Brexit: Article 50

Lord Callanan Excerpts
Monday 29th October 2018

(5 years, 6 months ago)

Lords Chamber
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Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch
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To ask Her Majesty’s Government whether they will (1) withdraw their notice under clauses 2 to 5 of Article 50 of the Treaty on European Union, and (2) offer through the Council of Ministers continuing free trade under the World Trade Organisation, and residence and security to European Union citizens, before agreeing any financial settlement in the Brexit negotiations.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, the clear position of the Government is that our notice under Article 50 will not be withdrawn. We will be leaving the EU on 29 March 2019, and are negotiating to that timeline. We remain on track to deliver the withdrawal agreement and the future framework, ensuring that there is clarity about the terms of our exit and our shared ambition for the future relationship.

Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch (UKIP)
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My Lords, I thank the noble Lord for that reply, which suggests that the Government have not understood the superior strength of our hand in Brussels, or how to play it.

Are the Government aware that many states, including the United Kingdom, have unilaterally left international treaties some 225 times since 1945? So why do we feel bound by these clauses of Article 50, when they are being used against us?

Can the Government not even see that the—

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Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch
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Why do we not try to talk to the real people of Europe, who would benefit far more from the offers in this Question than would we?

Lord Callanan Portrait Lord Callanan
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That is a slightly strange question from the noble Lord, because of course if we withdrew our notice under Article 50 we would remain members of the EU—which the last time I looked at it, was not the policy of his party. Therefore his other options do not really hold water. We do not unilaterally abrogate treaties in this country. We are a law-abiding nation, we abide by our legal agreements and commitments; and the proper and correct legal way to withdraw from the EU is under Article 50, and that is the process that we are following.

Lord Garel-Jones Portrait Lord Garel-Jones (Con)
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Does my noble friend agree that the Question from the noble Lord seems to be opening the way to a departure from the European Union with no deal at all? Is it not clear that that is not supported not only by your Lordships’ House but by Her Majesty’s Government either?

Lord Callanan Portrait Lord Callanan
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The noble Lord’s Question would result in us remaining in the EU, if we withdrew our notification under Article 50. Of course the Government do not support a no-deal exit. We are preparing for that unlikely eventuality, as is the responsible thing to do, but we hope to negotiate a good and ambitious deal with the European Union.

Baroness Ludford Portrait Baroness Ludford (LD)
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My Lords, since the Question is from the noble Lord, Lord Pearson, I would like to know from the Minister whether there has been any progress since the noble Lord, Lord Ahmad, told my noble friend Lady Northover last Wednesday:

“It is important that we review our procedures to ensure that individuals such as Tommy Robinson do not enter the heart of democracy”.—[Official Report, 24/10/18; col. 859.]


It was the noble Lord, Lord Pearson, who hosted this racist, Islamophobic character, who has multiple convictions, to a celebratory lunch after Robinson was released on bail—not acquitted—on a contempt of court charge that has been referred to the Attorney-General, which concerns actions which threatened to derail the Huddersfield trials. Can the Minister tell me when we will see action to ban Tommy Robinson from this House, not least to protect House of Lords staff from having to wait on this man?

Lord Callanan Portrait Lord Callanan
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My Lords, as far as I am aware, the Government have no policy on the dining companions of the noble Lord, Lord Pearson. I understand that the opinions of the House were made very clear last week but ultimately this is a matter not for the Government but for the House authorities.

Viscount Waverley Portrait Viscount Waverley (CB)
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My Lords, to return to the Question on the Order Paper—if the House will allow me—do the Government expect to adopt a differing negotiating position on Brexit as a result of the significant number of states which are querying the terms we have with the WTO?

Lord Callanan Portrait Lord Callanan
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No, our negotiating position remains exactly as set out in the White Paper.

Lord Bridges of Headley Portrait Lord Bridges of Headley (Con)
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My Lords, back in June the Prime Minister assured us that the transition period in the withdrawal agreement would be time-limited, saying that it would give,

“everyone the certainty that this will not go on for ever”.

Last Monday, however, the Prime Minister told Parliament that we need,

“to create an option to extend the implementation period”.—[Official Report, Commons, 22/10/18; col. 47.]

Given that the Prime Minister wants to bring certainty to the situation, how does the option to extend the transition do that?

Lord Callanan Portrait Lord Callanan
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As the noble Lord will be aware, the extent and length of the implementation period was agreed. It was green text in the withdrawal agreement. I understand that the possibility of extending it has been raised in the discussions in Brussels but no agreement has been made and discussions on such matters are continuing.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, since we know that Brexit is valued by the Government at only 50p—which is what they are going to produce on exit day—the question just raised about the WTO schedules is vital. We understand that only 14 of the deals that we have as part of the EU have so far been rolled over. The prospect of the crisis if we crash out without a deal is so serious that is it not time that the Government started paying more attention to getting a deal which is good for the country and acceptable to the House of Commons, rather than spending £150 million on consultants on how to deal with no deal?

Lord Callanan Portrait Lord Callanan
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We are able to multitask as a Government and we are doing both. We are concentrating all our efforts on getting a good deal but we are also mindful that it may not be possible to get a deal and therefore we are stepping up our preparations for no deal. Actually, the EU is doing the same. I really do not understand the position of the Opposition that we should do nothing at all to prepare for something that has a possibility of happening.

Baroness McIntosh of Pickering Portrait Baroness McIntosh of Pickering (Con)
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My Lords, is my noble friend able to tell the House whether we have sufficient parliamentary time to scrutinise the primary legislation and the up to 1,000 Brexit-related instruments that the House has to consider and pay proper scrutiny to before 29 March?

Lord Callanan Portrait Lord Callanan
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Of course, we will not know how much time we have until we actually get a deal but I am sure the Leader and the Chief Whip are paying close attention to the words of my noble friend.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon (Ind Lab)
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Is it not helpful for the noble Lord, Lord Pearson, to raise these matters in this House? The Government are under attack from all quarters for their handling of the EU negotiations. Indeed, we are now talking about it being six years before the deal is finally completed. It is time that the Government take note of what the people and the press are saying and get on with the job and get us out.

Lord Callanan Portrait Lord Callanan
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We are taking note of what everyone in this House and in the media are saying. I can assure the noble Lord that we are getting on with the job. We are trying to negotiate the best possible deal and arrangements for our departure from the European Union.

Brexit: People’s Vote

Lord Callanan Excerpts
Thursday 25th October 2018

(5 years, 6 months ago)

Lords Chamber
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Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, today’s debate has been a good one—although there was a hint of déjà vu about it. I seem to have heard many of the arguments a number of times before.

I thank and pay tribute to the noble Lord, Lord Campbell, for introducing the debate so ably. I greatly enjoyed his history lesson, although I think he was a bit unkind to David Cameron for fulfilling his manifesto promise to call the referendum in the first place. The noble Lord was conveniently forgetting about the crucial role played by the Liberal Democrats in this. After all, I think it was the Liberal Democrat party under Nick Clegg that first called for a “real referendum on Europe”. It was in one of their famous petitions and on one of their many focus leaflets distributed around the country—so they can definitely claim that they were ahead of the game on this one. However, building on the powerful contribution of my noble friend Lord Finkelstein, I note that the petition did not say, “It’s time for two real referenda on Europe”.

I also thank all other noble Lords who participated in the debate. I will refer to some of their contributions as I go. The Motion calls on this House to take note of the case for a so-called “people’s vote” on the outcome of the negotiations between the Government and the European Union on our withdrawal from the EU. I agree with my noble friend Lord Lamont that the term is somewhat Orwellian. I assume that the debate is timed to coincide with last week’s demonstration in London, which had an interesting range of speakers. One of them was the leader of the Liberal Democrats, Vincent Cable. Apparently he seems to have forgotten that he once called the idea of a second referendum,

“seriously disrespectful and politically utterly counterproductive”—

as, indeed, the Liberal Democrats discovered at the last election. Then there was the Mayor of London, Sadiq Khan. After the original, authentic 2016 people’s vote, he said that the establishment needed to respect the result and that a second referendum would lead to cynicism among voters. They were both right the first time.

I say to the noble Lord, Lord Russell, and to his son, to my noble friend Lady Wheatcroft, to the noble Lord, Lord Tyler, and to all the other marchers at the weekend that, however passionate it was—I recognise, as the noble Baroness, Lady Hayter, said, that it was a passionate demonstration and that people believed strongly in what they were saying—it was, of course, only a small fraction of those who participated in the original 2016 people’s vote. That point was well made by the noble Lord, Lord Grocott.

We have already had a people’s vote in June 2016 and the people voted to leave the European Union. The calls for a second referendum are being led by a small group of diehard remainers who, by definition, do not respect the result of referenda—so why should we believe that they would somehow respect the result of another referendum? If they did succeed in overturning the result, why should leavers respect that outcome? It is a recipe for years of political and constitutional chaos. On the issue of how long it would take to hold another referendum, which I thought was powerfully addressed by the noble Lord, Lord Trevethin, in his excellent contribution, my estimate that it could take up to a year might even have been an underestimate. That was a powerful contribution.

Calling the result into question, as the Motion seeks to do, exposes three issues of fundamental importance for our country: first, the Government’s mandate, given by the British people, to secure our withdrawal from the European Union; secondly, the long-held constitutional traditions that underpin our democracy; and, thirdly, the importance of ensuring the integrity of our negotiations. I will deal with each of them in turn.

First, the result of the referendum gave the Government a clear mandate from the British people to deliver our withdrawal from the EU. It is a mandate that the Government have been working to deliver since then. I remind noble Lords that it was this Parliament that overwhelmingly voted to put the question of the UK’s membership of the European Union to the British electorate in the first place. It is worth reminding ourselves of the simple question that was put to the people on 23 June 2016. It asked:

“Should the United Kingdom remain a member of the European Union or leave the European Union?”


The noble Lord, Lord Anderson, said in a somewhat puzzling intervention that it was not clear what the electorate said in that vote. I profoundly disagree. The result of the referendum was a clear answer to that question, giving a clear directive to the Government to withdraw from the European Union—which we respected through our notification under Article 50.

The result reflected not only extensive campaigning from both sides but considerable and prolonged debate at national and parliamentary level, underpinned by a commitment from spokesmen from all the major political parties to respect the outcome of the vote. Almost three-quarters of the electorate took part in that people’s vote, resulting in 17.4 million votes to leave the European Union. That was the highest number of votes cast for anything in UK electoral history. Parliament then overwhelmingly confirmed the result of the referendum by voting by clear and convincing majorities in both Houses for the European Union (Notification of Withdrawal) Bill.

Further still, at the last general election, more than 80% of the British people voted for parties committed in their manifesto to respecting the leave result. I respect the position of the Liberal Democrats. They campaigned against the result at the last general election and they got 7% of the vote for their trouble.

A clear majority of the electorate voted to leave and the Government believe that we must respect both the will of the British people and the democratic process which delivered that result. As the Secretary of State for Exiting the European Union noted earlier this month:

“It was close but it was clear. Britain voted to leave the EU. Respecting the result: that’s the essence of our democracy”.


Secondly, seeking to second-guess the results of the referendum would be a dangerous precedent to set for our democracy and the principles that underpin our constitutional order. The British people must be able to trust their Government both to effect their will and to deliver the best outcome for them. In the summer of 2016, millions of people came out to have their say. People trusted that their vote would count—that, after years of feeling ignored by politics, their voices would be now heard. As the Prime Minister pointed out, to ask the question all over again would be a gross betrayal of our democracy and a betrayal of that trust.

More than that, there is a danger of giving rise to the same forces that have brought to power in many other European countries extremist parties to the left and to the right. I agree with my noble friend Lord Shinkwin that if we overturn the result of the referendum we run the risk of the same thing happening here. By placing partisan interests above those of the British people, we will undermine the faith that they hold in our political establishment. That would be hugely damaging to the powerful democratic values of this country and this Government—a point powerfully made by my noble friend Lord Lamont and the noble Lord, Lord Grocott, in his excellent speech. It risks profound constitutional, legal and political difficulties that would be a distraction from the Government’s efforts to secure the best possible deal for the UK.

I reassure the noble Lord, Lord Marks, and my noble friend Lord Higgins that we have always said that we will give Parliament a say on the final deal once it is agreed. Of course, the EU withdrawal Act set out exactly how that meaningful vote would work.

Lord Tyler Portrait Lord Tyler
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In the precise circumstances to which the Minister just referred, does he agree with the Prime Minister that, if the House of Commons decided it was necessary to have a further return to the public, it must happen?

Lord Callanan Portrait Lord Callanan
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I am not going to question the devices of the House of Commons. Clearly, the House of Commons will make its own decisions. The legal principles underpinning it and underpinning the meaningful vote are quite clearly set out in the EU withdrawal Act. It is of course open to the House of Commons to amend that Motion. However, an amendment for a referendum would not necessarily be legally binding on the Government; it would merely prevent us ratifying the treaty.

Lord Bilimoria Portrait Lord Bilimoria
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The Minister has just said that Parliament will be given a meaningful vote. The Secretary of State, Dominic Raab, has said that Parliament will not be given the option of a meaningful vote—of deal or no deal, or no deal or remain.

