United Kingdom Internal Market Bill

Baroness Finlay of Llandaff Excerpts

2nd reading & 2nd reading (Hansard): House of Lords
Monday 19th October 2020 Lords Chamber

[Baroness Finlay of Llandaff (CB) [V]]

My Lords, among the historic speeches today, including superb maiden speeches, I venture to address Part 1, on the application of market access principles to goods and public health. The Government say that this part of the Bill is necessary to ensure that no new barriers to trade arise after the end of EU transition, but how might such barriers arise given that, on 1 January, the whole UK will be governed by retained EU law? The current legal frameworks which limit but do not eliminate the rights of the devolved institutions to implement progressive policies in areas such as food safety or labelling will still be in place, but I expect that the Government will warn that barriers could arise from new policy initiatives from the devolved Governments. That is why they propose automatic application of market access, meaning that any goods which can be legally sold in one nation must automatically be offered for sale across the whole UK. What does this mean in practice? If, for example, the Welsh Government wish to change food labelling to improve warnings on sugar or fat content, or want to ban sugary fizzy drinks, they could in theory still do so, but the law would be wholly ineffective because products legally made in, or imported into, England and which did not comply could be freely sold in Cardiff and Caernarfon. This would neuter the ability of the elected legislatures in Cardiff, Edinburgh and Belfast to act within their devolved competences.

There is no imminent threat which renders this measure necessary. For the past three years, all four Governments have worked to create common frameworks in those areas which the Government here in Westminster identified as requiring limits on the extent to which any one part of the UK could diverge from the standards that we will inherit through retained EU laws. Quietly, and without any publicity in this House, good progress has been made on developing these voluntary frameworks, which will bind all Governments by each forswearing the right to diverge too greatly. A great deal of work has been undertaken by the committee chaired by the noble Baroness, Lady Andrews, and was reported to the House on 24 September. Now, this Bill renders all that work superfluous.

The Government, representing the overwhelming share of the UK economy, are reneging on their commitment to the agreed frameworks. They can do whatever they want and whatever they agree in a trade deal without consulting the devolved Administrations. The Bill stops the devolved Governments adopting more progressive policies. It suddenly changes the rules of the game from those agreed and seems to tear up the common frameworks approach that the devolved Administrations have supported. Amendments in my name would protect these negotiated common frameworks and ensure that market access principles were used only when all efforts to agree a common framework had failed.

[The Deputy Speaker (Baroness McIntosh of Hudnall) (Lab)]

My Lords, the noble Baroness, Lady Gardner of Parkes, has withdrawn from the debate, so I call the next speaker, the noble Baroness, Lady Crawley.

Trade Bill

Baroness Finlay of Llandaff Excerpts

Committee stage & Committee: 4th sitting (Hansard) & Committee: 4th sitting (Hansard): House of Lords
Thursday 8th October 2020 Grand Committee

[Baroness McIntosh of Pickering (Con)]

I support Amendments 47 and 98, to which I have appended my name, in particular. I thank the noble Lord, Lord Purvis, for the clarity with which he introduced his amendment in this small group.

When we come to a later group, I will address the issue of what is lacking and make the case for why we need an international trade commission, but I will not rehearse those arguments now. Instead, in support of the arguments of the noble Lord, Lord Purvis, let me say that, under the current situation of CRaG and the 21 days, we will be in a substantially worse position than the one in which we have found ourselves in the past. Having been an MEP for some 10 years, I was in a position to look in detail at some of the agreements that were negotiated by the European Union on Britain’s behalf. I am sorry to put my noble friend the Minister in this position but it seems extraordinary that we will put ourselves in a weaker position than the one we enjoyed as part of the European Union when we are meant to be strengthening our position by negotiating these deals in our own right. I believe that this area has to be addressed.

Amendment 47 sets out the case for a post-ratification report and a timeframe within which it should be done. I think this is particularly important because I have looked at some of the figures that have been made available to us by both the Library of the House of Lords—I almost said “Library of the House of Commons”—and individual organisations such as the Food and Drink Federation. Food and drink is our greatest export, followed by—I am trying to think what it is called. In all three major industries, including cars and whatever we discussed in Committee yesterday—which will come back to me in a moment—all our exports to EU countries and overall have gone down substantially because of Covid.

The one that bucked the trend, interestingly, was with Norway. I understand informally from the noble Lord, Lord Purvis, that the rollover agreement has now been signed. That is good to know. Apparently, our exports to Norway went up incrementally in the last year, by some 45%. I would be interested to know what caused that. The situation is that, apart from Norway, we have suffered substantial falls in our exports. I will not repeat at length what was discussed earlier but, because of tariffs imposed on Scotch whisky, we have had a big hit on sales of Scotch whisky to the US. Therefore, I believe there is a strong argument for post-ratification support, as set out in Amendment 47. I would like a good reason from the Minister as to why that should not be the case. It goes to the heart of the case that the noble Lord, Lord Purvis, is making for the whole group of amendments on why we need to strengthen parliamentary approval of agreements and initial scrutiny of them before they come into effect.

Amendment 98 is in the name of the noble Lord, Lord Stevenson, and I have appended my name. It proposes that powers in the Bill would not come into effect without a parliamentary vote on either anEU-UK free trade agreement or ending the transition period with no deal. I realise that we are looking at continuity agreements and I cannot see why that should not be the case with continuity agreements as well. He neatly sets out why there should be further parliamentary scrutiny and a vote before a future trade agreement comes into effect.

I will look at one rollover agreement, on which the noble Lord, Lord Purvis, secured a separate debate in the last Parliament, and that was the agreement with the Faroe Islands. We export the small amount of £98 million-worth of goods to the Faroe Islands, but we import £200 million-worth, mostly of fish. That is again damaging, not just to the Scottish economy but to the rest of the UK where fish is produced. So there are a number of reasons why we as parliamentarians need to keep an eye on the trade flow with these countries. If we are not given the chance to—and I honestly do not believe that the 21 days of the CRaG procedure is enough—in my view, the Minister should come up with a very good reason why there should be less parliamentary approval than that which we enjoyed in the past. I declare an interest, in that regard, as a former MEP.

