Draft Freedom of Establishment and Free Movement of Services (EU Exit) Regulations 2019 Debate

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Department: Department for Business, Energy and Industrial Strategy

Draft Freedom of Establishment and Free Movement of Services (EU Exit) Regulations 2019

Alison Thewliss Excerpts
Monday 21st October 2019

(4 years, 6 months ago)

General Committees
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Alison Thewliss Portrait Alison Thewliss (Glasgow Central) (SNP)
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It is a pleasure to see you in the Chair, Mr Hanson; I, too, pass on my congratulations. The SNP agrees with Labour: we oppose the regulations and the way in which they are being brought about, which is completely inappropriate. It is inappropriate to lump satellite decoder cards in with people. This is about people’s lives and people’s businesses.

The Government are making it more and more difficult for people to continue their lives in the UK. Those two things should not be lumped together in the same Committee, hidden away on a first-floor corridor. The measure should be part of the immigration Bill, which would allow us to debate it, move amendments and have some degree of control over the process. The Government are taking control away from the House in this hidden Committee, and that is despicable. EU nationals, Turkish nationals and other EEA nationals are finding out about the measure through the grapevine and the work of the3million and others, and they are, frankly, appalled that the Government would add insult to injury by doing it in this particularly heavy-handed way.

The best way to guarantee that rights are reciprocated is to take the first step, because the UK Government are making the change and going about Brexit. It would be an act of good faith to make sure that we did our best to protect rights, rather than remove them. No one is going to reciprocate if we start to remove rights in this country.

The regulations will further erode the rights of EU citizens by removing their right to be self-employed, to own and manage companies and to provide services in the UK on the same basis as UK nationals. It is odd that the Conservative party, which is supposed to be the party of small businesses and entrepreneurs, is taking action today to undermine them. It keeps claiming that it supports them, but it is not there for them at their time of greatest need, when they need their rights to be protected.

The regulations remove the rights of EU citizens to bring nationality discrimination claims in relation to those rights. It is sinister that people cannot even fight when there is discrimination against them, and it certainly does not bode well for the future Brexit—certainly not for the people I know. It also does not chime with the promises made by the right hon. Members for Uxbridge and South Ruislip (Boris Johnson), for Witham (Priti Patel) and for Surrey Heath (Michael Gove). They all promised that EU citizens would be automatically granted the right to remain and that they would be treated no less favourably than at present. The regulations do quite the opposite.

The hon. Member for Sefton Central mentioned a lot of the things in the3million’s briefing, which I will not reiterate, but the Public Law Project also provided a comprehensive briefing that mentions its four key concerns with the regulations. First, it is concerned that secondary rather than primary legislation is being used to make significant policy changes and to disapply important rights. Again, this Committee is not the proper place to do that.

Secondly, the Public Law Project is concerned that the changes may have an impact on immigration rights and should be included in the immigration Bill, which is stuck—logjammed. We do not know whether it will ever conclude, because this Parliament is so uncertain. The Government probably do not have the numbers for that either, so it is in their interest to stick it in Committee rather than make any progress. Thirdly, the Public Law Project is concerned that the regulations go beyond the powers conferred on Ministers by the Henry VIII powers in section 8 of the European Union (Withdrawal) Act 2018 and, fourthly, that no impact assessment was done before laying them, despite the obvious impact on businesses and individuals.

The Secondary Legislation Scrutiny Committee in the Lords picked up on that issue, and noted that:

“removing the treaty rights will mean that the people and businesses affected will not be able to use the rights to challenge possible new policies or regulations in the UK which place restrictions on their access to the UK Internal Market after exit.”

All the things that the Government have done on the hostile environment until now have had a deliberately chilling effect—they do not want people to come here. That is the message being sent to EU nationals by the regulations.

My hon. Friend the Member for Linlithgow and East Falkirk (Martyn Day) had an email from constituents in that vein this evening, and he asked me to pass it on. They are a couple who have businesses, who say:

“Apart of the fact that this is highly discriminating, my husband and me will be personally affected by this as we are both running businesses in West Lothian as full time occupation. Both of us have already been granted Settled Status and I was of the impression that this would keep our rights intact. Apparently now, the government is seeking ways to frustrate those rights through the backdoor, which will ruin the livelihood of so many…We love Scotland. This is our home and would like to stay here, however, if we are stripped of our rights and our livelihood, it would be impossible for us to stay.”

