(5 days, 13 hours ago)
Lords ChamberMy Lords, I thank the Minister for introducing these regulations, as well as for her continued tireless work in trying to find pragmatic solutions to these highly complex issues. I commend the noble Lord, Lord Empey, on his excellent assessment of why we are where we are. The rush to get a deal at any cost means we are now living through this; he and the noble Lord, Lord Elliott, were right in their assessment of that.
On a recent visit to Brussels with the European Affairs Committee of your Lordships’ House, it was clear that our European partners are welcoming this more pragmatic approach to finding solutions, and the relief of the change of tone coming from this Government was palpable. Given the hour and the heat of the day, and the rather overexcessive air-conditioning in this Chamber, I shall endeavour to keep my remarks extremely brief.
I am sure that the noble Lords opposite will not be surprised that from these Benches we support at least the intent behind these regulations, which give the Government power to protect the UK internal market and should assist in ensuring consumer choice in Northern Ireland. It is important, as others have said, that there are not disincentives for GB businesses wanting to sell their goods to Northern Ireland, and that red tape and bureaucracy are kept to a minimum. It is therefore welcome that there is an exemption for smaller businesses.
In his concluding remarks on the debate on these regulations in the House of Commons, Minister Daniel Zeichner MP said that the Secretary of State will conduct the first review after two years, rather than the usual five, and it is contained in these regulations. The Minister in the House of Commons stated that this will
“allow for scrutiny of the policy in the context of the proposed SPS agreement”.—[Official Report, Commons, First Delegated Legislation Committee, 23/6/25; col. 10.]
This suggests that the Government are confident of having the SPS agreement in place well before that two-year review. Can the Minister in her concluding remarks confirm that this is the case, and can she give a rough estimate of the timing for the SPS agreement?
The Minister in the House of Commons also suggested that these regulations that we are debating this evening will be much less necessary once the SPS agreement is in place. Can the Minister say a little more about how, in practical terms, these regulations will fit in with the proposed SPS agreement?
Finally, following the comments made by the noble Lord, Lord Weir, can the Minister confirm that, in many ways, these regulations are a stopgap until the various agreements announced at the summit on 19 May are concluded?
My Lords, being here tonight reminded me of some of those wonderful days in the House of Commons in the 1980s and 1990s, when we used to do Northern Ireland business on Wednesday, and it would go on until 10 pm, 11pm, one, two or three in the morning, before Tony Blair changed the hours and we could no longer do it—I was reminiscing about that tonight.
I thank the Minister for introducing these regulations, a statutory instrument that addresses a complex issue which is the result of the Windsor Framework. The regulations aim to safeguard the continuity of retail goods into Northern Ireland, enabling the Secretary the State to mandate “not for EU” labelling on certain goods sold in Great Britain, but only in response to clear evidence that the supply to Northern Ireland would otherwise be seriously disrupted. Noble Lords have challenged that.
Once again, I find myself having considerable sympathy with many of the points made by my noble friends from Northern Ireland, particularly the noble Lords, Lord Dodds and Lord Empey, and the noble Baroness, Lady Hoey. The noble Lord, Lord Empey, made a key point that we are now dealing with minutiae and some of the absurdity of these regulations which, as the noble Lord, Lord Weir, said, are a kind of sticking plaster, but the real problem goes back to what was negotiated six or seven years ago, when the then Government caved in to the demands of Varadkar, and we ended up with the Northern Ireland protocol—now the Windsor Framework. The noble Lord described it as one of the worst agreements ever negotiated by any Government. He and his noble friends can say that; I, of course, could not possibly comment.