[Baroness Finlay of Llandaff (CB)]

My Lords, I am most grateful to the noble Lord, Lord Purvis of Tweed, and the noble Baroness, Lady McIntosh of Pickering, for so eloquently laying out the issues. In some ways, I hesitate to come in after their vast experience. But, as so often at this stage of proceedings, my purpose in supporting this amendment is not so much in the expectation that every word of it will be enacted—as we are now in Committee—but to make a very important point that I hope the Government will reflect on and address.

We are one-fifth of the way through this 21st century, and on the eve of an era where, outside the EU, we will be more reliant than ever on negotiating trade agreements. Trade policy is simply too important to be determined solely by Ministers wrapping themselves in some cloak of royal prerogative. As the Supreme Court reminded us, prerogative powers should not be used to curtail the rights of Parliament, and in particular the elected House, to hold the Government to account.

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[Lord Lansley (Con)]

I have been leader of the House.

[Baroness Finlay of Llandaff (CB)]

My Lords, I realise that I should have declared at the outset that I am on the committee advising the Welsh Government, at their request, as we proceed through Brexit. I asked to come in after the Minister to correct the assertion made by the noble Baroness, Lady Noakes. I want to point out that supporting this group—and particularly Amendment 57—is not a last-ditch anti-Brexit move: it is because we have devolved competencies that are deeply affected. Sadly, the Government have not seemed to be adequately discussing with, consulting or bringing into confidence the Welsh Government. Wales voted for Brexit and is unionist. It feels as if the Government have been short-sighted to see the Government in Wales as somehow a cloaked enemy who cannot be trusted to keep confidentiality. The Welsh Government know only too well that the future of Wales depends on these trade agreements and that compromises will need to be made for the future welfare overall, and they respect the vote cast by the people of Wales.

The noble Lord, Lord Stevenson of Balmacara, and the noble Baroness, Lady Fairhead, highlighted many strong points within the amendments, and we must find a way forward. There is a need to bring the devolved Administrations into the inner circle in negotiating if the good of the whole UK is to be achieved. I ask the Minister to please consider that.

[Lord Grimstone of Boscobel (Con)]

I have noted carefully the noble Baroness’s comments. I am sure that both I and other Committee members will consider them carefully.

Trade Bill

Baroness Finlay of Llandaff Excerpts

Committee stage & Committee: 3rd sitting (Hansard) & Committee: 3rd sitting (Hansard): House of Lords
Tuesday 6th October 2020 Grand Committee

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

My Lords, we will now resume the Committee. I call on the noble Lord, Lord Hendy, to complete his remarks.

[Lord Hendy (Lab)]

My Lords, I will make two final points in respect of the Minister’s speech. My second point is that he said that ISDS cannot force the privatisation of public services. That is absolutely right, of course, but we cannot overlook the fact that ISDS permits a challenge to taking previously privatised services back into public ownership—something that Governments of all persuasions have done from time to time in the past, especially in times of emergency.

Finally, the Minister said that the Government were considering the merits of a multinational investment tribunal in place of the secret arbitration under ISDS. Of course, one accepts immediately that the EU’s proposal for an MIT gives transparency instead of secrecy, which is very desirable. But it does not resolve the central evil that ISDS challenges, on very broad terms, parliamentary decisions by the chilling effect of a threat of compensation which is measured in billions—a disincentive for any Government.

The issue of ISDS is obviously controversial and the Minister is plainly aware of the concerns of members of the Committee. I hope that those concerns, and those reflected in other amendments, will cause the Government further reflection. In those circumstances, I beg leave to withdraw the amendment.

Amendments 18 and 19 not moved.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

We now come to the group beginning with Amendment 20. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate.

Amendment 20

Moved by

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[Lord Rooker (Lab) [V]]

My Lords, I have added my name to several of these amendments, but I shall stick to dealing with Amendment 20—indeed, part of Amendment 20. If it was being redrafted, Defra should be added to the list of bodies in paragraph (a): the Department of Health, the Food Standards Agency and Food Standards Scotland. It is not generally appreciated, but in 2010, when there was an attempt to abolish the UK-wide Food Standards Agency, the consensus in government was to remove aspects of its work to the Department of Health—nutrition and one or two other issues—and labelling and country of origin went to Defra. In fact, it was as a direct result of that action that Food Standards Scotland was set up, because the Scottish Government were perfectly satisfied with the way that the UK-wide FSA was operating. That is a minor point, but I want to concentrate on paragraph (b), which deals with the mechanism and the bodies charged with the enforcement of standards of food safety and quality, to make sure that they have the capacity to deal with the extra work.

It is worth pointing out, by the way, that although it is not politically sexy, the definition of food generally encompasses food and feed—feed being food for food production animals. That has not been taken very seriously in the past by the enforcement authorities. They are, generally speaking, local government. In the main, the Department of Health, the Food Standards Agency and Food Standards Scotland use local authorities for that role. Some issues they run themselves—the FSA runs the Meat Hygiene Service directly—but local authorities and environmental health officers are the unsung heroes of food safety and standards for the public.

The Government give us bad news in that respect. In the UK, local authority food hygiene interventions include hygiene inspection audits, sampling visits, verification and surveillance, advice and education and intelligence-gathering. It is absolutely crucial, but all of it will be under pressure with extra work from trade deals. Between 2010-11 and 2018-19, the total number of interventions in the UK reduced by 11%. They went down from 431,852 to 383,494. In England, the fall was from 331,000 to 305,000. In Northern Ireland, the fall was from 21,000 down to 14,000—a huge decrease. In Wales, interventions dropped from 31,000 to 25,000, and in Scotland, they went down from 47,000 to 38,000. I appreciate that with more modern risk techniques and technology, there can be reductions in certain checks, but these reductions are so substantial over that period that the position will be serious if extra pressure is put on because of the work from these trade deals.

I shall give just one local authority example to illustrate how serious the situation is in terms of people checking on our food safety. In Uxbridge in London—I just took it at random—there are 263 food business operations. Twenty-one of them, 8%, have not even been inspected. Thirty of them, 11%, have a food hygiene rating score of zero, one or two. Those are the three scores, of course, that are less than satisfactory, so nearly 20% of the food business operations in one local authority area are definitely a cause for concern. So, the issue in sub-paragraph (b), which aims to make sure that

“the Secretary of State is satisfied that … bodies charged with enforcement”

have the resources to do it, is quite serious, and is the one I want to concentrate on, because I do not want to repeat what others have said.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

I remind noble Lords to switch off devices while we are in Grand Committee. It is quite disturbing and disruptive.

