My Lords, I thank the Minister for his explanation. I am sure he will forgive me a bit of a weary sigh, because I remember all this from the first time round. As it gradually dawned on us that the assurances that a post-Brexit trade deal would be the easiest trade deal in history were completely wrong, we realised that we were facing a much more complex set of rules and restrictions for the logistics industry, especially those smaller businesses that wanted to continue to trade with the EU.
Other sectors that have particularly suffered in recent years have been not just those trading from the UK to an EU country but, as the Minister explained, those wanting to operate cabotage services. A badly affected sector is performers—musicians and artists of various sorts—who have found it impossible to take their goods, vehicles, scenery, costumes and so on from one country to another. All this has contributed to a decline in the numbers trading and a deterioration in the balance of trade, which specifically has hit small businesses very hard.
Optimistically, I had hoped that we were over the worst and that we would gradually rebuild our trade, as people got used to the new restrictions. Apparently, that is not so, because this instrument appears to be tightening up the rules. The Minister’s introduction, which was very complex and detailed—and extremely helpful—underlined that this is going to carry on being complicated.
Paragraph 6.3 of the Explanatory Memorandum refers to
“the required outcome of the effective enforcement of posting requirements”,
so my first question to the Minister is: can he explain precisely how and to what extent the system was failing before? In a way, I am interested in the mood music behind this change. Have EU countries complained that UK operators are not doing it properly? Have we had international complaints, or are we complaining about EU operators coming here without the required permissions? What is the scenario that has led to these changes?