European Union (Withdrawal) Bill Debate

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Department: Attorney General
Bernard Jenkin Portrait Mr Jenkin
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It is very problematic. My Committee has repeatedly attempted to make an official visit to the Province, but that has not been regarded as expedient at this time. However, I sometimes run into the hon. Lady and I talk to other elected representatives of the Province; I hope that there is, at least within this House, trust and understanding between the democratically elected representatives on this matter. However, I invite the hon. Lady to a further conversation offline. We are continuing our inquiry and our work.

I make it clear to my party’s Front Benchers that I expect amendments to be tabled to clause 11 to clarify how long the powers should exist. Why is there not a sunset provision at the end of clause 11, so that it is seen clearly as a temporary expedient and not a final destination? Why is there not some qualification to the powers that have been retained, to show that they are for a particular purpose rather than just a blanket withholding?

As I said in Committee, it was instructive that even the work commissioned by the Scottish Parliament demonstrated that most of the powers being recovered from the EU—those with relevance to the UK single market, for example—are naturally reserved powers. We are dealing here with only a relatively small proportion, albeit on significant matters such as the environment, farming and fisheries.

This is an important test for the relationship between Whitehall and its counterparts elsewhere in the United Kingdom—and, indeed, with this Parliament, because the relationship between the Parliaments is just as undeveloped, possibly even less so, than the relationship between the Governments. The Governments have to work together, and on the island of Great Britain we have a single civil service that naturally works together. But the idea of the Parliaments of the United Kingdom working together is a completely alien concept and has not yet come into our political idiom at all.

Our Committee continues to work on the issue. I hope that we shall make some radical recommendations to help us learn from other, decentralised systems of government in other countries. This is in the DNA of their constitutions. We need to develop the same facility, so that after we leave the European Union and the powers have been devolved, the four parts of the United Kingdom work effectively and harmoniously together for the common good and the future of our country.

Anna McMorrin Portrait Anna McMorrin (Cardiff North) (Lab)
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The biggest scandal about clause 11 is that the UK Government know that it is completely unacceptable; they are just not brave enough to admit it. Ministers, Tory MPs and civil servants have privately—and publicly, sometimes—acknowledged how extremely ill-advised it is to remove the power of the devolved Governments over devolved areas. This UK Government committed to introducing amendments on Report to address this, but where are they? Where is the Government’s acknowledgement that they have got this wrong?

Oliver Letwin Portrait Sir Oliver Letwin
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No doubt the hon. Lady will develop her argument, but will she just clarify something? It is not the case, is it, that anything is being removed from the devolved authorities? It is a question of whether things that currently reside in Brussels should be devolved rather than returned to Westminster.

Anna McMorrin Portrait Anna McMorrin
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There are things that are devolved and on which we work with the EU, and we do not want those devolved areas returned centrally to the UK Government, as part of a power grab, rather than to our devolved Administrations. The Welsh Government are clearly arguing that case, and so are the Scottish Government.

Philippa Whitford Portrait Dr Whitford
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Is the issue not the basic principle that when the Scottish Parliament was set up, certain powers were reserved, and if they were not specifically reserved, they were devolved? That was not originally the case in Wales, but it was later changed. This process reverses that.

Anna McMorrin Portrait Anna McMorrin
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That is absolutely the case. It is the case in Scotland and is now the case in Wales. The Welsh and Scottish Governments are clearly arguing this case, and we are now on the brink of a constitutional crisis. This is an issue of trust—trust to exercise devolved powers responsibly, trust to carry out measures that represent the people of Wales and trust to provide meaningful scrutiny of legislation. Why should we in Wales trust a UK Government who are leading us, at any cost, towards such a shambolic, hard Brexit? As it stands, after Brexit, the devolved Governments will be at the mercy of Whitehall, which will have complete control over the time, place, method and future of the powers being repatriated from Brussels. Whitehall may even decide that passing them on is too much trouble, and since the devolved Administrations are given no bargaining powers under the Bill, there will be no opportunities for either Wales or Scotland to demand their return. This is called rolling back the powers of devolution, and we in Wales will not stand for it.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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Is the hon. Lady not aware that there are ongoing discussions between the UK Government and the devolved Administrations about this very subject, that there are positive signs that an agreement will be reached—if it has not already been reached—and that therefore she is scaremongering in respect of these powers?

Anna McMorrin Portrait Anna McMorrin
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I am aware that discussions are taking place, but I am also aware that the UK Government promised to bring forward an amendment at this stage but have not done so. So where is that trust?

