Oral Answers to Questions

Drew Hendry Excerpts

Thursday 10th June 2021 Commons Chamber

[Greg Hands]

We—myself, the Secretary of State and the whole of the Department for International Trade—listen very carefully, of course, to the voices of British farmers. The Secretary of State opened expressions of interest to become members of the trade and agriculture commission just this week. It is very important to understand that the role of the commission never has been to advise on negotiations; its role will be as debated and approved during the passage of the Trade Act 2021 and the Agriculture Act 2020, and we are looking forward to seeing its scrutiny later this year.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Many happy returns to you today, Mr Speaker.

SMEs make up the backbone of the Scotch whisky industry and the Minister likes to talk about whisky, so let us talk about the reality for the industry resulting from the Government’s trade policy. Speyside Distillery, winner of best whisky at the world whisky awards, tells me that sales are dramatically down since Brexit and that this Government’s awful Brexit deal has led to the cost of its goods going up by a fifth—up 12% on glass and up 7% on cardboard—and increased shipping costs and delays. Extra paperwork alone is costing it 33p per case. It tells me that a deal with Australia will not even scratch the sides of its substantial losses from Brexit, so what additional support and compensation will the Government pay to distilleries such as Speyside for these losses?

[Greg Hands]

I am delighted to hear the Scottish National party raise the subject of whisky, because it did not do so in the urgent question two weeks ago on the Australia trade deal. I remind SNP Members that Scotch whisky currently faces tariffs going into Australia; it is one of Scotch whisky’s most important markets and is a growing market even during the pandemic. In terms of trade volumes with the European Union, we are continuing to see a recovery in the data. This is of course volatile data, but none the less there was a 46% increase in exports to the EU in February and a further 9% increase in March. Further data will be coming out in due course.

[Drew Hendry]

As ever, when presented with the realities the Minister just spins into Brexit fantasy. They just do not care about Scottish businesses. There is a good reason why the SNP has never supported Westminster’s trade policy, and that is because Scotland’s needs are always ignored. The UK Government said fishing was expendable during the EU negotiations in the ’70s, their Brexit obsession dragged us out of the world’s largest single market, and now they are betraying our farmers and crofters all while capitulating on standards in animal welfare. They do not listen to Scotland and they do not care about Scotland, but is the Minister aware that they are being found out in Scotland?

[Greg Hands]

I am not sure that the hon. Gentleman has been listening carefully enough to what I have been saying to him about the SNP and trade deals. It is not just Westminster trade deals that he and his colleagues have rejected; they have even rejected the trade deals negotiated previously by the European Union. He has pledged to rejoin the EU, in which case Scotland would become immediately subject to those trade deals. He also wishes to rejoin the common fisheries policy, which would be completely against the interest of fishers right across Scotland.

The SNP has never supported any trade deal. It has been against the Canada and South Africa deals, and it has not supported the Japan or Singapore deals. It is simply anti-business, anti-trade and against the interests of the Scotch whisky industry and of Scottish fishers.

Agricultural Exports from Australia: Tariffs

Drew Hendry Excerpts

Thursday 27th May 2021 Commons Chamber

[Greg Hands]

My hon. Friend is a doughty champion for his constituents in general and his farmers in particular. There are great opportunities worldwide for the Welsh lamb sector. For example, British lamb is currently not allowed at all in America. We are looking at fast-growing Asian markets, and I refer back to the importance of the Australia deal as a springboard to CPTPP. Half of today’s global middle class is in Asia, and almost 90% of the next billion middle-class people in this world will be in Asia. That is where the growing demand for high-quality meat, such as the Welsh lamb produced by my hon. Friend’s constituents, can be found, and that is where I see great prospects and great opportunities for his constituents, his farmers and farmers across the United Kingdom.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

Everybody wants more trade deals to be done, but the Minister simply is not listening to those at the sharp end. Martin Kennedy, president of the National Farmers Union Scotland, said:

“Our seafood industry has already been hit hard by Brexit and now Scottish farming is next to be sacrificed—and once again it’s Scotland’s key industries which will bear the brunt of a Tory Brexit people here did not vote for”.

