European Union (Withdrawal) Bill

Baroness Chapman of Darlington Excerpts
Baroness Chapman of Darlington Portrait Jenny Chapman (Darlington) (Lab)
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I wish to speak to amendments 338, 346 and 347 in my name and the names of my hon. and right hon. Friends. I also wish to make it clear that my party and I would support new clause 70, should it be put to a vote. I was heartened by the intervention of the hon. Member for Stirling (Stephen Kerr), who said that he also supports the new clause.

As the hon. Member for North Down (Lady Hermon) argued so eloquently and persuasively, new clause 70 protects the Belfast principles throughout and beyond our departure from the European Union, just as Labour’s amendment 338 prevents delegated powers from being used in any way that would undermine the Good Friday agreement. I am grateful to my hon. Friend the Member for Pontypridd (Owen Smith) for his thoughtful guidance in devising amendment 338.

Too many—including, I suspect, many of my constituents—see the Good Friday agreement as an event that took place almost 20 years ago, already consigned to the history books. The agreement was, and is, the result of years of work by too many committed souls to name each one. It is an agreement that is as moving to read now as it was then. Beautifully simple are the words that drew to an end the decades of brutality, misery and conflict that had befallen the island of Ireland and beyond for decades. None of us living on this side of the Irish sea can truly comprehend the opportunity for a new beginning for Northern Ireland that was made possible by the Good Friday agreement. The declaration of support for the agreement says it best:

“The tragedies of the past have left a deep and profoundly regrettable legacy of suffering. We must never forget those who have died or been injured, and their families. But we can best honour them through a fresh start, in which we firmly dedicate ourselves to the achievement of reconciliation, tolerance, and mutual trust, and to the protection and vindication of the human rights of all.”

To say that the Labour party is proud of its role in bringing the agreement into being does not convey sufficiently the time, political and emotional investment made by Tony Blair, Paul Murphy, Mo Mowlam, Jonathan Powell and countless others, by choice, in the process. Peace and security in Northern Ireland mattered to the Labour party then and it matters no less to us now. But it is important to say, too, that the work of John Major and many in this Chamber should be recognised, appreciated and acknowledged.

We have seen this week that all the challenges involved with implementing the UK’s decision to leave the European Union unite and are magnified in the context of Northern Ireland. The separation by sea from the rest of the UK and the joining by land of Northern Ireland to the Republic of Ireland quickly expose the weaknesses of any flippant attempt to provide a single line answer to the question of our future relationship with the EU.

Northern Ireland finds us out. It is the test by which any proposed deals can be said to succeed or to fail. Ruling out the customs union and a changed relationship with the single market before trade talks have even begun fails the Northern Ireland test. Why? Because of the potential reappearance of a hard border, which all parties say they do not wish to see. But we cannot wish away problems. If we have different tariff arrangements from the EU, we will need to collect tariffs from the EU, and the EU will need to collect tariffs from us. If we have different product standards and regulations, goods will need to be inspected to see if they are allowed in each other’s markets, particularly agricultural produce. In Norway and Sweden, that means a hard border. In America and Canada, that also means a hard border. Ambition is not enough to prevent it from meaning a hard border on the island of Ireland too.

Andrew Murrison Portrait Dr Murrison
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To my knowledge, the United Kingdom Government are not proposing to erect tariff barriers, and they do not want to have regulation. Therefore, there would be no need for a hard border in the way in which the hon. Lady describes. If the European Union wishes to collect tariffs or erect regulatory barriers, the European Union will have to erect a hard border, but the UK Government surely cannot be answerable for that.

Baroness Chapman of Darlington Portrait Jenny Chapman
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I struggle to see how the originator of the border—who would erect it—is of any consequence to the people of Northern Ireland. A border is a border and it needs to be avoided at all costs.

Ian Murray Portrait Ian Murray (Edinburgh South) (Lab)
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It is quite clear that the proponents of Scotland remaining in the UK during the 2014 Scottish independence referendum were right to argue that taking Scotland out of the UK single market would mean the erection of a hard border at Berwick. Given what we have just heard from the hon. Member for South West Wiltshire (Dr Murrison), does my hon. Friend think that the situation would be any different in the context of Northern Ireland?