That is how EU nationals feel about the issue, Mr Hanson. They feel as though their rights are being undermined in a sneaky, sleekit, underhand way up in this Committee Room this evening.

Stuart Gregory, managing director of Lentune Mortgage Consultancy, emailed every member of the Committee, I think, to express his concerns. He and his wife started a business together in 2008 after the financial downturn caused him to be made redundant from his job. He said:

“This issue even being put forward by Government is appalling, and to threaten the removal of rights to run a company in the UK is making me feel quite sick—it’s literally treating EU Nationals as 2nd class citizens—which I’m sure would excite many leave voters.

If this comes to pass, I’m disgusted by how my country has fallen into the gutter.”

That brings me to the heart of the issue, because it is appalling and inappropriate that the regulations are being brought forward in this way. It is a sad state of affairs that the rights of EU nationals are being debated in this way and that the rug is being pulled out from under people in this cruel and underhand way. It is no wonder that EU nationals, EEA nationals and Turkish nationals have a lack of faith in the Government and in due process, because they see this underhand thing happening time and time again: people are promised, “Nothing will change—everything will be fine. Don’t worry. Fill out this form. Do that.” That is not how it feels to them.

Perhaps the Minister thinks I am talking nonsense; perhaps, in his heart of hearts, he knows I am right. He should withdraw the regulations and do things properly. The Government should not be sneaky about it. Yes, we need to look at the issue of satellite decoder cards—perhaps that is quite important. But it is not as important as people’s lives and livelihoods and their feeling that they want to live in a country where they feel welcome. Many of the EU nationals who I speak to on the doorsteps of Glasgow Central voted no in 2014 because they wanted to retain their EU membership. That is very much what they were told in 2014. They voted to remain in 2017. They have seen how EU nationals have been treated over this five-year period and the rhetoric that comes from the Government. The EU nationals who I spoke to on the doorsteps of Glasgow Central over the weekend are going to vote yes when they get their chance, because they see how the UK is going, and they want none of it. I completely reject the regulations and will vote against them.

--- Later in debate ---
Nadhim Zahawi Portrait Nadhim Zahawi
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May I start by sharing with the Committee my dismay and disappointment at the conflating of this SI with issues of immigration and the status of European citizens, as well as those from Turkey and Switzerland, who work hard and deliver services here?

The hon. Member for Glasgow Central might not have been in the room when I confirmed that the Government sought and received the consent of the devolved Administrations in Scotland and Wales because we wanted to make sure that we received consent before we moved forward, but I hope that she and the hon. Member for Reading East will refrain from scaremongering. They both spoke about the impact on EU citizens’ rights, and I want to reiterate to the Committee that EU citizens’ rights are being preserved separately from this instrument. The Government have already committed to protect the rights of more than 3 million EU citizens, which we have heard being conflated today with this statutory instrument. We will make sure that their rights are protected. The regulations do not affect the offer that the Government have made to EU citizens resident in the UK at the point of exit. They do not interact with the citizens’ rights agreements with Switzerland and the EEA European Free Trade Association states.

Alison Thewliss Portrait Alison Thewliss
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Will the Minister give way?

Nadhim Zahawi Portrait Nadhim Zahawi
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I have a lot to cover, but I will happily take the hon. Lady’s intervention later. The Government’s plan on citizens’ rights confirms that EEA and Swiss citizens resident in the UK by exit day would be able to apply to the EU settlement scheme until at least 31 December 2020 to secure their status in a no-deal scenario. The EU settlement scheme is live and performing well. More than 2 million applications have now been received, and the scheme will continue to run in a deal or no-deal scenario. EU citizens resident in the UK by exit day will continue to be able to access benefits and services on exactly the same basis after the UK exits the EU as they do now. I sincerely hope that colleagues will refrain from scaremongering. It is deeply irresponsible for hon. and right hon. Members to do so.

The hon. Member for Sefton Central asked important questions, which I will attempt to address. He asked about the impact assessment for the regulations. An impact assessment has not been prepared because the impact has been approved de minimis in line with the better regulation framework.