Developing Countries: Dispute Resolution

(asked on 14th July 2020) - View Source

Question to the Department for International Trade:

To ask the Secretary of State for International Trade, what assessment she has made of the risk of litigation for developing countries through the Investor-state dispute settlement mechanism as a result of those countries' covid-19 response.


Answered by
Ranil Jayawardena Portrait
Ranil Jayawardena
This question was answered on 20th July 2020

The United Kingdom has investment agreements with Investor-State Dispute Settlement (ISDS) provisions with over 90 trading partners. HM Government recognises the importance of strengthening international investment in response to COVID-19, and the continuing important role played by both investment protection and ISDS provisions in safeguarding British investors overseas – including pensioners across the country through their pension funds, and small and medium-sized enterprises (SMEs).

We are clear that HM Government and our treaty partners retain the right to regulate in the public interest, including for public health purposes, that is already recognised under international law. There has never been a successful ISDS claim against the United Kingdom, nor has the threat of potential claims affected our legislation.

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