Lord Callanan Portrait Lord Callanan
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I do not know what contribution the noble Lord is referring to, but the process of the meaningful vote is set out in the EU withdrawal Act. He contributed to many of the debates we had in this House on that subject. When we have negotiated a deal it will be put to Parliament to approve or not, along with the accompanying economic framework.

Baroness McDonagh Portrait Baroness McDonagh
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Did the Minister say that if the House of Commons voted for a second referendum, that would not be legally binding on the Government? Could he repeat that and explain how the previous court decision that Parliament was supreme in these matters works with that opinion?

Lord Callanan Portrait Lord Callanan
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I am not an expert on procedures in the House of Commons. There are many other distinguished Members here who are, but my understanding is that Motions in the House of Commons are not legally binding. For a further referendum to take place would require legislation to be passed. If the House of Commons passes legislation to that effect, there will of course be a referendum in that circumstance.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames
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The point I put to the noble Lord and that I wanted an answer to is what the meaningful vote would be in the event of no deal, not in the event that there was a deal. Would Parliament then be asked whether they wanted no deal or remain? To that we have never, ever had an answer.

Lord Callanan Portrait Lord Callanan
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I am afraid that the noble Lord again is mistaken. There is a very clear answer to that. Again, the EU withdrawal Act, which we debated extensively in this House, sets out what happens if there is no deal or Parliament rejects the deal the Government have negotiated. In such circumstances, within 21 days of that the Government must put forward a Motion in the House of Commons in neutral terms outlining how we propose to proceed. What happens in such circumstances is very clear. We debated it at length and that is now in the statute that we passed.

Thirdly, and finally, it is a well-established feature of our constitution that the Executive represent the country in international diplomacy, and this constitutional arrangement continues to apply to our withdrawal from the European Union.

There is a very real risk that the continuing campaign to overturn the referendum decision to leave is seriously undermining our negotiating position. If those on the other side believe that we may change our minds—

Lord Butler of Brockwell Portrait Lord Butler of Brockwell
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I am very grateful to the Minister. Is he not making, from his point of view, a pessimistic but rather revealing statement when he says that a further referendum would overturn the decision of the British people? It would not necessarily overturn it, but apparently he thinks it would.

Lord Callanan Portrait Lord Callanan
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Actually, he does not think it would. There is a very real chance, if there were another referendum, that we would get the same result in spades. Of course, we will never know, because we are not going to have another referendum. My point is that it would provide at least a year, possibly longer, of total political and economic chaos, were we to go down that route.

As I set out, undermining the negotiating position—as many people are trying to do—will do nothing but guarantee a bad deal for the UK, something I think we all wish to avoid.

Lord Campbell of Pittenweem Portrait Lord Campbell of Pittenweem
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I am most grateful; the Minister is being very generous giving way. Is he really saying that those who seek to exercise the democratic duty which they have in these matters are undermining the negotiation—in the light of the antics, if I may so put it, of the former Foreign Secretary?

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Lord Callanan Portrait Lord Callanan
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I am merely making the obvious point that seeking to provide an avenue to overturn the result, to suggest that we may change our minds—and many on that side profoundly disagreed with the referendum result—provides an incentive for the EU to offer us a bad deal.

Continuing calls for a second referendum are irresponsible and will only serve to damage the negotiations—a point that we have just discussed. Let us be under no illusion: it is very clear that those advocating a second people’s vote wish to subvert the instruction given to us by the British people and to reverse the result. We have been very clear that this Government will never accept a second referendum. The British people voted to leave the EU, and we will be leaving on 29 March 2019. That is why, for over two years, we have worked to deliver a deal that sees the UK leave the EU. Our EU partners need to be clear that this Government will not overturn the result of the referendum. I say to the noble Baroness, Lady Ludford, that, despite the reports, there is no war-gaming going on in our department. The second referendum is not going to happen, and nobody in Whitehall is making any preparations for the unlikely event.

At the heart of the vote to leave the European Union was a wider call for change, which should neither be ignored nor undermined. As this Government deliver on the democratic decision of the British people to leave the European Union, which we will do on 29 March next year, we will also build a stronger, more meritocratic Britain. There can be no second-guessing this Government’s mandate to do exactly that.

Brexit: Preparedness for EU Exit

Lord Callanan Excerpts
Thursday 25th October 2018

(5 years, 6 months ago)

Lords Chamber
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Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, extensive work to prepare for no deal has been under way for two years. Robust plans are in place to ensure that the border continues to operate from the day that we leave. We will always ensure that we have the necessary resources to keep the border secure. That is why we are recruiting over 600 Border Force officers to prepare for the day that we leave, in addition to the 300 officers who will be deployed by the end of 2018.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town
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My Lords, the Prime Minister said no deal is better than a bad deal, but now the NAO says the border and HMRC systems needed under WTO rules simply cannot be implemented in time. Business cannot prepare; the car industry warns about the catastrophic impact that no deal would have on its manufacture; ports would be jammed, even without Mr Grayling’s flotilla; and medicines would be in short supply—to say nothing of the urgent legislation required in this House. Is it not irresponsible, even reckless, to continue to threaten no deal? Having got to the cliff edge and looked over, should the Government not be saying, “Better not”?

Lord Callanan Portrait Lord Callanan
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I am not sure what the noble Baroness is asking us to do here. We do not want no deal, but as a responsible Government, we need to prepare for it. Is the Labour Party saying that it would accept any deal given to it? We want a deal, we are working for a deal, we are negotiating for a deal, but putting in place preparations in case there is no deal is the responsible thing to do. That is what a responsible Government should do.

Baroness Ludford Portrait Baroness Ludford (LD)
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My Lords, does not this damning report from the National Audit Office perfectly make the case for the people to have a people’s vote, to have a final say on what happens next to this country? There is a myth that the Prime Minister stopped talking about no deal being better than a bad deal, but she repeated it just four weeks ago. In the light of that, it is highly irresponsible—I thank the noble Baroness, Lady Hayter, for her Question—to be in this state of unpreparedness when the Government say that they are determined, come what may, that we either exit with a deal or have no deal.

Is it true that the Government have been advised that ferries will have to be requisitioned because the capacity at Dover will be 15% to 25% more than normal for six months after no deal? Where will the Government find those ferries? Where will they find the alternative port capacity? What are people who depend on life-saving drugs going to do in the meantime?

Lord Callanan Portrait Lord Callanan
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As the noble Baroness is aware, we have already had the a people’s vote and the people voted to leave, but we will be exploring this subject extensively in the next few hours in response to the Motion tabled by the noble Lord, Lord Campbell. As I said, we remain confident of reaching an agreement with the EU, but it is only sensible for government and industry to prepare for a range of scenarios. We continue to work closely with a range of partners on the appropriate contingency plans to ensure that trade can continue to move as freely as possible between the UK and Europe in the event of no deal—which, I repeat, is not an outcome that we wish.

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick (Con)
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Has my noble friend noted the statement this week by President Macron of France in which he said that although no deal was undesirable, no deal should not be a cause for panic? He specifically said that ferries would operate, trains would continue to run through the tunnel, planes would continue to serve as normal and business would go on.

Lord Callanan Portrait Lord Callanan
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My noble friend makes a very good point. We know that the French National Assembly and the French Government are putting in place preparations for no deal, as are many European countries. That is the responsible thing to do, and I am really not sure why the Opposition think it is such a bad thing to put in place sensible contingency plans.

Lord Butler of Brockwell Portrait Lord Butler of Brockwell (CB)
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My Lords, the NAO report states that the border systems cannot be ready in time for a no deal. Is the Minister saying that the NAO report is wrong?

Lord Callanan Portrait Lord Callanan
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We are putting in place the responses necessary in case of no deal. We have decided to prioritise safety and security, the flow of people and goods and then compliance activity, including the collection of revenue in the short term. Contingency plans are being prepared with the aim of managing all the potential issues, such as queues of traffic in Kent and continuing supplies of essential goods and medicines.

Lord Campbell-Savours Portrait Lord Campbell-Savours (Lab)
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Is not the reality that with up to 500 box trailers per hour going through Dover alone—2.5 million last year—port clearance at Dover is now utterly impossible in the event that we proceed? The only answer now is inland or destination clearance. Are we actually ready for that? To avoid fraud, all inland clearance transportation would have to be customs sealed, as under the old TIR system, while travelling to destinations within the United Kingdom. Have the Government thought through the implications of that, because that is what will have to happen if we are to avoid fraud?

Lord Callanan Portrait Lord Callanan
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We are looking at all of the potential implications. We are discussing with partners such as ports and ferry operators all the potential implications of no deal. We continue to negotiate to get a deal—that is what we want—but we are putting in place the appropriate contingency plans, operations and processes in case of no deal, as are other European countries, because that is the responsible thing to do.

Lord Wigley Portrait Lord Wigley (PC)
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My Lords, if the NAO’s warnings are correct, is it not crass stupidity for the Government not to contemplate putting back the Article 50 day by enough time to accommodate the necessary provisions if we indeed crash out without a deal?

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Lord Callanan Portrait Lord Callanan
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As the noble Lord is aware, that is not a decision that we can make ourselves. We would have to apply for and obtain the consent of the 27 other member states as set out under Article 50, but that is not something that we are going to do or are contemplating—we are leaving the European Union on 29 March next year.

Lord Lilley Portrait Lord Lilley (Con)
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My Lords, can my noble friend confirm—since I am sure that, like me, he has in fact read the report, unlike many who are going on newspaper reports of the report—that it is about process and does not forecast any of these chaotic outcomes? It accepts that customs will prioritise flow over compliance, that there will not, therefore, be delays and that there will be no change in risks in its assessment, which the report accepts, and therefore no extra checks.

Lord Callanan Portrait Lord Callanan
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My noble friend makes some good points but I repeat the point that it is the responsible thing to do to make the appropriate contingency plans for an outcome that we do not want but which is possible. If noble Lords opposite think that we should make no preparations at all and just accept whatever deal is given to us by the European Union, then I am afraid that I do not agree.

Lord Brooke of Alverthorpe Portrait Lord Brooke of Alverthorpe (Lab)
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My Lords, I am not sure if the Minister was present earlier at Question Time when my noble friend Lord Blunkett asked his Question. We cannot cope at the moment at the border. If noble Lords read this report—the Minister is not prepared to say whether he agrees with it—it indicates that we have severe problems facing us next year. Yes, it is prudent and responsible to take the appropriate action, but should we not be advising the British people that their holidays next year could be severely delayed, that there could be major problems at Dover and that people should be thinking well ahead about whether they should proceed? Have the Government had discussions with the insurance industry about the likely costs arising from delays?

Lord Callanan Portrait Lord Callanan
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I did not hear the response to the earlier Question. This Private Notice Question was tabled at relatively short notice and I was busy preparing, so I apologise that I did not hear the earlier Answer. We are having discussions about the potential outcomes with a range of partners, including the insurance industry, port operators and others, and we have published an extensive range of technical notices to inform businesses, people, citizens and others about travel plans in the event of no deal.

Baroness Randerson Portrait Baroness Randerson (LD)
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My Lords, the lack of preparedness that the report outlines will inevitably lead to delays and some chaos. That will clearly lead to an increase in cross-border crime, smuggling and other aspects of law-breaking. What are the Government doing to deal with that particular aspect of the risks that we face and what have they done to liaise with the people in the county of Kent, which is going to be turned into a lorry park?

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Lord Callanan Portrait Lord Callanan
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We are undertaking extensive preparations, including discussions with local authorities and port operators in Kent. It is not true to say that we have not been making preparations. They have been ongoing for the past two years for the relevant legislation that is required, both primary and secondary, in the event of no deal, plus all the appropriate contingency plans and discussions with the various operators.

European Union (Withdrawal) Act 2018 (Consequential Amendments) Regulations 2018

Lord Callanan Excerpts
Wednesday 24th October 2018

(5 years, 6 months ago)

Grand Committee
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Moved by
Lord Callanan Portrait Lord Callanan
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That the Grand Committee do consider the European Union (Withdrawal) Act 2018 (Consequential Amendments) Regulations 2018.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, I am grateful for the opportunity to be here today to discuss the regulations before the Committee, which form one small part of the Government’s wider programme of secondary legislation that is being brought forward before exit day to ensure that the UK’s legal system continues to function effectively once we leave the EU.

So far my department, the Department for Exiting the European Union, has laid three statutory instruments using the consequential powers granted to us under the European Union (Withdrawal) Act 2018. This is the first of those SIs to be debated under the affirmative procedure. These three statutory instruments made using the consequential powers are of an essentially technical nature, as will become apparent. To be fair, during the passage of the European Union (Withdrawal) Act, some concern was raised in this place and the other place about the scope of those powers. The Government were clear at the time that these consequential powers would be used for changes of a small and technical nature. I hope noble Lords will see that this statutory instrument is indeed extremely technical, with the purpose of ensuring a functioning statute book upon exit from the EU.

Specifically, these draft regulations make technical consequential repeals and amendments to certain pieces of legislation using the consequential power in Section 23(1) of the European Union (Withdrawal) Act, for two main purposes. First, they repeal legislation that has become redundant in consequence of the repeal of Sections 1 to 13 of the European Union Act 2011 and Section 5 of the European Union (Amendment) Act 2008—I hope noble Lords are following this—which provided mechanisms for the approval or ratification of certain EU decisions or treaty changes that would result in the transfer of power from the UK Government to the EU.

