Covid-19: Future UK-EU Relationship Debate

Full Debate: Read Full Debate
Department: HM Treasury

Covid-19: Future UK-EU Relationship

Iain Stewart Excerpts
Wednesday 15th July 2020

(3 years, 10 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Iain Stewart Portrait The Parliamentary Under-Secretary of State for Scotland (Iain Stewart)
- Hansard - -

I am grateful for the opportunity to wind up this important debate. It has been passionate, robust and, on the whole, good-natured. We have had over 40 contributions over the past six hours or so. I will do my best to respond to all the points that Members have made, but if I forget or do not have time to respond to every individual point, I hope Members will accept my apologies.

Let me start with the hon. Member for Perth and North Perthshire (Pete Wishart). I do not want to sully his reputation, but I have long admired his passion and humour and the theatrics with which he puts forward his cause. However, on the substance—this will not surprise him, and I do not want to disappoint him—I profoundly disagree.

Let me let me start by debunking this manufactured grievance that the UK internal market proposals, which will be published tomorrow, somehow amount to a power grab or to disrespect for the devolution settlement. That is absolutely not the case. Many Opposition Members have confected another row, before the document is even published and before they have seen it. That says it all.

We have already had some overtures.

Ian Blackford Portrait Ian Blackford
- Hansard - - - Excerpts

I am grateful to the Minister for giving way. I have to say to him that I have received a press release from his Government. Why are the Government briefing on a White Paper, when Parliament has not been informed of this? It is a matter of record between the two Governments that a body will be established that will have oversight over the Bills and Acts that come in front of the Scottish Parliament. That utterly disrespects the referendum in Scotland in 1997, and the Minister needs to think about not just the SNP and the Scottish Government, but the people of Scotland, who voted for devolution.

Iain Stewart Portrait Iain Stewart
- Hansard - -

A press release! If the right hon. Gentleman bides his time, my right hon. Friend the Business Secretary will make a statement, quite properly, to this House tomorrow. Hon. Members will have a full opportunity to discuss many of the—

Iain Stewart Portrait Iain Stewart
- Hansard - -

How rude of the right hon. Gentleman. That says it all. SNP Members do not have the courtesy to listen to the answers that have been given.

Douglas Ross Portrait Douglas Ross
- Hansard - - - Excerpts

Perhaps I could provide clarity for the Minister, because he has been assiduous at the Dispatch Box all afternoon—for six hours. I have also received a copy of the embargoed UK Government press release. I received it from “Newsnight” because the right hon. Gentleman and I are both appearing on it to discuss this issue. This is not the Government issuing things early; this is “Newsnight” trying to help those going on it. If the right hon. Gentleman is so confident in his argument, I would have thought that he would have been willing to have a debate with me, rather than wanting to go on 10 minutes before.

Iain Stewart Portrait Iain Stewart
- Hansard - -

My hon. Friend makes an excellent point. When the publication is made available tomorrow, and this House has its proper opportunity to scrutinise it, Members will see that these proposals are all about helping businesses across the United Kingdom. An internal market is not a novel concept. Any country that has a powerful system of federal arrangements or devolution has an internal market structure. These proposals are about making sure that Scottish businesses can continue to trade throughout the rest of the United Kingdom, unfettered, without additional restrictions, barriers or costs, and that they can sell their goods or acquire their supply chain products. That is what this is about. We will see that these are just tired old claims of a power grab. Nothing can be further from the truth. In fact, the truth is that many more powers will be coming not just to the Scottish Parliament, but to all the devolved Administrations of the United Kingdom.

The right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts), the leader of Plaid Cymru, said in her contribution that there should be more devolution. I am happy to say that Brexit means that there will be more devolution. Let me give some of the policy areas where that will happen: agriculture, fisheries, chemical regulation, food safety, procurement, waste management, carbon capture, aviation—I could go on and on. There is a long list of powers currently residing with unelected bureaucrats in Brussels that will go down either to this House or, more importantly, to the devolved Administrations, where they will be subject to democratic decision making.

Of course, these will complement the strong existing powers that Holyrood and the other devolved Parliaments have. The hon. Member for Kilmarnock and Loudoun (Alan Brown), among others, moaned that the Scottish Parliament did not get any more powers after the 2014 referendum. Did he not see the Scotland Act 2016, which devolves significantly more taxation and welfare powers to the Scottish Parliament? That is the reality, and all we get from the SNP is manufactured grievances that are straight out of the separatist playbook.

Alan Brown Portrait Alan Brown
- Hansard - - - Excerpts

Will the Minister give way?

Iain Stewart Portrait Iain Stewart
- Hansard - -

No, we have heard enough from the hon. Gentleman over the course of the afternoon. I am going to reply to some of the points that have been made in the debate.

We have heard the great passion about both referendums in 2014 and 2016. Brexit and Scottish separation aroused great passions, but we have to respect the results of both referendums, and it is deeply patronising to say that people did not know what they were voting for in either case. The SNP says that the people of Scotland did not know about Brexit. I invite it to look at page 217 of its prospectus for independence, where the prospect of Brexit was raised. Is the SNP saying that the Scottish people were too stupid to read it and understand it? We should respect the result of the 2014 referendum, and we should respect the result of the 2016 referendum.