Baroness Chapman of Darlington Portrait Jenny Chapman
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As earlier contributors have made clear, this issue is the one that finds out the fantasists from the realists. If the Government have the ambition of avoiding a hard border in Northern Ireland, they need to explain exactly how they intend to achieve that.

Stephen Kerr Portrait Stephen Kerr
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Is not the hon. Lady putting the cart before the horse? The next phase of the negotiations will determine the future relationship between the EU and the UK. Is not she presuming an outcome that very few people would actually be in favour of?

Baroness Chapman of Darlington Portrait Jenny Chapman
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I am just making it very clear to the Government and all other observers that this matter is not something on which the Labour party is prepared to compromise. That point may need to be made again as we proceed, but it absolutely ought to be made now too.

Anna Soubry Portrait Anna Soubry
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Perhaps the hon. Lady can help us. Does she agree that it is absolutely agreed by everybody—the EU, Ireland, Northern Ireland and everybody here—that we do not want a hard border, and that the Government have accepted that there will be a hard border unless we get a proper deal, which is why they conceded that point and offered up solutions in their White Paper? Would she further agree that the difficulty is that the solutions that have been offered up are unworkable unless the Prime Minister’s excellent idea is put across the whole United Kingdom? It is a great idea, but it should not apply only to Northern Ireland because we are a Union.

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Baroness Chapman of Darlington Portrait Jenny Chapman
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I agree with the right hon. Lady, and she can probably guess that I will be making the point later in my speech that we need a solution that works for the whole United Kingdom.

The next issue is north-south co-operation. The Committee will know that strand 2 of the Good Friday agreement sets out a framework under which the Administrations in Belfast and Dublin can establish some common policies across the island of Ireland. I am sorry, Mr Streeter; I have missed out an important section of my speech. I will just go back and ensure that I do not omit any important issues. This is the peril of taking too many interventions.

The point I wanted to make is that we cannot simply wish away problems, that if we have different tariff arrangements from the EU, we will need to collect tariffs from the EU and the EU will need to collect tariffs from us, and that the Government’s ambition is not enough to prevent the reintroduction of a hard border on the island of Ireland. Therefore, the north-south co-operation that has been established is incredibly important, and the United Kingdom has a solemn commitment to support this co-operation.

From strand 2, the island of Ireland has the six north-south implementation bodies, and the co-operative work of the North South Ministerial Council. The European Commission reportedly estimates that there are 142 areas of north-south co-operation that are affected by EU rules and regulations. The Government may quibble with that number, but there can be no doubt that common EU rules and regulations facilitate co-operation in areas such as the environment, health, agriculture, energy, higher education and telecommunications.

It was always envisaged by the parties to the peace process that EU rules and regulations would help to facilitate north-south co-operation. The Belfast agreement states that the North South Ministerial Council will

“consider the European Union dimension of relevant matters, including the implementation of EU policies and programmes and proposals under consideration in the EU framework.”

As Britain leaves the EU, it falls to this generation of political leaders to face up to the challenges that Brexit poses to the Good Friday agreement and make good on the efforts of those who worked so hard to reach agreement in 1998. We must cherish and respect what was achieved almost 20 years ago.

We need to preserve not only the institutions that were set up in relation to strands 1, 2 and 3 of the Good Friday agreement, but human rights and equality, the principle of consent and citizenship rights. The understanding that it is for the people of Northern Ireland, and the people of Northern Ireland alone, to determine their future is the principle that underpins the Good Friday agreement and subsequent agreements. The UK Government and the Irish Government are co-guarantors of the agreement and together must ensure that that promise is kept.

Ian Paisley Portrait Ian Paisley (North Antrim) (DUP)
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Yes, the Irish Government and Her Majesty’s Government are co-guarantors, but does the hon. Lady agree that the Irish Government have acted in very bad faith by dismissing the views of a vast number of people in Northern Ireland on the issue of Brexit?

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Baroness Chapman of Darlington Portrait Jenny Chapman
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No, I do not agree with that at all and I will not be tempted into some kind of debate about it. If the hon. Gentleman wants to make a speech to that effect, he is very welcome to do so, but I will not agree with him.