Sections 1 to 13 of the 2011 Act and Section 5 of the 2008 Act were repealed on 4 July this year, following the acceptance by this House and the other place that these were redundant in the context of our exit from the EU. This matter was pursued particularly by the noble Lord, Lord Adonis, during the passage of the Act, and the Government set out on Report that the repeal of this legislation would be effected shortly after Royal Assent, and indeed that is what we did.

In consequence of those repeals, legislation that approved matters in accordance with those Acts has become redundant. That includes Sections 1 and 2 of the European Union (Croatian Accession and Irish Protocol) Act 2013, which approved the accession of the Republic of Croatia to the EU and the protocol on the concerns of the Irish people on the Treaty of Lisbon. It also includes the European Union (Approvals) Act 2017, which approved decisions that allowed Albania and Serbia to participate as observers in the work of the European Union Agency for Fundamental Rights, and an agreement between the EU and the Government of Canada regarding the application of their competition laws.

Also now redundant is Section 23(1) of the Constitutional Reform and Governance Act 2010, which created an exemption from the normal procedures on scrutiny of treaties under that Act where a treaty was approved following the procedures in the 2008 or 2011 Acts instead.

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Lord Callanan Portrait Lord Callanan
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This legislation is being repealed in consequence of the repeal of the 2008 and 2011 Acts, which has rendered them redundant and no longer necessary. Removing this legislation from our statute book is consistent with our goals of ensuring an effective, functioning statute book on exit day by providing clarity and avoiding confusion by making reference to legislation that no longer exists within our statute book. For reassurance, I make it clear that the repeal of the legislation that approved matters in accordance with the 2008 and 2011 Acts does not have any effect on the validity of anything done in relation to those decisions or treaty changes approved by them.

Secondly, these regulations also make consequential amendments to the Statutory Instruments Act 1946, the Laying of Documents before Parliament (Interpretation) Act 1948, and the Statutory Rules (Northern Ireland) Order 1979, to reflect the introduction of a new category of law, called “retained direct EU law”, into the UK’s legal system. Retained direct EU law is the directly applicable EU law that existed immediately before exit day that will be converted into UK law on exit day by the European Union (Withdrawal) Act.

The Statutory Instruments Act established a number of rules that apply when making SIs, and similarly, the Statutory Rules (Northern Ireland) Order applies when making statutory rules—the Northern Irish equivalent—under powers in primary legislation. To provide certainty, it is important that we ensure that these same rules apply to instruments made under powers in retained direct EU legislation so that it is clear what procedures must be followed to ensure that instruments made under powers in retained direct EU legislation are properly made.

These regulations therefore make consequential amendments to the Statutory Instruments Act 1946 and the Statutory Rules (Northern Ireland) Order 1979 to make it clear that the normal rules apply to making statutory instruments and statutory rules under powers in retained direct EU law. This will create certainty about the proper procedures to be followed where such powers are used in the future and will assist Parliament in considering the use of such powers.

Similar provision has already been made to deal with Scottish statutory instruments made under retained direct EU legislation through the amendments to the Interpretation and Legislative Reform (Scotland) Act in Schedule 8 to the European Union (Withdrawal) Act. Therefore, these regulations take an approach consistent for the purposes of England, Wales and Northern Ireland with that taken for Scotland by the Act itself.

The Laying of Documents before Parliament (Interpretation) Act established the rules for laying documents before Parliament where an Act or piece of secondary legislation required that documents be laid before Parliament. Similarly, therefore, the consequential amendments made to the Laying of Documents before Parliament (Interpretation) Act will ensure that the same rules on laying documents before Parliament apply where retained direct EU legislation requires those documents to be laid before Parliament.

Given that these regulations amend primary legislation that is of constitutional importance, we thought it would be appropriate to allow Parliament the opportunity to debate these regulations through the use of an affirmative instrument. However, I hope that after my explanation noble Lords will agree that this is a sensible use of the consequential power, and that what we are seeking is appropriate to ensure continuity as a new category of law is introduced into our legal system on exit.

Baroness Ludford Portrait Baroness Ludford (LD)
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I thank the Minister for his explanation, which, in so far as is possible on the subject, was admirably straightforward. He is quite right, as he said at the beginning, that there was—and will continue to be—a lot of controversy over the ministerial powers in the European Union (Withdrawal) Act. This one is perhaps not yet of mountainous dimensions in terms of controversy, but I have some questions.

First, no doubt simply because of my unfamiliarity with the field of secondary legislation, can the Minister remind me whether there are any limits on the ability of SIs to amend primary legislation under the Act? I have entirely forgotten—perhaps mercifully—a lot of the debates on the Bill. The regulations amend primary legislation. I would welcome a reminder of whether there are any limits on that.

My second question is about the European Union (Croatian Accession and Irish Protocol) Act 2013. I appreciate that the implementation of those measures—the accession of Croatia and the Irish protocol to the Lisbon treaty—is not affected by these regulations, but what will happen to their implementation when and if the ECA is repealed? How will they continue to be implemented? They have been implemented through the European Communities Act by making them EU treaties for the purposes of that Act. Paragraph 2.7 of the Explanatory Memorandum rightly states that their,

“implementation is unaffected by these regulations”,

but that prompted me to wonder what happens when and if the ECA is repealed. I would be grateful to learn how they carry on being in force, or will that matter be dealt with during the standstill transition by repealing a lot of the European Union (Withdrawal) Act in the EU withdrawal agreement Bill? I hope that I do not stray too far, but this subject is quite complicated.

Similar issues arise in relation to the decisions mentioned in paragraph 2.11. I remember spending time during the passage of the European Union (Approvals) Act 2017 speaking about Albania and Serbia being observers in the work of the fundamental rights agency—I cannot remember whether I referred also to the Canada competition laws; it was in the same Act, so I must have done. These approvals are no longer necessary if Sections 1 to 13 of the European Union Act 2011 are being abolished, so the 2017 Act becomes redundant. The Explanatory Memorandum states:

“The repeal of the Act approving those decisions has no effect on the validity of those decisions or anything done in relation to those decisions”.


So if we repeal the European Union (Approvals) Act 2017, paragraph 2.11 of the memorandum states that such repeal,

“has no effect on the validity of those decisions”,

which is interesting. How are they still valid? The Government are repealing the Act which approved the decisions about Albania and Serbia being observers in the fundamental rights agency, et cetera, but they state that it has no effect on the validity of the decisions. On what basis, then, do those decisions approving Albania and Serbia continue to be valid?

That takes me back to my previous point. That statement implies that we want those decisions to continue to be valid. If we want to continue the validity of the Serbian and Albanian observership in the fundamental rights agency, I presume that we want to continue the validity of the recognition of Croatian accession and the Irish protocol. I am wondering whether my question about how they get knocked out by the repeal of the ECA is correct, because presumably they are on a similar level. If the Albania and Serbia observerships are to remain valid—which they would be in a standstill transition anyway—presumably that also applies to the Croatian accession, et cetera. So how do they continue being valid, and if they do, will they still be valid after 29 March? I apologise if I am just being dense.

Then there is the question about the Statutory Instruments Act 1946 applying. Obviously, that is welcome. It is interesting that it is being done now. Perhaps the Minister could remind me why the Government did not agree to incorporate this in the EU withdrawal Act. Our attention is drawn to the 12th report of the Delegated Powers and Regulatory Reform Committee, published last February. One of the things it objected to was tertiary legislation—the ability for Ministers or other bodies to make further subordinate legislation without there having to be any parliamentary procedure or any requirement for it to be made by statutory instrument. The committee wanted all tertiary legislation to be subject to the same parliamentary control and time limits as are applicable to secondary legislation. If I understand this correctly, it talks about the Statutory Instruments Act 1946 applying to SIs. Does it apply? The DPRRC report also referred to tertiary legislation which is not made in statutory instruments. Is this extension of the 1946 Act limited to what is made under statutory instruments or does it meet the entire objection in the DPRRC report of last February? I hope the question is clear, because I am confused about why the Government are doing this now and did not do it in the Bill.

I am also trying to understand the scope of this welcome reform—whether further transparency and normal rules of scrutiny should apply. The answer would appear to be only where that secondary legislation is in statutory instruments, and not if it was made by some new agency, for instance. In paragraph 2.12, the Explanatory Memorandum talks about the ability to subdelegate regulations made under certain withdrawal Act powers—tertiary legislation made by an agency, for instance. It says that,

“it is important that the Statutory Instruments Act 1946 is amended to cover these scenarios”,

so you would think that meant all tertiary legislation, but then it goes on to say,

“so that there is certainty about the proper procedure for making SIs under such powers”.

I am dependent on the report from last February to understand that not all tertiary legislation is made in SIs. I suppose it makes sense, but I am a novice in secondary legislation. What is the extent of the concession—the welcome reform—that the Government are proposing for the extension of the Statutory Instruments Act 1946? Does it apply to all tertiary legislation, including that not made under SIs or by Ministers but by other bodies?

I think that covers all my questions. I hope that I have not been too confusing and that the Minister is able to answer my questions.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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My Lords, I thank the Minister for introducing the first of what I hope is going to be a very small and select group of DExEU orders. Indeed, luckily for myself, for the noble Baroness, Lady Ludford, and for the Minister, I think the vast majority of these Brexit orders will be handled by other departments. However, I do wonder how on earth our colleagues covering those departments will cope, given the near 800 they will have to handle between now and March. They have not exactly got off to a great start: since the Act received Royal Assent on 26 June this year, a mere 71 have been laid, and only two have completed their passage through Parliament.

The delay is slightly hard to understand if the bulk are indeed to make relatively simple, perhaps technical amendments. Why then have we only seen such a tiny proportion of them so far? I assume that the pace will quicken in the coming months, but the tardiness to date means that while 45% of the time between Royal Assent and the supposed exit day has passed, only 9% of the likely total number of orders have so far been laid. Can the Minister therefore confirm that proper time will be allocated to those of our colleagues who will have to handle this to do the necessary scrutiny, that full consultation will take place with all outside stakeholders—this was something we discussed a lot during the passage of the Bill—and that feedback from those stakeholders will be available to our colleagues as they go through the various statutory instruments?

The sheer number of orders exposes the sheer scale of the legislative challenge facing Parliament. It also puts into perspective the Prime Minister’s claim that Brexit is 95% complete. As far as our work is concerned, that is clearly not the case. I have a slight problem with the 95% figure anyway. I am reminded of the man falling from the 10th floor of a building. After going past the first nine floors, he said, “So far, so good”. I hope that we are not facing the same crash that he did after the 10th floor. Aside from this particular order, I know that work is now gathering pace in the Secondary Legislation Scrutiny Committee: I can say only good luck to the committee.

Turning to the order in front of us, while it may be what the Minister calls “technical in nature”—which I think means “hard to understand”—it gives effect to decisions taken by both Houses during the passage of the withdrawal Act. As has just been mentioned, during debates on that Act, there was quite a bit of confusion over the new category of “retained direct EU legislation”. The provisions in Schedule 2, which respond to our Delegated Powers Committee, will, we hope, provide some certainty about the exercise of the relevant powers, particularly for our learned friends: I trust that they are clearer now about the significance of how those powers will be used. We certainly welcome the confirmation that the withdrawal Act powers to make secondary legislation will be exercised under the normal rules for SIs, with which we are familiar.

I want to raise one other point, absolutely unrelated to this one but within the broad remit of Brexit. Yesterday we read that Sir Bernard Jenkin said:

“While some SIs may need to be rushed through with less consideration, they can always be amended later”.


First, we simply must not rush these through. I am sure that is not the intention of the Government. On our Benches and those of the noble Baroness, Lady Ludford, it is not something we would want to happen. Secondly, and perhaps more substantially, given how important some of the SIs will be to maintaining standards on environmental, consumer and workers’ protection, and that they will include some quite important decisions about the supervision and enforcement of those standards, that comment from Sir Bernard Jenkin—I recognise that he is not a Minister—seems to fly in the face of the government assurances we received many times during the passage of the Bill that any such change to any of these standards or anything else would be by primary and not secondary legislation. We were very clear, I think, that secondary powers were going to be used for a lift and shift so the existing rules could be brought across but not for changes. Perhaps the Minister could confirm what I know he has said before—but now that we are into the SIs it is important for him to say it again—that from the point of view of the Government there is absolutely no intention to allow any backdoor changes to legislation in the way suggested by his honourable friend in the other place.

Of course, the order is based on the assumption that we will have a deal. Given the wishes of some of the Minister’s close friends that we should not have a deal and the inability of the Government so far to strike a deal, the risk of no deal looks alarmingly likely. All of us in this Room, because we are a bit sad, have read all the technical notices about what would happen in the event of no deal, but it is not clear what the task facing this House would be in those circumstances in relation to statutory instruments that would need to be got through very quickly. If the Minister has any information on that, perhaps he could share it with the Committee.

As your Lordships will have gathered, the order itself presents us with no problems. I hope that that will be the case for all the others that will come our way.

Lord Callanan Portrait Lord Callanan
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I thank the noble Baronesses for their comments and questions. I will try to deal with as many as possible and then write to them on any that I have not answered.

The noble Baroness, Lady Ludford, asked: are there limits to the ability of SIs to amend primary legislation? The noble Baroness, Lady Hayter, touched on this point as well. The consequential power is a standard power to make consequential amendments as appropriate—that famous word again, about which there was much debate during the passage of the legislation. These amendments may repeal or revoke but of course the use of that power will be strictly constrained. Provisions in the European Union (Withdrawal) Act speak about the scope of that power.

