Questions & Answers
Q1
Partial Answer
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Brexit has left a £90 billion hole in UK tax revenues, and small businesses in North East Hampshire are struggling due to two consecutive Budgets deemed 'catastrophic'.
Given that Brexit has left a £90 billion hole in the UK’s tax revenues and that small business owners in my constituency of North East Hampshire are telling me that the last two Budgets have been “catastrophic” for them, why are the Government not pursuing a bespoke UK-EU customs union to cut red tape, boost economic growth and support British businesses?
The Prime Minister was very clear in the House yesterday that we will be honouring our manifesto commitments on a single market and a customs union—we will not be rejoining those institutions. However, there is a great deal of work that can be done between the botched deal we inherited from the Conservatives—from their acrimonious relationship, when Britain and the European Union refused to talk to each other in the interests of either of them—and the new relationship that the Prime Minister has built with his counterparts in Europe to deliver for the people of the United Kingdom.
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Assessment & feedback
The government's manifesto commitments on customs union and single market, instead of addressing the specific ask about a bespoke UK-EU customs union.
We Are Honouring Our Manifesto Commitments
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Q2
Partial Answer
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Recent efforts to secure UK participation in the EU’s SAFE initiative, aimed at strengthening defence capacity across the continent in response to Russian threats, have reportedly failed.
Recent efforts to secure UK participation in the EU’s Security Action for Europe (SAFE) initiative, which aims to strengthen defence capacity across the continent in response to escalating Russian threats, appear to have come to an end without agreement. While it is right that the UK only enters agreements that clearly support our national interest and represent value for money, we must continue to play a leading role in European security. Will the Minister outline how the Government intend to build momentum for renewed UK-EU co-operation in this area?
I thank my hon. Friend for his important question. The United Kingdom remains committed to our role in European security in the face of rising threats. As the House will know, the Prime Minister has led the coalition of the willing to combat Vladimir Putin’s aggression in Ukraine and has worked tirelessly to strengthen our relationships with our allies, including across Europe. We are working quickly with the EU to implement our ambitious security and defence partnership, and have already stepped up our co-operation on key issues such as tackling hybrid threats and our collective support to Ukraine.
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Assessment & feedback
Specifics of building momentum for renewed UK-EU cooperation on defense issues, instead focusing on current efforts in security partnerships with allies.
Working Quickly With The Eu To Implement Security And Defence Partnership
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Q3
Partial Answer
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The Deputy Prime Minister suggested in a podcast that the journey towards a UK-EU customs arrangement is self-evident, but with Brexit costing £90 billion annually to the Exchequer, there are calls for the government to reconsider its red lines.
On “The News Agents” podcast yesterday evening, the Deputy Prime Minister, when asked about a UK-EU customs arrangement, said
“that journey of travel…is self-evident”. Given that the botched Brexit deal is costing the UK Exchequer £90 billion a year, can I ask what that self-evident journey means for the Government’s own red lines? Will the Government take the opportunity to take a giant leap on that journey by supporting my ten-minute rule Bill next Tuesday?
“that journey of travel…is self-evident”. Given that the botched Brexit deal is costing the UK Exchequer £90 billion a year, can I ask what that self-evident journey means for the Government’s own red lines? Will the Government take the opportunity to take a giant leap on that journey by supporting my ten-minute rule Bill next Tuesday?
I have to confess that I have not listened to “The News Agents” podcast that the hon. Member refers to, but I know you will be pleased to hear, Mr Speaker, that what is self-evident is what is said in this House, not on podcasts. The Prime Minister was very clear yesterday on the position the Government hold in relation to a single market and a customs union, while also improving our trading and security relationships, which is what we will continue to deliver on.
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Assessment & feedback
The specific journey towards UK-EU customs arrangement and supporting legislation, focusing instead on the Prime Minister's clear position from yesterday's statement.
Self-Evident Journey Is What Is Said In This House
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Q4
Partial Answer
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The May agreement included the restoration of UK's country-specific steel quota, but new EU steel protection measures were announced in October. There is concern about how these measures will affect existing quotas under GATT.
The agreement in May included the restoration of the UK’s country-specific steel quota, but in October we saw new steel protection measures from the EU. Do the Government expect the article 28 GATT—general agreement on tariffs and trade—process to be honoured for those quotas, and will trade measures be set out prior to the steel strategy?
I thank my hon. Friend for his question. As he will understand, my right hon. Friend the Minister for the Cabinet Office is in discussions with counterparts in the European Union about the changing global landscape for steel. This Government are very clear that we should protect British steel and our capabilities to produce steel in the UK, while supporting exports and making sure that British steel is not undercut by cheap global imports from around the world.
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Assessment & feedback
Specific details on GATT processes and measures for steel quotas, instead focusing on protecting British steel interests.
Discussions With Eu Counterparts About Changing Landscape
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Q5
Partial Answer
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The government's attempt to join the EU’s new defence fund has failed, leading to embarrassment for the government. There are no explanations in the House about what went wrong.
Last week, it was announced that the Government’s attempt to join the new EU defence fund had failed. This is a major setback for our relationship with the EU, and it is a major embarrassment for the Government. Since that time, no Minister has come to the House to explain what on earth has gone so horribly wrong, so perhaps the Chancellor of the Duchy of Lancaster can tell us: what has gone so horribly wrong?
First, regardless of the negotiation on SAFE, our collaboration with European partners is stronger than ever on defence and defence procurement. In relation to SAFE in particular, about which the hon. Member asked, this was always going to be a negotiation between the EU and the UK, and the UK Government rightly have to consider value for money considerations in return for how much access British industry has to the contracts being negotiated in Europe. Irrespective of the position on SAFE, I can confirm to the House that UK companies will still be able to take part in European procurement for defence equipment, with an up to 35% allowance for British components in those manufactured goods.
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Assessment & feedback
The specific issues leading to failure of SAFE participation and lack of explanation in the House, focusing instead on existing collaborations and future procurements.
Negotiation Between Eu And Uk
Value For Money Considerations
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Q6
Partial Answer
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The question addresses concerns about the impact of Brexit on the NHS and the broader economy, particularly regarding the trade agreement with the US.
I note the right hon. Gentleman’s response. It may well be good for the pharma industry; my question was whether it is good for the NHS. Just four days ago, the Prime Minister said that the Brexit deal “significantly hurt our economy” and that we have to keep moving towards a closer relationship with the EU. I agree with the Prime Minister. A clear and welcome step for jobs and growth would be to create a bespoke customs union with the EU. The Liberal Democrats want to cut unnecessary red tape, support British businesses and deliver sustainable long-term economic growth. I am sure the Chancellor of the Duchy of Lancaster does, too. I agree with his earlier comment that what happens in this House matters, so will he at least agree not to block his colleagues on the Government Benches from backing the ten-minute rule Bill that my hon. Friend the Member for Surrey Heath (Dr Pinkerton) will move next Wednesday, which sets a path towards a bespoke EU-UK customs union—
Mr Speaker, there is obviously a great deal of interest on the Liberal Democrat Benches in their ten-minute rule Bill, which I look forward to reading in due course.
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Assessment & feedback
The Chancellor did not commit to or oppose backing the ten-minute rule Bill.
Response accuracy