Those elements of the agreement matter not only because they were necessary to bring lasting peace, but because they have enabled the economic rebirth of Northern Ireland. Nothing harms the prospects of young people or businesses like uncertainty and instability. Northern Ireland benefits from natural beauty, the ingenuity, creativity and resilience of its people, and a shared determination to never return to the suffering of the past. As a non-partisan coalition of businesses put it, we must ensure that

“society in Northern Ireland does not become collateral damage in any Brexit discussions.”

The Northern Ireland Committee of the Irish Congress of Trade Unions, the Confederation of British Industry in Northern Ireland, the Northern Ireland Council for Voluntary Action and the Ulster Farmers Union got it right when they produced an agreed position on the Brexit negotiations. They say that an “open frictionless border” must be maintained between Ireland and Northern Ireland, and between Great Britain and the island of Ireland. They say that

“Brexit must not be used as a pretext to dismantle hard won workers’ rights or to drive down employment standards”.

On this and on many other issues, the Labour party is as one with the people of Northern Ireland. There must be no hard border, the preservation of the common travel area between Ireland and the UK, no undermining of the Good Friday agreement, and full involvement of workers’ representatives, business and the community and voluntary sectors in articulating the concerns and protecting the interests of all citizens of Northern Ireland.

Indeed, everybody sensible who examines this issue in any depth soon reaches the conclusion that the Government must do what they have as yet failed to do and answer the question of how they plan to achieve their objective of no physical infrastructure and no customs border, as outlined in their position paper earlier this year. But answer it they must, because a hardening of the border will undoubtedly harm business and the economy. I was left in no doubt about that when I met farmers and business leaders in Northern Ireland recently. It will also harm the everyday lives of those who frequently cross the border for social, cultural, leisure, educational or health reasons. Whether it is because of the outstanding work that has been done by CAWT—co-operation and working together—in recent years to make sure that the border is not a barrier to accessing healthcare or the thriving agri-food trade that makes up 33% of north-south trade, avoiding a hard border must be our ambition.

If we are to have non-negotiable issues, the avoidance of a hard border in Northern Ireland should be the thickest and most indelible of red lines. As the Brexit Select Committee said in its report:

“We also recognise the unique challenges posed by the need to preserve the peace settlement in Northern Ireland, including issues that go far beyond trade and customs.”

Everybody knows that this is not just about moving butter; it is about daily life and identity for thousands of people. The Select Committee goes on to ask: how will the Government avoid a hard border if no deal is reached by 29 March 2019?

Continued progress in Northern Ireland goes hand in hand with prosperity and stability. The Good Friday agreement and subsequent agreements have provided certainty about the continuation of an approach to the future of Northern Ireland that is shared between the British and Irish Governments and the people of Northern Ireland. Putting a commitment to the agreement on the face of the Bill and preventing Ministers from legislating in any way that is contrary to the agreement would provide some of the clarity, certainty and reassurance that the businesses and citizens of Northern Ireland say they need.

Let us pause to reflect on the heart of the issue that the Good Friday agreement settled: the violence between communities and traditions that raged for generations and that took and scarred so many lives in Northern Ireland. Today, the people of Northern Ireland, so many of whom were affected by the troubles, will be watching, waiting and hoping that the Government can offer a cast-iron guarantee that the Good Friday agreement will be protected and preserved in every sense. There has been much talk of red lines as we have debated Brexit since the vote to leave. Maintaining our commitment to the Good Friday agreement and guaranteeing that Ministers cannot legislate incompatibly with it should be a red line for every last one of us in this Parliament.

Robin Walker Portrait The Parliamentary Under-Secretary of State for Exiting the European Union (Mr Robin Walker)
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It is a pleasure to follow the hon. Member for Darlington (Jenny Chapman) and I echo many of the sentiments she has voiced from the Dispatch Box.

I have reordered my speech so that I can turn quickly to the new clause tabled by the hon. Member for North Down (Lady Hermon) and to the importance of the Belfast/Good Friday agreement. First, I will speak briefly to clause 10 stand part. As those who have studied the Bill will recognise, clause 10 is very short. Schedule 2, which relates to it, is rather more complex and we have a huge number of amendments to schedule 2. I therefore ask whether interventions on those various amendments can wait until we have dealt with the important issue of the Belfast/Good Friday agreement.

