in the firing line. Ministers will tell us that this is not so, but let me tell them that no one believes them. England’s Government will not protect English consumers, but they should not get in the way of Scottish Governments protecting Scottish consumers.

I have solutions. The first is the obvious one and by far the best: Scotland as an independent nation state making her own decisions, which will happen soon. The second is less direct but would have some effect: instead of reducing everything to the lowest common beast, as is proposed in the Bill, raise it instead to the highest standard. Our amendment 89 would do that. Where goods are traded across the borders of these nations, let them be traded at the highest standards. Scotland has banned flammable cladding on high-rise buildings and that should be respected. A ban on hormone-treated beef should be respected, and so on. Respect the higher standard and protect the consumer, the brand reputations, the businesses and the investment—protect jobs. The higher standard should be the goal, not the lower. I urge Members to adopt that principle and Ministers to consider it.

There are other problems with the Bill. Regulations will be made in Whitehall. Unlike the EU process, this will not be co-decision-making. EU competences are constrained by the need to achieve consensus among member states. This regime will be dictatorial: rule from the bunker, not the negotiating table. The mutual recognition clause is actually the Whitehall superiority clause.

Scots academics have given this Bill short shrift. Professor Michael Dougan has been quoted at length in this debate. Professor Michael Keating, professor of politics at Aberdeen University, points out that under the 1999 devolution settlement there was no hierarchy of laws; some were reserved to Westminster and the rest were devolved. Under this Bill, UK Ministers would have

“powers to regulate a…wide range of otherwise devolved matters in the name of the internal market”.

Professor Nicola McEwen of Edinburgh University makes it clear that rules made by the devolved Administrations will not apply to goods or service providers that satisfy less strict regulations in England. She says that

“unfettered market access is given priority. EU principles of proportionality and subsidiarity are…excluded.”

Also on the chopping block would be the right to differentiate production methods in procurement, so there goes organic farming—even if it survives the drop in exports after the Government’s failure to agree an equivalence with the EU. This is an absolute mess, and that is why amendment 89 is so important.

Do not drag us down; use the good example set by a neighbour to raise up your own standards. Let us have goods crossing the national borders of these islands meeting the highest standards, rather than the lowest. There has been much ado about the fact that the Bill will potentially breach international law. It is a matter of at least equal concern that it would change our constitutional arrangements without asking the people for approval in a referendum. Furthermore, the Bill would give Ministers the right further to amend the constitutional settlement without the bother of primary legislation. Some folk would call that a coup d’état. It represents the dismantling of the devolved settlements, the disempowerment of this Parliament and the centralisation of power in the hands of a very few Ministers. Surely that is the mark of a failed state.

In short, this Bill is a mess that would have been better off consigned to a skip, but if we are all going to have to suffer it—we in Scotland, hopefully, for the shortest time possible—at least let us pitch for the higher standard, rather than the lower.

[Dr Whitford]

I also rise to speak to amendment 89 and the other amendments listed in my name and the names of my colleagues.

Part 1 of the Bill introduces two key trade mechanisms within the UK for the first time: mutual recognition and non-discrimination. The hon. Member for North East Derbyshire (Lee Rowley) tries to make these sound benign, but that just shows his lack of ability to see what they look like from any of the devolved nations. Non-discrimination, which is covered in clauses 5 and 6, would affect labelling regarding the source of produce. It would therefore remove the ability for consumers to reduce their food miles or to support local producers if they choose to, and could be used to undermine or challenge protected geographical indicators or the Scottish brand—as in Scotch whisky and Scotch beef. Despite their long tradition and international recognition as Scottish products, we already see the promotion of British whisky and British haggis, of all things.

Clauses 2 and 3 cover mutual recognition, which creates a powerful deregulatory pressure, because if any UK nation has lower standards or regulations, the other three must just shut up and accept such goods. As England is the largest nation and economically the most powerful, it is assumed that its standards will dominate, particularly as the Secretary of State has the power to change the Bill on a whim if he wishes. Although clause 3(9) says that the Secretary of State “must consult” the devolved nations, I am afraid that the last four years have shown just how worthless and meaningless such a phrase is.

