Trade Bill

Baroness Morris of Bolton Excerpts

Committee stage
Tuesday 13th October 2020 Lords Chamber

[Viscount Younger of Leckie (Con)]

My Lords, I do not know about fishing expeditions, but let me turn to Amendment 70 in the name of my noble friend Lady McIntosh of Pickering regarding securing an adjustment period with the EU after the end of the transition period. The Government have been clear, and I have made it clear today and on many occasions over the past few months, as has my noble friend Lord Grimstone, that our priority is to ensure we restore our economic and political independence on 1 January 2021. We want a relationship with the EU that is based on friendly co-operation between sovereign equals and is centred on free trade. As I have said today, that is what we are pursuing.

At the second meeting of the Withdrawal Agreement Joint Committee in June, the Government formally notified the EU that they would neither accept nor seek any extension to the transition period. The moment by when an extension could be agreed has now passed. The transition period will end on 31 December 2020, as enshrined in UK law. Any extension would only defer the moment at which we are in charge of our own destiny. An extension to the transition period would also bind us into future EU legislation without having any say in designing it, but still having to foot the bill as we would still have to make payments into the EU budget. We need to be able to design our own rules in our best interests without the constraints of following EU rules.

The “The UK new start: let’s get going” campaign clearly sets out the actions people and businesses need to take to prepare for the end of the transition period on 31 December 2020. I took note of the speech of the noble Lord, Lord Fox, and he is right to highlight these matters, but I reassure him that businesses have no excuse for not knowing about the matters that need to be addressed. Over the coming weeks, we will be intensifying our engagement with businesses to ensure they are well-prepared to seize the opportunities it will bring.

I turn to Amendment 93. If there is a theme to this short debate, it has been the considerable comment made by a few Peers about free ports or free zones. As one noble Lord said, they are one and the same thing. I thank my noble friend Lord Lansley for his foresight in this area; it was during the 2017-19 Bill that my noble friend raised the issue of free zones, as I remember—and I remember the response from my noble friend Lord Bates at the time. I warmly welcome his support for the Government’s policy in this area.

The Government plan to introduce up to 10 free ports across the UK. I have to disagree with the general sentiments raised by the noble Baroness, Lady Bennett, because these will be national hubs for trade, innovation and commerce, regenerating communities across the UK. They can attract new businesses and spread jobs, investment and opportunity to towns and cities up and down the country. Specific locations will be chosen according to a fair, open and transparent allocation process, which will include significant input from the port, local authority, local enterprise partnership, local businesses, and other local partners, ensuring robust consultation with the local area.

As my noble friend Lord Lansley highlighted, the Government ran a consultation on their free ports proposals earlier this year, and a response was published by the Treasury on 7 October that sets out the final policy in detail. Further policy on the allocation process, including a clear bidding prospectus setting out what free ports will offer and how interested parties may apply, will be announced by the Treasury in due course. I hope that my noble friend will agree that this is my helpful response; the narrative of this story has not quite finished.

My noble friend also raised the issue of the use of free zones in combination with other initiatives, such as enterprise zones. This is an important point, which I am sure that the aforementioned Chancellor and my colleagues in the Treasury have heard.

I turn to the new clause proposed in Amendment 95 by my noble friend Lady McIntosh of Pickering, which seeks to grant powers to reduce costs for the farming sector of complying with legislation related to the import and export of goods, including through minimising veterinary checks and physical inspections. We should be clear that government is already taking all necessary steps to support the farming sector after the end of the transition period. However, first we should highlight that export checks are set by trade partners as a condition of market access, and it is not within the Government’s gift to change these. In relation to import checks, we already carry out important physical checks on EU imports of live animals, and from January 2021 these will continue to be carried out at destination.

