Commons Sense

House of Commons · Ministerial Statement

UK-EU Future Relationship Negotiations and Transition Period

07 December 2020 · 48 other contributors

Opened by Penny Mordaunt Con South East Hampshire

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Penny Mordaunt raised concerns about uk-eu future relationship negotiations and transition period in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • I am grateful for the opportunity to update the House on the progress of our negotiations with the European Union
  • The United Kingdom's negotiating team, led by Lord Frost, has been in talks with the EU almost every day since October 22
  • Unresolved differences persist, particularly on the level playing field issue

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Government Statement

I am grateful for the opportunity to update the House on the progress of our negotiations with the European Union. The United Kingdom's negotiating team, led by Lord Frost, has been in talks with the EU almost every day since October 22 and is working tirelessly to secure a deal that respects our sovereignty. Key issues remaining are the level playing field, fisheries, and governance. Despite some progress, unresolved differences persist, particularly on the level playing field issue. Following intense discussions, both sides agreed to pause negotiations briefly for higher-level talks between Prime Minister Johnson and Commission President von der Leyen. They noted that an agreement would not be feasible without resolving the outstanding issues and instructed chief negotiators to reconvene in Brussels. The Prime Minister is scheduled to call the Commission President later today to discuss progress again. Teams are currently negotiating, with a focus on securing a deal that respects our sovereignty. We are prepared for any outcome, including an Australian-style arrangement if no compromise can be reached.

Other contributors (48)
  • Rachel Reeves Lab Leeds West and Pudsey

    Question

    The Government must take responsibility for their failure if we leave without a deal. With only 24 days left until the end of the transition period, key questions remain about readiness. No-deal scenarios would mean tariffs on lamb exports of 40% and car exports of 10%. The Office for Budget Responsibility predicts an additional GDP fall by 2%, unemployment rise by 1%, and inflation increase by 1.5% if no deal is reached. Labour also questions the number of customs agents recruited out of the required 50,000. Despite claims that an oven-ready deal has been delivered, the whole country awaits a comprehensive trade and security agreement promised at the last election.

    Minister reply

    I sympathise with the Opposition's frustration but understand we are not powerless in this situation. We should provide clarity about what we want from a deal and show united support for our negotiating team. I acknowledge that assumptions have been reduced when getting into detail, such as reducing freight gates needed at ports. The Government will continue to work towards securing a deal that respects the UK's sovereignty.

  • Iain Duncan Smith Con Chingford and Woodford Green

    Question

    Thank my right hon. Friend for the statement. I absolutely have confidence in Lord Frost and the Prime Minister, who are basing their negotiations on a manifesto that won us a huge majority at the last election. The British public voted for a sovereign departure—that is to say, that we would be a sovereign nation. She is right, therefore, and does she not agree that although this is entitled a trade discussion or a trade deal, the truth is that at the end of the day, as she said, this is essentially about sovereignty? To have continuing control of our laws, our territorial waters and, for that matter, our trade are matters of sovereign control, not just trade. Will she give that message back to our negotiators, and say that they have the Government side of the House completely behind them?

    Minister reply

    I thank my right hon. Friend for his comments. He is absolutely right. The sticking point in these negotiations has been coming to terms with the fact that we are a sovereign equal nation. I hope that the EU negotiators, and all member states, have heard this message loudly and clearly.

  • Pete Wishart SNP Perth and Kinross-shire

    Question

    The hon. Gentleman questions the success of Brexit negotiations, citing economic consequences for Scotland, including a £1,600 cost per Scot and a 6.1% GDP fall with a low deal. He asks the Minister to concede that the negotiations have been a shambles and whether Scotland's views matter.

    Minister reply

    The hon. Gentleman is incorrect; his colleagues' views were taken into account during negotiations, particularly regarding programme participation. The team has worked hard to secure a deal.

  • Bernard Jenkin Con Harwich and North Essex

    Question

    My right hon. Friend asks the Minister to ensure that the Government point out to European partners their obligations under EU treaties and World Trade Organisation agreements regarding free trade and non-disruption of UK exports.

    Minister reply

    The EU would disadvantage its own businesses if it were to disrupt UK exports.

  • Hilary Benn Lab Leeds South

    Question

    Does the Minister agree with the Office for Budget Responsibility's assessment that no deal could reduce real GDP by a further 2% in 2021, despite the economic crisis? Why does the Prime Minister still believe no deal would be a good outcome?

    Minister reply

    The right hon. Gentleman will hear no argument from me about no deal being better than getting a deal; we are working to secure one.

  • Question

    My right hon. Friend believes that the difficulties in negotiations are not really about trade but EU politics, aimed at discouraging others from leaving and limiting UK's competitive potential post-Brexit.

    Minister reply

    Agrees; the issue is also in the interests of EU member states and their businesses and citizens.

