British Steel

Debate between Greg Clark and Tom Brake

Wednesday 22nd May 2019 Commons Chamber

[Greg Clark]

I am grateful to my hon. Friend for that. As I said to colleagues, we should not allow any ideology to influence these decisions, but he is right to draw attention to the accounting officer’s opinion and advice on this, which includes an assessment that makes it clear that the option of whole or partial nationalisation of the company, temporary or permanent, does not change the assessment of legality. The reason for that is that it is a question not of the ownership but of the cash needs of the company. Whether a business is owned in the public sector or the private sector, the test of commerciality has to be met for the Government to put cash in; that applies whichever sector it is in. That is the legal test on which this hinges.

[Tom Brake (Carshalton and Wallington) (LD)]

The action taken so far is welcome, but this is still clearly a disturbing time for workers and suppliers. We heard earlier that British Steel invested £40 million in Ascoval—the Select Committee may want to look at that. At the same time, the French state and local government bodies invested an equivalent sum of £40 million in that steel mill. Is there anything the Government could learn from that? May I encourage the Secretary of State to be creative in the way he was suggesting he would be, by setting up a Brexit fund that could support businesses struggling as a result of Brexit?

[Greg Clark]

It is not a question of having the funds available; it is a question of the legality of being able to deploy them. The right hon. Gentleman will know, as the House will, that I have a good record of being able to invest alongside private businesses where this secures jobs and innovation. That is absolutely something that I would do in the steel sector. One legal requirement—we are meeting the legal requirements—is to show that there is co-investment from a private investor. In the situation in France, there was substantial investment on both sides. The same was not available in this case, which was one reason why the advice that I was given was of the nature that it was.

Leaving the EU: Airbus Risk Assessment

Debate between Greg Clark and Tom Brake

Monday 25th June 2018 Commons Chamber

[Greg Clark]

The answer to my right hon. Friend is: yes, and yes.

[Tom Brake (Carshalton and Wallington) (LD)]

When the Health Secretary suggested that Airbus should get behind the Prime Minister’s position, which of the positions on customs was he referring to: a customs partnership, maximum facilitation or customs arrangements?

[Greg Clark]

If the right hon. Gentleman had read what Airbus said, on which my right hon. Friend was commenting, he would know that it gave a forensic analysis of its requirements when it comes to imports and exports. The import of that was that it needs to avoid frictions and tariffs, which is precisely what the Prime Minister has committed to.

Oral Answers to Questions

Debate between Greg Clark and Tom Brake

Tuesday 7th November 2017 Commons Chamber

[Tom Brake (Carshalton and Wallington) (LD)]

8. What discussions he has had with the Secretary of State for Exiting the European Union on the effect of the UK leaving the EU on the automotive sector.

[The Secretary of State for Business, Energy and Industrial Strategy (Greg Clark)]

I have frequent discussions with the Secretary of State for Exiting the European Union. The UK continues to demonstrate that it is an attractive place for future investment. Companies such as Nissan, BMW and Toyota continue to invest, thanks to our highly skilled workforce, the strong partnership between the Government and industry and long-term investment in new technology and innovation.

[Tom Brake]

I am sure the Secretary of State is aware that some car manufacturers are questioning whether to make further investments in the UK because they are uncertain about the validity of type approvals after we have left the European Union. When will the Secretary of State be in a position to confirm that they will indeed be valid and that the trucks shipping components will not be stuck in long queues at either Dover or Calais?

[Greg Clark]

I have been very clear in my discussions with the industry, and, as I said earlier, last week we had a roundtable at No. 10 with the Prime Minister. It is essential for our trading relationship with the European Union not only to be tariff-free, but to allow the continuation of a means of production that involves multiple components going back and forth, often at very short notice. There are questions about, for instance, type approval and rules of origin, and we are working with the industry to ensure that those matters are part of the deal that we want to achieve. That is a course that I know Members in all parts of the House would commend.

International Investment

Debate between Greg Clark and Tom Brake

Tuesday 17th October 2017 Commons Chamber

[Greg Clark]

It is precisely because we are a leading advocate of free trade and open investment that it is necessary to have the right framework in place so that people can invest with confidence. In fact, in many cases, the steps that we are taking bring us into line with our competitor nations when it comes to trade, and I am absolutely confident that this regime will be respected and applied.

[Tom Brake (Carshalton and Wallington) (LD)]

On the subject of companies developing dual-use technology, can the Secretary of State confirm that as well as introducing powers to stop those companies falling into foreign hands, he will ensure that they will still be able to recruit workers from the EU? Those workers will often not be particularly well paid, as they might be graduates working in start-up companies. Also, will he clamp down on companies here that use subsidiaries in other countries to avoid UK export controls and sell dual-use technology that can be used to clamp down on dissent in middle east countries?

[Greg Clark]

On the right hon. Gentleman’s second point, an export control regime deals with these matters. On his first point, while the scope of the Green Paper is extensive, it is not a consultation on immigration policy. There will be other opportunities to pursue that.

Bombardier

Debate between Greg Clark and Tom Brake

Tuesday 10th October 2017 Commons Chamber

[Greg Clark]

We will of course always be behind the workers in every part of the country, but my determination is not only to save those jobs in Northern Ireland but to see the number of jobs increase and the company prosper and grow. As has been said, the C Series is gaining orders—it is an aircraft that fills an important position in the market. I would like to see the Belfast success story continue to grow in the years ahead.

[Tom Brake (Carshalton and Wallington) (LD)]

This situation is a tragedy for Northern Ireland and for Bombardier, and particularly for Northern Ireland industry, which, as I know from when I visited last week, is clearly reeling from the impact of Brexit and the concerns about our leaving the customs union. I welcome the steps the Government are taking, but I wish to press the Secretary of State on the punitive tariffs. What does he think such tariffs imply for the prospects of a beneficial future UK-US trade deal? It is true that this is all happening while we are in the EU, but does he think we will be more or less vulnerable to this sort of bullying in future if we are in or out of the EU?

[Greg Clark]

The right hon. Gentleman describes this as a tragedy; I am absolutely determined that these jobs will be saved, and I never give up. I am determined that this will not be a tragedy; indeed, as I said to my hon. Friend the Member for Lewes (Maria Caulfield), I am determined that Bombardier will go from strength to strength. On future free trade agreements, I repeat my earlier point: we want free trade agreements that provide for a rigorous dispute resolution mechanism on which we can rely. That is something we would hope to negotiate with the US. The credibility and rigour of that process is essential to our agreeing it.