[Baroness McIntosh of Pickering (Con)]

My Lords, I thank the noble Lord, Lord Grantchester, for introducing this group of amendments. I congratulate the noble Lord, Lord Purvis of Tweed, on beating me to the starting post. I, too, pay tribute to my noble friend Lady Fairhead on this amendment, which had cross-party support as an amendment to the Trade Bill 2019 in the previous Parliament, and for her patience in meeting all of us who were involved in its drafting. She was very kind in taking different parts of the various groups of amendments, and it is bewildering to see that it is no longer part of this Bill.

I pay tribute also to those campaigns. The noble Lord, Lord Grantchester, referred to the Daily Mail. I add the Farmers Guardian and, closer to home, the Yorkshire Post. Yorkshire has a massive food cluster, in terms of farmers and food producers and processors, so this is a subject that is very close to their heart. The background to Amendment 23, as far as I can see—and also Amendments 24 and 25, which I shall come on to in a moment—is that it should reflect the work and the debates and the amendments on the Agriculture Bill, as the noble Lord, Lord Grantchester, set out. It also reflects the manifesto commitment, with which the Minister will be even more familiar, that we want to have high environmental standards and animal welfare going forward in our rollover agreements and in future agreements as well.

I go further and say that we have to have fair competition and a level playing field. I would like to have an assurance today from the Minister that he expects that imported food products will meet the same standards and that it is not the intention of the Government to allow in food products which will actually undercut our own producers, and then to proceed to place a tariff on them, with a label on the finished product to say that that is what it is. “This is chlorinated chicken, it does not meet our animal welfare standards, but it is safe to eat if that is what you want to eat.”

This takes us back to the very sorry situation we found ourselves in under—dare I say it—a previous Conservative Government, which I supported, where we unilaterally imposed a ban on sow stalls and tethers but allowed producers to produce pork with sow stalls and tethers in Denmark, Poland and other countries and then allowed those imports to be introduced onto our supermarket shelves. The consumer did not understand the farm tractor label and went on to buy on price, and the result was that more than 50% of our pig producers went out of production almost overnight. Surely, that cannot be the intention of the Government in this case. I make a plea to my noble friend to reinstate the original clause by adopting the amendment, either today or on Report. That is what most of us would like to see.

I thank the noble Baronesses, Lady Henig and Lady Ritchie of Downpatrick, for lending their support to Amendment 24. I would like to add food safety to this for the reasons that we discussed at the time with my noble friend Lady Fairhead, and which I repeat now. The case has been strengthened by the reference made by my noble friend Lord Gardiner when summing up the Second and Third Readings of the Agriculture Bill. He referred to the multiple protections that the Government have put in place, not least the role of the Food Standards Agency and Food Standards Scotland to which the noble Lord, Lord Rooker, referred. Keeping food safety in Amendment 23 would protect that.

On Amendment 25, I again thank the noble Baronesses, Lady Ritchie of Downpatrick, and my almost noble friend the noble Baroness, Lady Jones of Moulsecoomb, for supporting this amendment. I would like to put my noble friend Lord Trenchard’s mind at rest because when we have these debates he frequently says that he would like an assurance from the Minister that whatever we negotiate will be WTO-compliant. If he looks at the World Trade Organization pages, he will see:

“Environmental requirements can impede trade and even be used as an excuse for protectionism. The answer is not to weaken environmental standards, but to set appropriate standards and enable exporters to meet them.”


That is what we are trying to do here. We want to ensure that we make provision through any future regulations under the Bill—or any future trade agreement —that those regulations will not have the effect of lowering animal health, hygiene or welfare standards, the protection of the environment, food safety, hygiene, traceability or human and workers’ rights below EU or UK standards. The World Trade Organization goes on to say that we should be looking to have higher standards that could be met by all those wishing to participate in a particular free trade area agreement.

I will conclude by drawing my noble friend’s attention to the Dimbleby report that he was kind enough to read over the weekend. The executive summary on page 7 of National Food Strategy Part One states:

“Grasping the once-in-a-lifetime opportunity to decide what kind of trading nation we want to be. The essence of sovereignty is freedom—including the freedom to uphold our own values and principles within the global marketplace. In negotiating our new trade deals, the Government must protect the high environmental and animal welfare standards of which our country is justly proud. It should also have the confidence to subject any prospective deals to independent scrutiny: a standard process in mature trading nations such as the United States, Australia, and Canada. If we put the right mechanisms in place, we can ensure high food standards, protect the environment and be a champion of free trade.”


I would like an assurance from the Minister today that that is what he intends and to put at rest the minds of farmers such as Mrs Joan Riddell who has written to me from Banbury in Oxford. She wants an assurance that the high standards of our farmers in this country will be met. Will my noble friend say whether that is what we intend? What is the status of the Dimbleby report? Sadly, the Government will not have responded to it before we have passed the Agriculture Bill or the Trade Bill here or in the other place. Presumably, if the Government have asked Henry Dimbleby to report on this matter, they intend to follow his advice.

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[Baroness Ritchie of Downpatrick (Non-Afl) [V]]

My Lords, I am delighted to follow the noble Baroness, Lady Henig, who gave a comprehensive presentation in relation to this issue. I particularly support Amendments 23, 24 and 25.

To put it succinctly, food imports must, and should, comply with the highest food standards, which should be enforced in statute. Having said that, I think the general public want to know whether the animals and the produce that they eat are imported or indigenous, and that the husbandry involved and the agricultural production of the land are carried out in a safe way and are of a certain quality. It is important, therefore, that such regulations are placed in statute. This applies to rollover trade agreements and any future trade agreements.

I am a little perplexed as to why the government amendment that is captured in Amendment 23, in the names of the noble Lords, Lord Purvis of Tweed and Lord Grantchester, and the noble Baroness, Lady Kramer, was not carried over into this particular piece of legislation. Again, I ask the Minister to outline to the Members of your Lordships’ Committee why the Government decided not to include this amendment. Is it their intention to accept a cross-party amendment on Report, to which the Government would also be a signatory, thereby underlining their commitment to ensuring that food standards, food safety, animal health standards and other standards to do with imported agricultural produce are placed in statute, and thereby safeguarding lives and the good, safe quality of food?