  • Wendy Chamberlain Lib Dem North East Fife

    Question

    According to a Cabinet Office document, no-deal Brexit could reduce medicine and medical device supplies by up to 40%. Should constituents start stockpiling such products?

    Minister reply

    A reasonable worst-case scenario is not a prediction; the Government has put in place mitigations including stockpiling certain goods and securing freight capacity.

  • Question

    My right hon. Friend agrees that we benefited from quick action on the vaccine, which will extend to international trading relationships and employment legislation post-Brexit.

    Minister reply

    Agrees; Britain will be able to act quickly and dynamically across various areas.

  • Sammy Wilson DUP East Antrim

    Question

    The right hon. Gentleman urges the Government to resist demands that would take power away from the UK or compromise Northern Ireland's sovereignty.

    Minister reply

    Agrees; the level playing field is a difficult issue, and the team will be fully apprised of this.

  • Question

    My right hon. Friend confirms that the UK Government will not sign up to any agreement that compromises sovereignty or ability to reach new trade agreements.

    Minister reply

    Confirms; the Prime Minister has been very clear on this point.

  • Question

    The hon. Gentleman, a member of the Select Committee on the Future Relationship with the European Union, criticises the Government's leadership and asks why they would inflict more cuts by coming out of Europe in the wrong way.

    Minister reply

    What is damaging for business is prolonged uncertainty; businesses need certainty about the situation.

  • Question

    My right hon. Friend confirms that there will be no impediment to imported covid-19 vaccines and other crucial medicines, even in a worst-case scenario.

    Minister reply

    Confirms; takes this very seriously indeed.

  • Ben Bradshaw Lab Exeter

    Question

    The assurances given by the Government were flatly contradicted by Richard Torbett, head of the UK’s pharmaceutical industry, who stated that border delays and the absence of mutual recognition standards in no-deal scenarios would disrupt the supply of vital medicines. Why should we believe Government Ministers rather than Mr Torbett?

    Minister reply

    There are numerous potential issues but they have been methodically thought through. Measures include securing backup plans for freight transport, adopting a phased approach to border changes next year, and implementing additional measures in the first few weeks to prevent delays.

  • Bob Neill Con Bromley & Chislehurst

    Question

    Will the Minister ensure that Gibraltar is not collateral damage in Brexit negotiations? Will she keep them fully informed of all developments?

    Minister reply

    I agree with the points raised and assure him that issues concerning Gibraltar are at the heart of our negotiating position. The Government will continue to keep Gibraltar’s Government fully informed.

  • Hywel Williams PC Arfon

    Question

    With tariffs on food imports potentially over 20% in no-deal scenarios, does the Minister agree that this would be particularly damaging for children living in poverty?

    Minister reply

    While information about tariffs has been published, our efforts are focused on securing a deal. I encourage him to join us in sending a clear message to the EU negotiating team.

  • Robin Millar Con Aberconwy

    Question

    Can my right hon Friend assure constituents that we will leave negotiations with sovereignty intact, regardless of whether there is a deal?

    Minister reply

    I can give those assurances. The Prime Minister has been clear on this point and the EU negotiating team will recognise it.

  • Tobias Ellwood Con Bournemouth East

    Question

    Does my right hon Friend agree that threats from state and non-state actors do not recognise international borders or political unions, and should we maintain our collective security responsibility?

    Minister reply

    I agree with the point raised. The UK’s defence co-operation is highly valued by member states.

  • Caroline Lucas Green Brighton Pavilion

    Question

    Does my right hon Friend see the irony of UK negotiators trying to persuade EU counterparts about our good faith while breaking international law? Can she explain why environmental standards are yet to be agreed upon?

    Minister reply

    The trust for which the United Kingdom is renowned is deep. The UK Internal Market Bill has been taken as an insurance policy to preserve the integrity of our country.

  • Dehenna Davison Con Bishop Auckland

    Question

    Can my right hon Friend assure constituents that any deal will not undermine sovereignty and our ability to set border policy or strike free trade deals?

    Minister reply

    We are a sovereign nation, and we must secure these freedoms. We have as a nation been resolved to get this done.

  • Stephen Farry SDLP North Down

    Question

    Can the Minister assure this House that the Government will work in good faith with the EU over the coming days, considering a grace period for Northern Ireland businesses?

    Minister reply

    Yes, I can give those assurances. Although issues are extremely difficult, talks and negotiations are constructive and continuing.

  • Jo Gideon Con North Norfolk

    Question

    With the Opposition refusing to make a decision on tier restrictions, what assessment has my right hon Friend made of demands for any deal while simultaneously considering voting against it?

    Minister reply

    I agree with my hon Friend that keeping one’s powder dry is important. However, the position of the Opposition is their matter.

