Oral Answers to Questions

Stephen Kerr Excerpts

Wednesday 20th December 2017 Commons Chamber

[The Prime Minister]

My understanding is that this issue is being properly looked into. Of course, I recognise the concerns that have been expressed by the hon. Gentleman, and indeed will have been expressed by other Members of this House, and the Government are looking into that.

[Stephen Kerr (Stirling) (Con)]

Does the Prime Minister share my dismay that the Scottish National party Government are planning on raising taxes on hard-working Scots when they could raise the same amount, if not more, by just getting their own house in order and improving efficiencies?

[The Prime Minister]

What the Scottish Government are proposing means that there are 1.2 million Scots earning over £26,000 who will be paying more tax than people in England. [Interruption.] I was not aware of the fact that my hon. Friend has given this House, which is very important—[Interruption.]

Oral Answers to Questions

Stephen Kerr Excerpts

Wednesday 6th December 2017 Commons Chamber

[David Mundell]

Of course I have seen my hon. Friend’s excellent report, and the Government are continuing to consider it. Obviously I believe that intergovermental institutions and relations can be improved, and we must continue to work on that.

[Stephen Kerr (Stirling) (Con)]

It is welcome news that good progress was made at the last meeting of the Joint Ministerial Committee, when principles underpinning common frameworks were agreed. Does my right hon. Friend agree that it is vital for Scotland’s two Governments to work together as we leave the European Union, so that the common frameworks that we need to maintain the UK internal market are retained while all remaining powers are devolved?

[David Mundell]

I absolutely agree with my hon. Friend, and that is our approach. I am happy to put on record that I welcome the Scottish Government’s constructive approach to these matters in recent weeks.

European Union (Withdrawal) Bill

Stephen Kerr Excerpts

Committee: 4th sitting: House of Commons
Monday 4th December 2017 Commons Chamber

[David T. C. Davies]

The hon. Gentleman knows the difference between a local authority area and a parliamentary constituency, so he knows there is absolutely no way of telling what the Monmouth constituency did. He will be aware that it was quite close in the Monmouthshire local authority area. Indeed, there was a very small majority in favour of staying in the European Union. He will also be acutely aware, as I am sure is the hon. Member for Torfaen (Nick Thomas-Symonds), that I represent 10,000 Labour-voting, traditionally working-class voters in Torfaen. I respect those voters, and they voted overwhelmingly to leave the European Union. Some people say I should not listen to such people, but I tell the hon. Member for Cardiff South and Penarth (Stephen Doughty) that those people mean as much to me as anyone living in Monmouth. I will represent their views, and they overwhelmingly voted to leave the European Union.

[Stephen Kerr (Stirling) (Con)]

Is not the key point about the referendum not which regions or nations within the United Kingdom family voted one way or another but that we voted as a United Kingdom on the United Kingdom’s membership of the European Union?

[David T. C. Davies]

Absolutely. My hon. Friend makes an excellent point. Of course, the Government’s whole purpose is to ensure there is a single market within the United Kingdom. We cannot have a situation where different nation states within the United Kingdom go off and do their own thing. If that were to happen, we would have exactly the problem that some Opposition Members complain will occur when we leave the European Union. That is what we are about today.

If one judges the Government by their actions, rather than on the words of Opposition Members, one can see that, actually, this Government and this Conservative party have, over and again, given extra powers to the Scottish Parliament, the Northern Ireland Assembly and the Welsh Assembly. Sometimes they have been rather more enthusiastic in doing that than I would choose, but we saw it happen in 2011 and we are about to see a huge tranche of extra powers being handed over to the Welsh Assembly on 1 April 2018. The Conservative party has shown it is very willing to give extra powers to the devolved Parliaments and, to some extent, I suppose I agree with that approach. I sometimes think it is happening a bit too quickly, but it will certainly happen again. So I completely support what the Government are doing here today. They are doing what all those on the other side of the House are calling for: bringing about Brexit in a stable and controlled fashion that allows us to move forward with certainty. It is inevitable that this will lead to further powers going to the devolved Parliaments—it may not happen straightaway, but it will happen. Not one single power is coming back to London as a result of these measures; there is not one single thing that can be done by the Scottish Parliament or the Welsh Assembly today that they will not be able to do once this Bill is passed.

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[Ian Blackford (Ross, Skye and Lochaber) (SNP)]

Before I begin, I wish to pay tribute to the former hon. Member for Clydesdale, and for Lanark and Hamilton East, Jimmy Hood, who served this House between 1987 and 2015 and whose sad death we learned of today. I knew Jimmy, having been a constituent of his for a number of years, and I would like to pass on condolences from everyone on our Benches.

I will speak to amendments 72 and 184, which stand in my name and that of my hon. Friend the Member for North East Fife (Stephen Gethins), as well as the remaining amendments standing in the names of Members from these Benches. First, I wish to update the House on the St Andrew’s day meeting in Edinburgh last week, where the Scottish Government and UK Government met to discuss the Bill and its impact on devolution. The talks were constructive and progress was made in some areas, especially on the subject of frameworks, a matter I will come to later in my speech. However, there is a long way to go on this Bill and, as it stands, the Scottish National party cannot and will not support it.

Clause 11 is a bare, naked power grab and it completely undermines the devolution settlements across the United Kingdom. The right hon. Member for Wokingham (John Redwood) often speaks about the UK taking back control from the EU, but this Bill tramples all over the devolved competences of the Parliaments in Edinburgh, Cardiff and Belfast. The Scotland Act 1998, which established the Scottish Parliament, establishes all matters that are reserved. What is happening here is that, without agreement, Westminster is taking back control over matters that are devolved, without having shown due respect and negotiating appropriately with the devolved Administrations.

We are willing to compromise and reach agreement, but we are some distance from that point. The UK Government have failed to see a sense of urgency in concluding an arrangement with the devolved Administrations. Despite our protestations, there was too long a delay in arranging meetings of the JMC, and the Government here in Westminster have to take responsibility for that. Fundamentally, nothing can be agreed until agreement is reached on both frameworks and amendments to the Bill.