Hywel Williams Portrait Hywel Williams (Arfon) (PC)
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Will the hon. Lady agree that a symbol of how seriously this is being taken by the Welsh Government and Welsh parties and in Scotland is the fact that consideration is now being given to continuity Bills to ensure that those powers are retained? In fact, my colleague Steff Lewis in the Assembly will be presenting just such a Bill tomorrow morning.

Anna McMorrin Portrait Anna McMorrin
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Yes, that is exactly right, and something I am coming on to. Just today, the Welsh First Minister has said he will take steps to protect Welsh powers after Brexit if UK Ministers do not change the Bill, stating that the Prime Minister’s plan to accumulate all the powers from Brussels in London is a “fundamental assault on devolution”.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
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Members from all sides have mentioned the issue of trust. Does my hon. Friend think that the Government’s attitude to the cancellation of the electrification of the line to Swansea and their promises on EU grants to Wales have helped trust between Cardiff and London?

Anna McMorrin Portrait Anna McMorrin
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My hon. Friend is absolutely right. How can we trust a UK Government who cannot make a decision on the tidal lagoon, who cancel electrification, who do not give us fair funding, and who do not give Wales an equal say? The Bill says just that.

The First Minister of Wales has explicitly refused consent to the Bill, and if nothing has changed by the end of January, the Welsh Government will introduce a continuity Bill to protect Welsh interests. The invitation from the Welsh Government to co-operate with the UK Government to make the Bill fit for purpose has been ignored. If the UK Government understood why devolution is one of the strengths of the UK rather than—as they seem to think—one of its weaknesses, they could have included a strategy providing for meaningful, positive scrutiny of legislation by the devolved Governments, and a smooth transition of powers from Brussels to the local, devolved Administrations who are best placed to know what is best for their own countries.

Some EU frameworks will need to be replaced by common frameworks in certain devolved areas, such as agriculture, environment and fisheries, but it is unacceptable to sideline the devolved Governments in that process. The Welsh Government have always been involved in EU negotiations, and are involved in them at the moment. I know that because, in a previous role, I have been part of those EU negotiations alongside Welsh Ministers. I know at first hand what an easy process this is, and I know that it is a process that has always worked. For example, Wales leads the way on recycling and climate change. If environmental policy is reserved to Whitehall, what is to stop the deregulation and the rolling back of our progress to abide by the messy agreements that the Government are planning with the likes of Donald Trump?

Luke Graham Portrait Luke Graham (Ochil and South Perthshire) (Con)
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I share the hon. Lady’s frustration that the Government have not tabled an amendment, which I think will be well documented in the debate. Does she agree, however, that there is an opportunity for us to have a stronger United Kingdom through UK frameworks? The environmental point is very clear: pollution does not respect national or regional boundaries. We need strong nations, but we need a strong United Kingdom as well.

Anna McMorrin Portrait Anna McMorrin
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We did table amendments, but the Government voted against them.

I cannot possibly accept that the UK Government will decide all new policies for all the nations of the UK on issues that are devolved, when they are also acting as the English Government. English interests are not always the same as Welsh or Scottish interests. We know all too well that English interests come first. Wales voted for a devolved Government 20 years ago. I was part of the campaign, and I was proud to see the then UK Labour Government bring that about.

Eddie Hughes Portrait Eddie Hughes (Walsall North) (Con)
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Surely the point is that we are a United Kingdom, and as we move across the United Kingdom we see a great diversity in our country. Walsall North is very different from some of the sunny areas in the south-east. I think that we need to operate collectively as a nation in these discussions.

Anna McMorrin Portrait Anna McMorrin
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If the UK Government were going to work together in that way, surely they would have tabled an amendment at this stage enabling them to do just that.

We now see a more successful and more confident Wales than we saw two decades ago, but I fear that we are about to go backwards. The Tories have made it clear that when it comes to devolution, they just do not get it. Anyone who understands the basics of devolution could tell them that the Bill, in its current form, is taking us backwards. We need a Bill setting up a procedure that devolved Governments could use in order to have a say on the common UK frameworks so that they would not have to depend on Whitehall’s good will or trust, and that must be on the face of the Bill. We need a Bill that does not propose regressive restrictions on the ability of devolved Parliaments to legislate on devolved areas; this Bill is not it, and I am disappointed that this UK Government could not get their act together between Committee and Report stage and offer better amendments to salvage it.

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Stephen Doughty Portrait Stephen Doughty
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The hon. Gentleman makes an important point.