  • Fleur Anderson Lab Putney

    Question

    Will the Minister apologise to business owners for this ongoing uncertainty? A logistics company owner in my constituency lost her business and staff due to delays.

    Minister reply

    I am sorry to hear about the plight of your constituent. I am available every day for businesses in difficulty and we will work hard to resolve remaining issues.

  • Peter Bone Con Wellingborough

    Question

    Why are negotiations still continuing if EU said the absolute deadline was 31 October? Will tonight bring a decision one way or the other?

    Minister reply

    Negotiations continue as a deal is possible. We will continue to negotiate until it ceases to be the case.

  • Neil Coyle Lab Bermondsey and Old Southwark

    Question

    Brexit has already cost our country billions, with investments slumping in crucial sectors, rising unemployment, and businesses leaving the UK. How many more jobs will be lost? What further economic damage will occur if no deal is reached?

    Minister reply

    The hon. Gentleman should reflect on why people voted to leave the EU, including sovereignty and shaping our own future. The Government are acting based on the mandate given by the British people.

  • Danny Kruger Reform East Wiltshire

    Question

    Does my right hon. Friend agree that a bad deal would have far worse long-term consequences than no deal?

    Minister reply

    I agree with my hon. Friend; there must be a point to the upheaval we've been through, and securing a good deal is in everyone's interest.

  • Yvette Cooper Lab Pontefract, Castleford and Knottingley

    Question

    Has the Government drawn up proposals for a fallback security agreement if negotiations fail on certain issues like fish or level playing fields?

    Minister reply

    The right hon. Lady raises an important point; the Government have thought through various consequences and prepared accordingly.

  • Shaun Bailey Con Bromley and Chislehurst

    Question

    Can the Minister reassure me that the negotiating team will continue to negotiate robustly on rules of origin, standing up for manufacturing businesses?

    Minister reply

    I can give my hon. Friend those assurances; the team has done a tremendous job and understands the importance of these issues.

  • Philippa Whitford SNP Central Ayrshire

    Question

    Even if there is a deal, it will be thin, inflicting costs and delays on sectors struggling with covid. With Government IT systems not ready, should the Government pause for thought before such an act of self-harm?

    Minister reply

    We are preparing for every possible contingency, including ensuring medical supplies, medicines, and medical devices are in place.

  • Ben Bradley Con Arundel and South Downs

    Question

    Will the Government ensure a UK shared prosperity fund finds its way to those places across the UK that need it regardless of trade talks outcome?

    Minister reply

    I thank my hon. Friend for his question; we will focus on economic growth and infrastructure investment across the UK.

  • Martyn Day SNP Linlithgow and East Falkirk

    Question

    What assessment have the Government made of the combined impact of Brexit on top of the already severe impact on business due to the covid crisis?

    Minister reply

    We need to focus on economic growth in every part of the UK, including infrastructure investment; there will be opportunities as we come out of the pandemic.

  • Greg Smith Con Mid Buckinghamshire

    Question

    Does my right hon. Friend agree that respecting the democratic mandate requires a binary outcome—sovereignty or not?

    Minister reply

    There is no question but that we will be sovereign; however, I also want to acknowledge remain voters who showed great patriotism in accepting the referendum result.

  • Chris Bryant Lab Rhondda and Ogmore

    Question

    If there is no deal, Welsh farmers could burn lamb carcases and police forces may lose access to EU databases. Given our history of compromising for deals, how will the Government avoid a catastrophe?

    Minister reply

    We have compromised in many areas but will not compromise on sovereignty; the Prime Minister has offered ways forward with regard to the UK Internal Market Bill.

  • Philip Davies Con Darlington

    Question

    May I convey my full support to Lord Frost and the Prime Minister for their stance during these negotiations? Like the Minister, I want to see a comprehensive free trade deal with the EU but not any deal that leaves us shackled to EU rules. What are the Government doing to ensure we deliver on the Brexit people voted for?

    Minister reply

    I thank my hon. Friend for his support and reiterate our commitment to ensuring that businesses and citizens have all necessary information and assistance as negotiations continue, including webinars and dialogue with experts.

  • Catherine McKinnell Lab Newcastle upon Tyne North

    Question

    The north-east region promised an oven-ready deal with no tariffs, fees or charges. With the negotiations now going late, what are the Government doing to ensure businesses and individuals in the north-east can properly prepare for these changes?

    Minister reply

    We have invested a huge amount in ensuring that businesses are ready, including substantial support like webinars and dialogue with experts to inform people about necessary actions before year-end.

  • Bob Blackman Con Harrow East

    Question

    I congratulate the International Trade Department on new trade deals. Will nothing compromise our ability to do new trade deals around the world in negotiations with EU?

    Minister reply

    Absolutely, we will not compromise on this as many reasons related to the EU’s trade policies and protectionism have motivated people to leave the EU.