The noble Baroness’s second question concerned protocols to do with Croatia and Ireland. The answer is that even though the power to make the regulations is going, the regulations that were made under that power will carry on as appropriate. She also asked about the 1946 Act and why the SI applies only to powers conferred on Ministers and not to powers conferred on regulators. The SI makes consequential amendments to the Statutory Instruments Act 1946. The Act applies only to SIs made by Ministers, government departments, Welsh Ministers or the Privy Council. It is less common for legislative powers to be delegated to other individuals or bodies such as regulators, and where legislation confers on a regulator the power to make legislation it also makes special provisions as to how the power is to be exercised and scrutinised. In this case, the SI does not address those particular powers.

On the question of the consequential amendments made in the withdrawal Act for Scotland but not for England, Wales or Northern Ireland, the Act addresses a wide range of issues and impacts on the application of a large number of existing pieces of legislation. As far as possible at the time, those were addressed in the Act. However, it was also recognised that it would be impossible for the Act to identify and address every single amendment that was needed to existing legislation, and that is why at the time the Act conferred on Ministers the limited power to make regulations containing those amendments that are appropriate as a consequence of that Act.

The noble Baroness asked me what happens to the implementation of the Croatian and Irish protocols when the ECA is repealed. The protocol/treaty will still apply until exit day and in a no-deal scenario since those protocols/treaties presuppose EU membership and the protocol will become retained EU law unless repealed, which goes back to the point that I made earlier. So even though the power to make those regulations is being repealed, the regulations and Acts that were originally made under them still apply.

I turn to the comments from the noble Baroness, Lady Hayter. I totally accept her point about the considerable number of SIs that are required. I shall give her some numbers if that is helpful. As the drafting, legislation and negotiations have progressed, departments have had a clearer picture of what legislative requirements are needed by exit day. This has meant that we currently anticipate that the number of SIs might actually be fewer than the figure of 800 to 1,000 that was quoted and that I used many times during the passage of the Act. However, the exact number of SIs needed will depend on a number of factors and the total number is fluctuating; some are able to be combined into one while others will require a number of different individual SIs. Departments began laying Brexit SIs straight after Royal Assent and over 70 have already been laid. Our aim continues to be to be prepared for all scenarios. Again, without harming the negotiations, some SIs would be applicable in both deal and no-deal scenarios, some are applicable only to a deal and some are applicable only in a no-deal scenario.

We expect that the number of SIs being laid will significantly increase from this month onwards, and we are working closely with departments to try to ensure a manageable flow throughout so that Parliament has the proper time to scrutinise them and we have the critical legislation that is required in place by exit day. The secondary legislation programme is on track and we remain confident of the passage of the required number of exit-related SIs before exit day. I said there had been about 70; the exact number as of Friday 19 October is that 72 SIs have been laid or made, with 38 in July, 34 before the Recess, four in August, 10 in September and 19 so far in October. That includes the 43 proposed draft negatives that have been submitted to the sifting committee for consideration.

The noble Baroness referred to comments made by Bernard Jenkin in the House of Commons. I have not seen those particular remarks but I assure her that we have no intention of tabling SIs and then altering them later. We are doing a considerable amount of work to improve the quality of statutory instruments and to ensure that Parliament is appropriately informed and that the appropriate back-up documents, briefing documents and statements are provided along with the SIs. There is no question of back-door changes to legislation. Actually, we would have had the power to propose this particular SI as a negative procedure—it would have been legally possible—but we thought that as it potentially alters legislation of constitutional significance, it would be appropriate to be up-front and take it as an affirmative statutory instrument, so this is legislation by the front door. I hope she will accept that.

Once again I thank both noble Baronesses for this good debate and for their contributions. This statutory instrument aims to make consequential amendments to legislation in order to clarify how new powers and duties in retained direct EU legislation and new powers in regulations made under the European Union (Withdrawal) Act will work within our existing legal frameworks. The instrument will also repeal some provisions of primary legislation that are redundant due to the commencement of provisions in the European Union (Withdrawal) Act that were brought into force by commencement regulations made on 3 July 2018. The instrument will also make some transitional and savings provisions in relation to those repeals. With that, I beg to move.

Motion agreed.

Brexit: Dispute Resolution and Enforcement (European Union Committee Report)

Lord Callanan Excerpts
Wednesday 17th October 2018

(5 years, 6 months ago)

Lords Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, on behalf of the Government I very much welcome the EU Justice Sub-Committee’s report Dispute Resolution and Enforcement After Brexit. The detailed analysis and consideration of the areas covered by the report is a welcome contribution to the wider discussions on how disputes between the UK and the EU should be resolved after we leave in March 2019. The report was ably introduced by the noble Baroness, Lady Kennedy, and we are fortunate to have the benefit of her vast experience of these matters. I also thank noble Lords from all sides of the House for their constructive and insightful speeches during the debate.

I will say as much as I can on these matters and respond to as many questions as possible, but I ask noble Lords to accept that this is a live negotiation. Many of these matters are being discussed and negotiated on at the moment. Some parts are agreed; others are not. Some parts are agreed at the technical level; others are outstanding and waiting for related parts to be agreed. In some respects, therefore, it would not be helpful to go into too much detail on some aspects of the negotiations. Nevertheless, I will try to respond to as many of the points raised as possible.

Noble Lords have expressed concerns about how disputes will be resolved after the UK leaves the EU, in particular—this was referred to by many noble Lords—the proposal that the jurisdiction of the CJEU would be replaced by a judicial or quasi-judicial body to oversee disputes between the UK and EU. I assure noble Lords that, since the EU Justice Sub-Committee published its report in May, we have made significant progress in the negotiations on establishing appropriate and workable dispute resolution mechanisms. I would like to update noble Lords on these negotiations and note that the UK and the EU are close to concluding a withdrawal agreement that sets out the terms of the UK’s orderly exit from the European Union. The withdrawal agreement will provide important certainty to individuals and businesses, setting out the deal on citizens’ rights, on the financial settlement and on the implementation period. We are close to reaching agreement on a number of other separation issues, which will provide for winding-down provisions across a number of areas as we leave—for instance, cases pending at the CJEU and ongoing customs processes.

The noble Baroness, Lady Kennedy, asked specifically for an update on these ongoing judicial proceedings. I can assure her that the relevant provisions will set out the process winding down UK involvement in legal proceedings before the CJEU in an orderly manner. These will support the legitimate expectations of, and efficient access to justice for, those who have spent time and money progressing cases through the UK and the European court systems, allowing all cases in train at the end of the implementation period to continue to their natural conclusions. Once the final areas of the withdrawal agreement have been settled, we will consider the necessary legislative requirements for those areas. I realise that this will be a disappointment to the noble Lord, Lord Thomas, in particular, but it remains the Government’s position that, in leaving the European Union, we will bring about an end to the jurisdiction of the CJEU in the United Kingdom.

A number of noble Lords asked me about judicial co-operation and the European arrest warrant. We are pleased that we have reached agreement with the EU on the content of Part Three, Title V, of the withdrawal agreement on ongoing police and judicial co-operation in criminal matters. Title V provides clarity and legal certainty for individuals, for law enforcement stakeholders and the judiciary in the unlikely event that we do not reach agreement on future police and criminal justice co-operation as part of our future security partnership with the EU. We want to continue to play a leading role in Europol and Eurojust, and we will continue to do so during the implementation period.

Baroness Ludford Portrait Baroness Ludford
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I am sorry to interrupt the Minister—he might be going on to answer this question—but he has just repeated the mantra about ending the jurisdiction of the court, and he has cited the fact that we want to stay part of agencies such as Europol and Eurojust. How is the remit of the court, in respect of enforcing the rules regarding the UK, going to work if we do not recognise the jurisdiction of the court?

Lord Callanan Portrait Lord Callanan
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If the noble Baroness will have a little patience, I will come on to talk about the agencies and the remit of the ECJ.

Withdrawal from the EU will mean a return to the situation where the UK and the EU have their own autonomous legal orders. The Government agree with the committee’s observation that the withdrawal agreement and the future partnership must respect the autonomy and integrity of both legal orders.

On the points made by the noble Lords, Lord Thomas and Lord Anderson, this is not about demonising the CJEU in any way. Our position has always been that we respect the role of the CJEU as the ultimate arbiter of the meaning of EU law, and we respect the autonomy of the EU legal order, as indeed we expect it to respect ours. However, it would be wholly unprecedented for a non-member state to be subject to the jurisdiction of the CJEU, and we do not believe that it would be appropriate for the court of one party to resolve disputes between the two.

There are, of course, limitations under EU law on the extent to which the EU can be bound by an international judicial body other than the CJEU. Therefore, we will also need to find a principled and pragmatic solution to respecting our unique status as a third country with our own sovereign legal order. For these reasons, the EU and the UK need to agree on how both the provisions of the withdrawal agreement and our new deep and special partnership can be monitored and implemented to the satisfaction of both sides, and how any disputes that arise can be resolved.

As the committee acknowledged in its report, there is not a one-size-fits-all solution for dispute resolution after our exit. Despite the fact that dispute resolution mechanisms are common within international agreements, the form these mechanisms take varies considerably across the spectrum of agreements, given the different areas of international co-operation, and consequently the varied nature of potential disputes that could arise. That is why we are negotiating bespoke mechanisms across the different areas where we need a dispute resolution mechanism.

The sub-committee and noble Lords have raised concerns on the rights of EU citizens. Let me assure the House that, in setting out governance principles, we will ensure that the rights of EU citizens living in the UK, and of course UK nationals living in the EU, are safeguarded. This reflects the fact that the Prime Minister made it clear that that was her first priority for negotiations. The agreement reached in December and set out in our joint report with the Commission, alongside Part Two of the withdrawal agreement, will provide these citizens with certainty about their rights going forward.

In the UK, EU citizens’ rights will be upheld by incorporating Part Two of the withdrawal agreement into our law. As the noble Lord, Lord Hannay of Chiswick, noted, there will be a time-limited period when our courts may choose to refer questions on specific points of law concerning citizens’ rights to the CJEU for a decision, having had regard to whether relevant case law exists, but it will be up to our courts to decide whether to do so. Let me reassure the noble Lord that it will be for our courts to make final judgments, not the CJEU. Any continuing CJEU role in our legal system will be temporary and narrowly defined. The ability of UK courts to make voluntary references to the CJEU will, as the noble Lord is aware, be time-limited to eight years. These short-term, limited arrangements have been agreed to help ensure consistency and certainty for citizens over these new rights as they are implemented.

For the implementation period to operate effectively, the UK will need to remain in step with the EU. The withdrawal agreement will be underpinned by a duty of good faith, with a joint committee in place enabling either side to raise issues or concerns. These arrangements will help ensure the implementation period works properly for both sides. We have agreed that, for the implementation period, the existing EU mechanisms for supervision and enforcement will apply, including continued CJEU jurisdiction. This is necessary so that there will be one set of changes for businesses and people. I hope that that reassures the noble and learned Lord, Lord Hope of Craighead, and the noble Lord, Lord Hannay of Chiswick, who raised their concerns about the need for certainty during the transition period. This does not change the fact that in the long term, after the end of the implementation period, the UK will no longer be under the jurisdiction of the CJEU.

Let me answer the point raised by the noble Lord, Lord Anderson of Swansea, by making it clear that the implementation period will not be extended. I thank him for the offer of co-operation from the Bar Council; we continue to have regular consultations with lawyers in practice, as well as the judiciary, on all aspects of the complicated legal mechanisms in both the withdrawal Act and the future partnership.

Lord Anderson of Swansea Portrait Lord Anderson of Swansea
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That is the definitive response? Have the Government told Monsieur Barnier that there will be no extension at all of the withdrawal period?

Lord Callanan Portrait Lord Callanan
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Indeed, and it is the EU position as well that there will be no extension of the implementation period. The terms of it are agreed. That is the position of the Government, and as far as I am aware that is also the position of the EU.

The noble Lord, Lord Hannay, asked me about the forthcoming withdrawal Bill. It used to be called the withdrawal agreement and implementation Bill, but to confuse matters further it is now called the withdrawal Bill—to add on to the withdrawal Act that we already have. Yes, the noble Lord is correct in his interpretation that to legislate for the implementation period, depending on the final agreement, we will need to modify parts of the withdrawal Act.

Moving on to the longer term, our White Paper on the future partnership published a detailed vision for the future security and economic partnership—a framework which we believe will deliver the unprecedented partnership all our leaders are committed to. The proposal advanced in the White Paper builds on the vision set out by the Prime Minister at Lancaster House, in Florence, at Mansion House and in Munich. As we leave the EU, we want to build a new deep and special partnership based on mutual trust and reliability, with a transparent way of ensuring that each side is acting in accordance with the final agreement.

To ensure that that new relationship stands the test of time, we will need to have the right structures in place for co-operation, decision-making and the prevention and resolution of disputes. We are proposing a system that provides institutional governance over the future relationship, including the areas where the UK and the EU agree to apply the same rules, and over our participation in certain EU bodies. We hope to achieve an arrangement that recognises the unique starting point of having the same rules and regulations. We have set out a clear structure to underpin the deep and special relationship we are seeking. The future relationship should be based on an overarching institutional framework which will encompass most of the individual agreements that make up the partnership and set out any common governance arrangements. These should include political oversight and a joint committee.