NFU England has warned Ministers that farmers will struggle to compete if zero-tariff trade on lamb or beef went ahead. The RSPCA has warned that tariff-free access for Australia would betray the public, farmers and animals. Those are just some of the warnings to Government from those affected, not from politicians. Will the Minister rule out tariff-free access for Australian agricultural produce?

Nothing must threaten our actions to mitigate climate change. Australia is home to large energy and mining firms and has lagged behind other advanced economies when it comes to addressing climate change. Will the Minister guarantee that no deal with Australia will include investor-state dispute settlement mechanisms, or will he press ahead and betray not only today’s public, farmers and animals, but those of future generations?

[Greg Hands]

It is always good to hear from the hon. Gentleman. I noticed in his series of questions that there was, for example, no mention of the £113 million-worth of Scotch whisky sold into Australia at present that is subject to 5% tariffs. Australia is actually the eighth largest market by volume for Scotch and has been growing at 7% per annum. There was no mention of the opportunities for Scottish financial services, FinTech or agrifood more generally—we actually have an agrifood trade surplus with Australia.

The hon. Gentleman quotes NFU Scotland, which has great people. I have met Martin Kennedy personally twice in the last week, as well as the Scottish Government to discuss the prospect of this deal.

Let me reiterate: there will be no change in our standards as a result of this trade deal. We are absolutely committed to no compromise on our animal welfare, food safety or environmental standards.

The hon. Gentleman asked me to rule out tariff-free access to Australian agricultural products. There already is tariff-free access through an autonomous tariff rate quota. I think he seeks a rolling back of the trade arrangements we already have with Australia.

The hon. Gentleman asked about ISDS. It is a live negotiation, and there will be a chapter on investment. We are huge investors in each other’s markets, and I remind him that the UK has never lost an ISDS case.

However, the hon. Gentleman has serious questions to answer, too. Never in 20 years has the SNP supported any trade deal done by the UK or even by the EU, even though key sectors of the Scottish economy, such as whisky, apparel and fisheries, are dependent on our trade. SNP Members voted for a no-deal Brexit. They voted against deals with our friends, such as Canada, South Korea and South Africa. They did not support deals with Japan or Singapore. Whatever assurances I have given him today, or whatever turns out to be in the deal, I do not think it would make him and the SNP support this deal. When it comes to trade, the SNP is isolationist and against the best interests of Scotland.

CPTPP

Drew Hendry Excerpts

Wednesday 21st April 2021 Westminster Hall

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

Thank you, Mr Hollobone; it is a pleasure to serve under your chairmanship. I congratulate the hon. Member for Wycombe (Mr Baker) on securing this important debate; it is a credit that we are getting the opportunity to speak about it. I have heard the lament about there not being more Opposition speakers; I know that he will be delighted that the SNP is always happy to provide the opposition to the Tories at Westminster.



My hon. Friend the Member for Na h-Eileanan an Iar (Angus Brendan MacNeil) pointed out that there is no assessment of CPTPP, and he made some very simple comparisons about losing £4.90, for example, from the deal with the European Union versus gaining 20p from the USA, or Australia for 2p. That is the stark reality.

Today we have heard Members across the Chamber talk about the effects on farming and dairy farmers—I will come to that shortly. We have also heard Members say that they do not want to see a drop in EU trade, but regrettably that has already happened.

There is no deal that will ever make up for what Brexit takes away from us. We simply cannot trust the Tory Westminster Government not to sacrifice protections for our NHS in negotiations to join this bloc.

By the UK Government’s own analysis, the trade deals they strike outside the EU cannot make up for the impact of Brexit on the UK economy. A trade agreement with New Zealand is estimated, to be charitable, to have a limited effect on GDP in the long run—the estimated impact is 0%. Indeed, under scenario 2 the UK Government documents state that GDP in New Zealand is estimated to see economic growth of 0.35%, but UK GDP would see a drop of 0.01%. Again, by the UK Government’s own estimates, the Japan-UK deal, which has already been signed, will add only 0.07% to UK GDP. That is really tiny, especially when we consider that we could have had a similar agreement anyway as a member of the most successful trading power in the world by far: the EU.

