Draft Equipment and Protective Systems Intended for Use in Potentially Explosive Atmospheres Regulations (Northern Ireland) 2017 (Amendment) (Northern Ireland) Regulations 2023

Ruth Cadbury Excerpts

Wednesday 12th July 2023 General Committees

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

It is a pleasure to serve under you, Mr Vickers, and to speak for the official Opposition in this Delegated Legislation Committee debate on the draft Equipment and Protective Systems Intended for Use in Potentially Explosive Atmospheres Regulations (Northern Ireland) 2017 (Amendment) (Northern Ireland) Regulations 2023.

I thank the Minister for his speech and for the detail in which he set out this largely technical change, which relates to Northern Ireland. Having listened to his speech and looked at the debate that took place in the other place, I would like to ask him a few questions.

However, I would like to start by reaffirming the Opposition’s support for the Windsor agreement. We welcomed it when it was signed, and we know that it was welcomed by businesses, civic leaders and our international allies. I am proud of the work the Labour party has done over the past 25 years to bring peace to Northern Ireland and of the small role played over a longer period by the Barrow Cadbury Trust, which I chaired, to build and support dialogue across the community divide in Ireland. That was the precursor to peace in Northern Ireland.

The change before us will require some UK businesses to add an additional UK(NI) marker to products that could be used in businesses with certain safety risks, such as petrol stations and fertiliser producers. Although it applies only to Northern Ireland, it will impact businesses based in Britain that export these products to Northern Ireland.

I note that the Government did not run an impact assessment of this change, and nor did they conduct a consultation. I understand from comments made by Lord Johnson in the other place that there is no impact assessment because this change fell under the Windsor agreement and because it is “limited”. However, the Government have said that they have had discussions with 4,000 businesses about the impact of this change. That number suggests quite a wide scope.

That brings me to my second point. The Department estimates that around 5,500 businesses—I think that that figure is right—are impacted by the ATEX regulations. In the words of Lord Johnson,

“some businesses may incur costs associated with…the new requirements and the labelling”

under this SI. The Government state that the estimated cost to businesses is around £2.5 million. If they did not carry out an impact assessment or a formal consultation, how did they reach that cost figure? Is it an annual cost, a recurring cost or a one-off cost? Do the Government know the breakdown by nation or region? Do they know whether very small microbusinesses or small and medium-sized enterprises will be hit by this cost, and, if so, roughly how many?

I ask those questions to ensure that the Government have considered and understood in full the impact on businesses, and that businesses are supported through this change. Now, the Minister may well offer the immortal words that he will write to me with answers to these questions, but they are important, and they should be addressed, preferably today. I know that the Government will be taking steps to inform businesses about the regulations and the changes, through webinars and so on, but I hope they will ensure that businesses of all sizes get the information they need when they need it.

As the Minister said, these are largely technical changes relating to our change in EU membership and the new Windsor framework. I look forward to the Minister’s response, and I hope he can address some of these issues in the time I have given him.

[The Chair]

I can see no one indicating they want to speak, so I call the Minister to respond.