Clause 10 and schedule 2 are straightforward but essential. They provide the devolved Administrations with the powers they need to prepare our statute book for leaving the EU by dealing with deficiencies in retained EU law, ensuring ongoing compliance with international obligations and implementing the withdrawal agreement. As we set out in the White Paper, the task of preparing our statute book for exit is one that we share with the devolved Administrations. The law that will be preserved under the Bill has effect in areas that are devolved, as well as those that are not. We will leave the EU as one United Kingdom, but devolution is a vital part of that United Kingdom, and it is right that ensuring that there is certainty and continuity should be a shared and collective endeavour in which every Parliament and Assembly plays its part.

It is absolutely right, therefore, that we equip the devolved Administrations with the powers they need to correct the laws for which they are responsible, just as it is right for the UK Government to have powers to correct those laws that affect the UK as a whole. It is important, as we have, to set the parameters for those powers. We believe that we have achieved the right balance by focusing on the specific aims of the powers and by applying safeguards. That will ensure, for instance, that they are not used in ways that might disrupt the ongoing EU negotiations or the workings of our internal market. Today is an opportunity for the Committee to examine how we have struck that balance, and I will continue to listen with great interest to the views of Members across the Committee.

I am grateful for the contributions that have been made by committees in the devolved legislatures to the debate that we are having today. I am also grateful to those who gave evidence to those committees. These are complex matters and I welcome their engagement and the attention that these issues have been given. We will consider carefully all the evidence that has been put forward by those committees in today’s debate.

We have heard a huge amount in this debate about the importance of the Belfast agreement. I say to the hon. Member for North Down that we appreciate enormously the attention and work she has put into the new clause. Her new clause seeks to clarify that any Ministers using the powers in the Bill would have to have regard to, and abide by, the Belfast agreement. We absolutely recognise the importance of the issue that she raises. I think I can safely say that her opening speech was one of the most powerful evocations of the importance of that agreement. I pay tribute to her for the courage and clarity of her remarks.

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Robin Walker Portrait Mr Walker
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The Good Friday/Belfast agreement is and will continue to be secure.

I want to move on, and will turn to amendment 89, tabled by the hon. Member for Arfon (Hywel Williams), along with amendments 313 to 316, tabled by the hon. Member for Aberavon (Stephen Kinnock). These amendments would prevent UK Ministers from being able to use powers in the Bill in areas of otherwise devolved competence. Additionally, the hon. Member for North East Fife (Stephen Gethins), whom we have heard from today, has tabled amendments 161 to 163, which would require the consent of devolved Administrations for UK Ministers to exercise their powers in devolved areas.

I would like to take this opportunity to stress a simple but important fact: the concurrent powers in the Bill do not undermine the devolution settlement. Rather they give the UK Government and devolved Administrations the tools required to respond to the shared challenge of ensuring the operability of our statute book in a collaborative way. This reflects current practice. Concurrent functions have always been a normal part of our devolution arrangements and they are an important tool in ensuring that we can work together in the most efficient way. Take, for instance, new schedule 3A to the Government of Wales Act 2006, which lists no fewer than 34 laws containing concurrent functions for UK and Welsh Ministers, including powers to make subordinate legislation. We should not forget that section 2(2) of the European Communities Act 1972 is concurrent and is routinely used to make a single set of regulations to implement directives relating to devolved matters, such as the Marine Strategy Regulations 2010. Removing the concurrent tool would remove the vital flexibility from which we and the devolved Administrations already benefit in preparing our statute book. Such flexibility and greater efficiency will be crucial if we are to achieve the considerable task ahead of having a complete and functioning statute book on exit day.

Amendments 161 to 163, tabled by the hon. Member for North East Fife, would add to the process additional layers that have not previously been needed for equivalent powers by requiring consent from devolved Ministers. This might render the Government and the devolved Administrations unable to ready the statute book for exit day, and they therefore threaten the legal certainty that the Bill is meant to deliver.

