PARLIAMENTARY DEBATE
Retained EU Law (Revocation and Reform) Bill - 11 May 2023 (Commons/Commons Chamber)
Debate Detail
I have published a written ministerial statement to explain that yesterday we tabled an amendment to the Retained EU Law (Revocation and Reform) Bill that amends the operation of the sunset in clause 1. It is a technical change that introduces to the Bill a schedule of retained EU law that will be revoked on 31 December 2023. The schedule includes around 600 pieces of legislation provided by nearly all Departments, and spans a huge number policy areas. We tabled the amendment in response to concerns raised in this House, and it will provide the legal clarity and certainty that has been called for.
I reassure my hon. Friend the Chair of the European Scrutiny Committee that the 600 pieces of legislation in the schedule are not the limit of our ambition—neither the beginning nor the end—but over the past year, as Whitehall Departments have been working hard to identify retained EU law to preserve, reform or revoke, it has become clear that time constraints have led to the programme becoming more about preserving EU laws than prioritising meaningful reform. That is why we are proposing a new approach. Had I known the intense excitement that the House would feel about this issue, I would have come running to make sure that the technical details could be investigated by all and sundry.
As I have said, we are proposing a new approach, one that will ensure that Ministers and officials are enabled to focus more on reforming retained EU law and doing so faster. I am pleased to say that the Government have already reformed or revoked more than 1,000 pieces of REUL. In addition to the list of about 600 revocations in the schedule to the retained EU law Bill, about 500 further pieces of REUL will be repealed by the Financial Services and Markets Bill and the Procurement Bill, which means that we will have repealed not 600 but more than 2,000 pieces of REUL by the end of the year.
We are committed to lightening the regulatory burden on businesses and helping to spur economic growth, and our Edinburgh reforms of UK financial services include more than 30 regulatory reforms to unlock investment and boost growth in towns and cities across the UK. Our regulatory reform announcement yesterday set out a long-term plan to improve UK regulation over the coming months. As a down-payment on that commitment, we announced changes that will reduce disproportionate EU-derived reporting requirements and could save businesses about £1 billion a year. That is just the first in a series of announcements that the Government will be making on reforming regulations to drive growth, and in addition to the schedule the powers in the Bill will still enable us to revoke, replace and reform any outdated EU laws that remain on our statute book by 2026. This new approach will provide space for longer-term and more ambitious reforms. Members will no doubt be pleased to hear that it will also mean that fewer statutory instruments will be required to preserve EU laws that are deemed appropriate to be maintained.
I want to reassure my hon. Friend that we will still fully take back control of our laws and end the supremacy and the special status of retained EU law by the end of 2023. That will ensure that we are ending the shadow statute book and the inappropriate entrenchment of EU law concepts in domestic statute.
Since February, the Secretary of State has been asked three times, formally and personally, to appear before the European Scrutiny Committee. Why has she failed to do so? The amendments published today are not accompanied by any explanation to the House—apart from her very short written ministerial statement yesterday and her article in the press today—despite the utter reversal in vital respects of the Bill as passed by this elected House. Why not? The amendments have not been subjected to any analysis or questioning by this House, which is now essential given the fundamental change in Government policy. The House is being treated in a manner that is plainly inconsistent with clear promises already made.
Will my right hon. Friend specifically seek and make arrangements for the immediate deferral of the Bill’s Report stage in the unelected House of Lords, which is due to take place on the 15th and 17th of this month, so that she can come to the European Scrutiny Committee next week and answer our questions—as provided for by Standing Orders—and produce a Command Paper before that Report stage to explain the reasons for these fundamental questions of constitutional importance, which affect all our constituents, all our voters, and the coherence of our statute book and our legal system?
My hon. Friend and I have had many private conversations in which we have discussed retained EU law. He wrote to me about attending the European Scrutiny Committee, and I replied that until the policy was settled I could not attend the Committee but instead could have engagement with colleagues, which is what I have done. I should, of course, be delighted to attend the European Scrutiny Committee. I attend numerous Select Committees in my role not just as Secretary of State for Business and Trade but as Minister for Women and Equalities, and I should be very happy to speak to the Committee, but—no doubt you will sympathise with this, Mr Speaker— there is no point having to talk about policy on the Floor of the House before we know exactly what is settled.