We heard many conversations on this issue during the Committee and Report stages of the Agriculture Bill, and there is obviously a direct read-across here. But the bottom line in both Bills is the need to maintain statutory protection, because, without that, we could import food that could be often of inferior quality, which can impact on public health outcomes. Like the noble Baroness, Lady McIntosh of Pickering, I would like an update from the Minister on the Government’s position on Henry Dimbleby’s report, evidence from which we took for our report in the Food, Poverty, Health and Environment Committee back in February. What his report said was very cogent and very apposite at that time. Now, particularly with the Covid pandemic, it illustrates the point that there needs to be the highest levels of protection, but they must be placed in statute. That is why we called for the trade and agricultural standards commission to be given statutory permanency in the Agriculture Bill, because we wanted to see that protection. We want health and food standards to be protected. We do not want chlorinated chicken or hormone-infused beef being imported, which is of a lower standard than the food that is already indigenous to the United Kingdom.

I hope that the Minister can give us an update on the Government’s attitude and response to the Henry Dimbleby report and explain why Amendment 23 was not captured as it was in the original Trade Bill last year.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

I call the noble Baroness, Lady Jones of Moulsecoomb.

[Baroness Jones of Moulsecoomb (GP)]

One day, I am going to send round a notice about how to say my name—but it does mean that I start every speech with a smile.

Noble Lords have covered almost every issue that I was going to speak on today, so I will be like a sparrow under a bird table and hop around to find things that I feel particularly strongly about. Noble Lords have spoken about environmental protection, animal welfare and sentience, and public health. I thank the noble Lord, Lord Grantchester, for his kind comments about Amendment 74 in my name, which is basically about ensuring food standards, food safety, environment protections and so on—that is what you would expect from a Green, of course.

The noble Baroness, Lady McIntosh of Pickering, mentioned the good progress that we made on the Trade Bill before with the noble Baroness, Lady Fairhead. She worked with us and I thought that we found a way forward. The noble Lord, Lord Stevenson, was also involved. I realise that the noble Lord, Lord Grimstone, is not in the same place—his party now has a majority of 80-plus in the Commons and he therefore does not need to talk to us in the same way—but the fact is that almost all the speeches have been united on our need for such protection in the Bill. That is partly because we simply do not believe the Government. It is not about individual Ministers, for whom we have a great deal of respect, even a liking; we just do not trust the Government. They have proved again and again that they have no respect for either the law or Parliament. We therefore need protections in the Bill because if they are not there, we do not believe that they will happen.

It is a case of understanding that trade is not trade on its own; trade has an impact on virtually every area of our public life. A climate emergency is happening now. Parts of America are burning to death and parts of the Arctic are melting into the sea, never to be ice again in our lifetimes. We must understand that trade has an impact on that. There is no argument with that. Personally, I feel that there is no option but to embed these ideas for how to be a more sustainable country in the Bill—in fact, in every Bill that we debate.

Next year, we will host COP 26. The noble Baroness, Lady Boycott, asked an Oral Question today about sponsors and so on. The Minister came back and said, “Well, you know, we’re going to judge our sponsors and their short-term action plans and that sort of thing.” I am afraid that that is just not good enough. We do not trust the Government to judge anything as sustainable or climate-friendly. You have to go outside the Government to find people who understand what sustainability means and what the climate emergency is. We have an opportunity as a country to show some leadership. Quite honestly, we do not have leaders in the Government at the moment; we have children who bluster and act like clowns. It is all very embarrassing, I am afraid.

I mentioned the Government’s majority in the House of Commons. The fact is that that majority lets the Government off the hook, unfortunately, and absolves them of any meaningful scrutiny. However, we scrutinise here and we can tell you that this Bill is not good enough.

I am still hopping around under the bird table. My Amendment 74 would prevent the ratification of any trade agreement that does not comply with UK standards, or at least

“standards that are comparable in effectiveness to those of the United Kingdom”.

It is a simple, effective amendment. I hope that the Government will read it and see that I am trying to be helpful, not difficult.

I echo the noble Baroness, Lady Henig, who pointed out that we do not yet know what criteria the Government are using for their trade deals, that they have not given us any sort of meaningful policy intent or criteria and that we do not know how they will approach and evaluate trade negotiations and trade deals. I assume that that is because they do not know themselves, but it would be really helpful if we had some guidelines from the Government on how they will take these issues forward.

With that, I will finish. I am deeply, deeply furious about the way in which this Government are handling the whole country. I cannot blame the Ministers here but, as British citizens, we should all be thoroughly embarrassed.

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[The Earl of Caithness (Con)]

My Lords, much of what I wanted to say has already been said in this useful debate. I am supporting the noble Lord, Lord Grantchester, again. I have been doing that quite a lot in recent weeks. I have to say to him that it might not continue for very long after today, but it has been fun so far.

The House of Lords Select Committee on Food, Poverty, Health and the Environment made the important recommendation that food imports must be required to adhere to the same health, environmental and animal welfare standards as food produced in the UK. Like the noble Lord, Lord Rooker, I sat on that committee, and I was convinced by the evidence we received that it was necessary to put that on the face of the Bill. We have tried it with the Agriculture Bill, but it is also worth trying to get it in this Bill.

Let us be absolutely clear that restricting imports that are below standard will not solve the health problems of this country. We produce a lot of good, healthy food in this country, but the food industry turns it into processed rubbish that poisons us. As the Prime Minister said this morning, it was his obesity that caused a lot of the problems that he had when he got Covid. So it will not be a panacea, but it will help.

We need to be very careful that we do not malign the USA too much. The noble Baroness, Lady Ritchie of Downpatrick, mentioned chlorinated chicken. I have been to the USA every year for the last 21 years —except for this year, because I was banned from going because of Covid—but in each of those years I have eaten chlorinated chicken, and delicious it was, too. We chlorinate a lot of the food that we eat; a lot of vegetables are chlorinated. The point is that it is not the chlorination that is the problem but the standards in which the hens are kept before chlorination. Those animal welfare standards are the most important thing in this discussion.