This framework draws on precedents from other international agreements, including those that the EU has entered into, which all have some form of institutional architecture. In general, the broader and deeper the relationship, the more important it is that there is a strong institutional architecture in place to govern it. We are seeking an ambitious deal, one that recognises the deep and special partnership that we have with the EU and its member states. This institutional framework, carefully designed to respect the autonomous legal orders of the UK and the EU, has the strength and flexibility to support the depth of the relationship we wish to create. In line with that principle of respecting our autonomous legal order, we have been clear that in leaving the EU we will bring an end to the jurisdiction of the CJEU. The proposal delivers on that commitment. No longer will courts in the UK be able to refer cases to the CJEU, or the CJEU arbitrate disputes between the UK and the EU.

We are proposing that, in some areas, the UK will make a choice to retain a common rulebook with the same rules as the EU. Where we have a common rulebook, it is possible that a dispute could relate to whether these rules have been interpreted correctly. The UK recognises that only the CJEU can bind the EU on the interpretation of EU law and therefore, in these instances there should be an option for a referral to the CJEU for an interpretation, either by mutual consent from the joint committee or from an independent arbitration panel. The joint committee or arbitration panel would have to resolve the dispute in a way that is consistent with this interpretation. This would respect the principle that the court of one party cannot resolve disputes between the two. In those areas where we have a common rulebook, it will be important for businesses and citizens here and in the EU that these rules are interpreted and applied consistently.

The noble Lord, Lord Anderson of Ipswich, asked about individuals’ access to dispute resolution mechanisms such as arbitration. While they will not have access to these mechanisms as they are at present for state-to-state disputes, we are committed to ensuring the consistent interpretation and application of the rules that we agree with the EU. The UK would also, therefore, commit by treaty that its courts will pay due regard to the relevant CJEU case law, in so far as this is relevant to the matter before them. As the White Paper makes clear, UK courts will not, however, be able to make preliminary references to the CJEU. This will not affect consistent interpretation of a common rulebook, which will be delivered through the commitment to pay due regard to existing case law. In other areas there will be a recognition that rules are equivalent. We will need to agree governance arrangements that, first, oversee the application of regulatory commitments, secondly, ensure that the common rulebook is interpreted consistently and, thirdly, enable the UK to participate in EU bodies and agencies where needed for co-operation to take place.

We believe that it is in the national interest and in the interests of certain sectors of our economy to maintain a smooth trading relationship by having rules similar to the EU’s, and to continue UK involvement in certain EU bodies. This is all aimed at enhancing our wider economic and security partnership with the EU, providing effective structures to oversee the process and providing certainty to businesses and citizens, so that their rights and obligations will be applied consistently in both the UK and the EU. The noble Baroness, Lady Kennedy of The Shaws, asked whether this model, set out in the White Paper, would also serve for governing the withdrawal agreement, while the noble and learned Lord, Lord Hope of Craighead, asked for an update on progress in negotiations. I would like to acknowledge that a great deal of progress has been made over the past couple of weeks in negotiations concerning the withdrawal agreement; however, there are still a number of areas that are subject to ongoing negotiations, one of which is the governance of this agreement.

I think I answered the question of the noble Lord, Lord Anderson, about individuals. He also asked about the British judge on the Court of Justice. Of course, as he will be well aware, judges do not “represent” their member states. As Sir Konrad Schiemann said in his evidence to the committee, the UK will no longer be a member state from March 2019 and it is therefore right that we should withdraw from the institutions. While we will not have a UK judge, we will still have the right to intervene before the CJEU and our lawyers will maintain their rights of audience.

Moving on to the issue of civil judicial co-operation and the Lugano convention, mentioned by a number of noble Lords, we also recognise in the sphere of private law the important role of civil judicial co-operation for businesses, consumers, employees and families in providing clear rules to resolve disputes in sensitive matters quickly and efficiently. That is why the UK wants our future relationship with the EU to include a mutually beneficial agreement on civil judicial co-operation. This would include co-operation in civil, commercial, family and insolvency matters. The UK has presented its position to the Article 50 task force team in the Commission, and that presentation is available on the GOV.UK website. That is subject to ongoing negotiations that we are taking forward with our EU partners.

I also reassure noble Lords about our continued participation in the 2007 Lugano convention. The UK has been clear that we will seek to participate in the convention after our exit from the EU. At the March 2018 European Council, we agreed that the EU will notify other countries that the UK is to be treated as a member state—

Lord Anderson of Swansea Portrait Lord Anderson of Swansea
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The Minister has on many occasions used the phrase, “negotiations are continuing” over a very wide field, but the clock is ticking. Is he confident that it will have stopped ticking in time for us to be ready by the end date in March?

Lord Callanan Portrait Lord Callanan
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The clock will not stop ticking. I hope that it will continue to tick and that negotiations will continue to advance, but of course, as he is well aware, we cannot wait until March to get agreements. Noble Lords are aware that we have to legislate for the withdrawal agreement through both Houses. We are very aware of the needs of parliamentarians; they will insist on proper parliamentary scrutiny of this important legislation, and therefore we will need to get an agreement swiftly, certainly in terms of the withdrawal agreement, in order to provide for the meaningful vote and then to provide for appropriate scrutiny of the legislation to implement it.

As I said, at the March 2018 European Council we agreed that the EU will notify other countries that the UK is to be treated as a member state for the purposes of international agreements for the duration of the implementation period. This includes the Lugano convention. We are seeking to put in place arrangements to continue our participation in that convention at the end of the implementation period. However, the exact arrangements for continuing our participation are a matter for future negotiations with our EU partners.

My time is up, but let me say a word about agency participation. We believe that it is in the mutual interests of the UK and the EU for us to continue to participate in various EU agencies and we have set those out. We are seeking to maintain co-operation on the EU’s law enforcement tools, including the European arrest warrant, although the legal form and governance of these arrangements are subject to negotiation. I say, for the benefit of the noble Baroness, Lady Ludford, that where we participate in an EU agency we will respect the remit of the CJEU, as set out in the White Paper.

I hope that I have, as far as possible, reassured the House that we are developing a robust framework that will ensure that, while we are leaving the EU, we will continue to build on our deep and special partnership for the long term. When we have finally, I hope, reached agreement, I look forward to coming back to the House and updating Members further.

Brexit: EU Commission

Lord Callanan Excerpts
Wednesday 10th October 2018

(5 years, 7 months ago)

Lords Chamber
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Lord Dykes Portrait Lord Dykes
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To ask Her Majesty’s Government what assessment they have made of the outcome of their last meeting with the European Union Commission to discuss Brexit.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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Following extensive negotiations, the UK and the EU are close to concluding a withdrawal agreement, which sets out the terms of the UK’s orderly exit from the European Union. Negotiations are progressing and we remain confident of a deal this autumn.

Lord Dykes Portrait Lord Dykes (CB)
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I thank the Minister for that optimistic Answer, but as these ghastly negotiations proceed it is highly likely that the EU will ask the Government to remain in both the customs union and the single market. Are the Government aware of this and preparing the ground for this event?

Lord Callanan Portrait Lord Callanan
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I am not sure whether I would describe the negotiations as ghastly. We think that they are constructive and we are looking to get a deal, but we have made it clear that we will not be remaining in the single market or the customs union.

Lord Kinnock Portrait Lord Kinnock (Lab)
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My Lords, was it the confidence of the Government, of which the Minister just spoke, that induced them yesterday to advertise for:

“Resilience Advisers: EU Exit Readiness and Response Support to Local Preparedness”,


in the event of a no-deal Brexit? Is that intelligent, prudent anticipation on the Government’s part or is it anticipation of utter chaos?

Lord Callanan Portrait Lord Callanan
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It is sensible contingency planning by a responsible Government. As I have said on numerous occasions, we do not want no deal. We hope to negotiate a deal and are working hard to do so, but if we are unsuccessful there will be no deal and we need to make the appropriate preparations. That is presumably why we are advertising these posts and why we published our technical notices.

Lord Garel-Jones Portrait Lord Garel-Jones (Con)
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Does my noble friend the Minister agree that in the world of grown-up politics, difficult compromises have to be made on both sides of the table? Does it not increasingly look as if those compromises are being made and that we may end up with a deal that will be in the interests of the European Union and this country, while not satisfying the extreme views in the world of childish politics?

Lord Callanan Portrait Lord Callanan
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I agree with my noble friend that compromise is necessary, which is what led to our White Paper proposals. The UK’s position has evolved and we have put forward a compromise. It is only right and reasonable to expect that the EU compromises in exchange for that.

Lord Kilclooney Portrait Lord Kilclooney (CB)
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My Lords, is it the Government’s intention that the common travel area between the Republic of Ireland and the United Kingdom will continue after Brexit? Will Irish people crossing the border into Northern Ireland—the United Kingdom—be required to present a passport?

Lord Callanan Portrait Lord Callanan
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I think I can answer those questions with yes and no.

Lord Newby Portrait Lord Newby (LD)
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My Lords, in the Statement that the Minister repeated yesterday, the Secretary of State for Exiting the EU said:

“On the future relationship, we continue to make progress … although there is still some way to go”.—[Official Report, 9/10/18; col. 65.]


Does the Minister therefore now expect a draft statement on the future relationship to be available for the Council meeting next week? If not, when does he expect it?

Lord Callanan Portrait Lord Callanan
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I am afraid I am unable to give a precise timescale at the moment. We are negotiating. At this moment our negotiating teams are meeting in Brussels and we are confident of a deal. As soon as we have one that we can share with the noble Lord, I will be sure to let him know.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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I note that the Minister continues to use the words “implementation period”. Will he now admit that after the end of March we will still be in negotiations and it will be a transition period because negotiations will be carrying on and we will not have the sort of deal that simply needs implementing? Does he agree that in future it is about a transition not an implementation period?

Lord Callanan Portrait Lord Callanan
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No I do not agree with the noble Baroness. It is an implementation period. We expect to agree the withdrawal agreement and the future economic partnership in the next few weeks—in the autumn—and the implementation period will be about implementing that deal.

Lord Bridges of Headley Portrait Lord Bridges of Headley (Con)
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My Lords, on Monday the Prime Minister’s official spokesman said that the Government would seek precision in the future framework—that is, the terms of the relationship between the UK and the EU post 2020. Will my noble friend therefore confirm that the Prime Minister will sign an agreement only if it sets out precisely and clearly the exact terms of trade in goods and services that will exist between the UK and the EU post 2020?

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Lord Callanan Portrait Lord Callanan
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Of course I agree with the Prime Minister: we are looking for a precise deal and a precise statement of what the future relationship will be.

Lord Grocott Portrait Lord Grocott (Lab)
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My Lords, a couple of hours ago I went to a meeting in this House organised by the National Federation of Fishermen’s Organisations and the Scottish Fishermen’s Federation, at which a paper was handed to everyone which said that Brexit presents a unique opportunity for Britain’s fishing industry and that the great advantage would be that UK policy on fisheries would be determined in the UK. That is a splendid idea; I think it is called taking back control and I wonder whether the Minister agrees?

Lord Callanan Portrait Lord Callanan
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As on so many of these matters, the noble Lord speaks great sense, unlike most of the rest of his party. One of the great advantages of Brexit is that we will leave the common fisheries policy, one of the great environmental disasters of our time. We will be an independent coastal nation and we will determine our own fishing policy in future.

Lord Wigley Portrait Lord Wigley (PC)
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Will the Minister address a question raised in the press this morning about a danger to do with lambs and sheep being exported to Europe after Brexit, whether it is a hard or a negotiated Brexit? A logjam in the ports or on the ships may mean that sheep and lambs will be held for days on end in inappropriate circumstances. What are the Government doing to address that?

Lord Callanan Portrait Lord Callanan
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There were concerning reports. All live exports to Europe need to have a journey log approved by the Animal and Plant Health Agency. We would not approve a journey log in the unlikely event of disruption at the borders. Animals would instead be kept on farms or be redirected to abattoirs in the UK.

Lord Davies of Stamford Portrait Lord Davies of Stamford (Lab)
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My Lords, earlier this year, speaking on behalf of the Government, Mr David Davis said that in their negotiations with the EU the Government were committed to obtaining the exact same benefits that we now enjoy as a full member of the single market and the customs union. Does the phrase “exact same benefits” still represent government policy?

Lord Callanan Portrait Lord Callanan
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We are committed to obtaining the best possible deal for the United Kingdom, and we are negotiating hard to achieve that, as any Government should.

Brexit: Negotiations

Lord Callanan Excerpts
Tuesday 9th October 2018

(5 years, 7 months ago)

Lords Chamber
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Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, with the leave of the House, I will now repeat a Statement made in the other place earlier today by my right honourable friend the Secretary of State for Exiting the EU. The Statement is as follows:

“With permission, Mr Speaker, I would like to update the House on the progress in negotiations to leave the EU and the Government’s planning for no deal. Since I last updated the House, our negotiations with the EU have continued and intensified. Over the recess break we have been engaging constructively with our EU counterparts. Let me take the main areas of the negotiations in turn.