Clause 3(4) lists the aspects of a product that could come under mutual recognition, including its characteristics, performance standards, packaging and labelling, and certification.

There is even a catch-all line for

“anything not falling within paragraphs (a) to (f)”.

Basically, every single aspect of commercial goods could be challenged under this legislation.

The Government claim, as indeed do many on the Conservative Benches, that the Bill is needed to maintain trade throughout the UK, yet previously trade continued without any problems, despite the variations in the four nations’ regulations. All three devolved Governments have been working to agree common frameworks to ensure that there are no obstacles to trade but also that the devolved powers and different priorities of the four nations are respected.

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[Drew Hendry]

Does my hon. Friend agree that it tells a huge story that the Government have voted against those kinds of protections on 10 occasions?

[Dr Whitford]

Absolutely. An amendment was tabled by one of their own Members—the Chair of the Environment, Food and Rural Affairs Committee, the hon. Member for Tiverton and Honiton (Neil Parish)—to protect food standards in farming.

[Deidre Brock]

Does my hon. Friend share my amazement that not a single Scottish Tory has attended today’s debate, despite the impact that the proposals will have on the devolved nations and on Scotland?

[Dr Whitford]

The Conservatives tend to count on the farming community in Scotland. I echo what others have said: the National Farmers Union of Scotland is none too happy with what has been happening, particularly the failure to protect standards.

That brings us to the dreaded chlorine-washed chicken. Of course, it is not the chlorine that is the issue—if someone is not a great swimmer, they will have swallowed more in a swimming pool; the concern is about why the chicken is washed in chlorine in the first place. Because of the overcrowding of poultry and poor animal welfare standards, the US has between seven and 10 times the salmonella food poisoning rate of the UK, even after washing its poultry. It is clear that most consumers are none too keen on chlorine-washed chicken or hormone-fed beef, but the labelling restrictions under the Bill may well mean that they are not allowed to know. A lot of people may consider becoming vegetarian when such products appear, but that will not help them, because the US also allows higher pesticide residues.

After clause 46, which takes back control of spending in devolved areas, the mutual recognition clauses will have the biggest impact in respect of removing powers from the devolved Governments. Mutual recognition will mean that any devolved legislation to maintain or drive up standards will end up applying only to local producers and not to goods from elsewhere in the UK. That would, of course, put local producers at a disadvantage, without achieving the benefit that the devolved Government were seeking. The EU single market is based on mutual recognition, but the EU generally sets higher standards rather than lower ones and, as was mentioned previously, new standards are agreed by all 27—previously 28—nations. Unlike the UK, the EU accepts derogation for social benefits such as public health, consumer protection, waste reduction or tackling climate change. The Bill has no such derogations at all.

It has often been the devolved nations that have driven forward ideas and legislation in the UK. That should be welcomed, not obstructed. On health, Scotland was the first UK nation to introduce the smoking ban in 2006, and it led the way on the minimum-unit pricing of alcohol in 2018, which Wales is now seeking to follow, but this was specifically attacked as a regulatory restriction in the White Paper and could fall foul of either mutual recognition or non-discrimination—the Government do not seem to be very clear on that. While legislation that is already in place is exempt, any change to that legislation could bring it within the scope of the Bill, so that might act as a disincentive to increasing the unit price on alcohol in the future. Indeed, the whole Bill is a disincentive to creative legislation within the devolved Governments to improve life for their citizens.

On the environment, Wales was the first to charge for carrier bags in all shops in 2011, followed a couple of years later by Northern Ireland and Scotland. England finally followed in 2015, but only for large retailers. Last year, Scotland was the first UK nation to ban plastic stemmed cotton buds, which make up 5% to 10% of marine waste. Yet Scotland’s plans for a deposit return scheme to increase recycling and reduce litter is attacked in the White Paper. If the devolved nations have to always wait for the slowest, innovation and action will be stifled.

