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Trade Bill - Sitting 8

25 June 2020

Proposing MP
Gareth Thomas Lab Co-op
Harrow West
Type
Public Bill Committee

At a Glance

Issue Summary

Gareth Thomas proposes an amendment to Schedule 2 to specify an affirmative resolution procedure for regulations under section 1(1) instead of the current annulment procedure. Gareth Thomas is addressing concerns about parliamentary scrutiny of the Trade Bill and proposing amendments to strengthen procedural requirements for ratifying international trade agreements. Gareth Thomas discusses the importance of parliamentary scrutiny in the appointment process of the chair of the Trade Remedies Authority. Gareth Thomas discusses the importance of parliamentary scrutiny in appointing the chair of the Trade Remedies Authority (TRA) and ensuring robust competition policies. Gareth Thomas discusses the need for parliamentary scrutiny in the appointment of the Trade Remedies Authority (TRA) chair, arguing that it should be approved by the International Trade Committee to ensure independence and public accountability. Stewart Hosie is proposing amendments to establish a fixed period of office for TRA members and define circumstances under which a person may be considered unable or unfit. The statement discusses the establishment and governance arrangements for the Trade Remedies Authority (TRA), including appointment processes and term lengths. The MP is discussing amendments related to the Trade Remedies Authority (TRA) annual reporting requirements. The statement addresses the proposed amendment to Clause 6 of the Trade Bill, which would require an analysis of any exercise by the Secretary of State under section 15 of the Taxation (Cross-border Trade) Act 2018. Gareth Thomas discusses concerns about proposed changes to the cross-border trade Act, which would grant significant powers to the Secretary of State regarding import duty variations without adequate scrutiny. Greg Hands discusses the Trade Bill amendment 28, which seeks to create a new role for the TRA in analyzing the impact of retaliatory or rebalancing duties imposed due to international disputes. The amendments seek to impose consultation requirements for regulations and protect legal professional privilege in information requests by HMRC. The statement addresses data-sharing powers for collecting information on UK exporters and sets out assurances regarding legal professional privilege and data protection. Gareth Thomas discusses the importance of maintaining high food production and animal welfare standards in UK trade agreements. Gareth Thomas is addressing concerns about the impact of trade agreements on food and animal welfare standards, specifically mentioning a UK-Canada agreement as an example. Gareth Thomas asks the Minister to confirm that chlorinated chicken from the US will not be allowed in British stores. Greg Hands addresses concerns regarding the impact of trade agreements on UK agriculture and food safety standards. The MP discusses concerns regarding new clauses in the Trade Bill that require trading partners to align their production standards with UK standards within seven days, arguing this could have severe impacts on developing countries and potentially hinder trade negotiations. MPs are discussing a new clause to restrict market access to healthcare services, including medicines and medical devices, under international trade agreements. Gareth Thomas discusses the protection of NHS services from potential impacts of future trade agreements. The statement discusses concerns about UK-US trade deals potentially undermining the NHS and the government's stance on protecting public services from private sector interference. Gareth Thomas is proposing a review of free trade agreements five years after their signing to assess their effectiveness and address concerns about investor-state dispute mechanisms and potential negative impacts. Gareth Thomas is moving a new clause to seek continued membership of several EU agencies post-Brexit. The statement is about thanking the Committee for their work on the Trade Bill and discussing its progress.

Action Requested

Thomas argues that the affirmative process is necessary to ensure proper parliamentary scrutiny and oversight, especially concerning potential rollbacks on social standards in procurement regulations. He emphasizes the importance of debate and voting opportunities provided by the affirmative resolution process.