The SNP’s amendments seek to remove the power grab and protect Scotland’s devolution settlement. Amendment 72 is a simple and straightforward one.

[Stephen Kerr]

What are the circumstances in which the right hon. Gentleman would vote for, and what are the changes he would have to see in, clause 11?

[Ian Blackford]

If the hon. Gentleman bears with me, I will take him through that in my speech.

The fundamental point is that we must protect the interests of the Scottish Parliament. I say to the hon. Gentleman and his friends: are they willing to join us in the Lobby tonight to make sure that we do not have that naked power grab against the interests of the Scottish Parliament and the Scottish people, or will they simply be the poodles of the Prime Minister? Are they going to stand up for Scotland—Ruth Davidson has talked about that—or are they going to fail tonight to stand up for Scotland, which they said they would do when they got here?

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[Mr Jenkin]

I could not agree more, but I hope that the hon. Gentleman will acknowledge—I am not being accusatory—that this has been a failure of previous Governments as well as this one. When the Select Committee visited the Welsh Assembly and the Welsh Government during the 2010 Parliament, First Minister Carwyn Jones actually complained to us, perhaps with more rhetoric than was justified, that he had been trying to get a meeting with Prime Minister David Cameron for months and months—more than a year—but had not been allowed to have one. We need fewer excuses for people who want to be destructive and more confidence that meetings will take place and that they are valued by all parties.

[Stephen Kerr]

Is it my hon. Friend’s view that the mechanisms that determine such communication should be established by statute?

[Mr Jenkin]

I have an open mind on that, and I have fiddled around with my amendments, which have not appeared on the order paper today, to see whether we can find a way of doing that. I do not know whether this is the right Bill through which to do that—probably not—but such things are statutory in other decentralised systems. There clearly needs to be something much more formal, but we should perhaps experiment without statute first to see whether it is necessary. My Committee took evidence from one civil servant and a former Speaker’s Counsel who said, “It has worked very well for the past 300 years, so why do we need statute?” but that does not recognise that we now have competing political centres with, I repeat, competing narratives about what the constitution actually is. SNP colleagues talk about the natural sovereignty of the Scottish people, but the legal constitutional reality is that the Queen in Parliament in Westminster is still absolutely sovereign. Those things need to aired, discussed and understood.

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[Pete Wishart]

That is an important point, because a sunset clause is the sort of thing we need to see. It would give confidence to the hon. Gentleman and me, rather than just naming the day that we leave the European Union—we are all familiar with that date, anyway.

It is important that we set the context for this debate. We have to see Northern Ireland in the context of devolved powers. Today, we believed we had some sort of solution to the Northern Irish question. There was an agreement. The Prime Minister of Ireland was prepared to get to his feet and say that a solution had been delivered and garnered, only for it to be knocked out of the water by a telephone conversation with Arlene Foster. That is where some of these issues about devolution have gone.

We have now heard the elegant phrase “regulatory divergence”. I had never heard of it before today, but it is fantastic and I want to hear more of it. If regulatory divergence works for Northern Ireland, I am thinking it could just about work for Scotland, given the range of powers we have in the Scottish Parliament and the legislative competence we have in a swathe of areas. So let us hear more about this regulatory divergence. I am disappointed that none of my DUP friends are in, as they could have talked a bit more to me about some of their concerns. The last thing we need in the Scottish Parliament is to be sucked into all this process, so it is incumbent on this Government to ensure that devolution continues to operate on the basic premise set out in the 1998 Act. The sooner we get reassurance that that is their view and they introduce considered amendments, we will be happier—it starts with clause 11.

I listened carefully to the hon. Member for Harwich and North Essex, and I looked at his Committee’s report, saw the witnesses he brought forward and was surprised that he referenced Nigel Smith. My Committee also looked at this issue, hearing from a variety of witnesses—the House of Lords Constitution Committee and the Scottish Parliament Committees have also looked at it—and it is hard to find anybody with expertise in constitutional politics, either on the legal frameworks or in terms of having an academic interest, who does not agree that clause 11 does not work and is in need of amendment. Of all the guests that have been before the various Committees dealing with these matters it is difficult to find someone who would support the Government’s position, and I congratulate the hon. Gentleman on doing so.

There needs to be a basic understanding that the Scottish Government have stated that if clause 11 proceeds as currently constituted, they will not be in a position to recommend a legislative consent motion. That will lead, at the very least, to a constitutional stand-off, which would be singularly unnecessary and unhelpful, and would of course get in the way of all the other issues the UK Government have to deal with in this Brexit mess. Surely the last thing they want is to get into a constitutional stand-off with the Scottish Government. I know that progress has been made and that there is not much difference on some of these things, so it would be much better if the UK Government just fixed this for goodness’ sake. They should just get it sorted if we are so close; they should accept these amendments as a way forward and we could all then get relaxed and happy about the fact that there will not be any sort of constitutional issue to do with it. The Minister needs to say that we are going to be doing that.

It is good to have a look at what has been included in this Bill, particularly in clause 11, so let us start with something that the clause does not do. We have to be clear that it does not return powers from the EU to the devolved Administrations. Instead, it returns powers within the devolved competences solely and exclusively to the UK Government and Parliament. Worse than that, it imposes new restrictions on how the Scottish Parliament can operate when it comes to these devolved competences. The Scottish Parliament and Government will take a double hit. The clause would give the UK Government power to legislate in relation to policy areas that are the responsibility of the Scottish Parliament and the Scottish Government.

There is another issue, which has not been touched on today. At the point where we leave the EU, all these powers are repatriated to the UK Government and into some form of redistributive system—we are not really clear how that would work, as that has not been stated. When we leave, the EU will of course continue to amend and legislate in these areas, and the UK Government will be legislating on behalf of the Scottish Government. So there will be a space in between, from when we leave, where there is a divergence between EU law and UK retained law, which this Government solely and exclusively fit. Not only will the UK Government have powers on retained law when we leave the EU, but they will have ongoing responsibilities, as we continue to make that journey from leaving the EU, to try to fill that gap in between.