Part 3 of the Bill establishes similar new rules over professional qualifications and, ironically, seems to be modelling itself on freedom of movement. Under clause 22(2), anyone recognised as professionally qualified in one part of the UK must be accepted in all other nations of the UK. Of course, medical qualifications such as mine are part of a UK-wide registration, but there are professions with specific requirements to be registered in Scotland and Wales.

I note that, miraculously, there were still enough lawyers left in the Government to make sure that the new rule did not apply to the legal profession, as Scots law is of course completely separate, but what about other professions? England has introduced nursing apprentices and nursing associates, while Scotland still maintains nursing as an academic profession. Scotland and Wales both require a teaching qualification, but in England anyone with a degree can become a teacher without any formal teacher training. Education in Scotland was not devolved 20 years ago, but like Scots law and the Church of Scotland, it has been a separate entity since prior to the Act of Union and was protected in that Act.

This Bill is a piece of wanton vandalism. The Tories never supported devolution, and this Bill is driven by anti-devolution politics and control freakery, rather than anything to do with economics or business. There is an alternative to this high-handed and heavy-handed legislation. The UK Government should get back to the table and continue working on agreeing common frameworks, instead of winding back two decades of devolution.

I can tell the House that, regardless of their views on independence, the vast majority of people in Scotland support devolution. They appreciate the value of maintaining a unified public NHS and of Scotland’s wellbeing policies, from the baby box to free personal care. Last Friday was the sixth anniversary of our independence referendum, when the people of Scotland held control of their future in their own hands for 15 hours, but sadly gave it back. Among the broken promises of “Better Together”, which achieved that outcome, were “Vote No to stay in the EU” and promises of more devolution, not less, and of Scotland being an “equal partner” in a “family of nations”. This Bill leaves any shred of such a claim twisting in the wind. If the Prime Minister and his Government think this Bill will strengthen their precious Union, I have news for them: it will do precisely the opposite.

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

I rise to speak to new clause 9, which I have tabled with the support of my Liberal Democrat colleagues. During the Bill’s passage through the House, we have frequently heard from Ministers and the hon. Member for Rother Valley (Alexander Stafford), who is no longer in his place, that this is not a political Bill. Last Tuesday, the Under-Secretary of State for Business, Energy and Industrial Strategy, the hon. Member for Sutton and Cheam (Paul Scully) emphasised that in his wind-up. He said that he wanted

“to put the Bill into context, so that we can see where it sits…This is an economic Bill”.—[Official Report, 15 September 2020; Vol. 680, c. 263.]

I simply disagree. I will leave to one side the fact that the Bill breaks international law. I am just talking about the sections of the Bill that are before us today, for which the Department for Business, Energy and Industrial Strategy is responsible.

This is a political Bill because, at its heart, it is about the question of who decides, which is of huge constitutional importance. The powers that went to the European Community nearly 50 years ago are returning to a UK that has had, despite appearances, a constitutional makeover. Scotland, Wales and Northern Ireland all now have devolved Governments, and that constitutes profound change. To expect that the responsibilities that are returning from Europe will map neatly back on to our new constitutional settlement is to live in the past.

Looking at some parts of the Bill, we have to wonder whether those drafting and proposing it truly understand what is devolved and what is reserved and the implications of that. We have heard from some Members today who have not previously engaged with this either. The Government clearly believe that the default position in relation to returning powers should be to Westminster, whereas the Scottish Government believe that it should be to Holyrood unless specifically reserved. I go back to what I said in relation to part 4 of the Bill last week. Breaching this divide means consensus, consultation and collaboration—a four nations approach, which has to be the root of all we do as a United Kingdom.

[Dr Whitford]

Does the hon. Lady agree that there requires to be added another “c”: consent? We hear a lot about consent for the people of Northern Ireland, but for such a radical change and undermining of devolution, we hear nothing of any consent to this process for the people of Scotland.

