Windsor Framework: Internal Market Guarantee Debate
Full Debate: Read Full DebateNick Thomas-Symonds
Main Page: Nick Thomas-Symonds (Labour - Torfaen)Department Debates - View all Nick Thomas-Symonds's debates with the Cabinet Office
(1 day, 15 hours ago)
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It is a pleasure to serve under your chairmanship, I think for the first time, Dr Allin-Khan. I congratulate the hon. and learned Member for North Antrim (Jim Allister) on securing this debate, and I thank the other Members for their interventions. He has also asked me questions in the main Chamber a number of times, and he always makes his case powerfully. He and I share a background in law—we were barristers before becoming Members of Parliament—so I recognise how he structures his argument effectively.
I begin with the things on which we agree, and I will leave it to the hon. and learned Gentleman to judge at the end of the debate whether my language is “dressing up”. We agree on the importance of protecting Northern Ireland’s integral place in the UK’s internal market, and I repeat my commitment to that endeavour today. That is every bit as sincere as the commitment I made to stakeholders across Northern Ireland when I visited. I have great affection for Northern Ireland. When I came into this job, an early priority of mine was to visit Belfast to speak to politicians, visit the Assembly and speak to businesses and people across Northern Ireland.
Yes, of course I speak today as a Minister in the Government, but it is also my great privilege to serve as Member of Parliament for Torfaen. Serving as a Welsh Member of Parliament only adds to my conviction that our nations of this United Kingdom stand to achieve far more economically, socially and culturally by working together than we would ever achieve alone.
I say directly to the hon. and learned Member, and indeed to all those who have intervened today, that this Government’s commitment to the UK internal market is not a vague concept or an aspiration; it is real.
I thank the right hon. Member for giving way and for his engagement on this issue. I wrote to him at the beginning of the year, asking him to come to hear directly from businesses in Upper Bann. The offer was declined, but he kindly sent officials along.
The impact was laid bare at the meeting with those officials last week by used agricultural machinery folks, by small retailers who are impacted by the parcels border, and by agrifood businesses. Each business around the table noted the diversion of trade. Today, we are alerting the Minister to the diversion of trade. What is he doing about it? There is anecdotal evidence from each of those businesses, but there is also evidence from the Northern Ireland Statistics and Research Agency that the proportion of GB manufacturing selling to Northern Ireland has reduced from 20.1% to 12.9%. We need action, and we need it now.
I will certainly be visiting Northern Ireland again. However, on the diversion of trade, that is precisely what the independent monitoring panel is currently looking at. The panel is looking at it for the earlier part of this year, and I expect it to report shortly. Of course, when the panel makes recommendations, where there are issues, the Government will consider them very carefully.
The Government’s commitment to the UK internal market is in our manifesto. It is set out in law, in section 46 of the United Kingdom Internal Market Act 2020, which, to respond to the point made by the hon. and learned Member for North Antrim, also explicitly provides that Northern Ireland is part of the UK’s customs territory. As I say, this issue is not just about the guarantee, important though that is; it is also important that the independent monitoring panel does its work.
I also have to say that the position of Northern Ireland has always been at the forefront of my mind when I have negotiated with the European Union. The hon. and learned Member talks about checks on the Irish sea. Of course, it is the case that this Government will implement the Windsor framework in good faith. Indeed, I give credit to the previous Government for negotiating the Windsor framework. We supported it in opposition, and we have implemented it.
Of course, the purpose of what I have been doing is, far from increasing checks on the Irish sea, to reduce them. That is what a sanitary and phytosanitary agreement will do, once we are able to implement it. In a speech I made in recent weeks, I said that I want to see the SPS agreement in place by early 2027. That will have the effect of reducing precisely the kind of checks that the hon. and learned Member has been referring to.
I have only about seven minutes left. I will give way to both Members, but I will have to do so quickly.
I thank the Minister for giving way. Things have improved only marginally, and not at sufficient speed. I suppose that those of us who live in the real world will say that things would have been much worse if Stormont had not been back up and running. However, I will give an example of the issues.
A constituent who visited me just this week said that they had ordered a product from the Natural History Museum, here in the centre of London, but they got this reply:
“Unfortunately, we are currently unable to ship to any EU countries.”
That is a reply from the Natural History Museum in London to a resident of Northern Ireland who was trying to order a product. Is that not an example of how much distance we have yet to travel?
I would certainly be interested in learning more about that specific case. If the hon. Gentleman wants to write to me about it, I will happily look into it.
I thank the Minister for giving way. Having issued that invitation to my hon. Friend the Member for East Londonderry (Mr Campbell), Members in this Chamber will probably raise a whole lot more cases.
The Minister has indicated that, as a result of the SPS agreement and so on, checks will be reduced even further. Could he explain why a £140 million border post is being erected in my constituency, with work being frantically carried out to make sure it is operational by October this year? If fewer checks will be needed, why are we spending all this money on building state-of-the-art border posts?
Quite simply it is because, to secure further agreements, the United Kingdom has to show good faith with the agreements it has already signed. The Windsor framework had cross-party support. We voted for it in opposition, so we have to show good faith in implementing it. However, there will come a point when we can reduce the checks—and it is not a point in the distant future, as we will be implementing the SPS agreement by 2027. At that stage, I will be more than happy to visit the right hon. Gentleman’s constituency to see the reduction of checks.
The internal market guarantee mentioned by the hon. and learned Member for North Antrim is hugely important to the Government. Alongside independent scrutiny, it is there to deal with precisely the concern about trade flows. He talks about “Safeguarding the Union”, which is on my desk as I am looking at this issue.
An exercise has been carried out to see whether the guarantee was being met in the first scrutiny period during the first part of the year—from January to June 2025. As I have indicated, that will report shortly. If the report recommends further action that the Government need to take, we will look at that.
More generally, and the hon. and learned Gentleman referred to this, I have a role not only to supervise the Windsor framework in the Cabinet Office, but to negotiate with the EU. In that endeavour, which I have led and will continue to lead in the months ahead, I have always had Northern Ireland at the forefront of my mind.
There have been a lot of references to businesses, as well as to a number of businesses benefiting from dual market access, such as PRM group, which is investing £15 million in new premises and jobs distributing chilled and frozen foods. The chief executive of Denroy, a manufacturer, said it really has
“the best of both worlds.”
Manufacturing supplier Crushing Screening Parts has described dual market access as giving it
“a huge potential customer basis”
and enabling it to
“fulfil orders quicker than competitors.”
Food supplier Deli-Lites Ireland has described Northern Ireland’s trading arrangement as “very positive” for its businesses, and as having enhanced its competitiveness.
The spin was that dual market access would make Northern Ireland the Singapore of the west, but the fact is that Invest Northern Ireland has had to say that there has not been a single inward investment because of dual market access. The reason for that is very simple: it is all very well to have access to the EU, but there is no advantage whatsoever if access to raw materials from GB is fettered. Inward investment is not happening because they do not want to have to bring their goods through an international border.
The four businesses I have just quoted evidently do not agree with the hon. and learned Gentleman. He and I both want to see an economically successful and prosperous Northern Ireland, and I have no doubt that dual market access will provide that.
I am conscious of the time, but I repeat not just this Government’s commitment, but my personal commitment to the UK internal market. As I negotiate with the European Union, Northern Ireland will be at the forefront of my mind.
Question put and agreed to.