The EU single market accounts for 52% of all UK trade goods exports and 45% of all UK trade services exports. The EU has more agreements with more countries than any trade bloc in the world by far. In 2017, UK exports to CPTPP countries totalled just over £50 billion—about 8.5% of all UK exports. When compared with the EU trade bloc, this will do little to mitigate the damage of losing seamless access to that partner, which accounts for almost half of all trade.

People in Scotland know that rejoining the EU as a full member of the customs union and single market is the best possible option for protecting livelihoods and jobs. The UK Government’s constant—but deeply flawed—refrain is that we must instead focus on fast-growing economies outside the EU, but this is an unforgiveable act of harm to businesses and trade across the nations of the UK. It fails to acknowledge that, according to the World Bank, the EU has some of the fastest-growing economies in the world. They include our neighbour, independent Ireland, 31st; Hungary, 43rd; and even Malta, 52nd. The UK, incidentally, is 134th.

The CPTPP countries are not necessarily the fastest-growing economies in the world. In 2019, Mexico was ranked 176th; Japan, 159th; and Canada, 131st. After an absolutely terrible start to the year because of the Prime Minister’s shameful Brexit deal, joining the CTPTT would be another disastrous blow for Scottish farmers already reeling from this Government’s callous disregard for their business.

Figures from the ONS last week show that in February, wheat exports were still down 52%; fish and shellfish exports were down 54%; egg and dairy exports were down 39%; beverage exports were down 34%; cereal exports were still down 40%; and fruit and vegetable exports were still down 54%. Things are getting worse and worse for exporters, all because of the disastrous ideology of this Tory Westminster Government. On top of that, with talk of accession to the CPTPP trading bloc, farmers are genuinely and rightly concerned that existing member countries might insist that the UK lower our standards simply to join, unfairly undercutting our farming industry and again punishing our hard-working farmers here.

The National Farmers Union’s submission last month to the House of Lords International Agreements Committee’s inquiry into the UK’s accession to CPTPP stressed the importance of protecting the UK’s current high food and farming standards. This Tory Westminster Government have had plenty of opportunities to enshrine the current standards of consumer protection, including for agricultural produce. It speaks volumes that they have failed to do so at every single turn. It is clear that the Tories cannot be trusted to protect consumer standards.

Going by past experience, we cannot trust this UK Government to protect our NHS from harm in the CPTPP trade negotiations either, as it has been their policy to join trade partnerships that would allow foreign bids for public contracts through investor-state dispute settlement clauses. The Home Secretary has described Brexit as an opportunity for widespread deregulation. Given the words of many prominent Back-Bench and Front-Bench Tories, it is very easy to see why the public do not trust them. Some 85% of UK exports to the CPTPP are to Australia, Canada, Japan and Singapore, and the UK already has free trade agreements with seven of the 11 CPTPP members—courtesy of agreements made while the UK was in the EU, of course. In the CPTPP, the UK cannot decline to align on too many areas such as ISDS carve-outs for agrifoods, consumer standards and so on, and still expect to become a member. In short, if the UK joins, disastrous consequences are highly likely for some of our exporters.

It is abundantly clear that for Scotland to make the choices that it needs to protect people, protect jobs, protect standards and see that the NHS remains firmly in public hands, it must have the powers to do so. It must soon make a different choice from this Tory Brexit, little Britain approach. It must make better choices as a progressive, outward-facing and normal independent nation.

Oral Answers to Questions

Drew Hendry Excerpts

Thursday 15th April 2021 Commons Chamber

[Greg Hands]

I thank the hon. Member for that follow-up question, and I wonder if, to coin a phrase, he has perhaps taken his eye off the ball, because actually there was a bounce back in trade in February. I will give him an independent view from the Office for National Statistics, which on the trade data says:

“Exports of food and live animals to the EU increased…in February 2021, after being significantly impacted in January… Exports of fish and shellfish to the EU also saw an uptick in February 2021 as exporters adjust to new regulations following the end of the transition period. The disruptions to food exports in January 2021 appear to have largely been overcome and may have only had short-term impacts on trade.”