[Wendy Chamberlain]

I thank the hon. Lady for her intervention. I would argue that consensus also implies consent, because it is about seeking agreement from all parts.

There are other areas where the Bill gestures towards the reality of our constitutional settlement but simply offers no compatibility. As I mentioned last week, there is no answer on the face of the Bill as to how disputes between the four nations will be resolved, which is surely crucial to the functioning of the internal market.

This Bill applies more pressure to the splintering foundations of our constitutional settlement, so of course it is a political Bill. If the UK Government and members of the Conservative and Unionist party care about the United Kingdom, they will have to educate themselves. Measures such as those in this Bill that fail to respect the devolution settlement are giving the Scottish National party and its Members here free rein in relation to their narrative about Scotland being ignored and controlled from afar, with the only solution being to leave the UK. How can a Bill like this not be political when the future of the UK is arguably at stake?

We urgently need to assess how we work together as four nations—as one United Kingdom—if we are to overcome the politics of grievance and division. That means a real focus on working collaboratively for the whole UK while respecting the devolution settlements. I call on the Minister to recognise that there are plenty of ways in which the Bill could be improved in that regard, not least by giving the Scottish, Welsh and Northern Irish Governments the ability to appoint a member to the board of the Competition and Markets Authority, as proposed by my party’s amendment to part 4 last week, which would give real ownership. I would be interested to hear his response to that.

It goes beyond this Bill. We need a total rethink of how the four Governments interact, because our constitutional settlement does not work for the whole UK. There has been substantial change since 1973, and devolution is now 20 years old. The UK remains a country with one of the most centralised Governments in the world. With devolved Administrations in Scotland, Wales and Northern Ireland but the UK Government operating under the old pre-devolution structures, we have created the perfect storm for those who wish the end of the UK to drive a coach and horses through an unwritten constitution.

Members of this House have to recognise, when they look at increasing support for leaving the UK, that the feeling that our constitutional settlement is broken is not limited to Scotland. If we do not attempt to fix it, we will lose it. My new clause 9 aims to improve the Bill but also to provide a way to allow us to reinvent our constitutional settlement. It would require the Business Secretary to publish a framework for a UK council of Ministers three months after the passage of the Bill. The council would ensure the effective functioning of the internal market, with representation from all the devolved Administrations, as well as the UK Government. That would be a way of getting back to a model of collective buy-in, working collaboratively for the whole UK while respecting the devolution settlements. We can work in a much more transparent and accountable way together. It is entirely possible.

This new clause would also be the first step towards the development of a more federal approach to the UK, which will benefit all of us. Ultimately, that is what this Union needs to survive. We cannot rely on the old institutions, which are not fit for purpose. The hon. Members for Edinburgh North and Leith (Deidre Brock) and for Central Ayrshire (Dr Whitford) highlighted the consensual approach to standard agreements within the EU. Given the Scottish National party’s desire to join the EU, such a federal step, if taken by the UK Government, would arguably negate one of the central arguments for departing the UK. A more federal approach would give people in the devolved nations a degree of autonomy that, had it been on the ballot paper in 2014, would have been voted for.

I call on the Minister to reflect on the measures in the Bill. We have to do so much more to ensure that the devolved nations and regions of England are listened to and can play an active part. I urge the Government to bring forward amendments that will give the devolved nations a degree of buy-in to this piece of legislation. That would at least be a start.

[James Daly (Bury North) (Con)]

May I say what a fine speech that was? I may not agree with much of what was in it, but it was a heartfelt plea to protect our Union. To Unionist politicians such as me, it is a strange thing indeed—I am elected in Bury but I consider myself part of the same country as the Scottish National party Members. I may have a naive point of view, but I believe that we all live in the same country, with defined, different nationalities—I understand that. However, I consider myself British, and although SNP colleagues may well not do this, I consider them to be British as well—[Interruption.] I see the shaking of the heads, but the preservation of a Union that I think has benefited the whole of the people of all our islands is so important.

