Northern Ireland Protocol: Disruption to Trade

Lindsay Hoyle Excerpts

Wednesday 13th January 2021 Commons Chamber

[Mr Speaker]

Order. I think Minister Gove needs to be able to answer the question.

[Michael Gove]

I am grateful to the right hon. Gentleman for raising those issues. Members of Parliament from across Northern Ireland, representing all parties, and indeed Members of the Assembly and Northern Ireland businesses, have been in touch directly with me and others to provide detailed information about the challenges that individual companies face. We are grateful for that, because we want to do everything that we can to resolve those problems.

On the specific questions that the right hon. Gentleman raises, there have been some online sales organisations that temporarily paused the distribution of goods to Northern Ireland, but the majority of parcel distributors continue to distribute goods. We are working with those who have paused—a small number, admittedly—to ensure that they resume normal service. It is important to recognise, as he pointed out, that although Northern Ireland’s businesses have been well prepared for the protocol, there are businesses sited in Great Britain, which operate in Northern Ireland, that we need to work more closely with to acquaint them with the guidance to provide the necessary reassurance.

The right hon. Gentleman made a point about steel tariffs; those tariffs would provisionally apply only to steel from the rest of the world, not to steel from Britain or the EU entering Northern Ireland, but we are looking at ways in which we can provide, through either the quotas or appropriate rebates, an automatic guarantee that businesses will not pay those tariffs for the steel that they need.

The right hon. Gentleman mentioned the concern that customers have had about the shortage of specific goods in supermarkets. There was initial disruption, but I am pleased to say that Andrew Opie of the British Retail Consortium confirmed earlier today to the Future Relationship with the European Union Committee that those shortages have now been overcome, pretty much. The right hon. Gentleman is absolutely right, though, that we need to make sure that we have a sustainable approach for the end of the grace period at the end of March, and I will be working with Helen Dickinson of the BRC, and others, to do just that.

The right hon. Gentleman mentioned some of the difficulties that businesses have had with the trader support service; 95% of queries have been answered within 15 minutes, but we still must do better in order to ensure that every business gets the support that it needs. I have been in touch with the Road Haulage Association and Logistics UK to deal with some of the specific problems that hauliers face, and we are contemplating what more might be required to support them.

On one final point, I know that the right hon. Gentleman and a number of other Members have been deeply concerned about the operation of additional VAT costs on second-hand vehicles being sold in Northern Ireland. I can confirm today that Her Majesty’s Treasury and HMRC will reinstate a margin scheme in order to ensure that Northern Ireland customers need pay no more than those in any other part of the United Kingdom.

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[Mr Gregory Campbell (East Londonderry) (DUP) [V]]

Brexit is not the problem; the problem is the implementation of the protocol. The Chancellor of the Duchy of Lancaster seems to be saying that there are fewer problems than we are experiencing on the ground. Will he indicate whether, in a socially distanced way, he will visit the ports in the next week or so, to see the problems at first hand? Will he then try to get a resolution, so that everyone can move forward with better security than they have had over the past few weeks?

[Mr Speaker]

We will make the best we can of that—that was difficult to hear.

[Michael Gove]

No, the hon. Gentleman is right. We must ensure that we have granular information about what is happening on the ground. We are working with Ministers in the Northern Ireland Executive and with businesses in Northern Ireland to do that, and I will visit Northern Ireland at the earliest safe opportunity.

[Mr Speaker]

The next Member has withdrawn, so I now call Bob Stewart—[Interruption.]

[Bob Stewart (Beckenham) (Con)]

Thank you, Mr Speaker; I was slightly surprised and had to take my mask off.

There are six commercial ports and harbours in Northern Ireland. Will my right hon. Friend assure me that the infrastructure is in place, as well as the Government officials required to ensure that traffic coming into or out of Northern Ireland is dealt with speedily and with as much efficiency as possible, perhaps even getting better in the future?

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[Michael Gove]

My hon. Friend is precisely right. The responsibility is mine, but it is also that of my colleagues at BEIS, Her Majesty’s Revenue and Customs, the Northern Ireland Office and elsewhere, and we are working together with the trader support service. We hope to ensure that some of the misunderstandings and confusion that may have arisen are addressed. I am grateful for the work of his Select Committee in helping in that endeavour.

[Mr Speaker]

In order to allow the safe exit of hon. Members participating in this item of business and the safe arrival of those participating in the next, I am suspending the House for three minutes.