Given the comparatively small size of Northern Ireland’s retail market, we acknowledge the risk that businesses may consider delisting products rather than incurring added costs of compliance. In this context, the contingency power created by this instrument appears to be a proportionate tool, aimed at protecting supply chains and consumer choice in Northern Ireland. It would be utterly unacceptable that goods only for Northern Ireland were labelled, because they would then be delisted. It is slightly less absurd that we try to label them for the whole UK, or certainly for England, but I hope other countries as well. If they are labelled for everybody, there is less chance that we will delist them for Northern Ireland. That is one of the hoops we must go through now we are stuck with the Northern Ireland protocol, or the Windsor Framework.
We do not oppose these regulations, but I seek clarity from the Minister on a number of points, which are essential for ensuring that this policy is both proportionate and effective in practice. As an aside, was there not someone who had a big shed on the border, half in Northern Ireland and half in the Republic of Ireland, and the cattle used to move to and fro between them? Listening to noble Lords from Northern Ireland, I am surprised that someone has not opened a huge supermarket a few yards inside Northern Ireland and encouraged everyone to come up there for their shopping. That is not an official policy, but it seemed to me that it is bound to happen if goods in supermarkets in Northern Ireland are so much cheaper.
First, on the thresholds of evidence, can the Minister outline what specific types of evidence will be required to trigger a notice? Secondly, with regard to the impact on business, while we welcome the exemption for small businesses, what practical support—whether it is financial or advisory—will be offered to those just above the threshold to mitigate undue burdens, particularly for SMEs? It is all very well being exempt at 50, but if you have 51 or 60 employees, then you are caught by it and the burden could be astronomical.
Secondly, they have been quoted already, but I read the concerns raised by industry and they should be carefully considered. The chief executive of Marks & Spencer, Stuart Machin, described the current requirements of “not for EU” labelling as “bureaucratic madness”. He highlighted the potential for added costs, confusion for consumers and disruption to supply chains. He also said that more than 1,000 M&S products will now require labelling for Northern Ireland and a further 400 will be subject to red lane checks. Such feedback underlines the importance of ensuring that any new burdens placed on retailers—especially those operating across the UK’s internal market—are genuinely proportionate and that government support is made available where needed. I would be grateful if the Minister can tell me why Mr Machin has got it wrong.
Thirdly, on enforcement and consistency, given that enforcement will fall to local authorities across England, Wales and Scotland, what steps will be taken to ensure consistent interpretation and application of the rules across the devolved nations?
Fourthly, on public understanding, do the Government have plans for a co-ordinated public communications strategy to ensure that consumers both in Great Britain and Northern Ireland understand what the “not for EU” label signifies—that it does not reflect on the quality or safety of the goods in question—because that could be misconstrued?
Fifthly and finally, on future adaptability, as UK-EU trade dynamics continue to evolve, how will these regulations be reviewed—and, if necessary, revised—to reflect changes in market conditions or the operation of the Windsor Framework? Can the Minister confirm how soon Parliament will be updated following such a review?
As all noble Lords opposite and the noble Baroness have pointed out, while these regulations are technical in nature, they are far from trivial in effect. I understand the points made by noble Lords opposite, that, in their opinion, they affect the fundamental sovereignty of Northern Ireland and the United Kingdom. The issues they seek to address go to the heart of supply chain integrity, consumer protection and the delicate balance of the UK’s internal market.
We welcome continued dialogue on the implementation of these powers and look forward to the Minister’s reassurances on the points raised.
(6 months, 3 weeks ago)
Lords ChamberMy Lords, I thank the Minister again for introducing these regulations and for the extremely constructive way in which she has taken a personal interest in trying to find pragmatic solutions to this undoubtedly very complex set of issues.
It is clear from the several debates we have had on the Windsor Framework regulations, today and previously, that they provoke strong emotions and reactions from the noble Lords of the DUP and the noble Baroness, Lady Hoey. However, it is true that in Northern Ireland there are also different points of view on these matters, which we heard very clearly, eloquently and constructively expressed by the noble Baroness, Lady Ritchie.