Rather than commenting on internal Scottish or Welsh politics, I would like to make some general points on the Bill and why I support it. In the era and the time that we are living in, a Bill that regulates and standardises the way that firms and businesses interact with one another across the United Kingdom has to be a good thing. I understand the arguments that have been put forward, but from my point of view, free and unfettered access, fair access and fair treatment for all individuals and businesses is an honourable intention.

[Dr Whitford]

Does the hon. Gentleman not accept that there has been about a year’s worth of work on agreeing common frameworks to deal with difference? The hon. Member for North East Fife (Wendy Chamberlain) talked about having a consensus. Would that not be a more successful approach than one country bullying the other three?

[James Daly]

I think that there is a lot of merit in that approach. I suspect—I am sure that the hon. Lady will tell me that I am wrong—that, literally, Ministers could say anything and the Scottish National party would not agree and would find a different argument to take a different course. However, I think it is a very valid point.

I want to make two simple points. I think that the Bill is meritorious and positive and that it seeks to achieve an outcome that increases prosperity for everyone within the United Kingdom. This is the first opportunity that I have had to speak in this debate, but I was somewhat surprised that on the first day of debate, SNP Members were arguing that money should not be invested in Scotland because it comes from the United Kingdom Treasury, so—[Interruption.] That is certainly my perspective—

[Dr Whitford]

Will the hon. Gentleman give way?

[James Daly]

I will just develop my point and then of course the hon. Lady can come back in. I see a Bill that allows Ministers of the Crown of the United Kingdom to invest moneys in different parts of the United Kingdom, in collaboration with the devolved Assemblies, as an extremely positive thing. The argument will come back that there is nothing in the Bill to confirm what the framework is—whether they are going to build a bridge or whatever the investment will be—but I would never stand here and say, and I cannot understand the argument to the contrary, that money should not be invested in an area to benefit citizens because it comes from a certain pocket. Hon. Members constantly argue that the EU is a positive change for good. They had no objection to the way EU money came in. I believe that my Government have the most honourable and positive intentions to invest moneys in all parts of the United Kingdom to kickstart and supercharge the economy to get us through the coronavirus period, and that is why I think that this Bill is a positive step.

[Dr Whitford]

rose—

[The Temporary Chair (Siobhain McDonagh)]

Order. I am sorry, but we have strayed a bit off the point. I like to give flexibility and latitude, but I do not want to kick off a long-standing discussion about something that was discussed last week.

[James Daly]

To get to the point about regulation and standards, I have listened to the debate and there have been numerous comments regarding a race to the bottom, and a derogation of standards. I can see no evidence at all in the papers that I have seen that anything other than the highest standards are to be maintained in regulation, food and all the other powers and competences that the UK Government will now be administering. There is no evidence for any of this. I appreciate the point that has been made, but numerous examples can be put forward by those who say, “I have concerns about this and concerns about that. This might happen or that might happen.” The central point is that the UK Government have repeatedly stated their commitment to the highest standards, whether that be in food, health, animal welfare standards and all the other examples that have been given.

[Dr Whitford]

Why, then, will the Government refuse to protect those standards in legislation? We have had an Agriculture Bill and a Trade Bill, so there was plenty of opportunity to put in writing the commitment not to go below the levels that we currently have.

[James Daly]

Certainly, in my view, the Government have not at any point refused to give such a commitment. Let me repeat again for the hon. Member: the Government have repeatedly stated their commitment to the highest possible standards. I am talking about EU standards—standards that have regulated businesses and the various sectors of the economy to which I have referred. I would accept the argument if some evidence could be pointed to by SNP Members, but there is no evidence at all that the Government are going to derogate from the highest possible regulatory standards.

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[Lucy Powell (Manchester Central) (Lab/Co-op)]

I rise to speak to the amendments and new clauses in my name, and in the names of my right hon. and hon. Friends.