[Stephen Kerr]

I congratulate the hon. Gentleman on making a very positive contribution to this debate compared with the speech we heard earlier from the right hon. Member for Ross, Skye and Lochaber (Ian Blackford). The worthy report that his Committee produced, which is a huge contribution to the establishment of common ground, states:

“We recommend that the UK Government agrees with the devolved administrations what areas should be subject to common frameworks and which ones can be devolved.”

Is that not exactly what is going on? Is that not the common ground that he and we are seeking so that we can get this process to move?

[Pete Wishart]

I am grateful to the hon. Gentleman for that intervention. My Committee looked at these issues and considered them seriously, and we hope our report makes a contribution to addressing some of these issues. The key point that he makes, and the thing we have to start to get to in agreeing issues relating to common frameworks, is that they have to be agreed by the Scottish Government and Scottish Parliament before they can be progressed. This idea that frameworks can be imposed upon devolved Assemblies and Parliaments is unsustainable and cannot be operated. That is—

[Pete Wishart]

I will make some progress; I will deal with our report before letting Members in. The key point is that this needs to be agreed and consented to before progressing. We have to get that in place in order to start moving forward on this sort of thing.

[Stephen Kerr]

rose—

[Pete Wishart]

I have given way to the hon. Gentleman. A lot of people wish to speak and I know he will get a chance, so he will be able to come back to this and we can have a conversation about it.

Clause 11 also changes the fundamental dynamic between the Scottish Parliament and this House. Under the clause, the UK assumes a role as the master and repository of all retained EU legislation in devolved areas. As I said to the hon. Member for Harwich and North Essex, who is deep in conversation with the right hon. Member for West Dorset (Sir Oliver Letwin), the provision creates for the first time a hierarchical model of devolution, as Alan Page said in the work that he did on behalf of the Scottish Government. This House will face absolutely no restriction in how it may want to operate in its areas of devolved competence, but the Scottish Parliament will face restrictions. This represents a sort of “know your place, Scotland”, whereby this House asserts its sovereignty on the Scottish Parliament. That is not good enough. We have a conversation among several Members about sovereignty and our different understanding of and approaches to it culturally. This House obviously takes the view that parliamentary sovereignty is what it is all about, whereas we take the view that it is about the sovereignty of the people and the claim or right of the Scottish people to assert their sovereignty. This idea of a “know your place, Scotland”—

[Stephen Kerr]

rose—

[Pete Wishart]

I have given way to the hon. Gentleman and I want to make some progress. In large swathes of devolved competencies, we will be subject to UK frameworks, determined and controlled by the UK Government. That will never be satisfactory to anybody who works in any of the devolved structures and any devolved parliamentarian.

Let me try to make it simple for the Brexiteers—although when I look around I do not see very many of them. It is strange to look around and see mainly remain types; I do not know who to pick on. I am trying desperately to see a Brexiteer. [Interruption.] The hon. Member for Aberdeen South (Ross Thomson) will do. I will try to make it simple for him so that he can get an understanding of this issue. This situation is like Scotland giving up its place in the European Union as part of the United Kingdom in order to join a UK super-state, but the super-state does not seem to be as benign as the European Parliament. For Scotland, this UK super-state we are expected to be part of would make its jaundiced view of the EU look like a benign, cuddly, receptive institution of enlightenment. I am grateful to my hon. Friend the Member for Na h-Eileanan an Iar (Angus Brendan MacNeil) for this analogy. He is not in place, but I hope he will join us later with his words—

[Stephen Kerr]

rose—

[Pete Wishart]

I have given way to the hon. Gentleman already. This UK super-state seeks to control and restrict the operation of Scotland, and it is prepared to strip us of powers faster than any United Kingdom Independence party cartoon version of some evil EU bureaucrat or Commissioner would. I wish to make a comparison with Ireland, because it is instructive. Ireland, as a member of the EU, can almost stop the progress of Brexit—it has the powers to do that, and in the past couple of weeks it has asserted that that might be something it may be obliged to seek. Scotland, as part of the UK super-state, does not even have the power to legislate for the best interests of hill farmers in Perthshire—that is going to be left to this House.

That shows how power grabbing the UK super-state and this place are going to be. This is a real power grab, more menacing than any fantasy dreamt up by our Brexiteer friends in relation to their death star version of Brussels. They are even starting to use the words of the super-state. Our integrated UK joint economy is now to be “the single market”. Any minute now the hon. Member for Harwich and North Essex will be made a UK commissioner and we will start to see “UK-pol” and “UK-atom”. This is the sort of place they are going with this creation of the British super-state. We have to be very careful when we are designing these things. We do not want to swap our useful place in Europe in order to be junior and subservient members of their British super-state.

[Stephen Kerr]

rose—

[Pete Wishart]

I will give way to the hon. Gentleman just to shut him up for a bit.

[Stephen Kerr]

I thank the hon. Gentleman for giving way to shut me up. All the things he has said for the past few minutes, which have detracted from the tone of his speech, are covered in “Common Frameworks: Definition and Principles” published by the Joint Ministerial Committee (EU Negotiations) on 16 October 2017. It describes in detail exactly how we will go about creating the common frameworks. It is the complete opposite of what the hon. Gentleman is saying. He is making it up as he goes along—it is very entertaining, by the way.

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[John Lamont]

These powers are with the European Union just now. We all accept that there will be a need for UK-wide framework agreements, and we need to get the process right. Why rush into devolving everything to the Scottish Parliament when the framework agreements might require powers to be retained at a UK level to protect the UK internal market, and to allow us to enter into trade agreements with other countries around the world? It is critical that we get things done in a logical and thoughtful way, rather than rushing into a situation that we might be unable to unpick further down the line.