So I am happy to support the noble Lord, Lord Grantchester, once again, and I wish him well with this amendment.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

I call Lord Judd. We appear to be unable to reach the noble Lord, Lord Judd, so I call the noble Lord, Lord Beith.

[Lord Judd (Lab) [V]]

I am sorry about that. I had problems unmuting, and I was slightly taken by surprise because I thought I would be speaking after the noble Baroness, Lady Ritchie of Downpatrick.

My Lords, these are essential matters. Animal welfare, food safety and the environment affect us all, and they have huge implications for public expenditure because, if you get it wrong, the pressures on the health services and other care facilities become all the greater.

My noble friend Lady Henig dealt with the disturbing statistics from the United States. It is not very nice to think about dear American cousins in this light. However, it is true that deaths and hospitalisations in the States are—I called them troubling, but in a way they are quite threatening. As the noble Lord, Lord Inglewood, said, these things know no national frontiers.

We know that in the pressure for trade—trade is an end in itself—there could be terrific pressures to undermine all that we have built up, because we have built up a great deal in these spheres and can be quite proud of our record, although we cannot be satisfied with it yet, and to see that undermined with a scramble for trade would be shocking. We must monitor and have scrutiny in this area. Our families, friends and children are at stake. I so much agree with my good friend and fellow Cumbrian the noble Lord, Lord Inglewood, that it is sad about our having left the European Union. We need to work on these things effectively internationally and here was a chance to do that and contribute what we have—and we have a lot to contribute—to raising standards across Europe as a whole and from Europe moving into the world as a whole. This is a sad moment in our history—I state it again.

I commend all those who have tabled these amendments and all those who have worked and fought and struggled so hard over so many years to build up our standards. There is a great deal of understanding in the agricultural and farming community in this country about the importance of these things. The noble Lord, Lord Inglewood, was right: these amendments are a significant step in the right direction. They are not enough because we cannot give up the international struggle on the basis of our own standards.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

I now call the noble Lord, Lord Beith. As we seem to be unable to reach the noble Lord, Lord Beith, we will move to the noble Viscount, Lord Trenchard.

[Viscount Trenchard (Con)]

My Lords, my noble friend Lady McIntosh of Pickering has already intimated that she expects that I will be presenting a different viewpoint from that which most noble Lords have presented on these matters, and she is completely correct, although I was indeed most happy to have support for what I am going to say from my noble friend Lady Noakes and, to some extent, from my noble friend Lord Caithness.

As I am one-quarter American—my mother was half-American and my grandmother was a farmer in Illinois and Iowa—I strongly resent the widely held belief encouraged by the Daily Mail that American food is bad and inherently worse than ours. I think the noble Baroness, Lady Henig, criticised food safety standards in the United States quite strongly and quoted Henry Dimbleby, but she quoted him selectively. He also said in his report:

“But negotiating trade deals is hard. Any blanket legislation requiring other countries to meet our own food guidelines would make it nigh-on impossible. We already import many food products from the EU that don’t meet UK standards. A blanket ban would make it impossible to continue trading even with this most closely aligned of partners.”


Chickens reared in Poland also come to mind, where stocking densities are massively higher than what we tolerate in this country. Are we quite as good as we think we are? From what I have been reading about pollution in the River Wye and other waterways in Herefordshire and the west country, I am not so sure.

To my noble friend Lady McIntosh, I would say that she is correct that the WTO permits countries to apply higher than international standards to food production, but only when it is not for protectionist reasons, and only when justified by science. The WTO has found the EU bans on GM crops and on hormone-treated beef not to be consistent with that: in other words, it does not believe that the science justifies the ban. Indeed, examination of the science behind the ban on hormone-treated beef suggests that the incidence of the hormone substance in the beef is absolutely minuscule and of no great significance: far less, for example, than found in half a dozen free-range eggs, commonly available in any supermarket.

I believe that the amendment in the name of the noble Lord, Lord Grantchester, is unnecessary, and since the Department of Health, the Food Standards Agency and other bodies have the statutory powers to maintain food safety, I am surprised that he sees it as necessary. I oppose his proposal to require trade agreements to comply with retained EU law relating to food standards, for the reasons I just mentioned. As noted in a previous debate, it will be a matter solely for the UK to decide on our food safety standards in future. The noble Lord is also misguided in thinking that all EU rules contribute to the maintenance of high safety standards: some do not. For example, the incidence of campylobacter infection in the UK is five times what it is in the United States because EU regulations prohibit the washing of poultry products in peracetic acid. I think it likely that in this respect, the US, as well as some other countries, might well have an issue with the UK’s food standards.

My noble friend Lord Caithness said that what is described by most noble Lords as “chlorine rinsing”—that is actually out of date, because peracetic acid is generally used instead of chlorine—has nothing to do with food safety. Indeed, American chicken tastes very good, so I agree with my noble friend. When I go to America, I do not worry about eating chlorinated chicken: it is not bad, it has nothing to do with food safety.

The noble Lord, Lord Purvis of Tweed, stated that his Amendment 23 is similar to a government amendment made to the Trade Bill introduced to your Lordships’ House in 2019. That may be so, but I nevertheless hope that my noble friend the Minister will resist it, for the reasons I have mentioned. UK levels of statutory protection will in future be a matter to be determined by UK statutory agencies and this Parliament. The same applies to Amendments 24 and 25 in the name of my noble friend Lady McIntosh. I think my noble friend’s attention to animal welfare standards compromises her attention to food safety. Furthermore, her Amendment 25 shows that she thinks standards are two-dimensional, higher or lower, rather than multidimensional. I ask the Minister to confirm that the UK will not enshrine in law any measure that treats EU and UK standards as identical. This does not mean that I am suggesting that the UK should depart from its current high standards in connection with the environment, food safety and workers’ rights.

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While I happily acknowledge the expertise and sincere beliefs of the noble Lord, Lord Grantchester, in the light of these reassurances, I ask for his amendment to be withdrawn.

[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

My Lords, I have had a request to speak after the Minister from the noble Baroness, Lady McIntosh of Pickering.

[Baroness McIntosh of Pickering (Con)]

My noble friend Lord Grimstone has just confirmed my worst fears about this interchange of terminology between food safety and food standards. We owe the noble Lord, Lord Purvis, a great debt of gratitude because he clearly stated what Heather Hancock, as chair of the Food Standards Agency, has said on numerous occasions: that our current food safety standards can be changed overnight by the passing of a regulation—that is, a statutory instrument. I think he said that that could happen via the negative procedure, not even the full affirmative procedure.