Anna McMorrin Portrait Anna McMorrin
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Does my hon. Friend agree that this Front-Bench amendment was written alongside and in co-operation with the Welsh Government, which means they will accept what this amendment says? [Hon. Members: “The LCM?”] Yes.

Stephen Doughty Portrait Stephen Doughty
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The series of issues we have raised concerns about for months has been clearly set out. These issues have been raised since the Bill was drafted. We are in the absurd situation where the Secretary of State for Scotland admits there are deficiencies in the Bill and many Conservative Members agree with that. I have no doubt that the Minister for the Cabinet Office agrees with it, although I doubt he will say so today. We all recognise there are deficiencies with it, so the question is: why have they not been resolved before we reached this stage? We were hearing a lot from the Scottish Conservative Members, whose position seemed to be somewhat different from that of their counterparts in the Scottish Parliament. The Welsh Conservatives claimed today that they are disappointed; the whole of Wales will be disappointed by their failure to stand up for Wales and their own legislature, in which they sit.

As I said, I do not want to go back into all the technical detail, so I finally wish to come to the nub of this issue: why does all this matter? Why do these issues matter? Why do these technical debates about the constitutional settlement matter? They matter because they have consequences for our Union, for the devolution settlement and for the economic operation of the markets within this United Kingdom. We are already going to be struggling to deal with the serious consequences we will face if we carry on along the Government’s hard Brexit path of, for example, leaving the customs union and the single market, with which I do not agree. Do we really want to add to that a series of complexities, challenges and problems within our own internal markets, logistics and functioning?

There are serious consequences for relationships that we know are already under strain and the subject of lively political debate in the UK. There are also economic consequences of Brexit as a whole for the devolved nations. Just this week, University of Birmingham research showed that the nations and regions of the UK are very exposed economically, with 11.7% of Welsh GDP being exposed. As I said, there are serious consequences to leaving the single market and customs union. We heard yesterday from one of Wales’s largest employers, Airbus—I draw attention to my declaration of interests—which employs a number of people in the defence and space industry next door to my constituency and many people across Wales. Its chief executive, Tom Enders, said that the “wreckage” of Trump will be easier to repair than that of Brexit, given the increased costs and the challenges for competitiveness.

The Welsh people, the Welsh Government and the Welsh Assembly need to have a proper say in where we go on this process, given the implications. As the consequences become clearer, the Welsh people, and indeed the British people, have the right to change their minds on this entire process.

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Stephen Kerr Portrait Stephen Kerr
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I will give way just one more time because I am sure that Mr Speaker’s patience with me is going to wear thin. In fact, I will take one intervention from the Opposition and one from my hon. Friend the Member for Harwich and North Essex.

Anna McMorrin Portrait Anna McMorrin
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The Welsh Government and First Minister deemed it necessary to make a statement today about the lack of joined-up working with the UK Government, which is threatening a constitutional crisis; that is coming from a Labour Government in Wales. The very point is that we are on the brink of a constitutional crisis. We need an amendment. We need the Government to support Labour’s amendment 3.

Stephen Kerr Portrait Stephen Kerr
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The hon. Lady is describing the attitude of the Welsh Government, which in many respects has been more hawk than dove on these matters. I have no doubt that that is for the Labour party’s political purposes in Wales, as such things are for the SNP in Scotland.

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Ross Thomson Portrait Ross Thomson
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I thank the hon. Gentleman for his intervention. Obviously, Government Back Benchers have not been directly involved in negotiations between the Governments, but boy, have we been meeting with our ministerial colleagues and making our position and our asks very clear, and I am sure Ministers will reiterate what those asks have been. This is important, because it is in both Governments’ interests that we reach a conclusion. I would ask the Minister, have SNP Ministers shared with you some of the negotiating aims that they are looking for? This is a two-way process.

Given the amount of work that colleagues on the Government side of the House have put into this, there is genuine disappointment and frustration that those amendments have not been tabled on Report; we are disappointed that they will have to come through from the Lords. However, as I said, we recognise that this process is very complex, and that the implications if we do not get it right are very far-reaching. So, we need to ensure that when it comes to UK-wide frameworks, we get agreement on both sides. Some powers will naturally go back to the Scottish Parliament, but some issues are best approached at a UK-wide level, and there is still no agreement between both Governments on that.

If we do agree to the amendment, we must look at what happens where there is disagreement between both Governments in future in the exercise of some of these powers. The way in which those disputes are resolved is inherently complex; it is not simple. I do not think any of those points is addressed in the amendment before us.

