European Union (Withdrawal Agreement) Bill

[1st Allotted Day]

Sir Roger Gale in the Chair

Good afternoon, ladies and gentlemen. As this is the first Committee of the whole House of a new Parliament, it might be of benefit to those who are not entirely familiar with the arcane process, and indeed to those who thought they were but are not, if I seek to explain how this proceeds.

You will find on the Order Paper that the amendments are grouped and that helpfully they are grouped not in sequence but by subject. The Chair will try to confine the debate to the subject matter, without being too rigorous in exercising control. Ordinarily, the groups will form the basis of a debate, the first part of which I will introduce and to which the Secretary of State or Minister will then respond. Exceptionally, because this is the first day of a two-day debate to which a plethora of amendments has been tabled, I have deemed it helpful to invite the Secretary of State to open the debate to set out the stall, and on that basis, of course, if the Opposition Front-Bench spokesperson wishes to come in immediately following that, that would also be entirely acceptable.

I have one final point to make. Mr Speaker has decided that, although any Member has a right to speak in this House, it is not desirable for new Members to make maiden speeches during the Committee. He has decided this for two reasons: first, it will simply delay the process, and, secondly—and much more importantly, from the point of view of those new Members—inevitably their freedom of movement to describe their constituencies as the second garden of Eden will be limited. I am advised that there will be an opportunity to participate first on Third Reading on Thursday, when the Speaker will be in the Chair, and then subsequently during the remaining debate on the Queen’s Speech. I hope that is all clear and helpful. With that in mind, we will move to the first group of amendments.

Clause 1

Saving of ECA for implementation period

Question proposed, That the clause stand part of the Bill.

With this it will be convenient to discuss the following:

Clauses 2 to 6 stand part.

New clause 4—Extension of the implementation period—

“After section 15 of the European Union (Withdrawal) Act 2018 (publication of and rules of evidence) insert—

‘15A Extension of the implementation period

(1) A Minister of the Crown must seek to secure agreement in the Joint Committee to a single decision to extend the implementation period by two years, in accordance with Article 132 of the Withdrawal Agreement unless one or more condition in subsection (2) is met.

(2) Those conditions are—

(a) it is before 15 June 2020;

(b) an agreement on the future trade relationship has been concluded;

(c) the House of Commons has passed a motion in the form set out in subsection (3) and the House of Lords has considered a motion to take note of the Government’s intention not to request an extension.

(3) The form of the motion mentioned in subsection (2)(c) is “That this House approves of the Government’s decision not to apply for an extension to the period for implementing the agreement between the United Kingdom and the EU under Article 50(2) of the Treaty on European Union which sets out the arrangements for the United Kingdom’s withdrawal from the EU”.

(4) If the Joint Committee does not agree the extension specified in subsection (1) but EU representatives on the Joint Committee indicate that they would agree an extension for a shorter period, a Minister of the Crown must move a motion in the House of Commons to agree the shorter period proposed, and if that motion is agreed, a Minister of the Crown must agree that shorter extension in the Joint Committee.

I begin by wishing you, Sir Roger, and all Members of the House a happy new year.

The Bill implements the withdrawal agreement negotiated by the Prime Minister. It fulfils the will of the British people and will set the stage for our bright future outside the European Union. It lets us take back control of our laws, our money, our borders and our trade policy, and it delivers on the overwhelming mandate given to us by the British people to get Brexit done by the end of January.

Sir Roger, as you have just informed the Committee, I am, under your guidance, speaking to this group. I will speak to clauses 1 to 6, clause 33 and new clauses 4 and 36, noting that new clause 19 and amendment 25 have not been selected.

Clause 1 gives legal effect to the implementation period in domestic law. The implementation period ensures that common rules will remain in place until the end of this year, meaning that businesses will be able to trade on the same terms as now until a future relationship has been agreed. This provides certainty and stability for the duration of this time. During the implementation period, the effect of the European Communities Act 1972 will be saved and modified on a temporary basis to provide the necessary continuity. It will have a new purpose: to give effect to EU law as set out in the withdrawal agreement, to provide for the implementation period. As a result, businesses and citizens need prepare for only one set of changes as we move into our future relationship with the EU.

Can my right hon. Friend give us an estimate of how much the implementation period will cost us, and will he reassure us that once we are out properly at the end of this year, there will be no future payments thereafter?

This will secure our membership for the period. One of the costs for businesses—one of the greater costs—would result from two sets of changes, without the comfort of an implementation period. The business community itself—of which I know my right hon. Friend is a great champion—said that it wanted an implementation period while the negotiation on the trade deal was being conducted to avoid the higher cost of two sets of changes.

The saving of the ECA will be repealed at the end of the implementation period, at which point the repurposed ECA will cease to have effect. Clause 1 is essential to achieving the terms agreed in the withdrawal agreement and ensuring the proper functioning of European Union law during the implementation period, and for that reason it must stand part of the Bill.

