European Union (Future Relationship) Bill

Debate between Ed Davey and Jonathan Edwards

2nd reading & 2nd reading: House of Commons
Wednesday 30th December 2020 Commons Chamber

[Ed Davey (Kingston and Surbiton) (LD)]

Our country is gripped by two crises: Britain’s hospitals are overwhelmed and Britain’s economy is in the worst recession for 300 years. A responsible Government, faced with those crises for people’s health and jobs, would not pass this bad deal, for it will make British people poorer and British people less safe.

This is not really a trade deal at all; it is a loss of trade deal. It is the first trade deal in history to put up barriers to trade. Is that really the Government’s answer to British businesses fearing for their futures and British workers fearing for their jobs? We were told that leaving the EU would cut red tape, but the deal represents the biggest increase in red tape in British history, with 23 new committees to oversee this new trade bureaucracy, 50,000 new customs officials and 400 million new forms. Some analysts estimate the cost of this new red-tape burden for British business at over £20 billion every year. This is not the frictionless trade that the Prime Minister promised.

[Jonathan Edwards]

I fully agree with the points that the right hon. Member is making. Is he concerned at reports that the lack of equivalence for sanitary and phytosanitary measures means that Welsh farmers will face more red tape exporting to the EU than New Zealand farmers?

[Ed Davey]

I completely agree with the hon. Gentleman; he is absolutely right. The more businesses see this, the more they will be very disappointed. These reels of red tape will put more jobs at risk at a time when so many are already being lost to covid, and all these new trade barriers will raise prices in the shops at a time when so many families are already struggling to make ends meet. From the failure to agree a good deal for Britain’s services sector—80% of our economy—to the failure to agree a stable deal that investors will trust, this is a lousy deal for Britain’s economic future.

The Conservatives can no longer claim to be the party of business, and with this deal they can no longer claim to be the party of law and order, for our police will no longer have real-time, immediate access to critical European crime-fighting databases such as Schengen II. Such sources of key information about criminals and crimes are used every single day by our police; in one year alone, they are used over 600 million times, often in the heat of an investigation. Thanks to the Prime Minister’s deal, British police will lose that privileged access and criminals will escape.

There are so many things wrong with this deal, from its failings on the environment to the broken promises for our young people on Erasmus, yet the irony is that, for a deal that is supposed to restore parliamentary sovereignty, our Parliament has been given only hours to scrutinise it while the European Parliament has days. And business has just days to adjust to this deal. The Liberal Democrats called on the Prime Minister to negotiate a grace period to help businesses adjust, forgetting, of course, that this Government no longer care about business.

The Government leave us no choice but to vote against this deal today. Perhaps that will not surprise too many people—the Liberal Democrats are, after all, a proud pro-European party who fought hard against Brexit—but we have genuinely looked at this post-Brexit trade deal to assess whether it is a good basis for the future relationship between the UK and the EU, and it is not. To those who argue that a vote against this deal is a vote for no deal, I say this: the Liberal Democrats led the charge against no deal when this Prime Minister was selling the virtues of no deal.

Today, the question is simple: is this a good deal for the British people? It is a deal that costs jobs, increases red tape, hits our service-based economy, undermines our police and damages our young people’s future. It is a bad deal, and the Liberal Democrats will vote against it.

Annual Energy Statement

Debate between Ed Davey and Jonathan Edwards

Thursday 31st October 2013 Commons Chamber

[Mr Davey]

I have good news for my hon. Friend. We do have generous support for tidal energy and many tidal energy developers are coming forward with ideas, which we want to encourage.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Wales is a net exporter of electricity—we are an electricity-generation-rich nation. Can the Secretary of State explain, therefore, why electricity prices in my country are among the highest in the British state?

[Mr Davey]

We are pleased that Wales is making such a contribution. That is good for the Welsh economy and Welsh jobs, and I hope that the hon. Gentleman supports the fact that our policies are ensuring that the energy industry is strong in Wales. He knows that distribution costs vary across the country, and it is not only Wales that has higher-than-average bills. Ofgem keeps the issue under review.