[Stephen Kerr]

Does my hon. Friend agree that there are many moving parts in the current process? Our debate is taking place at a time when many things are on the move. For example, there was a very positive meeting last week between representatives of Scotland’s two Governments. Does my hon. Friend welcome that, and does he believe, as I do, that we should be optimistic that we can come up with an agreement based on some of the things that the Scottish Affairs Committee mentioned in its report?

[John Lamont]

My hon. Friend makes an excellent point. Significant progress is being made between the two Governments, which was why I was so disappointed with the opening remarks of the right hon. Member for Ross, Skye and Lochaber. There is not a million miles between the two Governments.

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[Anna McMorrin]

I thank my hon. Friend, and I completely agree.

Wales voted for a devolved Government 20 years ago. I was part of that campaign, and I was proud to see the then UK Labour Government bring that about. We now see a more successful and confident Wales than we did two decades ago, but I fear that we are about to go backwards. The Tories have made it clear that, when it comes to devolution, they just do not get it. Anyone who understands the basics of devolution can tell you that this Bill is taking us backwards. The powers devolved to Wales must stay in Wales.

Clearly, the issue is one of trust—trust to exercise devolved powers responsibly, trust to carry out measures that represent the people of Wales and trust to provide meaningful scrutiny of legislation. However, why should we in Wales trust a UK Government that are leading us to such a shambolic Brexit? As it stands, after Brexit, the devolved Governments will be at the mercy of Whitehall.

[Stephen Kerr]

The hon. Lady’s remarks lead me to conclude that there seems to be no basis, in her mind, on which Wales’s two Governments can get together and make agreements, but there has to be trust. We have to have some basic trust between our levels of Government —otherwise, we will not be able to progress. Surely she is not advocating constitutional confrontation rather than consensus.

[Anna McMorrin]

I think we are seeing the beginnings of a constitutional crisis right now actually. [Interruption.] I will go on to explain if the hon. Member for Stirling (Stephen Kerr) will let me.

After Brexit, devolved Governments will be at the mercy of Whitehall mandarins with complete control over the time, place, method and future of the repatriation of powers from Brussels. We need only an elementary understanding of how institutions and Governments work to understand that this is leading us to a constitutional crisis.

Devolution is one of our country’s great strengths. The last 20 years have shown devolution to be a success, with our Governments in Wales and Scotland able to forge their own distinctive paths with confidence. Decisions about Wales are best made in Wales by the people of Wales. This is not an argument for nationalism, but one for democracy. Governments formed here in Westminster are not best placed to dictate what happens in Wales.

This Bill lets down the constitutional settlement and the people of Wales, Scotland and Northern Ireland. First, as drafted, clause 11 places a new and significant constraint on the devolution settlement and shifts the power dynamic around setting common UK frameworks firmly in the direction of the UK Government. As yet, the UK Government have provided no information on how these common frameworks will be agreed, the timetable for agreeing them or how Parliament and the devolved legislatures will be involved in the process.

[Stephen Kerr]

I am afraid that what the hon. Lady is saying is just not true. The excellent report produced by the Public Administration and Constitutional Affairs Committee reproduces in full the agreement from October —just a couple of months ago—which spells out exactly how these common frameworks will be put together between the Governments. [Interruption.] No, that is what it says in this report.

[Anna McMorrin]

I am afraid the Chair disagreed with the hon. Gentleman. [Interruption.] Well, the hon. Gentleman should speak to the Chair and to other Conservative Members about that.

The situation is further complicated by the fact that, in a number of EU policy areas, the UK Government are in fact acting as the Government of England.

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[Stephen Kerr]

The hon. Lady is a member of the Scottish Affairs Committee, which took evidence from the Secretary of State for Scotland, who was adamant about the fact that there would be additional powers to the Scottish Parliament and about the fact that the existing powers would remain. In fact, this Bill cements those powers to the Scottish Parliament. What has she heard that makes her think anything to the contrary?

[Christine Jardine]

I will come on to that. As the hon. Gentleman himself has said, it is currently being negotiated between Scotland’s two Governments exactly what the framework and the powers would be, and until we have that assurance we cannot be absolutely sure.

Today I find myself in the strange position where I feel as though I have been transported back 25 or 30 years, to a time when the Opposition parties are all in favour of devolution and campaigning for devolution, and the Conservatives are needing to be persuaded.

[Stephen Kerr]

No!

[Christine Jardine]

No, that is how it is. The Conservatives are needing to be persuaded, even though they themselves admit that they are unhappy with aspects of clause 11. They are looking to their own Whips rather than to what might be best for the devolution settlement in Scotland, Wales and Northern Ireland.

We should not forget that the leave campaign argued that Brexit would lift restrictions and lead to Scotland gaining major powers, yet today we find ourselves considering a Bill that aims to modify and place restrictions on both the Scottish Parliament and the Welsh Assembly in relation to EU law. Surely we cannot allow this erosion of our democratic processes. I appeal to Conservative Members, particularly those who have served at Holyrood, to support us in this. Their party may not have originally supported devolution, but they, of all people, must recognise its significance today.

As part of the EU withdrawal process, Scotland’s two Governments are currently discussing where the powers returned from the EU should be vested and how the new frameworks should operate. Just as the 111 powers relating to Scotland are being discussed, the Welsh Government have a list of 64 powers that they feel could be vulnerable under this agreement. Both Administrations are looking to this place for amendments to the Bill that will ensure that they continue to have approval over the aspects that affect them. Indeed, only last month, Scotland’s First Minister stated that the Bill as it stands is not one that her Government would recommend for approval.

This is the specific point where I would take issue with the Conservative allegation that it is Opposition Members who are undermining the Union. If we do not put forward a Bill that can get a legislative consent motion in the Scottish Parliament, we threaten the very fabric of the agreement and throw ourselves into a constitutional crisis. I do not want to be responsible for that. It will undermine the Union in the same way that the Conservative Government’s actions in taking us out of the European Union with a hard Brexit will cost Scotland perhaps £30 billion and put 80,000 jobs at risk. Those are the threats to the United Kingdom, not the debate we are having here today.