Many of my hon. Friends made this point, but I particularly highlight the contributions from my hon. Friends the Members for Hyndburn (Sara Britcliffe) and for West Bromwich West (Shaun Bailey), who are absolutely right that they are now representing what their constituents voted for, unlike their predecessors. It is disappointing that there are so few Members from the official Opposition here. What is their Brexit policy now? Are they going to respect the result? Are they going to join us in the Lobby to make sure that we do not extend the transition period at the end of tonight, or is their absence today indicative of the fact that they still secretly want to stop Brexit, but dare not admit it?

Let me turn to the issue of extending the transition. As many hon. Members have said—especially the hon. Member for Edinburgh West (Christine Jardine)—the Brexit debate is over. If the SNP truly believed that, we would not be having this debate today. We do not need, as my hon. Friend the Member for Heywood and Middleton (Chris Clarkson) said, a “neverendum”. Business does not need the psychodrama of the last couple of years to endure. Those who say that we will not get a trade deal with the EU are probably the very same people who said that we would not get a Brexit deal concluded at all. We did, and we will.

Let us imagine if this motion today achieved its aims. What would be the consequences? Cost—what would we have to pay to the EU to support its covid recovery programmes as well as all its other expenditure, and as well as our own? Has the SNP quantified that, and if not, what financial support for business and public services would it be willing to see forgone in order that that bill would be footed? What new laws and regulations over which neither this House nor Holyrood had any say would businesses and organisations have to abide by? What would be the cost for the fishing communities of Scotland of being forced to remain part of the wasteful and disastrous common fisheries policy? As my hon. Friend the Member for West Aberdeenshire and Kincardine (Andrew Bowie) rightly said, the European Union will not be thinking of the United Kingdom’s interests when shaping its future policies.

Would extending the deadline make it any more likely that we will reach a conclusion of these matters? I very much doubt it. Having a deadline concentrates minds. If we extend the transition period by a year, I would put serious money on our being back in this Chamber for another debate about extending it for another period. Negotiations are ongoing with renewed vigour, and I do not agree with the prophets of doom who say that we cannot reach a satisfactory conclusion. After all, we are not asking for something new. There is already a trade agreement between the EU and Canada, which we simply want to replicate.

I reject the characterisation of the UK outside the EU as some insular, narrow-minded, protectionist little island—far from it. We want to be an open, welcoming, tolerant, ambitious and free-trading country with global horizons. My hon. Friend the Member for East Surrey (Claire Coutinho) was on the money when she referred to our generous offer to the people of Hong Kong to find a home here in the face of Chinese oppression. That is what this country is about.

There will be huge trading opportunities for businesses in Scotland and across the UK as a result of the trade deals we strike. The hon. Member for Edinburgh North and Leith (Deidre Brock), who characterised me as “cannon fodder”, mentioned the wine trade in her constituency. I used to live in her constituency, and I was very pleased that the headquarters of the Scotch Malt Whisky Society was based there—it was my local. I want to see Scotch whisky exports go much further than they currently are, and the trade deals that we strike will enable that. That is the sort of ambition we should have.

While there are huge opportunities, threats remain. The right hon. Member for Ross, Skye and Lochaber spent much of his speech detailing what he saw as the potential disruptions to trade between Scotland and the EU, but what about the disruptions to trade between Scotland and the rest of the United Kingdom if he and his colleagues had their way? They have set their face against the internal market proposals without even seeing them. They walked away from the engagement discussions that this Government were having with the Scottish Government. As I have said, these proposals will guarantee the rights of Scottish firms to trade and source their products across the UK. The last thing Scottish business needs as we rebuild post covid are the barriers, costs, division and confusion that another independence referendum and separation would entail.

Of course, covid has posed huge challenges for us all. I just find it astonishing that some Opposition Members seek to trivialise and moan about the support that the United Kingdom Government have given. The hon. Member for North Ayrshire and Arran (Patricia Gibson) said that Scotland got less than 1% of the package announced by my right hon. Friend the Chancellor last week. Did she not see that Scottish businesses and people will benefit from the job retention bonus, the kick-start programme and many other schemes? Did she not factor that in? I am afraid that I do not accept this whining, moaning trivialisation of the support that this United Kingdom gives. If ever we needed an example to show that this United Kingdom is greater than the sum of its parts, this response to covid proves it. Of course there are challenges, to all parts of the Scottish economy. My hon. Friend the Member for Berwickshire, Roxburgh and Selkirk (John Lamont) told me some concerning things about the impact on Scottish tourism as a result of the measures and announcements of the Scottish First Minister.If we ever needed an example to show that this United Kingdom is greater than the sum of its parts, this response to covid proves it. Of course there are challenges, to all parts of the Scottish economy. My hon. Friend the Member for Berwickshire, Roxburgh and Selkirk (John Lamont) told me some concerning things about the impact on Scottish tourism as a result of the measures and announcements of the Scottish First Minister.

Patrick Grady Portrait Patrick Grady (Glasgow North) (SNP)
- Hansard - - - Excerpts

claimed to move the closure (Standing Order No. 36).

Question put forthwith, That the Question be now put.

Question agreed to.

Main Question accordingly put.