European Union (Withdrawal) Bill

Viscount Trenchard Excerpts

Committee: 2nd sitting (Hansard): House of Lords
Monday 26th February 2018 Lords Chamber

[Baroness Brown of Cambridge (CB)]

My Lords, I support these two important amendments and I apologise to the Committee for having being unavailable to speak at Second Reading. I therefore take the opportunity to declare my interests as chair of the Henry Royce Institute, a member of the Committee on Climate Change and chairman of the Adaptation Sub-Committee of the Committee on Climate Change. As we have heard from many noble Lords, the Horizon 2020 and Erasmus+ programmes are critical to our world-class academic institutions, to research and to our students. I will not take up any time by repeating the arguments but I remind the Committee that historically UK students are some of the least internationally mobile in Europe, particularly young people from less advantaged groups. If we are to compete ever more widely on the international stage after leaving the EU, ensuring that UK students from all backgrounds have the kinds of experiences that are enabled by the Erasmus+ programme should surely be a national priority.

We have not heard much about what Horizon 2020 does outside our outstanding academic institutions. It is a key funding source for industrial collaboration, supporting important initiatives such as helping Rolls-Royce develop new generations of more efficient and environmentally friendly aero engines. It also plays a key role in supporting innovation and entrepreneurship schemes, such as the knowledge and innovation communities, with a great example at Imperial College: Climate-KIC, which has already seen a number of new entrepreneurs with low-carbon technologies start to develop businesses in the UK.

In my own area of interest, Horizon 2020 supports environmental research. The UK wins around £147 million per annum for environmental research. Sadly, that rather dwarfs the £5 million investment in the new northern forest. Other EU funds, such as Interreg and LIFE, are important not only for environmental research but to cross-border collaboration on the island of Ireland; for example, supporting shared environments through the cross-border Loughs Agency, as well as other types of cross-border community projects. This is hugely important work that the House of Lords EU Select Committee was able to see and hear about at first hand on our recent visit to both sides of the Irish border. It is a really important element of the peace settlement on the island of Ireland.

These funding mechanisms play a critical role in our economic growth, as we have heard; in cross-border relations and well-being in Ireland; and in helping the Government achieve their stated aim to leave nature in “a better state” for the next generation. For these reasons, the amendments have my very strong support.

[Viscount Trenchard (Con)]

My Lords, I would not wish to disagree in any way with all those noble Lords who have said how excellent the Erasmus+ and Horizon 2020 programmes are. Undoubtedly, the United Kingdom contribution to them is very significant, just as the United Kingdom’s gains from being a participant in them are hugely beneficial. Nevertheless, one thing that has not been said by any noble Lord is that after Brexit we will have considerably more money to spend on important programmes than we have while we are making net contributions to the European Union of £10 billion to £12 billion a year. I have never been one to use the £350 million a week figure because that was the gross contribution, but the net contribution is about half that.

My noble friend Lord Patten pointed out that our contribution to the Horizon 2020 programme is about £5 billion but we receive £8 billion back. Presumably, this means that the organisers of the Horizon 2020 programme appreciate that the United Kingdom knows better than some other participants how to use the money wisely. Indeed, we continue to use the money from such programmes extremely well. Furthermore, if one looks at the participants in Horizon 2020, there are 17 countries which are not EU members. The European Commission website makes it clear that non-members participate on exactly the same terms as members. Therefore, I see no reason at all why we should not be welcomed as a continuing participant in Horizon 2020.

[Lord Hannay of Chiswick (CB)]

Does the noble Viscount not understand that if we participate from outside the European Union, instead of getting more back than we put in we will get exactly the same back as we put in?

[Viscount Trenchard]

I hear what the noble Lord says but I am not sure whether that follows at all. As far as the Horizon 2020 programme is concerned, presumably our contribution would still be assessed and valued in the same way that it is now. The deservability of the programmes for which we seek support would also be considered on the same basis as now, so I do not see why it should make any difference. But overall, we will have a considerable amount more money to spend, not less, because we will not be making the very large net contributions to the European Union budget that we make at present.

[Lord Patten of Barnes]

Can I clarify for my noble friend the position of countries from outside the European Union sharing in the European Research Area? I am sure he is aware that while some of them participate—I mentioned Switzerland and Israel– they play no part whatever in managing the programmes. They do not determine the priorities or what the money will go on. We could negotiate membership of the research council, I guess, although it would be with the financial consequences that the noble Lord, Lord Hannay, mentioned and the additional consequence that we would have no say in managing the programmes.