On the withdrawal agreement, while there remain some differences, we are closing in on workable solutions to all the key outstanding issues, building on the progress we made during the summer on issues such as data and information, the treatment of ongoing police and judicial co-operation in criminal matters, and ongoing Union judicial and administrative procedures after exit. We have also been discussing proposals on the linkage needed between the withdrawal agreement and the future relationship, and the EU is engaging constructively.

On the Northern Ireland protocol, we remain committed to the undertakings we made in the joint report in December to agree a backstop in case there is a delay between the end of the implementation period and the entry into force of the treaty on our future relationship. That was agreed to avoid any risk of a return to a hard border in the intervening period. But we will not accept anything that threatens the constitutional or economic integrity of the United Kingdom. Creating any form of customs border between Northern Ireland and the rest of the UK, which is what the EU had proposed, would put that at risk, and that is unacceptable. As my right honourable friend the Prime Minister has said, it is not something that she, or any British Prime Minister, could conceivably agree to. We are engaging with the EU on our alternative proposals that preserve the integrity of the United Kingdom. They will be in line with the commitments we made back in December, including the commitment that no new regulatory barriers should be created between Northern Ireland and the rest of the UK unless the Northern Ireland Executive and Assembly agree.

On the future relationship, we continue to make progress: for example, on both the internal and external security arrangements for future co-operation, although there is still some way to go. As the House will know, the Prime Minister presented our proposals on the economic partnership to EU leaders at the Salzburg summit. We understand that the EU has raised some concerns, particularly around the distinction between goods and services under the common rulebook, and with respect to the facilitated customs arrangement. We continue to engage constructively with the EU, and we continue to press our case. The UK’s White Paper proposals are the best way of ensuring there is continued frictionless trade in goods after Britain leaves the EU, while fulfilling the joint commitment to avoid a hard border between Northern Ireland and Ireland, and of course respecting the referendum.

These negotiations were always bound to be tough in the final stretch. That is all the more reason why we should hold our nerve and stay resolute and focused. I remain confident that we will reach a deal this autumn, because it is still in the best interests of the UK and the European Union. It is the best way of protecting trade between Britain and the EU—which underpins millions of jobs across Europe. It is the best way of making sure we continue to co-operate seamlessly on security matters to tackle crime and terrorism to keep UK and EU citizens safe. It is also the best way to avoid a hard border between Northern Ireland and Ireland that would adversely affect communities living there, or separating Northern Ireland from Great Britain, which we will not countenance.

To achieve these aims, the UK has brought forward serious and credible proposals. We continue to engage with the EU to press our case and to better understand the nature of some of its concerns. Equally, it is time for the EU to match the ambition and pragmatism that we have shown.

While we intensify negotiations to secure the deal we want, and the deal we expect, we are also expediting preparations for no deal, in case the EU does not match the ambition and pragmatism we have demonstrated. As the Prime Minister stated on 21 September after Salzburg, the Government have made clear that we will unilaterally protect the rights of EU citizens in the UK in the event of no deal. To the 3 million here, we say: you are our friends, our neighbours, our colleagues; we want you to stay and we will be setting out the details as soon as possible. We also now urge the EU and all its member states to step up and give UK citizens on the continent the same reassurances. It is time, on both sides, to provide all our citizens with that comfort and confidence.

Since I last updated the House in September, we have published 52 more technical notices, in two further batches. They inform people, businesses and other key stakeholders of the steps they need to take if we do not reach a deal with the EU. They cover a wide range of sectors, building on other work that has taken place across Government over the past two years. They enable us to prepare the UK for Brexit irrespective of the outcome of negotiations. They acknowledge that there are risks to a no-deal scenario. But they also demonstrate the steps we will take to avoid, mitigate and manage any potential short-term risks and disruption.

Overall, we have now published 77 technical notices which form part of the sensible, proportionate steps we are taking to prepare the country for every eventuality. Our most recent batch was published on 24 September and is set out in a Written Ministerial Statement today. There are 24 and they range from aviation and the advice for airlines on the impact of no deal and actions for them to consider to maintain services on the day we leave the EU, through to car insurance and the arrangements to ensure green cards will be available free of charge from insurance companies to enable UK drivers to continue to drive on the continent.

The publication of the technical notices enables further engagement as part of our no-deal planning. For example, our earlier technical notice on VAT set out the VAT changes that companies will need to prepare for when importing or exporting goods from the EU, when supplying services to the EU, or interacting with EU VAT IT systems. It was welcomed by the British Chambers of Commerce, and we are grateful to it and all our stakeholders for their constructive, ongoing engagement on that necessary planning.

More broadly, I met the British Chambers of Commerce, the CBI, the IoD, the EEF and the Federation of Small Businesses as part of the Government’s business advisory group on 17 September to make sure we are explaining our negotiating proposals and no-deal planning, and listening to UK businesses of all sizes, and across all sectors. We will keep providing people and businesses with the advice they need as we negotiate our exit from the European Union. We also keep working with the devolved Administrations on all aspects of our planning for exit.

I attended the Joint Ministerial Committee on 13 September. It has now met 12 times and our last meeting was a valuable opportunity to give the devolved Administrations a full update on the negotiations, as well as to discuss the necessary no-deal planning. We continue to listen very carefully to all their views. That is the way, with concerted effort on all fronts, that we have put ourselves in the best possible position to make the best of Brexit. I commend the Statement to the House”.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire (LD)
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My Lords, I start by remarking that I went to the Printed Paper Office to ask for a copy of the Written Ministerial Statement and technical notices that have been published today, but they were not available. I find that very regrettable, as we need to be informed about these things, and I hope that the Minister will ensure that on the next occasion the Written Statement is available.

I find this a profoundly worrying and in some ways surreal Statement. It talks about preparing the UK for Brexit, irrespective of the outcome of the negotiations—in other words, if necessary at the end of March to break all our relations with the European Union. Can the Minister assure us that the British Government are really prepared for that? As the noble Baroness has just said, Rotterdam is well in advance of the port of Dover in its preparations. We are beginning to train the extra customs officials that we would like and to reverse the cut in the number of Border Force officers that the Government have pushed through in the last three years, but there is no way that we can do that between now and March.

I find the confusion within the Government deeply worrying. For example, the Home Secretary has said that we will have the same visa regime for European exchanges as we have now for the rest of the world. In the last two weeks, I have been collecting a certain amount of evidence on how far universities are suffering from the refusal of the visa authorities to allow academic and scientific researchers from outside the EEA to attend conferences in Britain. If we start doing that to the EEA next April, we shall blow up half the networks for scientific research that we have in this country. I speak with particular passion because my son is involved in many of them.

There are elements here which one can really only be humorous about. I congratulate the Government on the element of irony in the Statement with the reference to their pragmatism and the suggestion that it is the European Union that is being rigid while the Conservative Party, which is so well represented on those Benches, is being entirely pragmatic.

On the Northern Ireland issue, I recognise that this is the Conservative and Unionist Party, which by its rigidity in dealing with the Irish problem over 100 years ago contributed to the division of Ireland. It seems to me that now its rigidity may well risk losing not only Northern Ireland but also potentially Scotland. I wonder whether the Government have considered taking more seriously Boris Johnson’s proposal to build a bridge across the Irish Sea. It would have a number of advantages. We could maintain the temporary customs arrangement until the bridge was completed and opened, which would certainly take us 20 or 30 years, and if one were to construct the bridge in such a way that there was room for customs arrangements to be conducted on the bridge, it could become a garden bridge in the event that those arrangements were not needed.

To move on, my wife has just been to a conference in Geneva to discuss as a model EU-Swiss relations, on which she has been an expert for some years, and the question of whether the Liechtenstein model should be taken more seriously. As some people will know, it has a customs union with both Switzerland and the European Union. That seems almost as attractive as the Jersey model, which has been talked about by various sources. The Government refer to their “ambition”, but ambition that would perhaps take us as far as being like Liechtenstein or Jersey is really beyond a joke.

On the question of how we get from here to April, I ask the Minister how far the Government will take the other parties into their confidence over the management of the business that is required. We do not know what has happened to the Trade Bill. When are we going to continue with its Committee stage? What other major pieces of legislation do we need to take through between now and March? The Institute for Government has just produced a report on the very large number of statutory instruments that we will need to consider between now and March. Can the Minister assure us that both Houses will be given time to consider these legislative instruments properly and that they will not be bulldozed through in a panic at the last minute?

I should like to move on to the subject of the future relationship. There was no reference to it in this Statement or to any sort of declaration about our future foreign policy and defence relationships. Again, the Government seem to be in great confusion on this. We have a new Foreign Secretary, who compares the European Union to the Soviet Union. Clearly, we would not wish to maintain foreign policy and defence relationships with an area that was naturally so hostile, yet for the last 40 years much of Britain’s foreign policy and security relationships externally have been conducted multilaterally in partnership with the European Union. When will the Government tell us a little more about what they consider to be important and what sort of pattern they intend the future relationship to have?

Perhaps most worrying is the reference in the Statement to a potential gap, in the case of a delay, between the end of the implementation period and the entry into force of the treaty on our future relationship. Do the Government consider that there may well be a hole whereby we have come to the end of the implementation period but have not yet negotiated a treaty on the future relationship and there is somehow a void, with no firm treaty foundation for the relationship between, say, 2021 and 2024 or 2025? If so, that is deeply worrying. I presume that that is the point at which we would go back to WTO terms, or perhaps that is another piece of loose wording in the Statement.

Lord Callanan Portrait Lord Callanan
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I thank the noble Baroness and the noble Lord for their comments. I shall deal first with the questions from the noble Baroness, Lady Hayter. I reiterate that our blueprint is the White Paper and we continue to negotiate on that basis. We are convinced that it offers frictionless trade, which is what we want to achieve. We are taking forward discussions on that basis and are waiting for a formal response to those proposals from the EU.

On the timescale, as soon as we have an agreement we will bring forward a debate in this House and a vote in the other place on the so-called meaningful vote, and we will then introduce legislation as quickly as possible to implement the withdrawal agreement. We are mindful of the short timescale between then and our leaving date of 29 March to get that legislation through, but considerable planning is being carried out on that basis. Of course, we produced the White Paper before the summer to illustrate that.

With regard to the backstop, the Commission proposal was unacceptable. We will shortly produce our counterproposal, which will meet the requirements as set out in the joint statement in December.

I have not visited the port of Dover. I and ministerial colleagues have visited European capitals and considerable discussions are going on between officials to make sure that there is minimal disruption at Dover.

With regard to no-deal notices, to reiterate the point, we do not want or expect a no deal, but we think a responsible Government should plan for the possibility, and we will continue to publish the no-deal notices to take account of that unlikely possibility.

Lastly, I agree with the noble Baroness’s final point: that we are seriously negotiating at pace. Negotiations in Brussels are ongoing as we speak, and detailed discussions on all the outstanding issues are proceeding.

I can only apologise to the noble Lord, Lord Wallace, if he was not given an advance copy of the Statement—he should have been. I have already raised it with officials and I will ensure it does not happen again, but please accept my apologies for that. He referred to the no-deal notices. I do not know if there is some confusion; we are not publishing any additional no-deal notices today, but there was a Written Ministerial Statement accounting for the no-deal notices that were published a couple of weeks ago.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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They could not find the Written Ministerial Statement.

Lord Callanan Portrait Lord Callanan
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I apologise; you should have been given a copy of that.

Regarding the immigration system, the Home Secretary will be setting out our proposals for a future immigration system shortly.

There are no plans of which I am aware to build a bridge between Scotland and Northern Ireland; maybe other parts of the Government are working on it, but if they are, nobody has told me.

I am not quite sure of the noble Lord’s point on Liechtenstein. I have never heard anybody else talking about a Liechtenstein model, apart from himself. He will of course be aware that Liechtenstein is a member of the EEA, which was rejected a number of times as an option in House of Commons votes. The population of Liechtenstein is about 39,000—about 1/10th of the population of Bradford. I hope he is not seriously suggesting this could be a model we would wish to follow.

Regarding the Trade Bill, our position is that Parliament is likely to be asked to take decisions on amendments relating to the UK’s future relationship. We think it is in Parliament’s best interest to know the terms of the UK’s future relationship with the EU when being asked to take decisions on the Trade Bill, so there will be a pause before we resume progress on this Bill, to ensure we can operate our independent trade policy in all scenarios.

Lord Cormack Portrait Lord Cormack (Con)
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My Lords, naturally I wish my noble friend and his colleagues in government well; we all do. But could he give the House some indication of what he expects the timetable to be between now and the rising of the House for the Christmas Recess? Could he also have a gentle word with the Foreign Secretary and point out that, while it is humorous if he confuses Japan and China, it is serious if he confuses the European Union with the Soviet Union?

Lord Callanan Portrait Lord Callanan
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On my noble friend’s last point, I am not sure I am in a position to give the Foreign Secretary advice. But, to be fair, I looked at his comments, and he did not compare the EU to the Soviet Union; he was making a point about how difficult it is to leave various organisations. I think afterwards he withdrew the exact words he used.

Regarding timescales, it is difficult to be precise. We are still trying to target an agreement by the October summit. As I mentioned in my answer to the noble Baroness, Lady Hayter, we are conscious of the need for proper parliamentary scrutiny of the withdrawal Act, and we are preparing for that, but we need appropriate time to get the legislation through both Houses before 29 March. We have made the EU aware of that timescale, but of course we want to ensure we get the right deal for the United Kingdom. As soon as I have more information on the timescale, the noble Lord will be the first to hear about it.