Let me remind Members on both sides of the Committee that the Government have already committed that we will not normally legislate to amend EU-derived domestic law relating to devolved matters using any of the powers in the Bill without the agreement of the devolved Administrations. The powers build on the existing successful ways of working between the UK Government and the devolved Administrations, and the Government have committed to this ongoing collaborative working. I therefore urge those hon. Members not to press their amendments.

I now turn to amendments 158, 159, 318, 320 and 321, tabled by the hon. Members for Cardiff South and Penarth (Stephen Doughty) and for Aberavon. Taken together, the amendments would prevent amendment of the devolution statutes using the powers in clauses 7 to 9 and 17. In addition, amendment 160, in the name of the hon. Member for North East Fife, would require the consent of Scottish or Welsh Ministers if the Scotland Act 1998 or the Government of Wales Act 2006 were amended using the power in clause 9.

I want to start by saying that I have listened to and I am grateful for the debate we have already had on these amendments both in this Parliament and in Committees in other Parliaments. The Committee is right to pay careful attention to any changes to the devolution settlements, so I thank the hon. Members who have tabled these amendments and the Committees of the devolved legislatures that have drafted some of them for drawing attention to these issues.

A number of references in the provisions of the devolution statutes will not make sense once we leave the EU and will need correcting to ensure our statute book continues to function. We recognise the standing of these Acts, and for this reason we have corrected as many deficiencies as possible in the Bill—in part 2 of schedule 3. As Members will no doubt have noticed, these corrections are technical and I stress that they are devolution-neutral. They do not substantively change the boundaries of competence; nor will any of the corrections that are still to be made.

I want to reassure the Committee that we intend to correct the remaining deficiencies by working collaboratively and transparently with the devolved Administrations. Where possible, this will include correcting deficiencies using the existing powers such Acts already contain for amending the reservation schedules. This process with the devolved Administrations is already under way.

Specifically on the power to implement the withdrawal agreement—the topic of amendment 320, in the name of the hon. Member for Aberavon—it can be used to modify the devolution statutes only where it is appropriate to implement the agreement that will result from our negotiations with the EU. It cannot be used to modify them in any other way, and it simply is not true that any UK Minister can make any change they like to the devolution settlements. I hope I have reassured the Committee that the Government do understand that concern, but the amendment does not support our aim of a smooth and orderly exit.

Similarly, amendments 159 and 319 seek to restrict the use of the international obligations power to modify the Scotland Act or the Government of Wales Act. I want to be clear that these powers cannot be used to unpick or substantively change the devolution settlements. As I am sure the Committee will recognise, it is quite normal to use delegated powers in such a way. They have previously been used to amend the devolution statutes to ensure that our laws reflect the most accurate position in law, and ultimately to ensure that we fulfil our international obligations.

Baroness Chapman of Darlington Portrait Jenny Chapman
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I am slightly concerned that the Minister will sit down before he has had a chance to make any comment on amendment 338, in my name and those of my right hon. and hon. Friends, which would prevent Ministers from legislating in any way incompatible with the Good Friday agreement. I am sorry to refer him back to that, but I am concerned that he has not yet said anything about this amendment.

Robin Walker Portrait Mr Walker
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I apologise to the hon. Lady. I think I mentioned that amendment in the run-up to addressing the detail of new clause 70 in the name of the hon. Member for North Down, but let me say that Ministers will not and cannot legislate incompatibly with the Good Friday agreement. We are bound by that agreement, and I have been very clear that this Government remain absolutely committed to the Good Friday agreement and have already put our obligations under it at the heart of our commitments.

On amendment 160 in the name of the hon. Member for North East Fife, I want to comment on the fact that such powers have previously been used, because it is important to recognise that this issue has already been addressed. For instance, the Treaty of Lisbon (Changes in Terminology) Order 2011, which was made under section 2(2) of the European Communities Act, amended the Scotland Act 1998, the Northern Ireland Act 1998 and the Government of Wales Act 2006 to give effect to new terminology relating to the European Union. Leaving the EU will require changes of a similar technical nature across the settlements, and that is what the powers enable.