That is from the Office for National Statistics, which he may seek to consult.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

I am delighted the Minister has quoted the ONS, because figures out this week show economic output remaining nearly 8% below the pre-pandemic peak and exports to Germany, Italy and Ireland down by as much as 50% to 75%. These are not teething problems; they are the bite of long Brexit. Does the Minister agree with Matt Griffith from the British Chambers of Commerce that his members are experiencing a

“permanent deterioration in their competitive position due to higher admin, paperwork and shipping costs”?

[Greg Hands]

It is good to have an argument about statistics, but actually the UK exports to the EU in February of £11.6 billion were only just below the monthly average for the whole of 2020, which was obviously very impacted by the pandemic, of £12 billion. I would caution against using statistics in this way—we need to see the bigger picture—but I refer the hon. Member back to what the ONS said. On the help we are providing for exporters, we have various Government helplines, the Brexit business taskforce, Brexit SME support and various measures in place specifically to support the agricultural sector and the Scottish seafood sector.

[Drew Hendry]

Let us come away from statistics and back to what is happening. JP Morgan boss Jamie Dimon wrote to staff this month warning them that it will move all its EU-faced business out of London and into Europe. He says:

“Brexit was accomplished, but many issues still need to be negotiated. And in those negotiations, Europe has had, and will continue to have, the upper hand.”

The financial services sector is a huge employer in Scotland, and it is also facing this Westminster-inflicted disaster. Can the Minister now see why people in Scotland want to have their choice and their say over their own future?

Trade Bill

Drew Hendry Excerpts

Consideration of Lords amendments
Monday 22nd March 2021 Commons Chamber

[Sir Iain Duncan Smith]

Yes; I am grateful to my hon. Friend for his comments. The problem is that this Lords amendment incorporates the original Neill amendment in its entirety and makes two adjustments. First, there are already trade arrangements with China, but they are pushed aside in this. It can only be an FTA, and it is a prospective one, which means that the Uyghurs are not going to get in front of the Select Committee at all. Secondly—this is very important—it opens the door, because of the definition, to any state activist who has nothing to do with the authority in that state. All QCs who have seen the amendment have accepted that this is a major problem, so we have dealt with that, made it a better arrangement and added the legal committee.

It seems to me that the Government simply do not want to have these judges involved. They say, “We’ll have a judge, if you want, on one of the Select Committees.” Does that not apparently make it another quasi-judicial committee? If the Minister does not mind me saying so, it is a bit sad that the Government could not have accepted this amendment. There was no need for us to be here today voting on it. This was a major compromise, and it would have settled everything.

My right hon. Friend the Minister knows that I have huge respect for him in the job that he has to do right now, but I simply say this. We have a chance tonight, following a very good statement by the Foreign Secretary, to send the message that we simply will not put up with this; we are not frightened of finding that this is genocide, and we are not frightened of saying it from the steepletops. We know that we have to stand up for those who have no voice. This Chamber has a history of doing that. It has an opportunity tonight to do that, and I am sorry that my Government, whom I hugely respect, do not think that they can do it. I urge Members to vote for this Lords amendment.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

Madam Deputy Speaker, I notice that the countdown timer is running, but I assume that I get the Front-Bench privilege for this speech.

[Madam Deputy Speaker (Dame Rosie Winterton)]

The hon. Gentleman certainly does. It is a mistake if the countdown timer is running.

[Drew Hendry]

Thank you, Madam Deputy Speaker.

The original intent of the Lords amendment on genocide was to bind the Government, to ensure that their trade policy was not actively engaging in propping up the economy of a country that was committing genocide. The SNP regarded that as being reflective of the bare minimum standards of what should be our commitments to human rights and global citizenship. I say “bare minimum” because much more power should be given to that commitment than was contained even in that amendment. We should see an approach along the lines of a comprehensive cross-departmental strategy aimed at preventing atrocities and binding the Government in their behaviour and intent. The original amendment from Lord Alton was a bit hingum-tringum; despite the fact that it was not nearly strong enough, we supported it, as it was at least a step in the right direction. Make no mistake: as we debate the text of this Bill, we are very far away from even that place.

