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UK-EU Future Relationship Negotiations and Transition Period
07 December 2020
Lead MP
Penny Mordaunt
Debate Type
Ministerial Statement
Tags
EconomyEmploymentBrexitForeign AffairsBusiness & TradeAgriculture & Rural Affairs
Other Contributors: 48
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.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
EconomyEmploymentBrexitForeign AffairsBusiness & TradeAgriculture & Rural Affairs
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.
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.
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.
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.
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.
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
Shadow Comment
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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