We are the end of four full days of debate on the Bill. We have heard from many new Members, some of whom I, until recently, served with on the Education Committee, as we have just heard. Remarkably, we also heard a former Conservative Prime Minister, a former Northern Ireland Secretary, the Conservative Chairs of the Foreign Affairs Committee and the Defence Committee, and many other highly respected Members across the House voicing their deep concerns about the Bill. Yet as we come to the final day in Committee, aside from a small amendment on a further vote, the Government have, I am afraid, been typically blinkered in their response.

Such is the significance and seriousness of the Bill, it has even caught the attention of presidential candidates and the Congress in the United States for all the wrong reasons. At every stage, good and decent people inside and outside this House have warned the Government that this is a bad and damaging Bill: five former Prime Ministers; four former Lord Chief Justices; three former Conservative Attorneys General; two senior Government Law Officers, now resigned; and even one want-to-be director general for the World Trade Organisation, the right hon. Member for North Somerset (Dr Fox). Many of them are self-proclaimed ardent Brexiteers. The Government’s charge that this is an attempt to stop Brexit has fallen very short indeed.

Most, including the Labour party, support the intention behind the Bill. An internal market Bill could have achieved widespread support: a strong, flourishing UK internal market, respecting the devolution settlement and underpinning the Union; Northern Ireland’s unique place within our Union safeguarded; a successful trade deal with the EU delivered. Yet the legislative hooligans in No. 10 won out and instead we have this blunderbuss of a Bill fronted by the Prime Minister, which undermines each and every one of those intentions.

The Prime Minister promised an oven-ready trade deal with the EU, yet the antics of the Government around the Bill now mean we are further than ever from achieving that. The Prime Minister promised to safeguard Northern Ireland’s unique place within our Union, yet the unpicking in the Bill of delicate and sensitive agreements is now putting that at risk. The Prime Minister promised a successful global Britain doing trade deals around the world, yet this Bill’s disregard for a treaty the Prime Minister himself signed up to less than a year ago now makes his signature not worth the paper it is written on. The Prime Minister promised to strengthen and keep intact our precious United Kingdom, yet the utter disrespect of the devolution settlement in the Bill has handed the First Minister of Scotland all the ammunition she needs to power her campaign for Scottish independence. We have sought, at every stage, to improve the Bill in the national interest. Today, we try again.

I will turn now to our principal amendment. New clause 11 would place a duty on Ministers to report on the progress and impact of the Bill. Throughout the Committee stage, the Government have sought to reassure both sides of the House of their good intentions in relation to the common frameworks process, the Joint Committee talks and their ambitions for the shared prosperity fund, yet their warm words have not been backed by either statutory underpinning or transparency in the publication of their plans. As such, our new clause 11 gives the Government one last opportunity to report back to the House regularly on those important issues.

On common frameworks, the Government should stand by their stated intentions. Ministers herald this approach yet refuse to put them on a statutory footing. Our new clause would require Ministers to return to the House regularly to update us on the progress of agreeing common standards. Crucially, they would have to demonstrate that they had agreed them, as they said they would, and that they were acting in good faith in exhausting all opportunities to do so before using the powers in this Bill. For the sake of completeness, we believe—for those who did not hear my comments last week—that the ultimate arbiter of the UK internal market has to be the UK Parliament. However, the Government could and should have taken a more respectful and co-operative approach to agreeing the minimum standards that underpin that market.

On the collective desire for a shared prosperity fund to replace the EU structural funds, we had a long debate with concerns raised across the Committee about how these funds will be distributed. The promised framework has yet to be published, and Members from all parties have been left unconvinced by the Government’s reassurances. We want to ensure that within three months of this Bill becoming an Act, the Government must produce the framework and operating principles of the new shared prosperity fund. At its heart, funds should follow need and be administered locally.

We have heard much over the past four days in Committee about how the clauses in part 5 would be used only as a very last resort after serious breaches in terms of bad faith by the EU. Yet we have heard a lot less about how the conversations are progressing through the Joint Committee. Indeed, we have heard contradictory accounts from the Government as to whether the EU is or is not acting in bad faith. It is about time we had a more transparent and honest appraisal of Joint Committee progress. Our new clause 11 would put a legal duty on the Government to report back to the House on this within three months.