  • Question

    The pandemic has led to job losses in manufacturing. What steps are the Government taking to help British manufacturers make critical investments needed to save jobs, skills, and compete internationally?

    Minister reply

    We are working closely with BEIS sector committees to understand needs and inform policies from Treasury; a renaissance of eroded businesses is our focus for next year.

  • Jerome Mayhew Con Broadland and Fakenham

    Question

    Is my right hon. Friend aware of the strength of support from Conservative Benches for the Government’s negotiating position? Does she agree that a deal can be done only if it starts from a point of fundamental acceptance of UK as sovereign, independent third country?

    Minister reply

    I agree entirely with my hon. Friend; there is huge support not just on these Benches but in our constituencies.

  • Question

    The REAF project sets out an exciting vision for the renaissance of the East Anglian fishing industry. Will my right hon. Friend confirm that these requirements are not being compromised in the negotiations?

    Minister reply

    I can give my hon. Friend those assurances. Fish is a sticking point but we will not compromise on these issues.

  • Question

    The Government spend much money on radio and newspaper ads to tell businesses to be ready for 1 January. A business in my constituency wants to continue importing plants from Europe, but the C1800 form is not available on the website. Can the Minister tell me what I can tell my constituent about how his business can continue to trade successfully?

    Minister reply

    I suggest he uses the toolkit sent out by gov.uk on 26 November and if further help is needed, passing details of the company will ensure relevant official speaks to them.

  • Question

    What does my right hon. Friend say to those who seem to believe that now is not the best time to make a deal? Surely this is by far the best time for a deal; it’s pretty much now or never.

    Minister reply

    I think my hon. Friend makes a very good point. Delaying negotiations isn’t possible and it’s the wrong thing to do.

  • Emma Hardy Lab Kingston upon Hull West and Haltemprice

    Question

    Despite re-signed fisheries framework agreement with Norway, there is currently no legal basis for UK fisheries’ distant water vessels to fish cod in Norwegian waters from end of this year. In the event of a no-deal Brexit, what are Government doing to ensure continued access?

    Minister reply

    Our position is exactly in line with existing precedent; I will ask DEFRA Minister to write and if further details needed about company’s difficulties, I will connect it with relevant official.

  • Joy Morrissey Con Beaconsfield

    Question

    Beaconsfield businesses are bracing themselves for end of Brexit transition period. Will my right hon. Friend provide further assurances of plans and support in place for supporting businesses, particularly small businesses?

    Minister reply

    All Members have special information to help signpost inquiries; there is huge amount of support put in place for each sector including the Trader Support Service.

  • Question

    Orchestras in the UK are facing difficulties due to the covid pandemic and uncertainty around customs declarations post-transition period, especially with the Northern Ireland protocol. Can the Minister confirm whether an orchestra moving between Great Britain and Northern Ireland will need carnets for their instruments after 1 January?

    Minister reply

    The Minister suggests that there might be more to the issue than presented in the question but assures Ms Keeley she can provide a swift answer if given further details about the specific case.

  • Question

    Expressing confidence in Lord Frost’s negotiating team, the MP asks for confirmation that we will leave the transition period on 1 January 2021 and that we will operate on Australian terms if necessary.

    Minister reply

    The Minister confirms they will work until there is no hope of getting a deal and expresses confidence in their ability to secure sovereignty without compromising.

  • Question

    Expressing concern about reports regarding deals on the seas, the MP asks for assurance that there will be no surrender of UK’s seas or rights to European fisheries as promised by the Government.

    Minister reply

    The Minister assures the fishing sector that they will not compromise their sovereignty and plans a resurgence of these industries.

  • Question

    Expressing satisfaction with Brexit progress, the MP asks for assurance regarding control over borders, laws and fisheries and economic and political independence.

    Minister reply

    The Minister assures that they will continue to pursue a deal that respects the mandate of the people and the resolve of their constituents.

  • Question

    Congratulating the Minister on her work in preparing for new regulations, the MP asks what plans are in place for contingencies between now and 31 December.

    Minister reply

    The Minister thanks the praise and mentions the comprehensive information provided to Members, acknowledging the hard work of civil servants in ensuring readiness.

Shadow Comment

Rachel Reeves

The Government must take responsibility for their failure if we leave without a deal. The Labour party will hold the Government to account for whatever they bring back—deal or no deal. With only 24 days left until the end of the transition period, key questions remain about readiness. No-deal scenarios would mean tariffs on lamb exports of 40% and car exports of 10%. The Office for Budget Responsibility predicts an additional GDP fall by 2%, unemployment rise by 1%, and inflation increase by 1.5% if no deal is reached. Labour also questions the number of customs agents recruited out of the required 50,000. Despite claims that an oven-ready deal has been delivered, the whole country awaits a comprehensive trade and security agreement promised at the last election.

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