I shall touch on a point that was raised by the hon. Member for Cardiff North (Anna McMorrin). I know she is standing up for her area in the way she thinks best, but a lot of the rhetoric sounds very familiar. It is very like what many of my hon. Friends have been dealing with for a long time in Scotland, with the rise of nationalism and with the independence referendum. It is very easy to batter the UK Government in that way, but I believe it is very dangerous and divisive to do so. Maybe the hon. Lady can learn lessons from her Scottish Labour colleagues. It was as a result of that ambivalence towards the Union that Scottish Labour found itself a third party in the Scottish Parliament, and that it has again found itself a third party in Scotland since the general election. That is why there are more of us sitting on the Conservative Benches—because we believe that standing up for the Union is a good thing, not just battering all the time.

Anna McMorrin Portrait Anna McMorrin
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The Labour Government in Wales are not a nationalist Government, and if the UK Government were to work co-operatively with both the Welsh Government and the Scottish Government we would not be in this situation. We need that amendment, and the behaviour of this Government means that we are heading for a constitutional crisis. I do not want that constitutional crisis, and neither the First Minister for Wales nor, I think, the First Minister for Scotland wants it.

Ross Thomson Portrait Ross Thomson
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I do not accept the hon. Lady’s characterisation of the UK Government’s behaviour. I have seen people in the UK Government acting in good faith, and in fairness, I have seen that Scottish Government Ministers usually privately act in good faith. The public dance within the media and in public is something different, and I know that the SNP have to get from where they are to where they can accept UK-wide frameworks, but I know they are on that journey. I believe that both Governments are acting in good faith.

The most interesting thing to emerge from this is that the Scottish Government and the SNP are demanding more powers; they demand that all 111 should rest with the Scottish Parliament, regardless of the effect on the UK internal market. But they never talk about outcomes from these powers. They demand more and more, but they never tell us how they want to use them. Sadly, the nationalist narrative now is to just demand more, demand more, demand more, because they want independence. It does not matter how much you try to dress it up. The First Minister herself said that independence “transcends” everything else. It does not matter how the Scottish Parliament is currently exercising its powers, but they will never be enough, because independence is always the end goal, which was why, yet again at the weekend, we heard about potential new dates this year for another referendum. That is why there are fewer SNP Members sitting in the House—people in constituencies such as mine, and Stirling, and West Aberdeenshire and Kincardine, to name just a few, are absolutely fed up with that rhetoric. As my hon. Friend the Member for Stirling rightly said, people want our Governments to work more constructively together. They are fed up with the rhetoric, fed up with the ongoing bickering and fighting and point-scoring. They want to see both Governments working together, and both Governments have demonstrated that they can do it. Both can work together over city deals, for example, to deliver for Scotland and for regions. People get really fed up when they see “The Andrew Marr Show” on Sunday morning and yet again there is the kind of rhetoric that we have had to endure in Scotland for not just months, but years.

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Hywel Williams Portrait Hywel Williams
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I shall return, for a moment, to the European Union (Withdrawal) Bill.

I rise to speak to amendments 12 and 13 and the consequential 11 in my name and those of my hon. Friends. Amendment 12 to clause 19 would require the UK Government to gain the consent of the sitting devolved Administrations before the Bill came into force. At this stage, hon. Members should not rehearse previous arguments or submit previous amendments, so following my attempted amendment on day one of Committee which also sought to require the legislative consent of the devolved Administrations, I have addressed the critical point raised by other Members about Northern Ireland.

At the time of that previous amendment, there was no Northern Ireland Assembly to grant consent to the Bill and that, unfortunately, remains the case. My amendment, therefore, sets out that consent is required from all devolved Administrations unless direct rule is in place or the Administration have been formally suspended or dissolved for reasons other than recess or an election. Across the House, many of us would like the Northern Ireland Assembly to be up and running and serving its people once again, but if that was still not the case once the Bill was enacted, the amendment would still require the consent of the other Administrations.

To echo the Under-Secretary of State for Exiting the European Union, the hon. Member for Worcester (Mr Walker), this Bill is about continuity, certainty and control. It is now clear that the convention of gaining legislative consent is flawed, as it has been held to be just that: a convention. In contrast, the devolved Administrations have come to see it as a normal and required aspect of legislative processes. It seems to me that until recently, at least in how the process worked from day to day, that was also the view of the Westminster Government, who have sought legislative consent from the nations on hundreds of occasions since devolution.

The Minister has now confirmed that his Government are seeking legislative consent for this Bill as well. Given their own consistent actions, I am mystified about why they do not wish the principle of consent to be anywhere in the Bill—unless, of course, they plan to renege on that commitment, too. If I were a cynic, I might suspect that the Government here are happy enough to request consent as long as there is no risk that it might be refused, as might happen in this case. That is the Catch 22: consent is there only when it is granted.