My hon. Friend claims that this is a change of policy, but it is a change of approach. The policy is still the same: we are ending EU supremacy, and we are ending interpretive effects. What we are changing is the way in which we are doing that. We could have ended up with a programme of 450 statutory instruments to preserve EU law. What I have done is respond to businesses in particular, but also to the parliamentarians—including many of those who are chuntering on the Opposition Benches—who have raised concerns with me about how we can have clarity and some transparency. I have shown exactly what we are doing. I have listed all the laws that we are removing. There is a key point to make here. We left the European Union not just to delete EU law from the statute book, but to make our economy better. To do that, we have to reform the laws. If we delete the laws from the statute book, we will be starting from scratch in bringing in the reforming primary legislation. This is a better approach. It was my suggestion to the Prime Minister. I am very pleased that he accepted it. I am very proud to be standing at the Dispatch Box showing that those of us who are Brexiteers can be pragmatic and do what is right for the British people. That is why I am very pleased to be explaining this change on the Floor of the House today.
It has to be asked: why did not the Government listen to those experts in the first place? It was completely unrealistic, reckless and frankly arrogant to think that they could strike 4,000 laws from the statute book in the timescale set out in the Bill. It is no use blaming the blob, the anti-growth coalition or the BBC. This humiliating U-turn is completely down to Government hubris that has found them crashing up against reality, so will the Secretary of State apologise to the entire House, and to all the trade unions and business, legal and environmental groups that were told by the Government that they were wrong?
Will the Secretary of State also apologise for announcing this policy change not to the House but to her friends—or should I say now her former friends—in the European Research Group and to the press? Can she tell us at what point the Government decided on this change of course and on what basis they have chosen the 600 regulations to be removed—or is it 2,000 now, because she mentioned that in her statement as well?
Although we welcome the humiliating climbdown that sees the cliff edge go, the Bill still gives enormous powers to Ministers and at last the cat is out of the bag about what they want to do with them. We are concerned that, although the mode of delivery has changed, the destination has remained the same. That is revealed in the “Smarter regulation to grow the economy” paper released yesterday, which contains a clear plan to water down TUPE and working time rights. We have warned time and again of the threat to workers’ rights in the Bill and in response the Minister said:
“The Government have no intention of abandoning our strong record on workers’ rights, having raised domestic standards over recent years to make them some of the highest in the world.”––[Official Report, Retained EU Law (Revocation and Reform) Public Bill Committee, 22 November 2022; c. 144.]
Well, we can strike that from the record, as we can strike the Secretary of State’s leadership hopes. How can a Government elected on a manifesto promise to
“build on existing employment law”
justify an approach that will water down workers’ protections? It just goes to show that you cannot trust the Tories with workers’ rights.
This is a very simple change in approach. We are having the exact same effect that we were always going to have. We are removing more than 2,000 pieces of EU legislation. It is delightful to see those on the Labour Front Bench and the ERG on the same side for once, as they claim to be. If I am upsetting people on both sides, I am probably taking the pragmatic middle ground and I am pleased to be doing so.
There is so much opportunity we can take on EU law reform and that is what this programme is about.
I share the anger that we have heard from Conservative Members. I respect their principle, even though I disagree with it. I do not like what the Bill is trying to do. I voted to remain, I enthusiastically committed to Scotland’s path back into the European Union and I want to see the UK have a close relationship with the EU, but I accept the majority view of this House. The Prime Minister made this commitment and he has questions to answer, because to describe this as a change of direction and a minor technical thing is to miss the point. This is a gross betrayal of the promises made to secure his election, and it is a key part of his personal manifesto. I do not think that betrayal should pass without consequence.
I am glad to see the end of sunsetting, which is a pragmatic change about which I should be glad, but I still do not like the Bill. It can still overrule the Holyrood Parliament on retained EU law, which is democratically offensive. We should also consider the costs of this exercise. What assessment have the Government made of the direct cost to the taxpayer of the work done thus far and now abandoned? I will be tabling parliamentary questions on this, but what wider assessment has been made of the costs to organisations such as the National Farmers Union of Scotland and others in dealing with this uncertainty?
I have checked Hansard, and the Bill passed Second Reading in the Commons on 25 October 2022 with a Government majority of 56, and with not a single Tory MP voting against it.
On 18 January 2023, the Bill passed Third Reading with a Government majority of 59, and again not a single Tory MP voted against it. The Bill unified the Conservative parliamentary party on an admittedly controversial issue. It left this House without a single Tory MP opposing it. Why, after it has gone to the House of Lords, have the Government performed a massive climbdown on their own Bill, despite having such strong support from their own Back Benchers? Secretary of State, what on earth are you playing at?
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