Any idea that we are actively debating accountability on human rights, even on the terms originally intended, is blown apart by the very Government texts that the House is now considering. The Government have maintained that they do not need the law to reflect their commitments to human rights, and that they would not do anything to compromise them. Furthermore, they maintain that their so-called compromise amendment facilitates a new level of commitment, but as soon as one Minister pours honey in the public’s ears, another drops the mask and lets slip the poisonous truth that condemns those warm words as cozenage.

It is clear from the remarks of the Foreign Secretary, who is also the de facto Deputy Prime Minister, that there is absolutely no substance to the Government’s rhetoric about their being champions for human rights at every turn; shamefully, they are willing to actively pursue an unethical trade policy. If there was ever any doubt about the hollowness of the maxim of global Britain, it has rung out loud and clear in the Foreign Secretary’s words. The amendment backed by the Government is completely inadequate in checking their actions. It would bind them to naught, and it is crystal clear that in reality the Government would rather not be subject to any moral position or restriction on their trade policy.

The Government could have committed in the Bill to maintaining existing consumer and labour standards; they turned that chance down, and the public should ask why. The answer is because they are all too willing and ready to sacrifice them to get a deal—any deal. Anyone naive enough to think that that is not the case should look at what is happening with the NHS and human rights. The Government could have taken the opportunity to ensure the protection of all aspects of the NHS from private foreign procurement, but they turned the chance down. Why? Well, in a sign of the times, they have been busy allowing the sale of NHS GP practices to US companies, with the US health insurance giant Centene Corp quietly assuming control of the care of half a million patients in recent weeks. Donald Trump may mercifully be gone, but few will forget the rare moment of honesty when he confirmed that the NHS is on the table in a US-UK trade deal. We all know that it very much still is. His Tory cohorts are still here and have earned zero trust over their deeds and actions.

We now see the Government looking to shirk their commitments on matching their trade policy to our values on protecting human rights. Why? Again, we know exactly why, thanks to the words of the Foreign Secretary. The cat is not only out of the bag, but running feral, alerting the world to the fact that human rights abuses will not matter to the UK. This Government will forgive almost anything in their haste to get a deal—any deal. They turned down the chance to do the right thing. We can hear loudly and clearly that behind the scenes, this does not matter to the Government; publicly, we can see the Government retreating from their legally binding manifesto commitment to international aid spending. The amendment does not do justice to the intentions of Members from all parties who have sought to meet that commitment head-on.

The Government’s empty words on global Britain have no bearing on virtually any aspect of their policy on protecting the most vulnerable around the world, on how we determine any notion of responsibility for who the UK sells arms to, or now, apparently, who we trade with. If this issue were not so serious, it would be laughable that this Government are trying to rest on laurels that simply do not exist. They should wake up to the reality that the UK’s moral standing is already badly damaged. This legislation makes matters worse. With their actions today, the Government have done nothing to repair that standing; they are solely responsible for bringing it into such disrepute.

Today, as the UK Food and Drink Federation publishes details of how exports of beef, pork and cheese to the EU have been savaged, having fallen by more than 80%—for salmon it is 98%, which is in effect an utter wipeout of a major Scottish export—another poll shows that the people of Scotland have had enough of this attitude; it confirms majority support for independence, as does the long-term poll tracking. The people of Scotland see for themselves the economic and moral vacuums being created by this Tory Government. When they look at this shameful situation, they know that the only way to protect our international trade reputation, and to be represented in the way that they want, as global citizens, is if Scotland once again joins the international community as an independent nation.

[Dr Liam Fox (North Somerset) (Con)]

Following that speech, I will return to the subject we are discussing. I thank the shadow Secretary of State for her generous words and her accurate quotation. None of us actually believed the process would take quite as long as it did when we began. On the point of order made by my hon. Friend the Member for Wealden (Ms Ghani), I am extremely distressed that she should feel frightened by the intervention of a foreign power in her actions in the House of Commons. Given the level of cyber-intrusion in the United Kingdom in general, it is perhaps something we should all be afraid of.

There are three brief reasons why I support the Government’s position, and I have set them out before. First, I do not believe we should make generic law on the basis of specific cases. The history of our legislation is littered with victims of unintended consequences, which come about when we make law in that way. We should have specific actions for specific issues, such as the actions set out by the Foreign Secretary today on the atrocious way the Chinese treat the Uyghurs. That is the appropriate way to proceed.