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[Ross Thomson]

I would like to make some more progress before I take an intervention.

SNP Members have manufactured the power grab argument in grievance, yet we have heard time and again from the First Minister, all the way along, that the position of the SNP is for full membership of the European Union. [Interruption.] There we go; we have had it confirmed again. The SNP’s position is to support full membership of the European Union for an independent Scotland. The argument that SNP Members are making today is clearly fake news, because they do not want a single one of the new powers that will come to Scotland. They want the EU to retain and maintain those powers.

[Stephen Kerr]

My hon. Friend is making a powerful speech, as is characteristic of him. Does he agree that SNP Members here are not representative of the SNP Government in Scotland? The SNP Government are quite attracted to the idea of these additional powers and would quite like to have them, but SNP Members here are indulging in rhetoric.

[Ross Thomson]

My hon. Friend is right that the rhetoric of the SNP group in Westminster is very different from that of the SNP group in Holyrood.

--- Later in debate ---

[Ross Thomson]

I am so grateful to the hon. Gentleman for bringing that up. By leaving the European Union, we can take back powers over fishing, and we will come out of the common fisheries policy. As we heard earlier in this debate, the SNP wants to take us straight back into the EU and therefore drag every fisherman in Scotland straight back into that very policy, selling Scotland’s fishermen out. That has been confirmed today, but the Scottish Conservatives, such as my hon. Friend the Member for Banff and Buchan (David Duguid), will stand up for Scottish fishermen and deliver a Brexit that works for them. I thank the hon. Gentleman for giving me the opportunity to say so.

[Stephen Kerr]

I am grateful to my hon. Friend for saying that the people of Scotland like it when Scotland’s two Governments work together. We have heard several times from SNP Members—not the hon. Member for Perth and North Perthshire (Pete Wishart), whose speech was, I thought, rather positive—that that negotiation and co-operation has not started. But the Select Committee’s report states:

“We recommend that the UK and Scottish governments continue their efforts to secure agreement”.

“Continue” suggests that something has started, does it not?

[Ross Thomson]

I agree with everything that my hon. Friend has said. It is clear from this debate that I want these powers to come to the Scottish Parliament, but SNP Members want them to stay with the EU. I find it fascinating that I have a higher opinion of the ability of Nicola Sturgeon and her Cabinet to make decisions on such matters in Scotland than her own party in Westminster does. That really tells us something.

To continue with what I was saying, we will need UK-wide frameworks in areas such as food labelling.

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[Joanna Cherry]

I will continue my point.

We are told that it is imperative for everything to be imposed on Scotland, Wales and indeed Northern Ireland from the top down, because we have a UK single market.

[Stephen Kerr]

Will the hon. and learned Lady give way?

[Joanna Cherry]

No, we have heard a lot from the hon. Gentleman. I only have a little time left, and I want to develop my point about the single market, because it is very important. I am indebted to the Scottish blogger and writer Paul Kavanagh—better known on these Benches as the Wee Ginger Dug—for my thoughts on this matter. He has pointed out that there is no such thing as a UK single market. At the moment, the United Kingdom is a unitary state, and what exists in the UK is the internal market of a unitary state. A single market refers to the situation where there are several distinct and discrete national entities coming together from the bottom up in a mutually agreed and negotiated regulatory framework. That is what the EU is at present. It is not what we have in the United Kingdom at present. Indeed, after Brexit, if this Bill goes through unamended, the unitary state of the United Kingdom will be even more centralised than it is at present.

At the moment, the EU states decide collectively what regulations they want to govern the EU single market. On the basis of the Bill as currently drafted, what will happen is that Ministers of the Crown—by the way, that does not include Scottish Ministers; the definition just talks about Cabinet Ministers—will decide on these frameworks, and they will be imposed on us.

I am conscious of what you said, Sir David, so I will bring my remarks to a close, but I will give way to the hon. Gentleman.

[Joanna Cherry]

The distinction I am drawing is between a single market and a unitary market. I am saying that the European Union is a single market because it is a collection of sovereign states that come together and participate in making common regulations. The United Kingdom, as framed by this withdrawal Bill, will not be such a single market. It will be a unitary market where the regulations and the frameworks are imposed from the top down. That is the distinction that I seek to make.

[Stephen Kerr]

Will the hon. and learned Lady give way?

[Joanna Cherry]

As I said, I am drawing my comments to a close.

I want to address one of the many points we have heard from the Government Benches. I think it was the hon. Member for Aberdeen South (Ross Thomson) who said that he is upset and disappointed that the issue of independence is still on the table. Well, I will tell him why it is still on the table; today gives us a good example. The majority of people at the last Scottish election voted for Members of the Scottish Parliament who want another independence referendum—it is called democracy —and the Scottish Parliament itself has voted that there should be another independence referendum if it is necessary because of the Brexit process. But the reason why so many of us in Scotland are interested in the notion of independence really arises from the current crisis in which the United Kingdom finds itself. I will finish by quoting the First Minister of Scotland, who today said:

“Right now, Ireland is powerfully demonstrating the importance of being independent when it comes to defending your vital national interests.”

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[Neil Gray]

I am grateful for the opportunity to speak in one of the most important constitutional debates impacting on Scotland since the re-establishment of the Scottish Parliament. The whole basis and foundation of how Scotland is governed is being discussed today. We should not underestimate how important that is; we cannot allow today to be politicked away or the issues to be kicked down the road. We must consider what is before us carefully and in a non-partisan way. Cross-party working has already started in the tabling of amendments, which have been drafted jointly by the Labour Welsh Government and the Scottish National party Government.