UK Nuclear Energy Programme

Debate between Ed Davey and Jonathan Edwards

Monday 21st October 2013 Commons Chamber

[Mr Davey]

Yes, we envisage a series of new nuclear power stations being built. I and other members of the Government have, on various trips, engaged in commercial diplomacy, meeting potential investors and nuclear companies in other countries, and there is huge interest in the nuclear market. When German companies RWE and E.ON put the Horizon consortium on the market everyone said, “This is a disaster. It shows that nuclear policy isn’t working.” Far from it. We had huge interest from around the world. Hitachi ended up paying nearly £700 million for the privilege of having the consortium, even before it had got its reactor design through the generic design assessment. That is the level of interest and the vote of confidence in our policy.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Should energy transmission infrastructure developments, which accompany such energy generating developments as this, be constructed underground?

[Mr Davey]

The detail of transmission infrastructure is sorted out by National Grid under legislation passed some time ago. In many areas, particularly in areas of rural beauty, people want more undergrounding of cables. The hon. Gentleman will know that that can be expensive. There are a number of inquiries at the moment, not least in Wales, and it would be inappropriate for me to comment on them.

Consumer Focus Wales

Debate between Ed Davey and Jonathan Edwards

Wednesday 14th September 2011 Westminster Hall

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Mr Edward Davey)]

May I start by thanking my hon. Friend the Member for Ceredigion (Mr Williams) for securing the debate? As he said, he and my hon. Friend the Member for Brecon and Radnorshire (Roger Williams) came to see me in June, just after the consultation had begun, to press their case. My hon. Friend the Member for Ceredigion has pressed his case again today with his usual energy and enthusiasm. He was right to discuss in his initial remarks the excellent work done by Consumer Focus Wales. Any changes made will not reflect on that work; in many ways, we want to build on it and its excellence in representing consumers in Wales.

My hon. Friend mentioned Sharon Mills, whose son Mason tragically died during an E. coli outbreak in Wales. Ms Mills showed through her excellent work on food safety with Consumer Focus Wales that citizens can play a role. It also shows that Consumer Focus Wales has done an excellent job.

My hon. Friend is right that we are still consulting, and the consultation will not close until the 27th of this month. To reassure him and other Members, particularly Members from Wales, that we are listening, I can tell him that officials from my Department will be in Cardiff next week talking to officials in the Welsh Government about what they want. We have a genuine desire to reach out, listen, consult and find a way forward, and to ensure that all the great things that Consumer Focus Wales has done are maintained and that the Welsh voice is heard in whatever we end up with as a result of the consultation.

We must await the end of the consultation process. We will consider all responses carefully, but we believe that our proposals to rationalise further the functions of consumer protection bodies, strengthening the front line of consumer protection while reducing the complexity, confusion and waste of the current wide variety of bodies, are a positive step forward for consumer advocacy in Wales and across the UK.

We have absolutely no intention of reducing the level of support afforded to consumers across Wales; in fact, the whole purpose of the exercise is to see how we can improve it. I agree with the assertions made by the Welsh Government and Consumer Focus Wales that Consumer Focus Wales’s functions in representing Welsh consumers should be retained in Wales. The organisation’s important role in providing support for particularly vulnerable consumers, for example, which my hon. Friend asked about, will remain under the new regime.

Exactly how that role will be delivered is obviously still under consideration and will need to include comments from the ongoing consultation, but as I said, we are talking with interested parties, including the Welsh Government and Citizens Advice, to design a model of consumer representation in Wales that meets our objective. We believe that the concerns expressed by my hon. Friend and Consumer Focus Wales are not insurmountable, and I hope that we can cover them all in our considerations.

