(2 days, 8 hours ago)
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Dr Pinkerton
Thank you, Mrs Barker.
As I say, those are the experiences of 11,000 businesses, which the hon. Gentleman would dismiss with ease—he should really reflect on that. The model that I think he is adopting here is that an athlete could win a race with weights tied around their ankles. He would credit those weights with boosting the athlete to the finish line, whereas we would all recognise that the athlete was perhaps a little bit slower than they might otherwise have been.
Ben Coleman
I must apologise, Mrs Barker, if we look as if we are having a debate just with the hon. Member for Harwich and North Essex. However, does the hon. Member for Surrey Heath (Dr Pinkerton) not find it strange how picky the hon. Member for Harwich and North Essex is being in the facts that he chooses to employ? Last year, Poland grew by 3.75% and Spain by 2.8%; their growth outstripped ours. Of course there will always be some in the European Union who grow less quickly than we do and others who grow more. That is just the nature of things. It is not a fundamental basis on which to make an anti-European Union argument. Would the hon. Member for Surrey Heath not agree?
Dr Pinkerton
I am grateful to the hon. Gentleman. I would think that representatives from the Conservative party would be particularly well informed about the historic teachings of Adam Smith, who 250 years ago, in 1776, recognised that economic growth comes when we increase the size of the market. That is precisely what the European Union so successfully does.
The figures that I announced just before the interventions are not fictitious, but they are extraordinary. They represent lost investment, lost productivity and billions lost in forgone tax revenues that could have supported the NHS, schools and our armed forces. For small exporters, Brexit means paperwork, delays and costs that can determine whether an order is worth taking. For manufacturers, it means more expensive supply chains and greater uncertainty. For our economy, it means competing with one hand tied behind our back.
However, the consequences run far deeper than economics. A stronger economy can also mean a stronger and more united country. When living standards rise, when people have a sense of hope that they may be better off tomorrow than they are today and when opportunities expand and communities feel more secure, the politics of resentment and division, which so often characterises our modern political scene, has less fertile ground in which those sentiments can take root. Growth can help to starve Reform and other parties of that ilk of the oxygen of perma-grievance that they so desire and which they would have us long term committed to. Closer European integration offers a route towards resolving the awkward trading and constitutional compromises imposed on Northern Ireland by Brexit. A better relationship with Europe can strengthen the United Kingdom’s cohesion and secure its future.
Let us consider British manufacturing. From Nissan in Sunderland to Jaguar Land Rover in Solihull, our automotive industry sustains skilled employment, innovation and entire communities. More than half of all British car exports go to the European Union, yet Patrick Minford, one of Brexit’s most prominent economic advocates, argued that Brexit would require Britain to run down its car industry. We reject the suggestion that British manufacturing is expendable, but the risks are today growing. Europe’s proposed “Made in Europe” measures could disadvantage British manufacturers, particularly in automotive production and steel. We can lobby, negotiate and ask for concessions, but we no longer have a vote; we are no longer in the club. The Society of Motor Manufacturers and Traders highlighted the importance of predictable rules, integrated supply chains and access to export markets. If investment goes elsewhere, British workers pay the price. The same organisation has now said that the British car industry is facing an existential crisis if this cannot be resolved.
In addition, economic strength and national security are increasingly inseparable. Russia’s war against Ukraine, China’s growing economic coercion and President Trump’s challenge to long-standing assumptions have changed the strategic landscape. The world has changed. Europe in 2026 faces profoundly different challenges from the ones that it faced in 2016. Our politics has to catch up. Our security depends on industrial capacity, resilient supply chains, technological innovation and trusted allies. A country that cannot sustain its industries will struggle to sustain its defences, and economic isolation makes strategic independence harder to achieve.
That is why the Liberal Democrats have proposed a growth and defence partnership with the European Union—a partnership bringing Britain back into the single market and establishing a bespoke UK-EU customs union, removing trade barriers, restoring confidence and unlocking investment. It would restore freedom of movement, renewing opportunities for British citizens to live, work and study across Europe, and it would deepen security co-operation through a defence pact underpinned by a European security council. We should deepen co-operation on defence, energy, critical technologies and supply chains, and Britain should seek access to the EU’s SAFE programme, supporting our defence industries and skilled jobs. That is the partnership demanded by the geopolitical realities of the 21st century. It would mean a more prosperous, resilient and secure Britain, and be the foundations of something much more ambitious.
We believe that Britain’s long-term future lies within the European Union. We want Britain to shape Europe’s future, contributing to its collective strength and prosperity. But that future depends on our European partners’ consent, confidence in Britain’s intentions and a willingness on both sides to make lasting commitments.
After the turbulence of the past decade, trust must be rebuilt. Therefore, our immediate priority is a growth and defence partnership that delivers economic benefits now while demonstrating that Britain is, once again, a serious, dependable European partner. Our destination is clear; a growth and defence partnership is how we get moving.
The Prime Minister has indicated a willingness to reconsider the Government’s self-imposed red lines. I welcome that, but a willingness to reconsider will not revive British manufacturing, and tinkering at the edges of an inadequate trade arrangement will not transform our economic prospects. I urge the Minister to match that rhetoric with ambition: begin negotiations on a customs union, open the door to the single market and build the defence partnership that this changing world demands. The question facing Britain is no longer whether Brexit was a success; it is whether we have the political courage to confront its consequences.
Our neighbours will remain our neighbours and our prosperity and security will remain bound up with Europe’s. We cannot change our geography, but we can change our politics. We can rebuild trust, remove barriers and restore Britain’s place as a confident, influential European nation. We should begin now.