Anyone who understands politics in Scotland will appreciate that Labour and the SNP do not often agree on constitutional issues; that is not a flippant point, but a serious one, on which Ministers might reflect. I fully support amendments 72, 164, 165 and 183 to 188, in the names of my right hon. Friend the Member for Ross, Skye and Lochaber (Ian Blackford), my hon. Friend the Member for North East Fife (Stephen Gethins) and the hon. Members for Edinburgh South (Ian Murray) and for Cardiff South and Penarth (Stephen Doughty). They all aim to protect the devolved settlements of both Wales and Scotland. Indeed, just about every speaker this evening has expressed great concern about clause 11 as it stands, perhaps with the honourable exception of the hon. Member for Aberdeen South (Ross Thomson) —even the right hon. Member for Clwyd West (Mr Jones) highlighted that clause 11 impinges on the devolved settlements. That is where my concern lies with the so-called UK frameworks.

I understand that it would be sensible in some areas for there to be agreed principles across these isles—I think that of a future independent Scotland’s relationship with the rest of the UK, so why would I not think it now?—but for intra-national frameworks to be strong, effective and deliverable, they need to be agreed on the basis of mutual partnership, without a dominant and dictatorial director.

[Stephen Kerr]

Will the hon. Gentleman give way?

[Neil Gray]

To be fair, the hon. Gentleman has had a good say this evening.

I am not the only one concerned about the direction of travel that the UK Government appear to think we are taking. NFU Scotland has, as I am sure Ministers will be aware, a series of red lines regarding Brexit, many of which are pertinent to today’s debate. I will pick a few out: it wants a replacement for the common agricultural policy that will support the industry in the medium to long term; agriculture must continue to receive the same level and proportion of funding as it does now in the post-2022 landscape; and crucially for tonight, although the Treasury should finance the new policy on a UK-wide funding basis, NFU Scotland says that

“Any approach that adopts a ‘Defra-centric’, one-size-fits-all policy on to the devolved nations would not be acceptable.”

That is why it is crucial that powers in devolved areas are returned to the devolved nations, not held centrally. To do anything other than devolve and then seek to agree a framework agreement in devolved areas would undermine devolution. It would set a dangerous precedent if the UK Government set the terms of devolved policy and then left it to the devolved nations to fill in at the margins. That point was reiterated by Professor Michael Keating when he said the Tory plan would create a “hierarchical model of devolution” where

“the broad principles are set in London and the details filled in across the nations.”

That is not devolution, but executive management. It is anti-devolution, and would rip up the terms and principles of the Scotland Act 1998.

Brexit already poses potentially huge challenges for Scotland economically and constitutionally. Keeping the Bill as it stands in this area would not just be a hard Brexit—it would be a constitutionally regressive Brexit. At this stage, it is worth returning to NFU Scotland’s Brexit priorities: that Scottish and UK agricultural and food products must have frictionless access to existing and new export markets, and that the domestic market must not be exposed to cheaper imports that lack Scotland’s exemplary animal welfare and environmental standards. Continued access to a skilled and competent workforce, within both the farming and food processing sectors, must be secured as a priority. Continued, targeted farm support will be vital, not least through an unknown transition period. This support must be refocused on action-based measures to bring about improved productivity across sectors while delivering environmental benefits and safeguarding and enhancing product standards—the bedrock of a thriving farming, food and drink sector for the post-Brexit era.

I am not closed to the idea that there may be opportunities from Brexit should the UK Government listen and act in a way that is inclusive and bipartisan, but that has not happened to date, no matter what Ministers try to say. The Scottish Government’s compromise proposals have been dismissed and ignored, and that is why we are at today’s crucial juncture. [Interruption.] Conservative Members, some of whom represent farming constituencies, ought to listen to this. NFU Scotland shares the Scottish Government’s desire for continued membership of both the single market and the customs union. Perhaps now the UK Government will realise that they need to allow for tailored arrangements to allow varying national priorities across these isles to be reflected.

How topical it is that we should be discussing aspects of devolution relating to Brexit as we learn, this very day, of what the UK Government appear to be willing to concede in their negotiations with the EU regarding Northern Ireland. In essence, they are conceding that the compromise plan that was presented by the Scottish Government last year for a bespoke deal for Scotland in retaining single market and customs union membership—a plan dismissed as impossible—was on the table earlier for Northern Ireland and has now been discussed. There will be no hard border on the island of Ireland, in summation. It appears that the DUP has put the brakes on that—the irony is there for all to see. What a precedent that sets.

It is time that the UK Government acknowledged that Scotland, as well as Northern Ireland, has the right to expect a bespoke Brexit deal, and that there is nothing precluding a deal that protects Scotland’s interests, as we have been arguing all along. Clearly, for Scotland, that means the ability, for example, to have a different immigration system, and continued membership of the single market and the customs union. Sadly, though, that does not appear to be the path the UK Government are willing to follow, regardless of the consequences either for Scotland or for the future of the United Kingdom. Why not? I fully understand why Northern Ireland needs a bespoke deal. I have no issues with the UK Government pursuing that—in fact, I congratulate them on it—but why do Scotland’s needs matter less? To deny Scotland the same opportunity as Northern Ireland is being afforded would be ridiculous and indefensible. To take back powers from the EU that are clearly devolved competencies and have them sitting here at Westminster for some future divvying-up shows a lack of political or critical thinking, shows a lack of trust or respect towards the devolved nations, and is—quite frankly—lazy. To refuse to look at fresh areas of devolution like employment law to help Scotland deal with Brexit in the most flexible way is equally untrusting, disrespectful, and lazy.

The UK Government must understand the concerns that are being raised. They must not want to rip apart and fundamentally undermine the devolved settlement. Surely they must be willing to engage and accept amendments so as to make Brexit, if not politically palatable, at least reasonable for the devolved nations. I hope that all Members representing Scottish constituencies will support the amendments to be voted on later tonight.

[Stephen Kerr]

I will—[Interruption.] Yes, I am going to speak. I know that SNP Members will be very pleased about that. I will keep my remarks short because a number of people want to speak, but I want to respond to the idea that has been traded pretty commonly in the past couple of speeches about the imposition of a devolution settlement vis-à-vis the frameworks. The Scottish Affairs Committee report quotes the Secretary of State for Scotland, who said:

“A UK framework is not a framework that the UK Government imposes; it is a framework that is agreed across the United Kingdom.”