[Jonathan Edwards]

Consumer Focus Wales has an agreed funding formula with Consumer Focus. Will the Minister ensure that any successor body has funding comparable to that currently enjoyed by Consumer Focus Wales?

[Mr Davey]

The hon. Gentleman will understand that that is part of the deliberations and consultation. I cannot pre-judge the findings of the consultation, but funding is clearly key among our decisions.

One big issue raised is governance in Wales. We see no reason why the new model cannot replicate the current one. We understand how important it is that decisions affecting Welsh consumers should be made in Wales. I hope that that reassures hon. Members.

We do not want to add layers of bureaucracy. In these difficult times, that would be wrong, as my hon. Friend said. Although it is important that each country should have national representation on issues of specific interest to it, universal industries should also continue to have a single national voice and should not have to negotiate three or four times whenever they wish to do something.

For example, if Royal Mail wished to make even a minor change to their service, devolvement of consumer advocacy, which some have proposed, would require them to have detailed conversations three or four times over, which could lead to differing levels of service. I hope that hon. Members can understand that some industries covering the whole United Kingdom are not devolved, and that we do not want to add unnecessary costs that will not serve the consumer.

--- Later in debate ---

[Mr Davey]

I am glad that the hon. Gentleman made that point, as it enables me to clarify something that has been slightly confused in this debate. One must remember that at the moment, Citizens Advice has a national organisation, which undertakes much of its research for consumers, and local bureaux. We are talking about the national organisation, Citizens Advice, taking forward the work of Consumer Focus and other organisations to ensure a powerful research and expertise base for advocacy, education and information at the national level.

[Jonathan Edwards]

Will the Minister give way?

[Mr Davey]

I must end my remarks, I am afraid.

That will be in no way affected by local pressures. Most funding for the national work comes either from levies or from the taxpayer; a lot of the local funding comes from local government. They are two connected organisations, and the strength is in their connection.

Citizens Advice, the national organisation, gets information fed up from the grassroots all the time. That is one reason why the brand is so trusted and why the organisation has a special, and perhaps unique, role to play in our country. Citizens Advice has local representation through its bureaux in communities. Although those bureaux will not be conducting research, they will be able to feed into the analysis. That is particularly important for the most vulnerable in our society. It is another reason why I think that our model has a lot of strengths.

I emphasise that Citizens Advice has an excellent track record of advocacy on behalf of consumers at a national and local level. We want to build on that track record and the brand awareness that it enjoys and direct resources for consumer education, information, policy and advice to Citizens Advice. We also want to bring together local, bottom-up information with the national research and expertise currently carried out by Consumer Focus, which is, as we have heard, of extremely high quality. That will create a powerful consumer body to which businesses will have to listen.

We do not intend to lose the experience and expertise held at Consumer Focus. Instead, we want to bring together its policy and research expertise, especially in the energy and postal services sectors, with the long-standing success of Citizens Advice and its bureaux in helping consumers. By operating in that way, we can connect consumer policy and research functions with the concerns and problems of citizens in their communities. There are benefits to be realised by making that connection. We remain committed to working with all, including those across Wales, to make it a reality.

Question put and agreed to.

Postal Services Bill

Debate between Ed Davey and Jonathan Edwards

Wednesday 12th January 2011 Commons Chamber

[Mr Davey]

I beg to move, That the Bill be now read the Third time.

We have had an excellent debate on the Bill, not just today but throughout its passage through the House. Hon. Members have rightly spent a lot of time scrutinising the detail of our proposals, but I would ask all of them to stand back and remember what we are trying to achieve. We are trying to preserve two great British institutions—the Royal Mail and the Post Office. As we heard from Richard Hooper in his reports, both to the previous Government and to this one, unless we take urgent action, the future of the universal postal service is at severe risk.