Secondly, I believe that the House can vote down any free trade agreement through the Constitutional Reform and Governance Act 2010 process. If a preferential free trade agreement with China was proposed that gave China greater access to the United Kingdom market than it would have under World Trade Organisation regulations, we would already have the ability to block it; but I do not believe, for a range of reasons, that we are likely to see that any time soon. The trade conditions, never mind the human rights conditions, mean that is not going to happen.

Thirdly, I do not believe we should restrict the right of the elected Government and the House of Commons to implement policies on which a Government were elected. That is the point of principle that I have raised in every single debate we have had on this issue. The House of Commons should reject unwarranted intrusion, whether by an unelected Lords Committee of senior judges or the courts, on to the rights of democratically elected Governments to implement the policies on which they have been elected. This House should not put limits on what they can do, or, moreover, allow elements outside the House of Commons to do so. That would set a constitutional precedent that we would come to regret in time, whatever the good reason was for considering those changes.

Oral Answers to Questions

Drew Hendry Excerpts

Thursday 25th February 2021 Commons Chamber

[Graham Stuart]

I thank my hon. Friend for that excellent question. There is a real opportunity here, is there not? That is why the Government have a range of schemes in place to help the steel sector to expand its green exports into those growing global markets. That includes establishing a £250 million clean steel fund and providing £66 million through the industrial strategy challenge fund to help steel manufacturers to develop radical new technologies and establish innovation centres of excellence. These funds will be accessible to all UK steel manufacturers, including those in my hon. Friend’s constituency, which I am sure value her long-standing commitment to the sector, and her permanent and regular efforts to raise them in the House.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

Dream Climbing Walls is a Scottish business that was exporting to the high-growth market that is the European Union, which accounted for around 60% of its sales. After Brexit, its costs due to customs charges and delivery add-ons have skyrocketed. Goods that would normally take three to four days to arrive are currently a month in transit. Because of this Government, that business is now climbing the wall in a very different sense. What steps is the Minister taking to sort out this Government’s calamitous mess, and will he now urgently look at measures to compensate the thousands of companies just like Dream Climbing Walls that have lost out as a result of this Government’s actions?

[Graham Stuart]

May I congratulate the hon. Gentleman on his personal commitment to rigorous scrutiny and ensuring that the Government are held to account? I am sure that he would agree that others could do likewise in being similarly robust. As my right hon. Friend the Secretary of State has already made clear, it is our noble friend Lord Frost and the Cabinet Office who lead on that particular work. There are teething problems and there will be on ongoing frictions every day, but I am pleased to say that we are reducing those and are now seeing a return to pre-covid levels at our border. We will continue to work with and support our exporters in order to learn how best to do this. I hope that the hon. Gentleman will ensure that his Administration support his colleagues in the SNP and beyond to help support exporters.

--- Later in debate ---

[Graham Stuart]

It is never too early to celebrate St David’s day and the doughty exporters of Clwyd South, as well as the rest of the Principality. We are lowering barriers to Welsh exporters through trade deals, supporting them through staff in 119 countries, organising trade missions, providing online resources and championing them at international events. We have a long-standing relationship with the Rhug Estate, and we continue to support Welsh produce in particular, as part of both the Food is GREAT campaign and the Open Doors campaign, announced with fanfare only this week by the Secretary of State.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

As the Government continue to hide the overall effect of their trade policies, the first official estimate from the European Commission shows that this Government’s Brexit deal will cost the UK at least 2.25% of GDP by the end of next year. In addition, two out of three supply chain managers report experiencing import delays of two to three days. Is that why the Minister is going so far to remove questions and avoid scrutiny of this disastrous Brexit deal in the Chamber? If he denies that, will he now publish the impact assessments prepared for his Government, which have so far been hidden away from those who deserve to know the real costs to business and families?