Lord Lea of Crondall Portrait Lord Lea of Crondall (Lab)
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My Lords, a question has been raised regarding various studies going on in Whitehall about what happens from next year onwards. Can the Minister clarify the reason for some questions being part of the scope of Whitehall studies and apparently some not? For example, a point was made about a month ago concerning the European Economic Area and scenarios of us being part of it. I thank the Minister for his letter to me about it, in which he confirmed we would in any event continue to be part of the EEA for some time after next year. Is it not sensible to have full studies done by Whitehall on the perfectly possible scenarios of what might be dubbed EEA-plus, given some of the discussions swirling around in Europe about reform of the whole EEA? And would it not be sensible for the Minister to acknowledge the case for some flexibility in the way Whitehall operates in this very novel situation?

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Lord Callanan Portrait Lord Callanan
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As I said in previous answers, the House of Commons has rejected the option of remaining in the EEA, and our legal position is that we will leave the EEA when we leave the EU. Seeking to remain in the EEA does not pass the test that the Prime Minister has set for our future partnership. It would not deliver control of our borders or our laws, and it would mean continuing to accept all EU single market rules, so I do not think that is the right future for Britain.

Lord Wigley Portrait Lord Wigley (PC)
- Hansard - - - Excerpts

My Lords, the Minister has stressed once again that the Government are considering and planning for every possibility. In that case, will he confirm that the Government are planning for the possibility of a no-deal Brexit and in those circumstances for a vote in Parliament requesting a confirmatory vote by the people? Can he confirm how long it would take for a confirmatory vote of that sort to be properly organised and take place?

Lord Callanan Portrait Lord Callanan
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I said we are planning for a no-deal Brexit. I do not know what the noble lord means by a “confirmatory vote”. If he means a second referendum, then, no, we are not planning for a second referendum, because we have already had a referendum and the vote was clear.

Lord Kerr of Kinlochard Portrait Lord Kerr of Kinlochard (CB)
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My Lords, the noble Lord, Lord Wallace, drew attention to the possibility of a black hole between the end of the implementation period and the entry into force of the future relationship treaty. As I understand it, the present draft of the withdrawal treaty contains no extension provision. Would it not be as well to include in the treaty the possibility of its extension? I can see that might be controversial with some in this country and with some lawyers across the Channel, but building in the flexibility to be able to bridge that gap could be very valuable. The noble Lord, Lord Wallace, is certainly right that it will take several years to negotiate the agreement, but probably another year to ratify it, since it will be a mixed agreement. So the possibility of extending it being built into the draft—both parties would clearly have to agree—is surely desirable.

Lord Callanan Portrait Lord Callanan
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The terms of the implementation period are already agreed and both sides agreed with the proposal to end the implementation period co-terminous with the end of the current multiannual financial framework. There is no possibility of extending that built into the agreement.

Lord Pannick Portrait Lord Pannick (CB)
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My Lords, can I ask the Minister whether the Government will be participating in the forthcoming Court of Justice of the European Union proceedings on whether there is power unilaterally to revoke the Article 50 notification? If the Government are participating, will they be submitting that there is such power or there is not?

Lord Callanan Portrait Lord Callanan
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This is the subject of legal proceedings, as the noble Lord is well aware. I am not going to answer his question because I am not sure we have made a decision about how we are going to proceed on that yet, but as soon as I know more I will come back to him on it.

Baroness Young of Old Scone Portrait Baroness Young of Old Scone (Lab)
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Will the Minister give me a little practical advice? I have been approached by a number of small and medium-sized enterprises that are rather confused by the technical notes. At what stage would the Minister say that these small and medium-sized enterprises should start in earnest to implement the suggestions made in those notes—now, in a couple of months or never? I would like some advice, please.

Lord Callanan Portrait Lord Callanan
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As with all these things, it is difficult to be precise. However, the noble Baroness will be as aware as I am of the necessary parliamentary timetables that will be involved in passing the appropriate legislation. If we do not have a withdrawal agreement in place in enough time to get it passed by Parliament then we will clearly be looking at a no-deal scenario, given the timescale. I do not want to be any more precise than that. The noble Baroness will probably want to push me on it, but I think she will now have some idea of where we are going.

Brexit: Financial Settlement

Lord Callanan Excerpts
Tuesday 11th September 2018

(5 years, 8 months ago)

Lords Chamber
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Lord Balfe Portrait Lord Balfe (Con)
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My Lords, I beg leave to ask the Question standing in my name on the Order Paper and draw attention to my entries in the register of interests.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, the Prime Minister has been clear that the financial settlement reflects the UK honouring our outstanding commitments made during the period of our membership. Our estimate, based on current assumptions, is that it will fall within the range of £35 billion to £39 billion. This settlement has been put forward within the context of an overall agreement, under Article 50, of the UK’s withdrawal, taking into account the future relationship.

Lord Balfe Portrait Lord Balfe
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I thank my noble friend the Minister for his Answer. Do HMG realise that while any doubt remains as to whether the debts owed to the EU 27 Governments will be honoured, no Minister or civil servant in any member state can contemplate the UK taking part in any other activities, such as Galileo, which might add to those liabilities and thus increase the debt that might not in the event be paid?

Lord Callanan Portrait Lord Callanan
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Of course we are committed to the financial settlement in the context of the withdrawal agreement, but if we do not have a withdrawal agreement, that commitment falls away.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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Does it? It would be quite nice to hear from the noble Lord whether he really means that it would fall away. But whether or not the Government will honour the commitment they have given, can he confirm that they will honour the promises they made to our farmers, and indeed the recipients of other EU funds—whether structural or research money—to maintain the full amount that they receive from Brussels at the moment?

Lord Callanan Portrait Lord Callanan
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Yes, we stand by our commitments.

Lord Marks of Henley-on-Thames Portrait Lord Marks of Henley-on-Thames (LD)
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My Lords, the December agreement on the divorce bill was accepted by the Minister in his first Answer as settling the UK’s existing obligations. Do the Government now accept the Institute for Government’s view that if we reneged, the EU could seek redress, if not in the CJEU, then in the International Court of Justice in The Hague, under Article 70 of the Vienna convention? Does the Minister also agree that such a dispute would not only undermine future co-operation with the EU, as the noble Lord, Lord Balfe, said, but trash the UK’s reputation for honest dealing and would encourage other WTO members to object to our schedules, which any one of the other 163 members could do?

Lord Callanan Portrait Lord Callanan
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Of course, we will respect our legal obligations. We are a law-abiding nation; that goes without question. But there are several conflicting legal opinions as to our liabilities. Your Lordships’ House held a committee of inquiry under the chairmanship of the noble Baroness, Lady Falkner, on which I was privileged to serve. Its conclusion was:

“On the basis of the legal opinions we have considered, we conclude that, as a matter of EU law, Article 50 TEU allows the UK to leave the EU without being liable for outstanding financial obligations under the EU budget and related financial instruments”.


There are alternative legal opinions—in fact, I have spent the morning reading most of them—but it is a complicated area of law. Of course, we want none of these scenarios to come to pass; we want to reach an agreement. Indeed, we have reached an agreement, and we will honour our commitments within the context of the withdrawal agreement.

Lord Kerr of Kinlochard Portrait Lord Kerr of Kinlochard (CB)
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Did the Minister notice that the head of the NAO has said, formally and on the record, that we will be responsible for paying the bills whether or not there is a withdrawal agreement? Does he accept that the costs of £39 billion are the costs of past commitments, not of future access? They are computed as the cost of the commitments we have already entered into. Is he seriously contemplating that the UK would become a defaulted state?

Lord Callanan Portrait Lord Callanan
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At the risk of repeating myself, I said we will honour our legal commitments, but it is a complicated legal area. There are some great legal brains in this House who would, no doubt, want to opine on the matter, but there are different opinions. Ultimately, I suspect this will come down to a matter of politics. We do not want to get into a dispute on these matters and so we have negotiated a settlement. It is hugely complicated, there are a number of different financial areas involved, but we remain confident that we will reach a withdrawal agreement and meet those commitments.

Lord Hamilton of Epsom Portrait Lord Hamilton of Epsom (Con)
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Can my noble friend confirm that nothing is agreed until everything is agreed, and that includes the financial settlement?

Lord Callanan Portrait Lord Callanan
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Yes, that applies to us. It also applies to the European Union.

Lord Watts Portrait Lord Watts (Lab)
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Could the Minister follow on from the earlier question and give some indication of whether an assessment has been made of how much the liability will be for the UK Government if there is no deal?

Lord Callanan Portrait Lord Callanan
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We are confident that there will be a deal but, as I said, if there is no deal, the financial commitment agreed to in the context of a deal will no longer apply. As I said, we will meet our legal commitments.

Lord Butler of Brockwell Portrait Lord Butler of Brockwell (CB)
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My Lords, as a member of the EU sub-committee chaired by the noble Baroness, Lady Falkner, I can say that the Minister quoted it correctly. There is no enforceable action by law, but the committee never denied that the UK would have moral commitments.

Lord Callanan Portrait Lord Callanan
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I hope we will not get into these scenarios. The Vienna Convention on the Law of Treaties 1969 has been mentioned and that might also apply in such circumstances but, as I said, we do not want to get into these scenarios. We are confident that we will reach a deal and as part of that deal we have agreed a financial package.

Lord Mackay of Clashfern Portrait Lord Mackay of Clashfern (Con)
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My Lords, it will not surprise any of us that there should be differences of legal opinion about this sort of question. I hope the Government will be able to press forward with the best proposal I have seen—the one agreed at Chequers—in order that this becomes a purely academic question.

Lord Callanan Portrait Lord Callanan
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Obviously, it is to be hoped that we do not get into any disputes. We remain committed to the Chequers deal; as I said yesterday, we are awaiting a formal response from the EU. We think it is a good proposal, involving compromise on our behalf. We need now to see similar movement and compromise on the EU’s behalf.

Lord Bassam of Brighton Portrait Lord Bassam of Brighton (Lab)
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The former Foreign Secretary says that the EU can “go whistle”. Would the Minister like to comment on Mr Boris Johnson’s remark?

Lord Callanan Portrait Lord Callanan
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I think it is best if I stay away from these particular arguments.

Lord Craig of Radley Portrait Lord Craig of Radley (CB)
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Galileo has been mentioned. Can the Minister give the House any information as to the likely future involvement of this country in Galileo after Brexit?

--- Later in debate ---
Lord Callanan Portrait Lord Callanan
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This matter is the subject of ongoing negotiation. We have already made a substantial commitment to Galileo but we will need access to all parts of it if we are to continue to participate. That is what we want to do and it is what we are negotiating for. These matters remain subject to discussion.

Brexit: No Deal

Lord Callanan Excerpts
Tuesday 11th September 2018

(5 years, 8 months ago)

Lords Chamber
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Lord Robathan Portrait Lord Robathan
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To ask Her Majesty’s Government whether their policy towards withdrawal from the European Union remains that no deal is better than a bad deal.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, we do not want or expect a no-deal scenario. As a result of the significant progress made in negotiations, and the agreement reached at the March European Council on the implementation period, we remain confident that we will secure a mutually advantageous deal with the EU.

Lord Robathan Portrait Lord Robathan (Con)
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My Lords, I find that answer reassuring. It must be to the mutual benefit and prosperity of both the United Kingdom and our friends and allies in the EU to have a proper deal, but could my noble friend illuminate me on one point? If there were to be some form of division between Northern Ireland and Great Britain—be it by keeping Northern Ireland in the customs union or single market or whatever it might be—would that amount to a good deal or a bad deal?

Lord Callanan Portrait Lord Callanan
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The proposed backstop on Northern Ireland is the subject of intense negotiations at the moment. We remain committed to there being no hard border in Northern Ireland and we remain committed to the Belfast agreement, and we are negotiating with those two matters in mind.

Baroness Ludford Portrait Baroness Ludford (LD)
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My Lords, the leaked no-deal alternative to Chequers from the ERG amounts, in the words of the esteemed former Chancellor, George Osborne, to,

“a whole load of other batty ideas from the nether reaches of the Tory Right”,

coming out of the woodwork. He says that they include a “star wars” system and an,

“expeditionary force to retake the Falklands”—

although Argentina is supposedly one of our new trade friends. Can the Government still, with a straight face, give any credence to no deal?

Lord Callanan Portrait Lord Callanan
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I cannot comment on the document referred to by the noble Baroness because I have not read it. However, as I have said repeatedly in this House, we do not want no deal. We are negotiating to get a good deal, but a responsible Government will prepare for every eventuality, and we are preparing for no deal through the issuing of technical notices.

Lord Garel-Jones Portrait Lord Garel-Jones (Con)
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My Lords, while of course it is the case that at this stage no one knows what the outcome of these discussions will be, can the Minister confirm that, just as it was parliamentary statute which authorised the Brexit referendum, as the Supreme Court has ruled, whatever the outcome may be, it must be laid before Parliament?

Lord Callanan Portrait Lord Callanan
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Yes. The withdrawal agreement—about which we spent many a happy hour debating in this House—enshrined that in statute. When we have negotiated a deal, it will be put to a so-called meaningful vote in the House of Commons and it will also be debated in this House.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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Many people in this House will be thinking about the D-day celebrations next year, and of course they will be the first since we will have withdrawn from the great lesson of the war which led to the setting up of the European Union.