I believe that that is a definitive expression of the Government’s policy in relation to the nature of frameworks and how they will be achieved.

Every time we have a debate in this House in which devolved powers and Brexit are mentioned, the Scottish nationalists go crazy—[Interruption.] Yes, berserk; that is a good word. A number of contributors, including the hon. Member for Airdrie and Shotts (Neil Gray), have spoken positively about how we can work together to create common ground and lift the issue from the trenches of political warfare in which, too often, the SNP wish to put it.

--- Later in debate ---

[Stephen Kerr]

I will come on to that point, if the hon. Gentleman will let me make some progress through my speech.

I remind the Committee that despite what we heard to the contrary, the Conservative Government delivered additional powers to the Scottish Parliament in 2015 and 2016 in fulfilment of their vow, making it the most powerful devolved Parliament in the world. That was a Conservative promise made and kept. The SNP wants to create a crisis, and I hope that we in the Conservatives will continue to be reasonable in our approach to the issue.

[Andrew Bowie]

Does my hon. Friend agree that SNP Members have absolutely no interest in our making a success of Brexit, because their only aim is to break up our United Kingdom?

[Stephen Kerr]

I thank my hon. Friend for his intervention. I was about to say that the SNP is like a collection of 35 carbon copies of the famous Rikki Fulton creation, the Rev. I. M. Jolly. SNP Members sit there on the Benches, depressing the nation and bringing their grim worldview to the people of Scotland. Being so cheerful keeps them going. They talk themselves and Scotland down, and they imply that our Scottish entrepreneurs, our businesses and our communities will be unable to cope with any change and unable to take advantage of the opportunities that the hon. Member for Airdrie and Shotts mentioned and that will undoubtedly arise as we leave the European Union.

[Chris Law]

The Fraser of Allander Institute predicts that not 80,000, but 139,000 jobs are at stake. Does the hon. Gentleman agree that that is not talking Scotland down; those are the facts of the matter when it comes to Brexit? We are just about at a cliff edge now.

[Stephen Kerr]

I thank the hon. Gentleman for bringing the Fraser of Allander Institute to the attention of the Committee, because the institute also points out that the perpetual threat of a second independence referendum is having a dragging effect on the Scottish economy.

[Mr Sweeney]

The hon. Gentleman referred earlier to the Scottish Parliament being the most powerful Parliament in the world, and I am aware that he opposed its initial creation but now recognises its benefits. The creation of the Scottish Parliament has resulted in regulatory divergence between parts of the United Kingdom. Does that fact not undermine the whole logical position of the Tories’ argument against our amendments? Surely, it has already been established that divergence exists but there is still a viable single market in the UK.

[Stephen Kerr]

In my opinion, divergence brought about by devolution enriches the fabric of the Union, but the divergence we are talking about could, in a very real sense, undermine the integrity of the United Kingdom’s common market.

I have had emails from constituents that regularly begin with the words: “I believe that Brexit should strengthen devolution for Scotland, not weaken it.” Many other Members will have had similar emails. I want my constituents to know that that is exactly my position. I want a Brexit that strengthens the democracy of our country and strengthens the devolution settlement for Scotland. I ask Ministers, in the summing up at some point tonight, to make it clear again that the Bill guarantees the existing devolution settlement and the existing powers of the Scottish Parliament and promises that there will be more powers to come.

In regard to the tone and manner in which this issue is discussed and debated, I wish to pay tribute—SNP Members will not be surprised to hear me say this—to Ruth Davidson, Professor Adam Tomkins and others, who have worked as honest brokers in this process, by working with the Scottish and UK Governments to bring them together to build consensus. I believe consensus is vital for the new constitutional settlement we need to reach.

I welcome the recent change of tone from the Scottish Government, especially from the First Minister. When she came out of Downing Street on her last visit to London, I thought she had some very positive things to say. As a Scot, I welcome that: I welcome the fact that the First Minister of my country is willing to be a positive contributor, rather than a simply a detractor.

I want take this opportunity to express my full confidence in the approach and style of the First Secretary of State and the Secretary of State for Scotland, who are leading the UK Government in the very important talks with the Scottish Government. I have great confidence that there will come out of the discussions an agreement that will be sustainable because it will be built on consensus. Consensus is not gained by shouting matches or feigned indignation—we see quite a lot of feigned indignation in this place—and all I would say is thank goodness the SNP leadership in Edinburgh has more maturity than some of the MPs it sends to London. I remain hopeful, and I am optimistic.

[Ian Murray]

Will the hon. Gentleman give way?

[Stephen Kerr]

I was just about to deal with the hon. Gentleman’s previous intervention, but I will sit down.

[Ian Murray]

I was about to ask the hon. Gentleman when he was going to talk about the deficiencies in clause 11 and what he would do to sort them out.

[Stephen Kerr]

I will say this much: it is not that I do not understand people’s concerns about clause 11, because I share some of those concerns. As the intergovernmental discussions progress and the Bill returns to this House, as it will, before it goes to the other place, it is very much my hope that there will be some greater detail in clause 11 to help all hon. Members to have a degree of confidence in its intent.

We are talking about trust, or the lack of trust, and that issue is keeping us from working out a satisfactory agreement. Steps must be taken to underpin the trust that needs to exist on both sides—the UK Government and the devolved Administrations. The UK Government will have to demonstrate trustworthiness in the way that the Bill is amended, as it must be, and the Scottish Government will have to show trustworthiness by committing themselves to the outcome of these talks to the extent that they will publicly state their support for the passage of a legislative consent motion in the Scottish Parliament. To me, that is what trust looks like.

[Deidre Brock]

If the UK Government genuinely wish to show willing towards the Scottish Government and their concerns about the Bill and clause 11 specifically, does the hon. Gentleman not think that powers should be devolved directly to the devolved Administrations first and then that frameworks should be agreed? One wonders what the UK Government are actually afraid of. The hon. Member for East Renfrewshire (Paul Masterton) spoke about powers being devolved when the UK Government think it is safe to do so. Why is there such concern about not sending those powers to the Scottish Government?