Trade Bill

Drew Hendry Excerpts

Consideration of Lords amendments
Tuesday 9th February 2021 Commons Chamber

[Mr Deputy Speaker (Mr Nigel Evans)]

Order.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

Lords amendment 1B covers one of the most glaring omissions from the Bill and it simply serves to underline the ideologically driven and confusing motives of the Government, who have already dealt so much damage to people, families and businesses right across Scotland and the other nations of the UK—and for what? It is supposedly for undiluted parliamentary sovereignty, yet the Government have not seen fit to give Parliament a role in setting the agenda on trade negotiations. That is extraordinary. It is damning of this Government, given the scrutiny arrangements that other Parliaments have around the world, including the EU’s, where they have control over both mandates and the progress of negotiations. The UK has now sunk to the bottom, relative to what is undertaken elsewhere.

Trade Bill (Eighth sitting)

Drew Hendry Excerpts

Committee stage & Committee Debate: 8th sitting: House of Commons
Thursday 25th June 2020 Public Bill Committees

[Bill Esterson]

New clauses 9 and 17 stand in my name and those of my hon. Friends. New clause 11 stands in the names of the hon. Member for Dundee East and the hon. Member for—

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Inverness.

[Bill Esterson]

Inverness, yes. There we are. I knew that inspiration would be with me.

The explanatory statement shows that new clause 11 is entirely consistent with the other new clauses. It is about the protection of

“the quality of domestic food supply by ensuring that imported foodstuffs are held to the same standards as domestic foodstuffs are held to.”

Labour has tabled a new clause 17 on animal sentience. It is important that the Trade Bill is consistent with other pieces of legislation on animal sentience. The Government have agreed to introduce, under an animal welfare and recognition of sentience Bill, a process to ensure that any future legislation or policy is assessed against animal welfare standards. This should be recognised in the Trade Bill as one of the most important areas that could undermine animal welfare standards, and those standards should be outside the ambit of the trade negotiations.

We had a similar debate on Tuesday, but I will spend a few moments on this because a few things have happened since then, such as the Secretary of State appearing at the International Trade Committee yesterday. She said no, but what did she say no to? She did not say no to taking action on food standards, and the Minister did not say no on the same thing on Tuesday. They are very good at making it clear that food safety will not be affected, but they do not talk about food production standards. We have pride in this country in our high standards not only of safety, but of production and animal welfare as well, and those are the elements that have so far been missing in what Ministers have said.

In trade talks the more powerful side wins, and if that more powerful side wants a reduction in our food production standards, it is very difficult to resist if we want a trade agreement with it, and that is the problem. We have tabled a new clause very similar to one on the Agriculture Bill, and we have done so because Ministers told Back-Bench Conservative MPs that the Trade Bill was the place for such an amendment and for this to go into legislation, so we have done what the Under-Secretary of State for Environment, Food and Rural Affairs, the hon. Member for Banbury (Victoria Prentis), told us we should do.

I wonder whom British consumers will believe. Will they believe Ministers who will not quite bring themselves to guarantee food production standards or take the action needed on animal welfare, or will they believe the British Standards Institution? Its chair, John Hirst, was quoted in The Times today, expressing fears over a potential American attempt to

“replicate the approach to standards”

agreed in its deal with Canada and Mexico, which President Trump’s officials see as a model for future accords. He says that such an accord would

“undermine our sovereignty over regulation”

by allowing the US to replace UK standards with its own. The Government should perhaps listen to Mr Hirst.

If the Government do not want to listen to Mr Hirst, they could listen to the executive director of Waitrose, James Bailey, who has said that a trade agreement with the US that loosened food standards—production standards—would amount to an “unacceptable backwards step”. He, very commendably, has said that Waitrose will never sell chlorinated chicken, hormone-treated beef or meat from animals subject to extensive use of antibiotics.

--- Later in debate ---

[Stewart Hosie]

I want to speak to my new clause 11. Trade deals can put pressure on food standards and lead to the importation of food of a low standard. We know, for example, that the US Administration wants the UK to lower its food and animal welfare standards  precisely to allow the export of products currently banned in the UK. The new clause includes a ban on the importation of food produced to standards lower than those currently applying in the UK.

The US and other countries have far lower animal welfare standards and adopt practices that are illegal in the UK for health and environmental reasons, such as the production of chlorine-washed chicken and hormone-fed beef; use various pesticides outlawed in the UK; and produce genetically modified crops, which are completely outlawed in Scotland. We believe that the quality of Scotland’s food and drink produce, and indeed that from elsewhere in the UK, as well as the standards of production, are essential to retaining our established international reputation in those products.