Secondly, the Government are committed to supporting businesses at the border after the end of the transition period. An updated publication of the Border Operating Model is now available for businesses and the agricultural sector, while the Government are holding a series of trader readiness forums open to just-in-time businesses. In addition, the Government are planning a series of seminars to support the agricultural sector through any new changes. Of course, noble Lords will be keenly aware of the support that we hope to provide to the agricultural sector through the Agriculture Bill, which, as noble Lords know only too well, is currently proceeding through the Houses.

I recognise my noble friend’s intention to support key businesses at the border, but I assure him that the appropriate actions are already taking place, and that it is important for legislation, such as this Trade Bill, to be passed to grant businesses security and continuity after the end of the transition period. In light of these explanations, I would ask for the amendment to be withdrawn.

[The Deputy Chairman of Committees (Baroness Morris of Bolton) (Con)]

My Lords, I have received a request from the noble Lord, Lord Fox, to speak after the Minister.

[Lord Fox (LD)]

The Minister said in his repudiation of, or comments on, my points that businesses have no excuse for not knowing what they have to do. At the end of what I said, I asked for some empathy, and I do not think that that is a particularly empathetic response. I shall give two excuses that they might have. One is that dozens of those rules were published only last week and the other is that they might be quite busy trying to keep their businesses alive in the middle of a global pandemic.

--- Later in debate ---

Amendment 70 withdrawn.

[The Deputy Chairman of Committees (Baroness Morris of Bolton) (Con)]

My Lords, we come now to the group commencing with Amendment 71. I remind noble Lords that anyone who wishes to speak after the Minister should email the clerk during the debate and that anyone wishing to press this amendment or anything else in the group to a Division should make that clear in the debate.

Amendment 71

Moved by

--- Later in debate ---

[Lord Grimstone of Boscobel (Con)]

My Lords, I will address Amendments 71 and 72, tabled by the noble Lords, Lord Clement-Jones and Lord Freyberg. I express my sympathy to the noble Lord, Lord Freyberg, having heard the background to his interest in health data. Before I turn to the detail of these amendments, I hope I made clear on the second day of Committee the Government’s absolute commitment that the NHS is not, and never will be, for sale to the private sector, whether overseas or domestic.

I have heard your Lordships’ concerns that medical data or access to suitable medicines may be affected by our programme of trade agreements. I am pleased to reassure your Lordships that this is not the case. As noble Lords know, the NHS is usually protected through a range of exceptions, exclusions and reservations in trade agreements. The Government will continue to ensure that the same rigorous protections are included in future trade agreements, safeguarding the NHS against the privatisation that we are often accused of plotting. Our published negotiating mandates for the US, Australia and New Zealand make the Government’s commitment to the NHS crystal clear: it is not for sale.

We need the powers in this Bill to provide continuity of trading relationships with existing partners, avoiding disruption for businesses and consumers. Our continuity programme does not seek to change the way in which public services or health services are delivered. None of the 21 agreements we have signed has had any substantive effect on the way in which health services will be provided.

Amendment 71 stipulates that regulations could be made using Clause 2 of the Trade Bill only if they allowed for the scrutiny of medical algorithms, technology or devices with respect to the methodology for the processing of sensitive data. I reassure your Lordships that before any medical device can be placed on the UK market, it must have been assessed as complying with the Medical Devices Regulations 2002. These regulations cannot be superseded by a trade negotiation without further legislation.

The MHRA is the designated competent authority that administers and enforces the law on medical devices in the UK. At the end of the transition period, the role of the MHRA in the UK will be the same as now. It will retain sovereignty over all aspects of medical device regulation in the UK, regardless of any FTAs agreed. Furthermore, the Government are clear that health and care data should only ever be used and/or shared where used lawfully, treated with respect, held securely and where the right safeguards are in place. The UK’s high standards of data protection will be maintained in all trade agreements. In other words, these are decisions for Parliament and Parliament alone. Your Lordships, and colleagues in the other place, will have full oversight over continuity agreements through the use of the affirmative procedure for any regulations made relating to medical devices.