There we have it. That is the problem. We are not even speaking the same language, which concerns me greatly. On food standards, whatever chemical you want to rinse with—such as chlorine—or hormone you want to inject your beef with, it is not something that the consumers of this country want to consume. I just wish that my noble friend Lord Grimstone would accept that this goes to the heart of our concern, reflected in this group of amendments and the other amendments that we will come on to when we discuss the International Trade Commission and what the future criteria will be.

It is not that the chicken or beef might be unsafe to eat; it is that the product does not meet the high standards of production that our farmers must meet. It will therefore undercut our farmers, who could potentially be put out of business. That is precisely what happened under a previous Conservative Government in the mid-1990s; as a result, 50% of pig producers—who were largely in north and east Yorkshire, I might add—went out of business. That is a position to which I do not want to return. Will my noble friend accept that this terminology is extremely important and that what the noble Lord, Lord Purvis, said in regard to the regulation being amended literally by the sweep of a pen is what goes to the heart of this argument?

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[The Deputy Chairman of Committees (Baroness Finlay of Llandaff) (CB)]

We now come to the group beginning with Amendment 26. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate.

Amendment 26

Moved by

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[Baroness Humphreys (LD) [V]]

My Lords, I begin by apologising for not having been able to take part at Second Reading. Amendment 27, tabled by my noble friend Lord Bruce of Bennachie, to which I have added my name, continues the theme that he and I highlighted at Third Reading of the Agriculture Bill: how we deal with conflict created by power being conferred on the Secretary of State or UK Ministers to make regulations in areas of devolved competence. I make absolutely no apologies for repeating our arguments in relation to the Bill today. It is in many ways similar in its objective to Amendment 26 and other amendments in this group to which noble Lords will be speaking. In essence, we are all seeking recognition by the UK Government of the powers of the devolved Administrations and, at the same time, a mechanism to ensure that their views are sought and taken account of.

In Clause 2, as the Senedd’s Legislation, Justice and Constitution Committee report on the Welsh Government’s LCM on the Bill points out:

“The international trade agreements potentially covered by this provision will encompass a wide range of policy areas falling within the legislative competence of the National Assembly for Wales”—


as it was at the time of writing—

“to include agriculture and fisheries.”

We all understand that the details of devolution settlements can be complex, but as the Senedd’s External Affairs and Additional Legislation Committee acknowledges and clarifies, international relations and the regulation of international trade are reserved matters, but implementing obligations arising from international agreements that relate to devolved matters, to which Clause 2 applies, are primarily the responsibility of the devolved Governments and legislatures. So why are the Government overlooking this?

The Senedd’s LJC Committee is also concerned, as I am, that the powers in Clause 2 (6)(a) allow UK Ministers to make regulations that amend the Government of Wales Act 2006, a legislative provision that is worthy of attention and scrutiny by this Committee as well. These powers, we are assured by the UK Government, will not be used to legislate in devolved areas without the consents of the devolved Governments. This wording, it has been argued, has presumably been used to exclude the devolved Parliaments from consultation. I would be grateful if the Minister will clarify this.

Herein lies another problem for those of us who wish to support and defend our devolved legislatures. Are we to believe those words, “We are assured by the UK Government”? There was a time when a response from a Minister at the Dispatch Box would be accepted as the word of the Government, but experience has shown us that we need to be wary. How easily, it seems, the hard-earned powers gained by the Senedd and the other devolved Administrations can be clawed back by this Government. For more than 20 years, successive Labour, coalition and Conservative Governments have added to the powers of the devolved Administrations, making them the effective legislatures we have today. They crave more powers and, in the case of the Senedd, more Members.

Sometimes Governments can behave in the same way as the very worst of parents in exercising their powers. Domineering and unthinking, they eventually and sometimes belatedly understand that removing rights bestowed on their children leads only to resentment. The best of parents listen to the opinions of their offspring and build a relationship of mutual respect and trust, ensuring that the family remains close. The UK has often been described as a family of four nations, but it is a union that we all agree is most unequal. For many of our citizens, it is a union that is no longer working as well as it could, hence the calls for Scottish independence and a growing openness to the prospect of independence for Wales. Chipping away at the powers of the devolved Administrations only adds to the volume of those calls.

I know how willing the Welsh Ministers are to work co-operatively with the UK Government and the other devolved nations. They have contributed effectively to the development of frameworks in many areas and are content to take that process further. In reacting to the publication of the internal market Bill the Counsel General for Wales, Jeremy Miles, said that the Welsh Government were the first to highlight the need

“to develop a new form of joint governance .... in order to manage the intersection between devolved competence and the internal market”.

His comments are equally relevant to this Trade Bill.

As a signatory to Amendment 27, it has my support. Proposed new subsection (6A) would allow for consultation with the devolved Parliaments in order to obtain their consent to regulations and proposed new subsection (6B) would provide qualified majority voting, ensuring that if more than one Parliament withheld consent the regulations could not proceed. It would provide a mechanism for that co-operation, consultation and consent.

[Baroness Finlay of Llandaff (CB)]

My Lords, I echo the comments of previous speakers on this group. I want to put Amendment 26 in context. I have supported these amendments because of the difficult interface between the power to undertake trade negotiations, which is reserved, and the right of the devolved institutions to legislate on and regulate those areas of policy which have been their responsibility for more than two decades, such as plant and animal health, food standards and environmental standards. Amendment 26 would ensure that the devolved Administrations consent to legislation that UK Ministers wish to make which is within devolved competence when that legislation is a consequence of trade agreements they have entered into. This should be wholly uncontroversial. If you decide to tarmac over the driveway to your house and think it would be more effective and look better if your neighbours’ drive was similarly treated, you would ask for their agreement before instructing the contractor to do it.

Of course, it would not cause a problem were the UK Government serious about working with the devolved institutions to ensure that their interests are reflected and respected in negotiations. Unfortunately, there is some doubt about that and some fear that there is no desire to work with the other nations of the UK. If the Government are not putting in the work to build such a consensus agreement with the democratically elected institutions of these islands, then we must try to induce them to do so. If they are they will find willing partners, certainly in the Welsh Government; I am sure we will return to that theme later in the internal market Bill. For smooth functioning, a market must have common frameworks; that will not be achieved with a system of diktats from Whitehall.