I also note that hon. Members, including me, have repeatedly asked Ministers what would happen were consent to be refused. In response there has consistently been—well, no response at all. One case in point will suffice. At Welsh questions on 13 December, I asked the Secretary of State for Wales:

“What recent discussions he has had with the Welsh Government on a legislative consent motion for the European Union (Withdrawal) Bill.”

I added:

“I have asked the Secretary of State a number of times, both orally and in writing, what would happen if the National Assembly for Wales were to withhold its consent for the withdrawal Bill, and he has gone from looking hopelessly Panglossian to being unsure, evasive and even furtive. Will he now tell the House what would happen if the National Assembly for Wales withheld its consent for the Bill?”

His answer made my case—that the Government were either clueless or evasive—for me:

“I am optimistic that our work with the Welsh Government will lead to a legislative consent motion.”—[Official Report, 13 December 2017; Vol. 633, c. 381.]

That was all: hopeless optimism and no real answer. Our leaving the EU has been characterised as taking back control, but surely to deny the sitting devolved Administrations their fair say on whether the Bill should be passed goes against the three principles of the Bill that the Minister set out: to provide continuity and certainty and to take back control. Control for whom?

I turn now to amendment 13 to clause 11, which also stands in my name and those of my hon. Friends. It is clear that the Bill in its current form would weaken the devolution settlements that the people of Wales, Scotland and Northern Ireland have enjoyed for 20 years. Even this Government have made it clear that clause 11 is not good enough and said that it will be amended. Our amendment seeks to guarantee that any future frameworks respect the democratic accountability of the devolved legislatures by being based on established conventions and practices that will not be adjusted without the consent of these institutions. That is the moot point: it is matter of consent.

The amendment holds that

“flexibility for tailoring policies to the specific needs”

of the nations should be allowed, as is currently enjoyed under EU rules, and—most crucially—that these frameworks would

“lead to a significant increase in decision-making powers for the devolved administrations.”

Before Christmas, the Scottish Secretary gave a strong commitment that clause 11 would be amended on Report, based on the criticisms from across the Committee of the whole House. Unsurprisingly, I suppose, the Government have U-turned on this promise and failed to table any amendments that address the concerns about devolution raised by Members from across the House. What is even more striking is that this was brought to the Government’s attention again two days before the deadline for tabling amendments, yet they failed to act. In this, they have merely confirmed my point in an earlier debate that it appears they still have not accepted that the UK is a unitary nation and that we have more than one Parliament within the British state.

The Welsh Government cannot just continue to hope that something might turn up, waiting in hope for this Tory Government to see reason, so I am glad that the hon. Member for Cardiff North (Anna McMorrin) noted that the First Minister had at last made a statement. I would also be glad if he could agree to the proposal for a continuity Bill that my friend in the Assembly, Steff Lewis, is bringing forward tomorrow. My party’s position in the long run is clear—we want the people of Wales to run their own affairs—but in the interim our sincerely held view is that we need a collaborative procedure for the creation of UK-wide frameworks to ensure good governance for the people of Wales.

Given that the Government are so determined to press ahead and remove us from the already functioning EU frameworks, these UK-wide frameworks will have a significant impact on the existing devolved settlements and therefore must be created jointly by all the sitting Governments, and not be dictated by Ministers of the Crown here. This is only the first step to ensuring that devolution is not just respected but upheld during the upheaval that the Government are creating by leaving the European single market and customs union.

Anna McMorrin Portrait Anna McMorrin
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Does the hon. Gentleman agree that systems are already in place under which the Welsh and UK Governments negotiate together on EU discussions? UK Ministers are Ministers of the Crown, as are Welsh Ministers. That is already in place and just needs to continue. The amendment is necessary if it is to continue.

Hywel Williams Portrait Hywel Williams
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I thank the hon. Lady for her intervention. It brings me to the very point I was going to make. The Joint Ministerial Committee (EU Negotiations), to which she was referring, had a very rocky start. Some hon. Members will know that it met last February and then not again until October. During that time, momentous events were taking place here. Huge changes were being made in the relationship between Wales and the EU, and in the United Kingdom’s relationship with the EU. However, the JMC, the very mechanism that was supposed to elicit the views of Welsh Ministers—and Scottish and Northern Irish Ministers, for that matter—did not meet. I am glad to say that since that suspension it seems to have recovered somewhat: the October meeting was much more positive.