Nissan in Sunderland

Richard Burden Excerpts

Monday 4th February 2019 Commons Chamber

[Greg Clark]

To protect those jobs in the longer term, we need to secure our ability to trade without tariffs and without impediment across the whole of the rest of Europe. As I have stated very clearly to the House, it is my view that the House needs to come to a decision within the next few weeks. We need to make compromises with each other to be able to provide that certainty and security to important employers.

[Richard Burden (Birmingham, Northfield) (Lab)]

When it could soon cost less, in terms of tariffs, to import a car to the EU from Japan than it will to export a new car from the UK to the EU in the event of a hard Brexit, is it not easy to see just what impact Brexit uncertainties have on decisions like this? Could not the Government minimise those uncertainties—first, by jettisoning the customs union as a red line for the Government and, secondly, by ruling out no deal?

On diesel, is it not the case that the problem is not with the latest emissions standards, but that Government vehicle excise duty rates hit the newest, cleanest diesels hard and leave the oldest, dirtiest diesels untouched? Will the Secretary of State have a word with the Treasury to do something about that in the spring statement?

[Greg Clark]

The hon. Gentleman makes an important point about the importance of tariff-free trade. The European Union has agreed, and put into operation last week, a free trade agreement with Japan that provides advantages for companies in being able to import and export directly with Japan. In my view, it also increases the urgency that we face to conclude our agreement with the European Union that should allow us to continue to trade with it and with other countries, without interruption.

We have had many conversations about diesel. It is the case that companies, including Nissan, are accelerating their investment; they are investing more than they previously intended to in ultra-low emission vehicles. This is giving the supply chain opportunity. I agree with the hon. Gentleman that we should not send a message that the current generation of diesel engines is a choice that needs to be avoided by consumers thinking about their next car.