Amendment 31 is simple but important. The sunset provision suggested by the Government allows for the powers to be renewed again and again. Others may have a view on the appropriateness of that, but the amendment simply requires the consent of the devolved Governments for those extensions to be granted. As I made clear, the Bill and its consequences potentially constrain the powers of devolved institutions to operate freely in areas of devolved competence. The case for this seems unanswerable.

Trade Bill

Baroness Finlay of Llandaff Excerpts

Committee stage & Committee: 2nd sitting (Hansard) & Committee: 2nd sitting (Hansard): House of Lords
Thursday 1st October 2020 Grand Committee

[Baroness McIntosh of Pickering (Con) [V]]

My Lords, I have some sympathy with this group of amendments, and Amendment 51 in particular. I will make a very brief contribution. In summing up the last debate, my noble friend Lord Younger very helpfully shared with us the negotiating mandate the Government have achieved with the United States in particular. I think it would put our minds at rest if, in summing up this small group of amendments, my noble friend could repeat the contents of that negotiating mandate, particularly as regards any possible negotiating mandate as regards the health service. I know we have had repeated assurances that that is the case, but I think it would be very helpful to know what actually is covered in the negotiating mandate and whether there is any window at all for an aggressive approach to be made by the United States in this regard.

[Baroness Finlay of Llandaff (CB) [V]]

My Lords, the noble Baroness, Lady Thornton, and my noble friend Lord Patel have very eloquently spoken to these amendments. They are incredibly important, and I strongly support them. We have to protect the NHS and publicly funded healthcare services across the UK from any control from outside the UK. To do otherwise would cost us dearly and would, in the end, prevent us looking after our own, because we would be told what to do from outside.

As the noble Baroness, Lady Thornton, has shown, all aspects of the NHS and social care must be protected from trade agreements at every level. We need to maintain the option of reversing the privatisation which has already occurred, if that is what we decide to do in the future, and we must be free to create collaborative health and social care. Trade agreements must not drive us into some kind of locked-in increased privatisation of the NHS or, indeed, force any such change in the devolved nations. The health and social care sectors must be excluded from the scope of all future trade agreements, otherwise we will find that the NHS is irretrievably undermined.

On maintaining quality, we are world leaders in pharmaceutical research and development, yet access does not always match innovation. The Association of the British Pharmaceutical Industry has pointed out that in the first year of a new medicine being launched, only one-fifth of eligible patients in the UK get access compared to those in France and Germany. Our ability to regulate and maintain the quality and safety of medicines and medical devices must not be undermined by some small sub-paragraph in a trade agreement that slips by almost unnoticed.

In addition, medicines and medical devices must remain affordable in the UK. The Royal Pharmaceutical Society highlighted the huge extra cost to the NHS after Essential Pharma disclosed plans to cease production of Priadel, its cheapest lithium carbonate product, due to restrictions on permitted pricing. The suggested alternatives for bipolar disorder owned by the same company can cost at least 10 times as much.

So this is not only about who runs the NHS today. As the noble Lord, Lord Patel, said, our NHS databases are extremely valuable. They are a resource for our future research and development and, from that, for our future economic development. If we lose them through a trade agreement, we will irretrievably damage our future economic development.

I now turn briefly to Amendment 75, which ensures that the Government can uphold the right of citizens to access medicines under the International Covenant on Economic, Social and Cultural Rights, as part of the right to the highest attainable standard of healthcare. Modern free trade agreements are used increasingly as vehicles to further pharmaceutical industry interests ahead of public health needs. They increasingly include clauses on intellectual property, pharmaceutical regulatory processes and investor-state dispute settlement mechanisms that affect price and decrease access to medicines. To secure affordable access to medicines, the Government must be able to grant compulsory licences, deal with exhausted intellectual property rights, strengthen patentability criteria and determine what constitutes a national emergency, as laid out in subsection (3) of the proposed new clause. The Covid pandemic has shown why we must always be able to make technologies available quickly, widely and at the lowest cost. As the noble Lord, Lord Fox, pointed out, generics are not always cheaper in a complex market that can easily be manipulated.

Our NHS database is extremely valuable, and its value is increasing. It cannot be thrown away. There are times when short-term industry profits are not good for patients and delay access to affordable medicines and health technologies. These amendments aim to secure our healthcare for the future. I agree with the noble Lord, Lord Fox, that informed patient consent requires a patient to know whether data is held, what it is used for and how it can be manipulated, even when it is anonymised. They would rightly be outraged if that data is allowed to put profits in the pockets of other countries, knowing that it will never be ploughed back into the NHS—certainly not at 100%.

[Lord Rooker (Lab) [V]]

My Lords, I will intervene only briefly, initially to support my noble friend Lord Bassam in some of the examples he gave. Dispute settlement in trade deals is pretty important as is what is put into the deal. I am not clear about—but I hope I am—whether “public services” includes critical infrastructure. As far as I am concerned, the two go together. I would cite energy, for a start, because one can see the problems we are going to have with energy in this country with the collapse of the nuclear deal. We must have a mix. There is a good chance that the lights and the gas may go out and the Government may want to move at some point to take monopoly control of the service. They ought to be able to do that, but there are too many sticky fingers for my liking in the issues involved and therefore I think the idea behind the amendment by my noble friend Lord Bassam is very good.

I want to make a brief point about Amendment 51 on the health service. I thought the speech by the noble Lord, Lord Patel, was devastating with its list of companies. Do not get me wrong, I have no objection to the NHS or other public services using the best available management tools, techniques and individuals to provide services but making use of them is not the same as handing over ownership. That is where one has to draw the line. The noble Lord, Lord Patel, made a very fair point. The public do not care who is providing the service as long as it is there when they need it, free at the point of use. He went on to say that they will care when their taxes go up. That point is when someone, such as the Prime Minister, will say, “You can avoid that by buying some insurance.” It is the slippery road to push us down the insurance route. I know we are all nice people in the Lords but frankly I do not trust the Prime Minister.