[Drew Hendry]

Is the new clause not an opportunity for the UK Government to do the right thing and prove to the public that they are not trading away food standards and Scotland’s international reputation to the highest bidder? If they do not accept it, will people not justifiably conclude that that is part of their plan?

[Stewart Hosie]

I think people are deeply concerned. No matter how many times Ministers give assurances from the Dispatch Box or elsewhere—Conservative MPs know this—because of what is said by our negotiating partners, there is deep concern among the public and, in particular, those who work in agriculture about standards that may be reduced. My hon. Friend is therefore absolutely right that by accepting various amendments or new clauses, the Government have an opportunity to cement our standards and rule out in negotiations the reduction of standards rather than simply by words in a speech.

New clause 12 in effect does two things: it affirms the UK’s rights and obligations under the agreement on the application of sanitary and phytosanitary measures in appendix 1A of the WTO agreement; and it prohibits the import of food into the UK if standards in the exporting country are lower than those in force here. I do not think there is anything contentious about that, nor do many people in the real world. I suspect the Minister will not be at all surprised that various campaign groups, including Global Justice Now and the Trade Justice Moment, support such objectives.

The list of supporters for such measures is deep and wide. Scottish Land & Estates said:

“Scotland’s producers need guarantees from the UK Government that domestic production and environmental standards are upheld as part of future international trade deals. Our extremely high environmental and food safety standards are amongst our key selling points, and this must be protected after we leave the EU to ensure we don’t find ourselves in a ‘race to the bottom’.”

As NFU Scotland has said that it is concerned that the UK Government’s approach to future trade policy creates the potential for the importation of agri-food into the UK produced to an inequivalent and uncompetitive standard of production, one would think the UK Government should listen. The new clause would ensure that the UK Government had a duty to protect the quality of domestic food supply by ensuring that imported foodstuffs are held to the same standards as domestic foodstuffs are currently. I commend it to the Committee.

--- Later in debate ---

[Stewart Hosie]

New clause 12 would ensure that the UK Government had a duty to restrict market access to healthcare services, including medicines and medical devices. We tabled the new clause precisely because trade deals have the potential to negatively impact health services. Although the UK Government have repeatedly pledged that the NHS is not on the table in trade negotiations, leaked documents detailing conversations between UK and US negotiators reveal that health services have been discussed, including the US “probing” on the UK’s health insurance system—whatever that means—and that the US has made clear its desire for the UK to change its drugs pricing mechanism.

[Drew Hendry]

Is this not a similar situation to that in the previous debate on food standards? The Government could easily make a commitment to rule out these things—to do the right thing and show the public that the NHS and medicines are not at risk. They could reassure people by putting that in the Bill and ensuring it does not happen. Otherwise, they are just saying to the public, “This may well be part of the plan.”

[Stewart Hosie]

My hon. Friend is absolutely right. As in the previous debate, the Minister has said that there will be no compromise on standards. I do not doubt for one second his sincerity, but let us just put it in the Bill so that everyone is absolutely satisfied. In that sense, my hon. Friend is absolutely right—let us rule it out in legislation.

UK-US Trade Deal

Drew Hendry Excerpts

Monday 2nd March 2020 Commons Chamber

[Elizabeth Truss]

My hon. Friend is right. Some 79% of all the services we provide are supplied remotely—many of them into the United States. Having this underwriting on digital and data will really help companies in areas such as robotics, artificial intelligence and computer gaming, and will provide a massive strategic advantage for the UK against our competitors.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

As we have heard, according to the Government’s figures, the very best deal that they can do with the US will result in GDP growth of 0.16%—leaving aside the concerns over reduced standards, especially in food. With the Secretary of State’s Government once again raising the spectre of no deal with the EU, which Government figures show would see growth of around minus 8%, put simply, wouldn’t no deal with the EU and this deal with the US be at best like losing £8 and finding a 20p piece?

[Elizabeth Truss]

It is very interesting that half a billion pounds in extra economic value does not mean anything to the hon. Member.