Immigration and Social Security Co-ordination (EU Withdrawal) Bill (Fifth sitting)

Tracey Crouch Excerpts

Tuesday 26th February 2019 Public Bill Committees

[Tracey Crouch (Chatham and Aylesford) (Con)]

I want to speak sympathetically—although hon. Members should not get excited—to amendment 8 and the issue of the minimum threshold, if this is the appropriate time to do so.

[The Chair]

It is not.

[Tracey Crouch]

It has been a while since I have been on the Back Benches.

[The Chair]

I remind Committee members that we are debating amendments 4, 1, 11, 2, 3, 5, 6, 12, 7 and 10. We will discuss amendment 8 next.

[Tracey Crouch]

I shall contain myself.

[Caroline Nokes]

Notwithstanding the brief contribution from my hon. Friend the Member for Chatham and Aylesford, the hon. Member for Stretford and Urmston invites me to delve into the detail, which is what I plan to do. It is right that the Committee pays close attention to the delegated powers in the Bill, which are key to delivering the changes linked to the end of free movement. I am grateful to the Delegated Powers and Regulatory Reform Committee for its report and recommendations on the Bill, which I am carefully considering.

The power in the clause is similar to that found in many other immigration Acts. It is needed for the effective implementation of the Bill and the ending of free movement. A great deal has been said about the power granting Ministers a blank cheque—a slightly 20th century analogy, but one that I have used as well; perhaps I should talk about chip and PIN or contactless—so I want to explain exactly and in some detail how the power can and cannot be used.

I reassure the Committee that, with clause 4, the Government seek to ensure that we can manage the transition of EEA nationals, Swiss nationals and their family members from free movement to our domestic immigration system. For the sake of brevity, I will refer to that group collectively as EEA nationals.

First, the power will enable us to protect the status of EEA nationals and their family members who are resident in the UK before exit day and ensure that their residence rights are not affected by the UK’s departure from the EU. It will enable us to save the operation of otherwise repealed legislation, such as section 7 of the Immigration Act 1988, which relates to the requirement to have leave to enter and remain in the UK, and the Immigration (European Economic Area) Regulations 2016, which implement the free movement directive. It will preserve the position of EEA nationals in the UK before exit day, or in any agreed implementation period, so they do not require leave to enter or remain until the deadline for obtaining leave under the EU settlement scheme passes in June 2021, or December 2020 in the sad event of no deal.

Secondly, in the unlikely event that we leave the EU without a deal, the power will enable us to make provision for EEA nationals who arrive after exit day but before the future border and immigration system is rolled out in January 2021. During the transition period the clause will enable us, for example, to ensure that EEA nationals need only provide their passport or other national identity document as evidence of their right to work or rent, as is currently the case. We need the power to ensure that, prior to implementation of the future system in 2021, EEA nationals can be treated as they are currently, in terms of checking for eligibility for benefits and public services and the right to work and rent property.

The clause is needed to enable us to meet the UK’s obligation under the draft withdrawal agreement, if that is agreed. In the event of no deal, the clause will enable us to implement the Government’s policy in the paper on citizens’ rights in the event of a no-deal Brexit, which was published by the Department for Exiting the European Union on 6 December.

Thirdly, the power will enable us to align the immigration treatment of EEA and non-EEA nationals in the future, so that we can create a level playing field in terms of who can come to the UK. For example, the power will enable us to align the positions of EU nationals and non-EU nationals in relation to the deportation regime, where currently a different threshold applies to the deportation of criminals who are EU nationals.

As I have said previously, we are engaging extensively on the design of the future system, and our proposals were set out in the White Paper. The details of the future system will be set out in the immigration rules once they have been agreed, but without the power in the clause we cannot deliver the future system, and that is why it is crucial to the overall implementation of the Bill.

Fourthly, the power is important to ensure that our laws work coherently once we have left the EU. There are references across the statute book to EEA nationals, their free movement rights and their status under free movement law. The power needs to be wide enough to ensure that all such references can be adequately addressed as a consequence of ending free movement. By way of example, section 126 of the Nationality, Immigration and Asylum Act 2002 lists the documents that must be provided in support of various types of immigration application. One example relates to applications under the Immigration (European Economic Area) Regulations 2016. An amendment is needed to remove that reference, because in the future there will no longer be applications under the EEA regulations, as they are repealed by the Bill.

Amendments 1 to 5 were tabled by the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East. As he explained, amendment 4 would limit the Secretary of State’s power to make regulations to instances where it was “necessary” rather than “appropriate”. I reassure the Committee that the clause is not a blank cheque. The regulations could be used only to make provision in consequence of or in connection with part 1 of the Bill. That means that they could be made only in connection with the end of free movement or the status of Irish citizens. They must be appropriate within that context, so the scope of the power is already limited, even without it being limited to what is necessary.

Not only is the test for what is necessary harder to meet; it is also harder to say whether it is met. To explain why I regard “necessary” as too high a bar, I refer to the courts, which have said that the nearest paraphrase is “really needed”. Such a test would be too restrictive: one person’s necessary amendment is another’s “nice to have”. Immigration is a litigious area and we do not want a provision that will lead to uncertainty and challenge about whether an amendment is appropriate or necessary. The Committee may recall that that point was discussed at some length during the passage of the European Union (Withdrawal) Act 2018 and that Parliament agreed that “appropriate” was the correct formulation when dealing with amendments in relation to EU exit. It is the right test here also.