Science Research Funding in Universities (Science and Technology Committee Report)

Baroness Finlay of Llandaff Excerpts

Wednesday 9th September 2020 Grand Committee

[Baroness Finlay of Llandaff (CB) [V]]

My Lords, I declare my interests as I hold an honorary professorship at Cardiff University and chair the board of Cardiff Metropolitan University, which has climbed 41 places in this year’s Guardian University Guide and was the highest-ranked post-1992 university in the 2014 REF. I congratulate my noble friend Lord Patel on his introduction to this important debate on his report.

International student income has supported research intensive institutions, but Covid-19 puts this at great risk. Tuition fees are essential. Cuts will decrease research activity and student exposure to it. Understanding how to experiment and innovate will be the driver of economic survival for the UK.

The Government’s proposed UK advanced research projects agency could bolster responsive investigations, promote interdisciplinary high-quality research in higher risk novel lines of inquiry and boost impact through its non-bureaucratic programme approach. To support the Government’s levelling-up agenda, demonstrate UK commitment and avoid culture capture, Cardiff could welcome hosting the agency.

Quality-related research—QR—funding is essential in developing and sustaining research and innovation centres. Examples at Cardiff Met, a small post-1992 university, include the food industry centre and the product design research centre, designing from concept to production. In Russell group universities such as Cardiff, QR funding sustains infrastructure, particularly as UK Research and Innovation funding of university research has gradually decreased relative to full economic costs over recent years, so QR funding must be maintained and increased.

Brexit means that we now need a domestic alternative to Horizon Europe, the ERC, Marie Curie and other funds. Can the Minister assure us that the new discovery fund is intended to replace these sources in the event of no deal, with no time gap between when European funding ends and domestic replacement starts in the event of a no-deal Brexit? Can he also confirm that the UK shared prosperity fund will match in real terms the EU and UK funding streams it replaces and be allocated to narrow prosperity differences across the UK, not only in England, with framework-agreed guidelines that ensure the devolved nations can target areas of strength in university research?

Cardiff has strong regional collaborations: the GW4 Alliance, with its unique assets, the data innovation accelerator, using data assets, and the world’s first semiconductor cluster in CSconnected. Cardiff University’s ambitious “moonshot” approach in translational neuroscience brings together research strengths in genetics, genomics and brain research imaging. The net-zero regional collaboration aims at swift socioeconomic transformations, R&D growth and increasing business investment. Major projects include stability of the national grid, the built environment and equitable energy systems, yet these will all slip if we are left behind in new government funding sources.

After the hit of Covid, which decimated charity research funding, we must focus on rebuilding the economy and reshaping society through five key priority areas: developing a new approach to deliver place- based economic growth; turbocharging investment in fundamental research; launching strategic science-based missions for high-risk, high-return; strengthening the high-level skills talent pipeline; and maximising opportunities for global collaboration. To achieve any of this means heeding not only the recommendations of the Science and Technology Committee, but also noble Lords’ comments today.

Covid-19: Business

Baroness Finlay of Llandaff Excerpts

Wednesday 13th May 2020 Lords Chamber

[The Deputy Speaker (Baroness Finlay of Llandaff) (CB)]

We now come to the 30 minutes allocated for Back-Bench questions. I ask that questions and answers be brief so that we can call the maximum number of speakers.

[Baroness Verma (Con)]

Can my noble friend confirm that businesses in multioccupancy properties where business rates are shared among the businesses and added to the rental agreement are able to access business grants through local authorities? Many businesses I have spoken to have said that they have not been able to do that so far. If not, what is available and how quickly can they access it? Like all businesses, they are having to make adjustments for safe working, and this all comes at a cost.

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[Lord Callanan]

I am indeed happy to confirm to my noble friend that we are very happy to work with all responsible trade unions, and we included them in developing this guidance and we are happy with the many constructive contributions that we receive. We continue to work with them on developing sensible guidance for business that gives UK workers the utmost confidence that they can return to work safely. Of course, we will always consider any new, sensible suggestions.

[The Deputy Speaker]

Lord Hendy. Lord Hendy? We do not have Lord Hendy, so I call Lord Bilimoria.

[Lord Bilimoria (CB)]

My Lords, we are grateful to the Government and the Chancellor for all the help for business, including the extension of the job retention scheme until October. However, the Statement on workplace guidance makes no mention of testing at all, and today it is almost two months since the director-general of the WHO said, “Test, test, test”, and the Prime Minister has said that there is now a target of reaching 200,000 tests a day by the end of this month. Will the Minister tell us whether companies and businesses have access to testing for their workforces so that employees can be tested when they go to work? They can then have the confidence if they have a negative test that they can work knowing that they are healthy, and their colleagues and consumers can also have that confidence. Is testing available widely to employers and businesses now?

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[Lord Callanan]

We have extended the scheme significantly to support firms through the transition out of lockdown. We are doing right by them and expect those firms to do right by their staff. As the economy gradually reopens, it is fair that firms begin to pick up some of the cost of their workers’ salaries, but we will of course want to do this in a specific and phased way to make sure that these businesses can manage to survive and trade their way back to success.

[The Deputy Speaker]

After the noble Baroness, Lady Ritchie of Downpatrick, I will call the noble Lord, Lord Hendy. I call the noble Baroness, Lady Ritchie of Downpatrick.

[Baroness Ritchie of Downpatrick (Non-Afl)]

My Lords, yesterday the Ulster Bank published a report showing that for the first three months of this year there was a contraction in business activity put down to coronavirus. Can the Minister describe the work that the Government, working with the Northern Ireland Executive, will now do to assist private sector businesses in Northern Ireland to survive the pandemic and to ensure that they can continue with some form of financial and economic activity?

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[Lord Callanan]

My noble friend makes a very good point. I agree that this crisis will result in a long-term increase in the number of people working from home. When an employee must work from home, for example because of the crisis, the employer can pay them a small amount per week, free from income tax and national insurance contributions, to cover additional costs such as heating and power. Alternatively, of course, they can reimburse their actual expenditure. I will certainly ensure that my noble friend’s comments are passed on to the Treasury for consideration for any future tax changes.

[The Deputy Speaker]

My Lords, that concludes the questions on the Statement. I thank all noble Lords for their concise questions and the Minister for his concise answers. The Virtual Proceedings will now adjourn until a convenient point after 8 pm for the Urgent Question repeat.