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Conor McGinn Portrait Conor McGinn
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I am an MP from Northern Ireland, but not a Northern Ireland MP, which makes speaking in debates such as this one rather peculiar, because everyone from Northern Ireland has a background or perceived affiliation. I find, when I say something that nationalists agree with, that they say, “Well, he hasn’t forgotten where he has come from.” When I say something with which they disagree, they say, “He should be ashamed of himself, given where he has come from.” Similarly with Unionists, when I say something with which they agree, they say, “Fair play to him, given where he is from.” When I say something with which they disagree, they say, “Well, what would you expect?” I have a knack of annoying everyone, which I hope to continue in the two minutes available to me.

I want to make a couple of quick substantive points, then say something about the Good Friday agreement. First, the only people seeking to change the border, or who have proposed a fundamental change to the border, are those who propose that we leave the single market and the customs union. It was the UK Government who fundamentally altered the nature of the border when they suggested that, not the Irish Government. The principle of consent is firmly enshrined: Northern Ireland will remain part of the United Kingdom until the majority of the people there decide otherwise. Notwithstanding that, there is a unique position, because people born in Northern Ireland have a right to Irish citizenship by virtue of their birth there. My constituents in St Helens do not have a right to be Irish because they are born in St Helens, nor do people in Manchester, Birmingham, Glasgow or Cardiff.

Baroness Chapman of Darlington Portrait Jenny Chapman
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I thank my hon. Friend for giving way at this late stage. Like him, I am deeply disappointed by the Government’s inadequate response to arguments made today to protect the Good Friday agreement. I am also disappointed that they appear to be prepared to risk a vote that could be perceived as challenging bipartisan support for the agreement, but we are not prepared to do that, so we will not seek to divide the Committee. I thought my hon. Friend should know that before he continues.

Conor McGinn Portrait Conor McGinn
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I thank my hon. Friend for that; the position is very strong and very clear.

The legacy of the peace process is not a Labour legacy; it is a legacy shared between us all. I hope that the Conservative party will reflect on that in these debates, and I am disappointed that the Government have not accepted the new clause today. It is disingenuous to say that the European Union is not mentioned in the Good Friday agreement. Its writ runs through the Good Friday agreement, which was predicated on the basis that we would both remain members of the European Union, and around strand 2, which is north-south co-operation, and strand 3, on east-west co-operation, it is mentioned specifically in terms of areas we can discuss, and there are shared competences.

I want also to remind the Committee that although we talk a lot about the referendum to leave the European Union and its result, the Good Friday agreement was passed by referendums on both parts of the island of Ireland by a majority of people exercising their democratic right. We need to respect that referendum as well as the referendum on the European Union.

The debate focuses primarily and largely on trade, tariff and regulatory alignment. The Good Friday agreement and the peace process are much more than that. I said in this House in my maiden speech that there was no contradiction in being British and Irish, or to having feelings of loyalty, affinity and affection for both countries. That is being tested by this process, but I stand by it. I plead with the Government: through this Brexit process, do not make people choose.

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Oliver Letwin Portrait Sir Oliver Letwin
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I do not think there is the slightest chance that a withdrawal agreement will be put before the House that does not specify, or enable one to calculate, an amount of money, because there is no indication that the EU would accept such a thing. Whether or not we should be paying such an amount is a separate matter. In any event, as my right hon. and learned Friend the Member for North East Hertfordshire (Sir Oliver Heald) just said from a sedentary position, if that is a deficiency of a forthcoming money resolution, it is a deficiency shared by new clause 17, which also does not stipulate anything about an amount. One way or the other, I fear that the new clause is otiose. It has given an admirable opportunity for the hon. Gentleman to make an interesting speech, but that is its only virtue. The House should have nothing further to do with it.

Baroness Chapman of Darlington Portrait Jenny Chapman
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It is a real pleasure to be called to contribute. I wish to speak to new clause 80 and amendments 339 and 340 in my name and the names of my right hon. and hon. Friends.

New clause 80 would require a vote in the House on the financial settlement that the Government agree with the European Union. Further, it would require the House to be informed in its decision on that matter by reports from the Office for Budget Responsibility and the National Audit Office. Amendments 339 and 340 would prevent tax or fee-raising powers from being established via tertiary legislation and limit any fees that are levied by public bodies to the cost of the service that the fee is intended to cover.