Our amendments 86 and 87 seek to clarify the Government’s position about the impact of this Bill on public procurement policies of the devolved Administrations. Public procurement is a crucial lever in the promotion of industrial strategy, regional economic development, employment, and environmental standards. Unless specifically exempted, there are concerns that restrictions may be placed on the ability of the devolved authorities to adopt new or revised public procurement policies. Will the Minister confirm that public procurement is outside the scope of the Bill?

[Dr Whitford]

I echo the importance of public procurement remaining a devolved power. The Government contracted Amazon to deliver and collect home tests for covid without bothering to think through the fact that Amazon does not deliver to huge swathes of the Scottish highlands and islands. That kind of ignorance is the reason we need devolution.

[Lucy Powell]

The hon. Lady makes a good point. As Labour has been arguing throughout this crisis, local decisions are how we are going to overcome this virus, if we can make them effectively.

Many of the Government amendments are a tidying-up exercise and we have no quarrel with them. However, as learned Friends on the Labour Benches and in the other place, as well as on the Government Benches, know, Government amendment 66, which we will be voting on tonight, still amounts to tearing up an international agreement and breaking an international treaty that the Prime Minister has himself just signed. As my hon. Friend the Member for Sheffield Central (Paul Blomfield) said in his excellent speech yesterday, the breach of international law is not when we enact the provisions of this Bill, but prior to that. The Government could not answer the point made by the right hon. Member for Staffordshire Moorlands (Karen Bradley) yesterday regarding the point at which this international treaty is being broken. Many would argue that even publishing these measures breaches article 5 of the withdrawal agreement. Can the Minister clarify that for us today?

The ink is not even dry on the bilateral treaty between the UK and the EU—a treaty that is about and for dealing with some of the difficult issues that we have debated over four days. Reneging on that treaty so soon, and the loss of trust resulting from that, is not comparable with a disagreement arising from a ruling by the European Court of Human Rights, as was the case with, say, prisoner voting, which was raised by Members across the House. Government Members do not have to take our word for it. They should listen to the right hon. Member for Maidenhead (Mrs May), who delivered the most scathing rebuke of this Bill yesterday, saying that the Government were “acting recklessly and irresponsibly” and warning of “untold damage” to the UK’s international reputation.

It could have been all so different. The Government could have worked cross-party and in a respectful way with the devolved Administrations to build a strong internal market based on mutual respect, to deliver the “oven-ready” deal we were promised, to enhance our reputation around the world, not diminish it, and to strengthen our precious Union, not put it at risk. Ministers could accept new clauses this evening and introduce further amendments on Report that unite the whole House. They could drop the clauses of the Bill that are so divisive and against the national interest. I hope that, for once, this Government will remove their blinkers and listen.

--- Later in debate ---

On amendment 86, there is no doubt that the protection of environmental, social and labour standards is an area we greatly care about across this Chamber. Our standards, as I have said, are among the highest, and we will continue to move ahead of others in this area. However, we believe that it is important to keep the list of legitimate aims tightly defined so as to limit the grounds on which goods from one part of the UK could face discrimination in another, eroding the benefits of the UK internal market. We have already provided for derogations given the fact of threats to human, animal and plant life. Expanding the list of legitimate aims in this way is not appropriate.

[Dr Whitford]

Does the Minister not accept that trying to improve public health, reduce waste and protect the environment are perfectly good reasons for a derogation?

[Paul Scully]

As I say, we are trying to keep this narrow so that one part of the UK does not face discrimination in another. We want to make sure that we get the balance right between having the benefits of the UK internal market and having legitimate aims on an environmental basis, on public health or on any number of other areas.