Amendment 1 would limit the changes made under the regulations to those that are “in consequence of” the ending of free movement, rather than “in connection with” or “in consequence of”. I note that the amendment was recommended by the Delegated Powers and Regulatory Reform Committee. As I have explained, references to EEA nationals occur in numerous places across the entire statute book and in numerous different ways, not always by reference to free movement rights. The inclusion of “in connection with” is more appropriate to describe the provision that needs to be made for some of those cases. It is also better suited than the phrase “in consequence of” for the making of transitional provision for those who arrive in the UK after the commencement of the Bill.

The Lords Committee made the specific point that transitional and savings provisions for pre-exit day EEA nationals should be made on the face of the Bill. Hon. Members are interested in that and some witnesses discussed it in evidence sittings. We have committed to protecting the rights of EU citizens who are resident in the UK. That has been our priority, and we have delivered it through our negotiations with the EU to secure protections of citizens’ rights, which are included in the draft withdrawal agreement. If that is agreed by Parliament, there will be legislation to implement it in UK law. The withdrawal agreement Bill will be the vehicle by which such protections are delivered. We have also opened the EU settlement scheme to allow EU nationals who are already living in the UK to obtain settled status or pre-settled status in the UK. That will provide them with a clear status once free movement ends and will ensure their rights are protected in UK law.

In addition, we have given unilateral assurances that EU nationals and their family members resident in the UK can stay if the UK leaves the EU without a deal, as set out in the no deal policy paper I previously mentioned. In the event of no deal, we will use the power in clause 4 to make provision to protect the status of EU nationals resident in the UK. One could speculate about whether such protections are necessary or merely appropriate, or whether they are in consequence of the end of free movement or only connected to the end of free movement, but I know that members of the Committee agree with me that it is important to be able to protect EU nationals, and I want to ensure that the clause is broad enough to enable us to do so.

I am grateful to the hon. Member for Manchester, Gorton for raising an important issue in amendment 11, which would replace part of the power in subsection (4) of clause 4. The power allows us to make provisions applying to persons not exercising free movement rights. The amendment appears to narrow, or perhaps clarify, the power by including reference to the grant of leave to enter.

It may be helpful if I first explain our intended use of the provision. I am aware that there is a perception that clause 4(4) would allow the Secretary of State to make sweeping changes to the immigration system in respect of non-EEA nationals, but I assure the Committee that that is not the case. Subsection (4) does not provide a standalone power; it is part and parcel of the power in subsection (1) which we have previously debated. That means that it can be used only in consequence of or in connection with part 1 of the Bill, which is about the repeal of free movement and the status of Irish nationals. There is no risk that the power could be used to change the immigration legislation for non-EEA nationals in ways unconnected with part 1 of the Bill.

Subsection (4) is needed because not every person who is an EEA national in the UK is exercising free movement rights. EU law sets out the conditions for the exercise of such rights: for example, a person who is not working, seeking work, self-employed or studying can exercise free movement rights only if they have adequate resources and comprehensive sickness insurance. Putting aside any rights as a family member, a German househusband or wife who does not have comprehensive sickness insurance is not exercising free movement rights. We have taken the decision to be generous in our treatment of EU nationals already in the UK and we have opened the EU settlement scheme to them all, regardless of whether they are exercising treaty rights or not. However, we need to ensure that we have the power to amend other legislation to facilitate that—for example, checks on rights to work or access to benefits and public services that might otherwise apply to them. The amendment could prevent us from making those changes, potentially meaning that that group could fall through the gaps.

I reiterate that the power is not the means by which the future border and immigration system will be delivered. That will be done through the immigration rules made under the Immigration Act 1971. I am sure that the hon. Gentleman does not intend that group to be denied protection. I hope I have provided sufficient reassurance on the need for and use of the subsection. I respectfully ask him not to press amendment 11.

Amendment 2, which stands in the name of the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East, would narrow the scope of the power by omitting subsection (5). The House of Lords Committee recommended that the Government justify the need for subsection (5) and I am grateful for the opportunity to do so.

The purpose of subsection (5) is to enable changes to be made to legislation that imposes fees and charges. For example, under the EU-Turkey association agreement, Turkish nationals are currently exempt from the immigration health surcharge. The directly effective rights under the association agreement, which will form part of domestic law from exit day by virtue of section 4 of the European Union (Withdrawal) Act 2018, are disapplied by paragraph 9 of schedule 1 to the Bill. That would mean that Turkish nationals would become liable to pay the immigration health surcharge, but we think it appropriate to maintain that exemption for those already resident in the UK.

Another example of how we might rely on subsection (5) is in relation to persons granted limited leave to remain under the EU settlement scheme. As the law stands, they would be considered not ordinarily resident in the UK when their free movement rights end, and they would be liable for charges when accessing NHS treatment. We want to make it crystal clear that those EU nationals already in the UK should not be charged for NHS treatment. Without this provision, we could make such amendments to exempt people from charges that might otherwise apply. I hope that I have provided sufficient explanation of why subsection (5) is needed. I request that the amendments not be pressed.