Key Facts

  • The amendment aims to replace the annulment procedure with an affirmative resolution procedure for regulations under section 1(1).
  • Rosa Crawford from the Trades Union Congress testified that the GPA lacks requirements to promote social standards in tendering processes.
  • Under the World Trade Organisation GPA, there is a 30-day period for new parties to join and a 60-day period for existing parties to withdraw.
  • The amendment seeks to establish a form of super-affirmative procedure for scrutiny of an international trade agreement before ratification.
  • It proposes laying draft orders and explanations before Parliament, with required periods for review and potential revisions based on committee recommendations.
  • Another amendment aims to apply similar procedures to all trade agreements not covered by EU rollover agreements if the bill is extended.
  • The amendment seeks to require Parliament's consent for the Secretary of State's recommendation for the chair appointment.
  • The British Ceramic Confederation raised concerns about existing ideological views affecting tariff policies.
  • The steel industry, particularly concerning China's dumping practices, highlights the need for a robust Trade Remedies Authority.
  • The TRA's role in appointing board members is under scrutiny.
  • Concerns exist that some trade remedy experts may not be enthusiastic about fair competition.
  • Thomas asks for the chair’s view on connecting the UK TRA with the WTO dispute resolution process.
  • The amendment seeks to give the International Trade Committee power over approving or vetoing the TRA chair's appointment.
  • The Cabinet Office Public Bodies Handbook states that Ministers are accountable for public appointments decisions.
  • Under schedule 4, the TRA must produce an annual report laid before Parliament and is subject to National Audit Office scrutiny.
  • Amendment 35 establishes a fixed period of office for TRA members.
  • Amendment 36 defines circumstances under which a person is considered unable or unfit.
  • The amendments aim to reinforce TRA's independence and legal certainty.
  • Clause 5 allows the TRA to be established as a new non-departmental public body.
  • Appointments will follow the “Governance Code on Public Appointments” with appointments regulated by the Commissioner for Public Appointments.
  • Amendment 2 aims to set a deadline of August 1st for laying annual reports before Parliament.
  • Amendment 2 requires the Secretary of State to lay TRA's annual report before Parliament by August 1st.
  • Amendment 3 requires a timely report on each recommendation made to the Secretary of State.
  • The government wants flexibility for the TRA to develop and adapt performance indicators as it settles into its functions.
  • Amendment 28 would require an analysis of any exercise by the Secretary of State under section 15 of the Taxation (Cross-border Trade) Act 2018.
  • The amendment is a response to concerns about granting significant power to the Secretary of State regarding import duty variations.
  • President Trump has threatened tariffs on £3.1 billion worth of European goods, including whisky and biscuits.
  • The proposed change to the cross-border trade Act grants significant powers to vary import duty rates.
  • A fifth of the world’s gin production is based in Warrington, highlighting potential impacts on specific industries.
  • The WTO appellate body has stopped working due to President Trump's actions.
  • Amendment 28 refers to the Taxation (Cross-border Trade) Act 2018.
  • The amendment concerns scenarios involving successful challenges in WTO dispute settlement or FTA disputes where retaliatory duties may be imposed.
  • Variations in import duties due to trade disputes are intended to be temporary.
  • Amendment 32 would impose a duty on the Treasury to consult stakeholders when making regulations.
  • Amendment 33 aims to protect legal professional privilege from disclosure under clause 7(1).
  • Amendment 34 seeks similar protections specifically for information collected by HMRC under clause 8.
  • Clause 7 sets out powers for HMRC to collect data on UK businesses exporting goods and services.
  • Amendment 32 aims to restrict the Government's ability to implement new questions to gather data on exporters quickly.
  • Legal professional privilege is a long-standing principle recognised under article 8 of the European convention on human rights.
  • The UK has multiple pieces of national legislation aimed at various aspects of animal welfare for chicken alone, including on-farm catching, transport and slaughter.
  • The US lacks comprehensive national animal welfare legislation covering farm animals, particularly in major poultry-producing states like Georgia, Alabama, and Arkansas.
  • 79% of consumers would be uncomfortable eating beef produced with growth hormones, while 77% are concerned about milk from cows given growth hormones.
  • The UK-Canada agreement has lower animal welfare standards and pesticide protections than those in the UK.
  • Thomas argues that the new clause is relevant to the Bill due to concerns about food production, safety, and animal welfare in trade agreements.
  • There are real concerns about health impacts from using antibiotics and growth hormones, including potential zoonotic diseases.
  • The Minister confirms that chlorinated chicken from the US will not be allowed in British stores.
  • All imports, including those from new trading partners, must comply with UK import requirements.
  • The Food Standards Agency and Food Standards Scotland ensure all food imports meet high safety standards.
  • UK agriculture is a net beneficiary of the agreement as per the scoping assessment.
  • There is an import ban on artificial growth hormones in domestic and imported products.
  • Waitrose operates seven branches in Harrow West constituency.
  • Any changes to existing legislation will require new legislation.
  • Decisions around standards will be made separately from negotiations.
  • British farmers are reassured that high standards of food safety and animal welfare will not be compromised.
  • The NFU described UK’s import protections as some of the most precautionary in the world.
  • New clause 9 requires trading partners to align with UK production standards within seven days.
  • New clause 11 stipulates that all imported food should meet UK production standards.
  • The Government's manifesto promises to maintain high environmental and animal welfare standards in trade negotiations.
  • New Clause 12 aims to prevent market access to healthcare services.
  • Leaked documents reveal discussions on UK health insurance systems and US desire for changes in drug pricing mechanisms.
  • Drew Hendry suggests the Government could easily make a commitment to rule out these issues.
  • New clause 12 seeks to add a different degree of protection for health services.
  • Leaked documents show discussions in UK-US trade talks regarding possible measures to push up pharmaceutical prices.
  • Ministers claim that the NHS is not on the table in UK-US talks but no published text ensures this.
  • EU-Canada deal used negative list approach, causing concern due to lack of comprehensive NHS carve-outs.
  • The NHS Confederation and The BMJ have published concerns about UK-US trade deals.
  • Investor-state dispute settlement (ISDS) provisions are highlighted as a concern.
  • The Government has protected the NHS from private sector interference in current and future trade agreements.
  • Parliament can see negotiated deals via the Constitutional Reform and Governance Act 2010 process before ratification.
  • New clause would review free trade agreements five years after signing.
  • Government's decision to axe support for British exporters by 60% is cited as an example.
  • Concerns raised about investor-state dispute mechanisms incorporated into agreements.
  • Gareth Thomas represents Harrow West constituency.
  • Government's approach to EU negotiations aims for a Canada-style deal.
  • UK and EU monthly pharmaceutical trade involves over 70 million packages.
  • Erika disaster led to the establishment of the European Maritime Safety Agency.
  • The Trade Bill has been in Committee for two weeks.
  • The Bill aims to support an independent UK trade policy effective from January 1, 2021.
  • Witnesses included representatives from organisations such as TheCityUK, British Chambers of Commerce, and The City of London Corporation.
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