Amendment 36 seeks to alter the process by which the list of legitimate policy aims may be changed in the future. These aims allow for an exemption from the requirement prohibiting indirect discrimination, and that could therefore be cited as necessary for implementing a measure that is indirectly discriminatory. The aims are tightly drawn, but the Government recognise that it is important to retain flexibility for the future—for example, to reflect the experience of the effect of the market access principles in practice and based on business feedback. That is why the power is necessary and we cannot accept the amendment.

Amendment 80 seeks to exclude fisheries in Scotland from the market access principles. It is essential that the Scottish industry is able to maximise the return on its fish by being able to access a diverse range of markets and a wide range of consumers. Scottish fish is sold across the UK. However, this amendment would create new barriers to trade, going against the fundamental purpose of the Bill. The hon. Member for Central Ayrshire (Dr Whitford) talked about procurement. With regard to amendment 87, the Government intend to deliver measures on procurement through a wider package of procurement reform that is being implemented shortly after the Bill. A procurement rules reform Green Paper has been drafted and there will be a formal consultation. The aim is for separate primary legislation to follow.

I turn to new clause 5 and amendment 40. The protection of our environment and maintenance of high food standards are of great importance, and the UK Government are committed to maintaining standards across the UK in all these areas. The intention of the amendments appears to be to prevent Ministers from developing standards that differ from those in the EU, even where UK standards better serve the needs of the UK. On that basis, I urge Members not to move the new clause and the amendment.

I thank the hon. Members for Foyle (Colum Eastwood) and for Belfast South (Claire Hanna) for tabling amendments 81 to 85, as they raise the important issue of the recognition of professional qualifications in the common travel area. However, I must oppose the amendments as set out. This Bill is not the vehicle for honouring our commitments in relation to the common travel area. I can reassure the hon. Members that the UK Government acknowledge that the recognition of professional qualifications is an essential facilitator of the right to work associated with the common travel area. My officials are progressing work in relation to the common travel area so that the UK can continue to meet its commitments.

Amendment 27 seeks to give devolved Ministers the ability to decide which qualifications can be accepted as part of the internal market. By giving devolved Ministers the power to decide which qualifications should benefit from these provisions, we could reduce the number of professionals who can move within the internal market. The alternative recognition process outlined in clause 24 grants the flexibility, and will enable authorities to assess on a case-by-case basis whether a person’s existing qualifications and experience are sufficient evidence of the skills required for the profession in question.

I turn to new clause 10 and thank the hon. Member for Brighton, Pavilion (Caroline Lucas), who is no longer in her seat, for her contribution. As I have tried to highlight, the protection of the environment is hugely important and something to which this Government are very committed. However, passing this amendment would not be the best way to protect the environment. We have made sure that there are exemptions from indirect discrimination where the health of animals and plants and humans is concerned. Further to this, the powers in the Environment Bill will mean that future Governments must be open and transparent about the impact of future primary legislation on environmental protections.

Amendment 88 seeks to prevent the Bill from being placed into schedule 4 to the Scotland Act 1998, thus preventing it from being protected from modification or repealed by the Scottish Parliament. If the Bill were to be modifiable by one or more devolved legislatures, it would not be able to provide consumers and businesses with the vital certainty that they currently enjoy. Businesses trading in Scotland would need to consider how the Scottish Parliament may seek to amend or repeal elements of this legislation. That would create disruptive uncertainty, which must be avoided, particularly as we seek to support the UK’s economic recovery from the covid-19 pandemic.

I turn to amendments 9 and 39, and new clause 9. We will continue to work closely with the devolved Administrations to understand and respond to their concerns. In accordance with the Sewel convention, the UK Government have requested legislative consent motions for this Bill from all the devolved legislatures. New clause 9 in particular would place intergovernmental structures in statute, limiting the capacity for discussion among all Governments and the capacity to adapt to this change.

New clause 11 seeks to provide Parliament with information on the working of the Act in a context of developing common frameworks. It is essential that the Office for the Internal Market is available and able to perform its functions at arm’s length from political interference from the UK Government and devolved Administrations.