Future Relationship with the EU

(Urgent question): To ask the Minister for the Cabinet Office if he will make a statement on the fourth round of the negotiations on the UK’s future relationship with the European Union.

Negotiators from the UK and the EU held full and constructive discussions last week via video conference led by David Frost, the UK’s chief negotiator. The talks covered trade in goods and services, fisheries, law enforcement, criminal justice and other issues, in which both sides engaged constructively. There was, however, no movement on the most difficult areas where differences of principle are at their most acute, notably fisheries, governance arrangements and the so-called level playing field.

We have now reached an important moment for these talks. To make progress, we need to accelerate and intensify our work, and the Government are working closely with the EU to achieve that. It is our priority to conclude this negotiation in good time to enable our citizens and businesses to have certainty about the trading terms that will follow at the end of this year and, if necessary, to allow any ratification of agreements reached. We have always been clear that such a deal must of course accommodate the reality of the UK’s well-established position on the so-called level playing field, on fisheries and on the other difficult issues, and fully recognise the UK as a sovereign equal.

The House should also be aware that this Friday, the Chancellor of the Duchy of Lancaster and I will be at the second meeting of the withdrawal agreement joint committee. We will be able to update the committee about the positive progress the UK is making on implementing our obligations, not least on citizens’ rights and the Northern Ireland protocol, but we will also emphasise that we will not be extending the transition period, and will push the EU on implementing its obligations under the terms of the agreement.

The Government remain committed to our negotiations with the EU and the implementation of the withdrawal agreement, and will continue to keep the House updated on developments.

The UK left the European Union in January, and our task now is to build the best possible new relationship with our European neighbours. Our chief negotiator, David Frost, said last week:

“We need to conclude this negotiation in good time to enable people and businesses to have certainty about the trading terms that will follow the end of the transition period at the end of this year”.

We agree, but currently we are in the dark about what this new relationship looks like.

Both the CBI and the TUC are warning about the impact of chaos and uncertainty on jobs and livelihoods. The Association of the British Pharmaceutical Industry warned this week that, as a consequence of covid-19, the stockpile of medicines has been run down and cannot be rebuilt, in terms of volume or range, by the end of this year. The Road Haulage Association says:

“We are still missing the essential practical information on all new processes and procedures”

as the Government look to introduce millions of extra declarations at the border each year. Does the Minister believe that having 50,000 new customs officers to process those declarations will add to or reduce the red tape for UK businesses?

From freight to farming, fisheries to pharmaceuticals, we need clarity. During the general election, the Prime Minister claimed time and again that the Government had an oven-ready deal. Its fundamental ingredients matter, so will the Minister confirm that the Government still, as they did in December, guarantee that there will be no tariffs, fees, charges or quantitative restrictions across all sectors? Leaving on WTO standards, or even a Canada-style deal, does not guarantee that. Will she also confirm that the Government will safeguard workers’ rights and consumer and environmental protections? There is much concern that that is no longer Government policy. Are the Government still committed to a broad, comprehensive and balanced security partnership, which is essential to bring criminals to justice? Will the Government respect the Good Friday agreement in its entirety?

I thank the hon. Lady for those questions. At the start of her response, she made a powerful argument for not extending the transition period. If we have learned anything over the last few years, it is that that would only extend the negotiations. I agree that business, our citizens across the EU, and the rest of the world, with which we are also focused on trade negotiations, want to have certainty about the future, so we must press on with that. That is one of the many reasons why we will not extend the transition period.

The hon. Lady is also right to draw attention to the fact that the covid crisis is going on. I know that she is aware of the huge amount of work that was done last year on no-deal preparations, and the tremendous work that civil contingencies and all Government Departments have been doing to ensure that supply chains remain strong, that we can quickly adapt, and that we have stocks of all sorts of goods, including the medicines that we need. These are challenging at times, in the light of what the world is facing, but they are our focus. I assure her of the incredible work that those civil servants are doing to ensure that our citizens have what they need when they need it.

I take a keen interest in those areas as a former employee of the Freight Transport Association. We will shortly be saying more about our border operations. A tremendous amount of work has gone on to improve our communication with businesses from every part of the UK last year to ensure that it is good, and that we are not just giving people the right information, but picking up solutions from the sector, because that will be key to getting it right.

On the hon. Lady’s remarks about rights, animal welfare, security, zero tariffs and zero quotas, our policy has not changed. We will of course respect the Good Friday/Belfast agreement and we expect the EU to do the same.