[Stephen Kerr]

There are, as we have discussed, either 109 or 111 powers. The Public Administration and Constitutional Affairs Committee report lists 111. There is an issue of trust that we need to address to underpin any eventual agreement. The point is that the Bill will need to be amended. Those amendments will need to reflect where the powers will eventually rest, and whether they will go straight to the devolved Administrations on the day we leave the European Union, or if some will be subject to mutual agreements—memorandums of understanding—that will create the frameworks to support the functioning of the UK’s internal market. I hope very much that the Government will bring forward some detail to add light with regard to those issues.

[Ian Murray]

Like many of his colleagues, the hon. Gentleman is therefore admitting that clause 11 is deficient. He is almost but not quite telling us how he might fix it, but even so he is going to vote in favour of it this evening.

[Stephen Kerr]

Yes, and that is no surprise, because I sit on the Conservative side—the Government side—of the House of Commons. I believe and trust in the Government. I believe that Ministers will deliver on a settlement. I do not know why that is such a surprise to Opposition Members.

[Jenny Chapman]

The hon. Gentleman has told his Front-Bench colleagues that he will vote with the Government this evening but, should the Bill return unamended in this House, what would be his inclination on Third Reading?

[Stephen Kerr]

In common with other colleagues who have spoken today, I expect there to be amendments, and when those amendments come to the House in due course, it will be because everyone involved in this process, including the UK Government and the devolved Administrations—the Scottish Government are my immediate interest—will have put on an adult head because there is so much at stake for our country. I happen to think that one of the most positive contributing factors to the change of climate has been the Scottish Affairs Committee’s excellent report, which is a step in the right direction.

[Ian Murray]

On a point of order, Sir David. I am slightly confused about the process in this Chamber. The hon. Gentleman is making a fine speech, but he keeps talking about amendments that will result in him supporting the Bill. Have you been notified of the Government tabling any amendments to clause 11?

--- Later in debate ---

[Stephen Kerr]

Let me press on, because I did say that I would be brief, and I am in danger of not keeping that promise.

I insist on the Government doing what has to be done to ensure that there is no disruption to the UK home market. I want to be clear that when I say the UK, I mean Scotland, England, Wales and Northern Ireland. I do not want a Brexit that weakens the United Kingdom politically or economically. I am a Unionist. I do not want to see the creation of needless barriers that hinder the frictionless function of Scotland’s most important marketplace, namely the rest of the United Kingdom. The process should avoid any unwarranted points of difference that make it more difficult to trade throughout the UK, because that would inevitably affect business, which would inevitably affect jobs.

Common standards will be needed for the common market within the UK, and those standards will need to be set democratically and transparently. Businesses are looking for leadership on these matters as much as they are looking for harmony throughout the UK single market. It is time to step up to the plate in that respect. Frameworks for the operation of the UK single market must be set at a UK level on the basis of agreement across the United Kingdom, including with the devolved Administrations, and it is up to us as politicians to rise to that challenge.

I am not calling for a whole raft of complex arrangements, because I do not think that would help anything, but we do need some jointly agreed common frameworks. I acknowledge and welcome the Scottish Government’s positive approach towards that end. I believe that the two Select Committee reports that were published in the last couple of weeks have been hugely helpful to the aim of bringing about the co-operation and partnering needed between Scotland’s two Governments.

Oral Answers to Questions

Stephen Kerr Excerpts

Wednesday 22nd November 2017 Commons Chamber

[Caroline Nokes]

Departments will publish new gender pay gap figures before the end of the year to meet the requirements of the Government’s new gender pay gap regulations for all large employers. The new requirements will provide unprecedented transparency, generate wider debate, and encourage employers to take the action required to close that gap.

[Stephen Kerr (Stirling) (Con)]

The Union needs Scotland’s two Governments to work together to get things done. One proposal in the Stirling city region deal is to co-locate all customer-facing public services in Stirling to a public sector innovation hub. Will my right hon. Friend commit to working with the Scottish Government and Stirling Council to bring that about?

[Damian Green]

I was delighted to be lobbied hard by my hon. Friend on this and other matters when I visited Stirling recently. He will be pleased to hear that the Department for Work and Pensions is committed to maintaining its current estate in Stirling for at least the next five years, and we can obviously discuss future options. I also hope to agree heads of terms for the Stirling and Clackmannanshire city deal early next year.

Oral Answers to Questions

Stephen Kerr Excerpts

Wednesday 25th October 2017 Commons Chamber

[Mr Speaker]

We need to speed up a little bit: a very pithy question, I am sure, from Mr Stephen Kerr.

[Stephen Kerr (Stirling) (Con)]

Does the Secretary of State agree that Scotland’s two Governments—the UK Government and the Scottish Government—should work together in co-operation to get the best Brexit deal for the people of Scotland?

[David Mundell]

Yes.

Northern Ireland

Stephen Kerr Excerpts

Monday 26th June 2017 Commons Chamber

[Damian Green]

All the areas that the hon. Lady talks about have benefited from an economic policy that has reduced unemployment to its lowest level for more than 40 years. I am happy to assure her that the money in this deal is well within the confines of the fiscal targets we have set ourselves, so we are still able to hit those targets of eliminating the deficit by 2025—by the middle of the next decade—and reducing the structural deficit to no more than 2% by 2020-21. This does not affect our fiscal targets at all.

[Stephen Kerr (Stirling) (Con)]

Speaking as the new Member for Stirling, where there is a new city region deal in the offing, may I ask my right hon. Friend to confirm for the benefit of Opposition Members that all city deals in Scotland and Wales since 2014 have sat outside the Barnett formula?

[Damian Green]

I welcome another of my hon. Friends to his place. He is exactly right. The city deals and the city region deals have proved one of the most successful innovations of this Government. I look forward to the people of his constituency benefiting from them, as people in constituencies across the UK already have.