EU Trade Agreements: Replication

Stewart Hosie Excerpts

Wednesday 13th February 2019 Commons Chamber

[Dr Fox]

As ever, my right hon. and learned Friend raises interesting points. Although there would undoubtedly be a greater risk in the case of no deal, I do not agree that this would be disastrous, because we are likely to maintain a high proportion of the continuity of these agreements. Let me just remind him that five of those 40 agreements represent 76% of the trade, by value, that falls into this category. My Department has developed a great degree of expertise and knowledge in the process of transitioning to new agreements. There are those who say, “If we end up getting a deal, much of this work that has been done will be wasted.” I completely disagree with that, as it has created a body of knowledge, experience and expertise in the Department that will stand us in good stead. As for our ability to negotiate with other countries, we remain the world’s fifth biggest economy and many countries have said to us that it would be much easier to do an agreement with the UK as a single country which would then negotiate and ratify than to have to do it with 28 countries, as they do at the moment. On Japan, we have of course made clear our position and finished our public consultation on potential membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership—CPTPP—a subject on which we are likely to have a debate in this House next week. Finally, he asks whether we should not stay in a customs union. That would preclude us from having negotiations on new agreements, such as with the United States, or even with China, with which the EU has no agreement at the present time.

[Stewart Hosie (Dundee East) (SNP)]

The Secretary of State has just said that countries say it would be easier to do a deal with the UK. One might ask the simple question: if it was so easy, why have we not even been able to roll over more than half a dozen of the deals we currently have? The leaked documents paint a picture of unvarnished failure: with South Korea and Canada we are off track; and with Japan we have no chance of completion. These deals are not simply necessary in the event of a no-deal Brexit; they may well be required at the end of the transition period if the negotiation then is as miserable as what we have seen to date. So why does he not own up? The time to negotiate these deals has run out, and it is highly unlikely that the Prime Minister’s deal, which he supports, will be accepted by this House. This is now the evidence that he and others need to put their weight behind an extension to article 50 so that his Government and his Department at least can complete the simple task of rolling over the deals we currently have.

[Dr Fox]

Again, I make the point: if Opposition Members want us to get trade continuity, the best way to do so is to vote for the deal that the Prime Minister has already set out. As for future FTAs, we could not negotiate those were we to follow the hon. Gentleman’s advice and remain in a customs union.