Last week my Board of Trade published our “Digital Trade” report, which demonstrates how we can boost exports, turbocharge economic growth for the whole UK and create high-paying jobs across all four of our family of nations using digital tools. Because geography is now history, digital tools ensure that services can be delivered from anywhere.
We export more than £200 billion of digitally delivered services. With investment and the right planning, I want to make sure the UK improves on its already pretty impressive second place in global digital trade to get to the top of that chart. I have negotiated a world-first set of digital trade principles with our G7 partners and will be continuing to deliver these through our trade deals in the months ahead.
Boneham & Turner in Ashfield has been around for more than 100 years and, post Brexit, it is thriving, like many other businesses in Ashfield. Its boss, Charlie Boneham, tells me that the US is a big part of its business. Will my right hon. Friend please advise me on where we are with a possible trade deal with the US?
The US is currently reviewing progress on all the free trade agreement negotiations under the previous Administration. We welcome the opportunity to feed into that review. We have always been clear that a good deal is better than a quick deal, and we are here when the US is ready to continue those discussions.
A deal with the US will benefit not just manufacturers like Boneham & Turner in my hon. Friend’s constituency but the other 30,000 small and medium-sized enterprises that also export goods to the US by removing tariffs, simplifying customs procedures and therefore making it easier to export. We already have £200 billion of bilateral trade with the US, and we continue to encourage those businesses that want to do more to come to the export support service, which the Under-Secretary of State for International Trade, my hon. Friend the Member for Finchley and Golders Green (Mike Freer), discussed earlier, to ensure they have all the tools they need to maximise their trade with the USA.
The emergence of the omicron variant surely underlines that, if we are to protect our citizens from covid, we need to help to accelerate vaccination programmes in developing countries. With Norway the latest country to agree that, in these exceptional circumstances, a temporary waiver on patent rules to help boost vaccine production is needed, why is the Secretary of State so intent on blocking any progress on such a deal?
We have been world leading throughout the pandemic in our negotiations with AstraZeneca on ensuring that vaccines are produced at cost. When I was Secretary of State for International Development, I made sure we invested in COVAX so that we led the way and brought other countries forward to ensure that as much vaccine as can be made gets to those who need it the most. Countries are continuing to work with the smallest and most vulnerable developing countries so they get the vaccines they need. We continue to have discussions on a waiver to the World Trade Organisation agreement on trade-related aspects of intellectual property rights, although those discussions were postponed this week due to the complexity of omicron and movement. We will pick up those discussions in the new year.
T2. Earlier this year, in partnership with Google, I arranged a digital course to train and upskill service sector businesses across Rother Valley. Will my right hon. Friend set out how our trade deals, including the recently announced New Zealand trade deal, support the service sector, 70% of which is based outside London and some of which is based in Rother Valley?
I thank my hon. Friend for what he is doing to improve digital skills in his constituency. In 2019, 40% of service exports to New Zealand were delivered digitally. Under the New Zealand deal, service exporters, particularly those in his constituency and region, will benefit from more opportunities to deliver services through digital trade. My right hon. Friend the Secretary of State, in her topical statement, referred to the Department’s focus on digital trade, which is vital for the future.
Deidre Brock (Edinburgh North and Leith) (SNP)
T3. National Farmers Union Scotland says the Australian trade deal is“a slow journey to the Australians getting unfettered access to UK markets and with no guarantees that the promises of other safeguards will address the fact that very different production systems are permitted in Australia”.When was the last time the Department involved officials from the Scottish Government and Scottish farming representatives in the negotiation of future free trade deals?
We engage with officials from the Scottish Government, the Welsh Government and the Northern Ireland Government all the time, and we look forward to continuing that.
T4. I was recently fortunate enough to visit the DP World London Gateway container port in my constituency to hear about its exciting plans—its commitment to the construction of a fourth berth, and its ambition to become the largest container port in the UK and to use the opportunities that freeport status brings. Will the Minister update the House on what the Department is doing to support freeports and promote UK exporters?
Freeports will be national hubs for trade and investment. They will regenerate communities, attract new businesses, and create jobs and opportunities across our country. As they move towards implementation, my Department is working closely with each freeport, including London Gateway, to help pull new investment in and to support exporters to seize the advantages that freeports will bring them.
T5. Last weekend, we saw the release of the Xinjiang papers, highlighting how human rights atrocities go right to the heart of the Chinese Government. As a result, I want to ask what steps is the Minister taking to review our trading relationship with China, because it cannot be business as usual?
China remains, of course, an important trading partner for Britain, but we have no plans to negotiate a trade deal with China. We will build trade only where it supports British businesses and jobs. We will seek to reduce barriers to accessing the Chinese market, but I can assure the hon. Lady that our approach to China will always be rooted in British values and British interests. We want a positive and constructive relationship with China, but I can assure her that we will not sacrifice our values in doing this.
T6. With the exponential growth in offshore wind, including off the East Anglian coast, where 50% of the UK’s wind farms are located, world-class knowledge and skills have developed and the UK is now a global leader. Will my right hon. Friend outline the steps that are taken in negotiating trade deals to both promote this expertise abroad and attract inward investment into the UK offshore wind sector?
I thank my hon. Friend for highlighting that trade in itself is a force for good in the world, as well as having environmental chapters in trade deals. One example of that is our free trade agreement with New Zealand, which will include the most comprehensive environmental list of goods with liberalised tariffs in a free trade agreement to date. He is right to point to the technology being developed in the UK, which can provide solutions for nations around the world, whether they are developed or developing nations, to meet net zero.
The Secretary of State has a long history of being a supporter of the creative industries and I know that, like me, she will be concerned about the possibility of Channel 4 being lost to Leeds if it is taken over by a global player and taken away—I hope she is concerned about that. We have the BBC in Salford and Channel 4 in Leeds, so does she agree that levelling up would be deeply damaged if we were to lose Channel 4 from Leeds?