I will not repeat the Brexit arguments that I have made previously, but it is none the less true that we would not be debating these issues if we were still in the European Union or if the whole of the United Kingdom had remained in the EU single market. There are genuine and legitimate issues about how to carry out parliamentary scrutiny of EU single market regulations when we no longer have representation in EU institutions and have to be a rule-taker without a say in the process. I have suggested previously that it would be useful for the whole House to have a wider debate, at some point soon, on our relations with the EU and on the much talked about reset with the EU and what it would look like in reality. It would also be useful to have a debate on the approach towards parliamentary oversight of decisions and regulations adopted by the EU and their impact on UK businesses in both Northern Ireland and Great Britain.
On the specifics of the regulations we are debating this evening, from these Benches we broadly welcome them as a further pragmatic and temporary step to try to make this complex arrangement work slightly more effectively. As these regulations apply only to sanitary and phytosanitary controls on European Union and rest-of-world goods entering Great Britain from Northern Ireland, we believe that they sharpen the competitive advantage of Northern Ireland traders moving qualifying Northern Ireland goods.
I have three questions. The first is the same as the one the noble Lord, Lord Dodds, asked. Can the Minister say when this long-term approach to these issues is likely to be published and adopted? As she said in her introduction, these temporary measures will apply only until July next year. Can she say how MPs, noble Lords and all Northern Ireland political parties and businesses will be consulted in this process?
My second question is the same as the one the noble Baroness, Lady Ritchie, asked. Can the Minister say a little more about progress or otherwise on an SPS and veterinary agreement? It is clearly for the new Northern Ireland Affairs Committee in your Lordships’ House to decide its own programme, but it would be very useful if it were to look at some of these issues when it starts work next year.
My third and final question is something I ask every time. Can the Minister explain a little more about how these regulations will be enforced and policed in reality? Other noble Lords have raised this in a different way. I conclude by thanking her once again, and I look forward to hearing her responses.
My Lords, I thank the noble Lord, Lord Dodds of Duncairn, for bringing this regret amendment to the House. I listened to some very powerful speeches by him and his noble friends on both sides of the House.
His Majesty’s loyal Opposition have some significant doubts and concerns about these regulations, given the impact they may have on goods moving from Northern Ireland into Great Britain, but we will not oppose them. We welcome that some goods will continue to have unfettered access to Great Britain, but we are concerned about the non-qualifying goods and the effect this will have on businesses that trade across the Irish Sea.
While the Windsor Framework was a significant improvement on the original protocol, that is not to say that improvements cannot be made wherever necessary. The Opposition will continue to scrutinise the secondary legislation and assess its impact. Can the Minister confirm to the House that the Government will keep these regulations under review and take any action necessary to lighten the burden on businesses trading across the Irish Sea where possible?
The businesses affected by these regulations may need extra support. Can the Minister outline the steps that the Government are taking to give businesses in Northern Ireland the support they need? Indeed, what assessment have the Government made of the effect of these changes on businesses in Great Britain trading with Northern Ireland? How will the Government support that smooth trade?
Goods from Northern Ireland must be traded as freely as possible, and they should not be at an unfair disadvantage. That was at the core of our work when we were in government. We all know that the Windsor Framework was the result of a painstaking negotiation with the EU, but the Government should do everything they can to ensure Northern Ireland’s smooth and unfettered access to the UK internal market. As my honourable friend the Member for Brentwood and Ongar said in the other place:
“The Windsor framework, I believe, is better than the protocol. ‘Safeguarding the Union’ is better than the Windsor framework, but that does not mean that further progress is not possible”.—[Official Report, Commons, 6/12/24; col. 627.]
Does the Minister agree with that assessment?
We look forward to scrutinising the Government’s approach to Northern Ireland policy further, and to the Minister addressing our concerns about smooth trade between Northern Ireland and Great Britain and about upholding the importance of biosecurity—biosecurity not just in GB but Northern Ireland for goods that stop there. We will press the Government to bring forward plans to encourage businesses to trade across the sea so that we all benefit across the whole of our United Kingdom.