I should start by referring Members to the third report of the House of Lords Delegated Powers and Regulatory Reform Committee from September, which examined the Bill before us today. The report draws our intention to the fact that the delegated powers memorandum notes that those powers would enable

“the creation of tax-like charges, which go beyond recovering the direct cost of the provision of a service to a specific firm or individual, including to allow for potential cross-subsidisation or to cover the wider functions and running costs of a public body.”

The report alerts Parliament to the danger of allowing organisations full-cost recovery of their services without parliamentary scrutiny as it could allow them to gold-plate the services that they offer. As the report says:

“A tax-like charge means a tax.”

And it

“should not be allowed in subordinate legislation. They are matters for Parliament, a principle central to the Bill of Rights 1688. Regulations under clauses 7 and 9 cannot impose or increase taxation.33 But regulations under Schedule 4 may.”

The report goes on to make the point that that means that Ministers can tax. They can

“confer powers on public authorities to tax and they can do so in tertiary legislation that has no parliamentary scrutiny whatsoever.”

New clause 80 also addresses this issue of a lack of parliamentary oversight. As we all know, the Government are in the process of attempting to conclude the first phase of negotiations with the European Union. Part of that process is agreeing a financial settlement, which reflects the obligations that the United Kingdom has incurred as a result of its membership of the European Union. Labour has always been clear that Britain should meet its obligations. We cannot seriously hope to make new agreements on the international stage if we are seen to go back on what we have already agreed. Britain is a far better, fairer and more reliable ally than that.

As the Chancellor said when he attended the Treasury Committee today:

“I find it inconceivable that we as a nation would be walking away from an obligation that we recognised as an obligation.”

He continued:

“That is just not a credible scenario. That’s not the kind of country we are and frankly it would not make us a credible partner for future international agreements.”

On that, we are agreed. But we have also been clear that the deal must be fair to the taxpayer. Already the Government are attempting to bypass the scrutiny that should take place in this Chamber. This money belongs to the UK taxpayer and they have a right to know how much, and for what they are paying. It is true that the public interest in discovering more about the financial settlements that the Government intend to make with the EU is great, and that there will inevitably and rightly be extensive media coverage. The details, some certain and some speculative, will be pored over by commentators. Estimates will be made and objections proffered on the basis—sometimes, I venture to say—of inaccurate or incomplete information. That is not a satisfactory way to proceed. The House must get a grip of this process and demand the ability to scrutinise and take a view on the deals reached.

Our new clause argues that this House should have a vote, and also that the vote should be properly informed. Being properly informed means that independent analysis by the OBR and the NAO must be provided to assist this House in its consideration of the deal. We are going to need that, because the financial settlement will not be straightforward, and unvarnished truths will be hard to come by. Crudely speaking, the Government will try to make the amount look as reasonable as possible and the EU will try to show that it has everything that it thinks it is due.

The Government will want to highlight estimates that show how payments will be less than half the €100 billion liability, once UK projects have been taken into account. As Alex Barker in the Financial Times put it last week:

“Ministers are banking on Treasury budget wizards making the exit price look as small as possible.”

The two sides in the negotiation could look at the same agreement and come up with net estimates that are quite different.

Helen Goodman Portrait Helen Goodman
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I am just puzzling over how the Government think this will work. Has my hon. Friend thought about this: it is highly likely that we will make not one big payment, but a number of payments over a period of time, which means that the payment could be spread into another Parliament? Given that no Parliament can bind its successor, how does she think that the Government can make this agreement?

Baroness Chapman of Darlington Portrait Jenny Chapman
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That is a very interesting point. As a fellow member of the Select Committee on Procedure for several years, I am not surprised that my hon. Friend has spotted this. I would be fascinated to hear what the Minister has to say about that when he gets to his feet later this evening.

Parliament ought to have the ability to debate, scrutinise and reach its own conclusion on this matter. If we do not, we will be the only people not tussling with it. This Parliament wants to do as the people said we should: take back control. The Chief Secretary to the Treasury said in response to an urgent question from my hon. Friend the Member for Nottingham East (Mr Leslie) that to give Parliament details about the settlement

“would not be in our national interest”—[Official Report, 29 November 2017; Vol. 632, c. 327.]

That is not good enough. She said that she will “update the House” when there is more to say, but we do not want to be updated; we want the ability to decide.