Regrettably, is not the insurmountable blockage in this entire process the refusal of the EU to accept the UK as a sovereign nation and, therefore, its refusal to countenance a large-scale copy and paste of existing arrangements with the likes of Canada, South Korea and Japan to reach a mutually beneficial trading partnership?

My hon. Friend makes a good point. The areas where we still need to make progress will be helped when the EU remembers that we are a sovereign equal.

Surprise, surprise, there is no Michael Macavity; when the going gets tough, the tough get gone in this case. It now looks as if the Minister for the Cabinet Office will secure the no-deal Brexit he has always coveted. It will be misery heaped on misery, as covid and Brexit appear like the twin horsemen of the economic apocalypse trampling over any prospect of recovery.

Whose fault will that be? Obviously, not the Government’s: “Nothing to do with us, guv. It’s all these nasty, invidious Europeans. How dare they hold the Government to the commitments they’ve already given in good faith? These fiendish Europeans, asking us to deliver on what we’ve already agreed to.” When they sit down to negotiate, it is like watching Scotland’s B team take on the Brazil of the 1970s. It is almost cruel to observe them with their screeds of documents and facts, and Team GB with its ill-fitting clown shoes.

We are having nothing more to do with this. Scotland is wanting out of all this. Another opinion poll at the weekend showed a majority for Scottish independence once again. The Union that we covet is not their failed variety; it is the European Union one. Does the Minister concede that we will have no deal, and that there is no way Scotland will be part of that impending disaster?

I am sorry that the hon. Gentleman is disappointed to see me here today. I am always delighted to see him, and he will know that the Chancellor of the Duchy of Lancaster needs no encouragement to come to the Dispatch Box. My right hon. Friend has come to update the House and appeared in front of Select Committees, and he is committed to doing so. I am here because he is unable to attend today.

I am not sure there was a question in the hon. Gentleman’s remarks, but I reassure him of my commitment to working with the Scottish Government to ensure the best possible outcome from these sets of negotiations. I have been changing the format of how that is done, and we have put more time into key areas such as fisheries, to ensure that the Scottish Government have everything they need to contribute. We must ensure that we work together, constructively, and get what our businesses and citizens need.

Given that the German constitutional court recently said that Germany does not have to follow rulings from the European Court of Justice if that goes against German interests, despite Germany being a member of the European Union, would it not be unreasonable to expect the United Kingdom to obey any rulings from the European Court of Justice, now that we are no longer a member of the European Union?

My hon. Friend makes a good point. The German constitutional court decision emphasises the point that we are a sovereign equal, and the EU needs to accept that. That decision will obviously have implications for the EU to consider.

Article 131 of the political declaration states that if a dispute raises a question of interpretation of Union law,

“the arbitration panel should refer the question to the Court of Justice of the European Union…for a binding ruling as regards the interpretation of Union law.”

Given what the Minister just said, do the Government still stand by the commitment that the Prime Minister signed up to in October?

The political declaration is not a treaty and there will be differences on both sides as to its interpretation. The point we have emphasised in the past few days is that the EU cannot be the referee in that.

I have received a large number of emails from farmers and constituents in North Devon who are concerned about food standards once we leave the EU. Will my right hon. Friend assure me, and worried constituents, that we will retain our current food standards, and prevent the import of chlorinated chicken and other inferior food?

I refer my hon. Friend to the very good joint letter that was recently sent out by the Secretaries of State for Environment, Food and Rural Affairs and for International Trade. In this we should be trusting the consumer—if people do not want to put their faith in Government, we should trust the consumer, and I think consumers want high-quality, fairly priced food, with high animal welfare standards.

It is clear from the Minister’s remarks that this deal is far from “oven-ready”. Are the Government prepared to say no to any deal that will diminish our food and environmental standards and undermine British farming?

Of course we are working towards a deal on those issues, and many others. On some issues we very much feel that our interests are better served by having separate agreements. The key point is that we cannot keep negotiating for ever, and we must allow our businesses, farmers, and citizens time to implement the decisions taken. That is why we are now at this key stage and have to increase and escalate negotiations. We need to arrive at a deal soon.

The EU is insisting on level playing field guarantees,  the extent of which is not seen in any similar agreements and to which no sovereign country could agree. Does the Minister agree that if we are to reach that mutually agreeable and profitable deal, the EU will have to stop cherry-picking?

I thank my hon. Friend for that well-put point. The EU’s proposals would bind us into EU law and impose controls over our domestic legal regimes, which cannot be acceptable. It is not in the political declaration and it is certainly not in any free trade agreement that I know of.