Leaving the EU: Effect on Wales

Oral Answers to Questions — Wales – in the House of Commons at 12:00 am on 26 April 2017.

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Photo of Wendy Morton Wendy Morton Conservative, Aldridge-Brownhills

What assessment he has made of the implications for Wales’s trading opportunities of the UK’s decision to leave the EU.

Photo of Sheryll Murray Sheryll Murray Conservative, South East Cornwall

What assessment he has made of the implications for Wales’s trading opportunities of the UK’s decision to leave the EU.

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The UK, including Wales, remains the same outward-looking, globally minded country we have always been. International businesses, such as Aston Martin, choose to invest in Wales as a result of the great work done by the Department for International Trade and the Wales Office, working hand in glove with the Welsh Government. That shows that Wales continues to be a great investment destination.

Photo of Hywel Williams Hywel Williams Shadow PC Spokesperson (Work and Pensions), Shadow PC Spokesperson (Culture, Media and Sport), Shadow PC Spokesperson (Foreign and Commonwealth Office/Europe), Plaid Cymru Westminster Leader, Shadow PC Spokesperson (Defence), Shadow PC Spokesperson (International Development)

Welsh food and drink exports to the European Union will face eye-watering tariffs on leaving the single market. Will the Minister simply guarantee that, as part of a World Trade Organisation deal, the home market will not be flooded with cheap food imports such as Australian sheepmeat?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The hon. Gentleman is again guilty of peddling scare stories. The fact of the matter is that when it comes to lamb, for example, New Zealand currently does not even meet its quota to the European Union—only 70% of the New Zealand quota is currently maintained. He should have some confidence in Welsh agricultural produce, rather than talking down the prospects of the economy.

Photo of Hywel Williams Hywel Williams Shadow PC Spokesperson (Work and Pensions), Shadow PC Spokesperson (Culture, Media and Sport), Shadow PC Spokesperson (Foreign and Commonwealth Office/Europe), Plaid Cymru Westminster Leader, Shadow PC Spokesperson (Defence), Shadow PC Spokesperson (International Development)

I would have a great deal more confidence if the Minister answered the question. On Monday I visited one of the largest and most successful high-tech businesses in Wales, which told me that, post-Brexit, it is hoping against hope to be able to export to its European partners, as at present, without all the red tape and expense of being outside the customs union. Why are this hard-Brexit Government so determined to make life more difficult for our key exporters?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The hon. Gentleman again highlights the negativity that surrounds the issue, but it is a negativity that I do not recognise, that is not recognised by businesses in Wales and that is certainly not highlighted by the investment decisions made by businesses in Wales. Businesses in Wales are investing and are looking to a global future. We will secure the greatest possible access to European markets, although we are also looking to global trade deals that will ensure Wales is part of global growth as well as maintaining European markets.

Photo of Wendy Morton Wendy Morton Conservative, Aldridge-Brownhills

Wales has huge potential in terms of exporting and trading opportunities, and the Department for International Trade is an important tool for companies in Wales that are looking to expand overseas. How are the Minister and his Department ensuring that Wales is central to the work of the Department for International Trade?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The Department for International Trade is a crucial component of the way in which we support Welsh businesses, and the Wales Office is working closely with that Department. We had an export conference in Cardiff on 6 March, which was extremely well attended, and the opportunities available to Welsh businesses, both within the European Union and globally, were highlighted. That meeting was a huge success.

Photo of Sheryll Murray Sheryll Murray Conservative, South East Cornwall

My hon. Friend will agree that there is much common ground between Cornwall and Wales with the opportunities that Brexit presents for the export of high-quality goods and services across the globe. What advice can he share with businesses across my constituency as we begin the negotiations to leave the European Union?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

I thank my hon. Friend for the question. She correctly says that Wales and Cornwall have a lot in common, not least in terms of language. Businesses in Cornwall should do the same as those in Wales: engage with the Department for International Trade; look at the opportunities to go on trade missions; and identify new markets. Opportunities are there for businesses from Cornwall and Wales, and we need to exploit those.

Photo of Mark Tami Mark Tami Opposition Pairing Whip (Commons)

What guarantees can the Minister give companies such as Airbus, which rely on British employees moving and working across Europe, when we leave Europe?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The guarantee we can offer to any company that wants to work across Europe is that this Government will listen to them and act on their behalf. We have absolutely no interest in doing anything other than fully supporting companies such as Airbus, which is such a key component of the economy of north-east Wales.

Photo of Albert Owen Albert Owen Labour, Ynys Môn

To enhance trade across the whole of Wales we need to have proper infrastructure in our ports. Will the Minister congratulate the Welsh Government on putting in additional funds? Will he work with them to ensure that places such as Ynys Môn remain at the heart of the British Isles, because of both their close proximity to Ireland and their trade with the rest of Europe?

Photo of Guto Bebb Guto Bebb The Lord Commissioner of HM Treasury, The Parliamentary Under-Secretary of State for Wales

The hon. Gentleman is absolutely right in what he says, and I am pleased that the Secretary of State visited the port of Holyhead with him. He is also right to highlight the fact that Wales is in a fortunate position: we have two Governments that can work for the benefit of our economy. Co-operation between the UK Government and the Welsh Government for the development of ports such as Holyhead is crucial to the way forward after Brexit.