I turn to Amendment 72. This stipulates that regulations could be made using Clause 2 of the Trade Bill only if they do not restrict our ability to process and manage patient, public health and social care data, and if they contain an explicit exclusion of investor-state dispute settlement for access to medical data. No trade agreements, whether with continuity partners or new FTAs, will affect our ability to decide which services involve private providers. The Government are acutely aware of the strength of feeling on these issues in this House and of our colleagues in the other place. I repeat: the NHS is not, and never will be, on the table, not least because your Lordships would not allow it.

I agree with the noble Lord, Lord Clement-Jones, that it is absolutely crucial that data is always protected to the highest standards, including when the NHS enters into partnerships with research and commercial organisations. NHS organisations must continue to meet the highest standards of transparency and accountability and ensure that partnerships have explicit benefits to patients and people in the UK. Decisions made about the use of health and care data will prioritise patient and public benefit and ensure that data is kept safely and securely.

As I have said before, none of the 21 agreements we have signed makes any provision for investor-state dispute settlement in the UK. However, because our signed agreements do not have explicit exclusions relating to ISDS for patient data, this amendment would force us to return to negotiations with all 21 partners and seek the introduction of this exclusion. This cannot be a proportionate step.

I have confirmed to your Lordships that our health service will be protected through trade negotiations. However, the Medicines and Medical Devices Bill, which will also progress through Committee in this House in the coming weeks, may be a suitable vehicle if your Lordships consider that further reassurances on this technical subject are required. I would be happy to facilitate a conversation to that effect if it would be helpful.

I hope that these reassurances will give your Lordships confidence that the NHS will not be harmed by our trade agreements and that the amendment can therefore be withdrawn.

[The Deputy Chairman of Committees (Baroness Morris of Bolton) (Con)]

I have received no requests to speak after the Minister so I call the noble Lord, Lord Freyberg.

[Lord Freyberg (CB)]

My Lords, I thank the Minister for his helpful reply. I will take him up on his offer to facilitate further discussions on the Medicines and Medical Devices Bill.

I take the point that the Government prize the privacy, safety and security of citizens above all else, including their data rights, and have not and would never relinquish control of policy-making or regulation in respect of the same. However, the Minister will be aware that the pandemic has given rise to significant emergency powers on healthcare data, which the Secretary of State for Health and Social Care has made plain are required to combat the virus.

He also indicated that the Government mean to retain some of those powers in future, which implies additional responsibilities to steward healthcare data in an ethical manner resting with central government for the foreseeable future. Without Amendment 72, I do not see how the Minister could commit to doing so, since it is clearly necessary for the Government to retain the ability to assess and audit any and every medical algorithm, technology, device and use of data for the delivery of safe, effective and lawful care to their citizens, free from commercial, state or any other limitations on the UK’s sovereign control.

The Minister also mentioned the continuity legislation; as such, provisions to protect the NHS are not required, because existing trade deals already provide such protections. Where such provisions might exist for health and care services, they are distinct from data-driven products in the form of medical devices—which are the subject of a dedicated Bill that is also making its way through Parliament, as the Minister just said—and data-processing services and IT systems for which the NHS has overarching responsibility. The former are widely anticipated to grow in number and novelty as a direct result of the pandemic, and the primacy of patient safety should therefore be reflected in the Bill. The latter are in the news daily—not always for the best reasons. The reliance of the UK economy on them is now such that I am sure the Minister would agree that it is imperative that Her Majesty’s Government retain control of and sovereignty over them.

I shall take back what the Minister has said and reflect on it further. In the meantime, I beg leave to withdraw the amendment.

--- Later in debate ---

Clauses 3 to 5 agreed.

[The Deputy Chairman of Committees (Baroness Morris of Bolton) (Con)]

We now come to the group beginning with Amendment 77. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate, and that anyone wishing to press this amendment or anything else in this group to a Division should make that clear in the debate.

Clause 6: Provision of advice, support and assistance by the TRA

Amendment 77

Moved by