I still do not think that the Secretary of State has made a clear enough case for why he would wish to tie the Government’s hands in such an unnecessary way and risk the disaster of no deal. Also, there could be perfectly constructive negotiations going ahead, which he would be prepared to throw away if they could not fit into the arbitrarily short time of 11 months. Will he tell us why he thinks it is worth running that risk, which is such a big risk for our businesses and for our economy?

I know that we have two days for the Committee stage, but it is very odd for someone who wants us to remain a member of the European Union to complain about the fact that we have an implementation period so that the business community does not face two sets of changes and so that we give businesses confidence for the rest of the year.

Clause 2 saves EU-derived domestic legislation for the implementation period. The last one and a half decades have seen a substantial amount of EU legislation that has required domestic legislation, both primary and secondary. That domestic legislation constitutes a large body of law, and to ensure that the law continues to work properly during the implementation period, we need to take several important steps. First, we must preserve the legislation to avoid its being impliedly repealed following the repeal of the ECA. If we do not save it, there will be a risk that it will either fall away or be emptied of meaning, which could mean that citizens and businesses were no longer protected by, or indeed able to rely on, existing rules.

The second essential purpose of the clause is to maintain the proper functions of the statute book for the duration of the implementation period. During that period, we will continue to apply this law, but we will not be part of the European Union. To ensure that that is reflected in the statute book, the Bill provides for time-limited glosses, or modifications, to new and existing EU-derived legislation. Those glosses make clear the way in which EU law terms and UK legislation should be read so that our laws continue to work during the implementation period. Let me give one example. All references to European Union citizens in the UK statute book will, as a general rule, be read as including UK nationals during the implementation period. These provisions will automatically be repealed at the end of the year when they are no longer needed.

I hope that the Secretary of State will be able to clarify whether that also applies to the European arrest warrant. Obviously, we will remain subject to it and able to take advantage of it during the implementation period, but at the end of that period, as a third party, we will simply not be able to enter into it. During the implementation period, will British subjects still be subject to the arrest warrant overseas?

Under clause 1, the implementation period ensures the continuity of the law. That is why it is saved, but modified. Clause 2, and the others in the group, deal with the technical terminology. Where there is a change in meaning, it means continuity. I see that the hon. Gentleman is frowning. The substance of my reply is yes, in that the Bill ensures continuity. The purpose of terms such as “European Union citizen” will have ceased because we will have left, but, on the other hand, the implementation in EU law will continue, allowing those terms to continue to be applied and any tidying up—any technical changes—to be applied. So this is a technical glossing and that is its purpose.

While the Secretary of State is on his feet discussing this, could he set out the exact position for EU nationals, because those of us who have up to 42,000 living locally are extremely concerned? There have been lots of discussions and tweets about this, so could he please just lay out exactly what the position will be not only during the next 12 months of the implementation plan but going forward?

The hon. Lady raises an important point. I do not want to stray too far into the second grouping in Committee, which is indeed on citizens’ rights and which the Security Minister will address, but what this Bill is doing is securing the rights of EU citizens within the UK and indeed the rights of UK citizens in the European Union, because we value the contribution that those EU citizens make to the UK. They have chosen to make their homes here and to bring up their families here, and their rights are protected. That is one of the reasons that I urge Members on both sides of the House to support this Bill.

During the transitional period, laws will be made in the European Union that we will be expected to obey. Does my right hon. Friend agree, however, that clauses 29 and 38—one of which deals with the review of legislation through the auspices of the European Scrutiny Committee, where we will be affected by our vital national interests being undermined—provide good protection for the United Kingdom’s national interests? Secondly, does he agree that the question of parliamentary sovereignty in clause 38 will complement that by ensuring that the whole process of legislation under the withdrawal agreement will not affect the continuing sovereignty of the United Kingdom Parliament, and that this therefore effectively provides a double lock on the rights of this House as we leave the European Union?

My hon. Friend is absolutely right to signpost those two safeguards being put in place, in which he played a significant part, but I would say that there are three. I will come on to the third, if I may slightly push him by making that correction. He is right to say that the European Scrutiny Committee, under his chairmanship, will have the right to trigger debates and scrutiny. Secondly, he has championed the clause dealing with the sovereignty of Parliament, which is set out clearly in the Bill. The third element that I would draw to his attention, which is within this grouping, is our legislating for the Government’s manifesto commitment not to extend the implementation period. That will ensure that there is no extension of the implementation period and will therefore ensure that there is no risk of a further one-year or two-year period during which the issue about which he was concerned in relation to those two other clauses could arise. So there are three protections, and not just the two that he mentioned.

Very, very good!

I am pleased that my hon. Friend signals from a sedentary position that he is content with that.

Ultimately, clause 1 will ensure that there is continuity in our laws during the implementation period and that our law continues to operate properly. It is therefore essential and must stand part of the Bill.

The Secretary of State has commented about the sovereignty of this United Kingdom Parliament across the whole United Kingdom. At all stages in the future, as marked out by the Northern Ireland protocol and the exceptions to this Bill, the people of Northern Ireland will be subject to European Union law for a long time into the future, as far as we can see, so it is not correct, is it, to say that the sovereignty of the entire United Kingdom will be placed in this place?