Letter volumes are declining faster than anyone predicted—15% in the past five years alone—and some estimates suggest that they could decline by up to another 40% over the next five years. Is Royal Mail yet ready for this most challenging of business trends? Without the Bill, I believe not, for despite some progress on modernisation, Royal Mail has not adapted sufficiently to that market decline. Unless we take action, that will only worsen and Royal Mail’s position will become even more precarious. Let all hon. Members be in no doubt: doing nothing is not an option.

The previous Government recognised that, for in many ways the Bill is similar to that which was put before the other place by the previous Government in 2009. The previous Business Secretary was aware of the need for urgency. He said:

“We cannot simply ignore these facts, or put our plans in a bottom drawer”.—[Official Report, House of Lords, 10 March 2009; Vol. 708, c. 1068.]

Unfortunately, the previous Government ended up ignoring the facts. As they oppose the Bill, I suggest that the Opposition ought to go back to that bottom drawer. If they look hard enough, they might find the bottle that they lost in 2009.

The present Government are aware of the urgency. That is why we have pressed ahead with the Bill so early in the Parliament. We will send to the other place a Bill that is significantly better than the previous Government’s 2009 Bill. It is better for employees of Royal Mail, with employee shares to give them a genuine stake in the future of the business. It is better for the Post Office, setting it free and creating the possibility for a mutual ownership model in the future. Above all, it is better for the universal postal service and Royal Mail, as our Bill takes a more flexible approach to regulation and is much better structured to attract the private investment that this business desperately needs.

The House should have no doubt about the overriding aim of the Bill. It is to protect the universal postal service. I do not believe it is possible to protect that in the public sector any longer—at least, not without ever-increasing levels of taxpayer subsidy, which even Lord Mandelson, as he doled out largesse in the run-up to the last election, would have baulked at.

Royal Mail needs to modernise. Its business is changing with the impact of the digital world. I am sure that I was not alone among hon. Members in paying a Christmas visit to local delivery offices in my constituency. Not only was I impressed by the hard work of Royal Mail employees, dealing with some of the worst weather conditions in living memory, but I was staggered by the huge increase in the volume and size of parcels. No one, none of the posties there, had seen anything like it.

In recent years, the volume of internet shopping has been increasing, especially items such as books and CDs, but now it seems that the British consumer’s confidence in internet shopping has grown dramatically. That is good news for the longer-term future of Royal Mail. Although the increase in parcels will not offset the decline in letter mail, and the parcels sector is intensively competitive, there is a chance—an opportunity —for Royal Mail to grow.

The other dramatic impression that one has after visiting Royal Mail sorting and delivery offices and then visiting similar sites elsewhere—as I did in Berlin, visiting a Deutsche Post sorting office—is the lack of capital investment in Royal Mail so that it can make the best of this opportunity. Since Deutsche Post shares were first sold in 2000, it has invested the equivalent of £11.7 billion and about half of that investment has gone on modernising its parcels and express business because it knows that that is the future for its organisation.

We need to give Royal Mail that sort of freedom to invest in the delivery businesses of the future. We need to ensure that it can access capital, not just for its immediate modernisation plans, but well into the future. I do not believe that if it remains constrained by Treasury borrowing, it could ever access the right amount of cash, with the commercial speed needed.

As we privatise, we are ensuring that the employees get a good deal. Our pension plans and our employee share plans must represent the best deal on offer to any large group of employees in the UK today. I am immensely proud that Liberal Democrats in government with our coalition partners are delivering the deal on pensions that Labour failed to deliver, and I am immensely proud of the strongest legislative commitment to employee shares in any major privatisation.

Given the time, although I want to say something about post offices, before doing so I shall comment on stamp design. The amendments passed by the House will ensure that Her Majesty’s head will appear on stamps in the future.

[Jonathan Edwards]

rose—

[Mr Davey]

Let me anticipate the hon. Gentleman, because the concerns that the nationalist parties expressed in their amendments are unfounded. The Bill will ensure that nationalist emblems can be placed, and be required to be placed, on stamps in future. I hope that he is reassured by that.