If there was to be no deal, it is hard to know what would be the most fearful thing. Would it be that 2 million UK citizens living in the EU had lost their status? Would it be a hard border in the island of Ireland? Would it be the sudden VAT rules, rules of origin and tariff checks at the border? Perhaps it will be the faces of the Brexiteers who meant only to blow off the wheels, not crash the whole economy. The Government are saying that Chequers is the only game in town, but they are throwing millions into preparing for no deal. Will the Minister take a message back to the Secretary of State that Chequers really has no chance of flying and that, by November, we have to have a deal that is acceptable both to Parliament and to our partners in the EU?

Lord Callanan Portrait Lord Callanan
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I can agree with the very last part of the statement made by the noble Baroness. Yes, we want a deal that is acceptable to Parliament and acceptable to our partners in the EU.

Lord Lexden Portrait Lord Lexden (Con)
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My noble friend Lord Robathan referred to the possibility of a division between Northern Ireland and the rest of our country. Will the Minister confirm that under no circumstances—no circumstances —will such a division be permitted?

Lord Callanan Portrait Lord Callanan
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I thank my noble friend, but we have made it very clear to our EU partners that their version of the backstop, which would produce a customs border in the Irish Sea, is completely unacceptable to us. That is why the negotiations are still continuing on that matter.

Lord Watts Portrait Lord Watts (Lab)
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My Lords, the Minister says that it is unacceptable, but is it not the case that unless a deal is agreed with the European Union, that is exactly what could happen?

Lord Callanan Portrait Lord Callanan
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I can confirm that unless a deal with the EU is agreed, we will have no deal.

Baroness Redfern Portrait Baroness Redfern (Con)
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My Lords, deal or no deal, does the Minister agree that clamouring for a second referendum erodes the basis of democracy by suggesting that rule by majority is an insufficient condition for democratic legitimacy? Would that therefore lead to a third referendum, and a fourth to verify the third?

Lord Callanan Portrait Lord Callanan
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I agree with my noble friend that we have had a people’s vote and we are certainly not contemplating a second one. We are going to implement the result of the first referendum in a way that commands the support of this Parliament.

Baroness Hussein-Ece Portrait Baroness Hussein-Ece (LD)
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My Lords, the idea of voting eroding democracy is a very new concept. Can the Minister outline how he expects the public to have confidence when Ministers and other government representatives are advising the stockpiling of food and pharmaceuticals, thus causing alarm to many people, particularly those who are dependent on drugs that come through the EU?

Lord Callanan Portrait Lord Callanan
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We are not advising anyone to stockpile food. I think that the noble Baroness has misconstrued the situation. At the risk of repeating myself, we are negotiating hard for a deal. We expect a deal and we want a deal, but as a responsible Government, we need to prepare for the possibility of a no-deal scenario; namely, either that we cannot reach a deal with the European Union or, alternatively, that Parliament rejects the deal we have negotiated. That is the responsible thing to do. The Liberal Democrats may wish to bury their heads in the sand, but we are taking action to ensure that we are well prepared.

Lord Campbell-Savours Portrait Lord Campbell-Savours (Lab)
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My Lords, how does the Minister interpret the comments of Monsieur Barnier yesterday?

Lord Callanan Portrait Lord Callanan
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I interpret them in the same way that I interpret all comments made by Michel Barnier. Of course his comments of yesterday are welcome, but they need to be followed up with action. We have produced a proposal in the form of the Chequers proposal. We have set it out in a White Paper and we have transmitted it to our European partners. We are actively talking to other European Governments about it. We have compromised, but if there is to be an agreement, there now needs to be similar movement and compromise on the part of the EU. Actions will speak louder than words.

Viscount Waverley Portrait Viscount Waverley (CB)
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My Lords, I understand that the Prime Minister is against the idea of having EU customs officials on the UK side of the border. Will that affect the UK immigration officials working in Gare du Nord?

Lord Callanan Portrait Lord Callanan
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I do not want to go into the specifics of negotiations at the moment, but we are negotiating hard. Clearly, customs is an outstanding area where we need to reach agreement with the European Union. We are looking for pragmatic, sensible solutions.

Lord Purvis of Tweed Portrait Lord Purvis of Tweed (LD)
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My Lords, the Government’s papers on preparing for a no-deal scenario stated that to avoid any disruption in trade, all existing trade agreements made under the aegis of the EU will have to be translated into UK law on exit day. Liam Fox said that a second after midnight next March, they will all be ready. Is that still the Government’s position?

Lord Callanan Portrait Lord Callanan
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The Government’s position is exactly what the Secretary of State for International Trade said.

UK-EU Future Relationship: Young Voters

Lord Callanan Excerpts
Monday 10th September 2018

(5 years, 8 months ago)

Lords Chamber
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Lord Foulkes of Cumnock Portrait Lord Foulkes of Cumnock
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To ask Her Majesty’s Government what opportunities there will be for United Kingdom citizens who have reached the age of 18 since the European Union referendum to have a say on the United Kingdom’s future relationship with the European Union.

Lord Callanan Portrait The Minister of State, Department for Exiting the European Union (Lord Callanan) (Con)
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My Lords, we continue to take a cross-Whitehall approach to engagement with young people, working closely with the Department for Digital, Culture, Media and Sport to ensure that we speak to stakeholders who represent a range of groups and opinions. DExEU Ministers and officials have held bilateral meetings and a round table with youth organisations that represent a cross-section of young people, and this engagement will continue as negotiations progress.

Lord Foulkes of Cumnock Portrait Lord Foulkes of Cumnock (Lab)
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Oh. But may I invite the Minister to join the growing tide in favour of a people’s vote, not because the referendum was corrupted—although it was—but because this will be the first opportunity we will all have to choose between the result of the negotiation, on the one hand, and the status quo on the other? It will be the first time that 18, 19 and 20 year-olds will have had a chance to play any part in it, not having had a chance to do so in the referendum. It matters so much more to them than to us lot.

Lord Callanan Portrait Lord Callanan
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I remind the noble Lord that we have had a people’s vote already. I do not know what he thinks, but I thought that the people voted in the first referendum. David Cameron said, in 2015, that it would be the final decision: a once-in-a generation choice. To use a more personal example, I was not old enough to vote in the 1975 referendum, in which he no doubt participated. I cannot remember much about what happened then, but I might well have voted no, and I have had to live for 40 years with the decision that his generation took. That is in the nature of binary referendums: those old enough and eligible at the time participate.

Lord Forsyth of Drumlean Portrait Lord Forsyth of Drumlean (Con)
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My Lords, does my noble friend not think it absurd that the noble Lord should be arguing for a second referendum on our decision to leave the European Union while at the same time arguing against a second referendum on Scottish independence?

Lord Callanan Portrait Lord Callanan
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None of the positions that the noble Lord takes strikes me as particularly more absurd than any of his other positions.

Baroness Smith of Newnham Portrait Baroness Smith of Newnham (LD)
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My Lords, your Lordships’ House voted for 16 and 17 year-olds to be enfranchised in the 2016 referendum. The then Prime Minister was determined that they should not be enfranchised. As the noble Lord, Lord Foulkes, said, those people have now reached maturity. In a general election, one would expect to be able to vote to kick out the Government and, at the age of 16 or 17, be able to vote at the next general election. The same is not being said of the referendum. For how long is the 2016 referendum meant to be valid? If we stopped holding general elections, I might have stopped the clock in 2010 and we would have had Liberal Democrats in government in perpetuity.

Lord Callanan Portrait Lord Callanan
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I am not sure how popular that would have been. Of course, young people who are 16 or 17 will be able to vote in the next general election. No doubt they will have the option, if they are particularly crazy, of voting Liberal Democrats—who may well put the option of rejoining the European Union in their manifesto. We will see how many votes they get on that basis.

Lord Haselhurst Portrait Lord Haselhurst (Con)
- Hansard - - - Excerpts

My Lords, is that not tantamount to the noble Lord suggesting that it would be possible for 16 and 17 year-olds to have a chance, two years after a general election, to record their opinion?

Lord Callanan Portrait Lord Callanan
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People have opportunities to record their opinion all the time. It is the nature of a democratic society. As people reach maturity, they vote in local council elections—or some do—and in general elections, and occasionally, one or two of them might even vote Liberal Democrat.

Baroness Hayter of Kentish Town Portrait Baroness Hayter of Kentish Town (Lab)
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The Minister’s colleague until very recently, Steve Baker, warns of a Conservative split if we stick to Chequers. Boris Johnson used his usual rather distasteful language also to undermine Chequers, and this morning, Simon Clarke of the ERG seemed to want anything other than Chequers, whereas the noble Lord, Lord Maude, in this House now supports the EEA. Whether the final deal is agreed by the Commons or by the people, is it not time that the Minister fessed up and admitted that this Chequers deal will simply never fly?

Lord Callanan Portrait Lord Callanan
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The noble Baroness has illustrated the breadth of opinion that there is on the subject in her party as well as in mine. All we can do as a Government is to set out a credible, realistic proposal. We are negotiating on that basis and waiting for a formal response from the European Commission. We will negotiate the best possible deal that we can for the United Kingdom and then, as we have said, we will put that agreement to a vote in the House of Commons and MPs will determine whether it meets with their approval.

Lord Newby Portrait Lord Newby (LD)
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The Minister is keen to talk about the Government respecting the will of the British people. How does that square with the fact that every recent opinion poll has shown that a significant majority want a vote on any deal, or lack of deal, and that if there were such a vote, a majority say that the country would vote to remain? Are the Government respecting the current will of the British people?

Lord Callanan Portrait Lord Callanan
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It might surprise the noble Lord to know that we do not have government by opinion poll. If we did, we might have some strange results, such as on capital punishment, which he might not support. As I said, we are taking forward the proposals that we put forward in good faith. We are negotiating on them and will put the result of the negotiations to a vote in the House of Commons and a take-note debate in this House, and then we will see where we go from there. That is what we have said, and we can only do our best in those circumstances.

Lord Lansley Portrait Lord Lansley (Con)
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My Lords, has my noble friend noted that, by spring next year, the number of young people who will have attained the age of 18 since June 2016 will exceed in number the majority in the referendum that took place in 2016? Those nearly 2 million young people know that the referendum determined that we should leave the European Union, but it is evident from the debates in this House and the other place that the nature of our future relationship with the European Union is anything but settled. Does my noble friend have a suggestion as to how all those young people might have the opportunity to express a view and perhaps give their consent, if necessary, to whatever conclusion Parliament reaches about the nature of that future relationship?

Lord Callanan Portrait Lord Callanan
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I assume that that was an obtuse reference to having another referendum. I think that the practical difficulties of that are immense. For a start, there are a number of opinions in this House and elsewhere about what any question should be. It would take at least a year—and possibly longer—to get the legislation through. I can imagine all of the arguments; it took 13 months for us to have the last referendum. There would have to be opinions from the Electoral Commission on what the question should be. Some people want a vote on the principle of leaving or not; others want a vote on the final deal. In the meantime, we are leaving the European Union on 29 March next year. What is supposed to happen in the meantime? The whole thing would be chaos. We are going to negotiate the best deal that we possibly can in the interests of this country. As I said, we will put that deal to a vote in both Houses.

Lord Hughes of Woodside Portrait Lord Hughes of Woodside (Lab)
- Hansard - - - Excerpts

How can it make sense to have a referendum on what might be, but refuse to have a referendum on what it actually is? What is the difference between the previous referendum and the one we are thinking of now? You will be asked to judge on what actually is the case for leaving, not on the hypotheticals one way or the other.

Lord Callanan Portrait Lord Callanan
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I think that if there was a referendum, people would vote to leave just the same. Anyway, we are not going to have a referendum, so we are not going to find out. We are going to put the deal that we negotiate to the House of Commons, as is proper in a democracy, and it will take a decision about whether it accepts it or not.

Viscount Waverley Portrait Viscount Waverley (CB)
- Hansard - - - Excerpts

My Lords, will the Government give an undertaking that in the event of a referendum on the final outcome, nobody will be disenfranchised, particularly in relation to the 15-year rule?

Lord Callanan Portrait Lord Callanan
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We do not need to give an assurance on such matters because we are not going to have another referendum.

Lord Harris of Haringey Portrait Lord Harris of Haringey (Lab)
- Hansard - - - Excerpts

My Lords, in his initial Answer to this Question the Minister talked about the various engagement activities that were taking place with young people. Could he tell the House how he personally has engaged with the people whom we are talking about now, who were disenfranchised because of their age at the last referendum? Could he tell us whether the minutes of those discussions are available and what he personally learned from those discussions? If it transpires that he has not had any discussions, is it not rather odd that a Minister from his department has not been engaged in talking with young people, who are most affected by these decisions?

--- Later in debate ---
Lord Callanan Portrait Lord Callanan
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We as a Government as a whole have regular engagement with young people’s organisations. As I said, the lead for that is taken by the Department for Digital, Culture, Media and Sport; but we regularly hold round-table meetings, and surprisingly young people come to some of those as well. I have had meetings with religious and business organisations, and others. We will continue to engage with all sorts of different organisations. It is not just young people who vote in these referendums; other people also have a say and are entitled to have their opinion heard. We made a decision as a country, as a whole, and that opinion will be respected.