Transatlantic Trade and Investment Partnership

Eilidh Whiteford Excerpts

Thursday 15th January 2015 Commons Chamber

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

May I start by commending the hon. Member for Swansea West (Geraint Davies) for bringing this debate to the House? Like others, I have had hundreds of constituents in touch with me about TTIP, particularly about the potential implications for the NHS. That brings home to me not just how preciously people hold their access to health care and how anxious they are about the future of the NHS, but that we are debating a treaty that does not actually exist yet, and that we are not yet in a position to analyse or assess. That is exactly why this process should be open to more effective scrutiny now, and we need to have a much wider debate.

Having waded through some of the papers released by the European institutions—the Commission and others—in recent days, I do not think that they provide definitive answers to the key questions I am being asked, and we really need better answers. When it comes down to it, we need an explicit exclusion of public health care and associated services from TTIP.

Ministers must try to understand why there is such public concern. The negotiations have been shrouded in secrecy, and Ministers have failed to address fully the questions posed by the devolved Governments that arise as a consequence of the distinctive structures and policies of the NHS in the home nations. We need more transparency in this process and cast iron assurances that the treaty will not be a route to the backdoor privatisation of our NHS.

The bottom line is that Scotland must not be bound by a trade deal that could undermine public ownership of our NHS and our ability to make accountable, democratic decisions about public health care and that could usher in creeping clandestine privatisation.

[Mr Walter]

I do not know whether the hon. Lady received the same letter as I did on 19 December from the Secretary of State for Business. It said:

“And the new Commissioner, Cecilia Malmstrom, has also stated explicitly that ‘public service, including health, education and water management, are not on the agenda.’”

[Dr Whiteford]

I have read those documents, and I am glad that the hon. Gentleman raises that point. What we have had repeatedly are assertions. I read the Commission’s latest publications, which do appear to indicate that state monopolies will be protected. But elsewhere in the text, relating to services of general economic interest—namely utilities and public services—it says that they would be governed by normal competition law

“in so far as the application of such rules does not obstruct the performance in law, or in fact, of the particular tasks assigned to the enterprises in question.”

That does seem to water down the seemingly categorical assurances we have heard elsewhere. In reality, it is not at all clear that the requirement will protect public services in the absence of an explicit opt-out.

[Mark Durkan]

The hon. Lady heard the hon. Member for Crawley (Henry Smith) quote many assurances, which came from many different sources. Does she believe that they are any more reliable than the promises of the hon. Member for Skipton and Ripon (Julian Smith) to give way “later”?

[Dr Whiteford]

As ever, the hon. Gentleman makes an astute and telling point.

We need to know that there will be no obligation to open up the NHS in Scotland to US private providers, even if that is what England’s NHS decides to do, and we need to know that there is no chance whatever that the treaty will expose the Scottish Government to investor-state dispute settlement mechanisms.

People’s legitimate fears are not being assuaged. The Commission has sounded a note of caution regarding these mechanisms, because they are being misused around the world. We have seen an escalation in the number of aggressive cases being brought against countries that have made perfectly legitimate decisions. The fact that it has only happened a couple of times here does not mean that it will not happen more in future. That is why we need to debate the issues now.

I appreciate that Members will hold profoundly different views about the wisdom of opening the NHS to privatisation; indeed, some Members might see it as a one-way street, but in Scotland we have chosen a different direction of travel, and we need to be sure that that will not be derailed by complacency over the drafting of a trade agreement. I am also of the view that any disputes need to be resolved in our domestic courts, not through ISDS mechanisms.

Before I finish, I want to address some of the implications of TTIP for Scottish agriculture. There are undoubtedly potential benefits from better market access for our food and drink producers, but a number of non-tariff issues have potential downsides. My questions to the Government today focus on how they plan to address and mitigate those issues. I am particularly concerned about our livestock sector—which is key to the economy of my constituency—where risks as well as opportunities are likely to emerge from TTIP.

For example, Aberdeenshire produces some of the best beef in the world—Scotch beef that commands premium prices, is fully traceable and is produced to the highest standards of animal welfare. US beef is notably cheaper to produce. Producers in the US have some economies of scale, climate, and less rigorous compliance regimes, and they are allowed to use hormone growth promoters that are not permitted in the EU. I would like an assurance from the Minister today that TTIP will not lead to a dumbing down of production values, whether in the way animals are farmed or in the quality of the food that ends up on our plates.

It has also been suggested that protected geographic indicator labels could be a stumbling block within the TTIP negotiations. For many of our most iconic food and drink products, their origin is a core factor in the success of their brand and, critically, in the premium price it is able to command. Protected geographic indicators are essential to sustaining the livelihood of smaller-scale producers who rely on the high quality and uniqueness of their product to add value. Will the Government take the opportunity today to outline what they will be doing to ensure that PGIs are not undermined in the TTIP process, and assure Scottish beef and lamb producers that the markets for their distinctive premium products will not be harmed by opening the market to cheaper imports?

[Mr MacNeil]

My hon. Friend makes a good point. From my own experience, I would want to ensure that Stornoway black pudding, for instance, had its protected status maintained.

[Dr Whiteford]

Marag is, as my hon. Friend knows, the food of the gods, and any steps should be taken to protect that vital aspect of our culture and economy.

Governments need to legislate and regulate in the public interest—not in the interests of corporations or shareholders, but in the interests of citizens. As things stand, there are entirely legitimate fears that the Transatlantic Trade and Investment Partnership could significantly restrict our ability to do that. Until the Government can provide meaningful and detailed assurances, public scepticism is unlikely to be assuaged, and I urge the Government to take a lot more action to spell out the detail of how it will affect different sectors of our economy.