The Law Derived from the European Union (Wales) Bill was passed by the Assembly on 21 March. We have been clear, prior to introduction of the Bill, during its passage and subsequently, that the Bill is a fall-back option. Our preference has been throughout, and it continues to be, an amended European Union (Withdrawal) Bill that respects devolution. We made it clear that, even following the introduction, and, indeed, the passage, of the Bill, this remains our primary focus. Colleagues within the Welsh Government have been tireless in their efforts, which continue, to reach an agreement with the UK and Scottish Governments on amendments that would make the UK Bill acceptable to us. Such an agreement would enable us to recommend to the Assembly that it gives its consent to the EU withdrawal Bill, which would remove the need for our own legislation.

However, in the absence of an agreement, we felt it necessary to make responsible arrangements for the possibility that the consent of the Assembly to the EU withdrawal Bill would not be given. This approach was overwhelmingly supported by this Assembly when it passed the Law Derived from the European Union (Wales) Bill with a large majority.

However, clearly, passing a Bill is not the end of the process. As Assembly Members will be well aware, after Stage 4 of every Assembly Bill, a period of intimation immediately follows. During this period, the Attorney General and the Counsel General have the power to refer to the Supreme Court for decision the question of whether a Bill, or any provision of a Bill, is within the Assembly’s legislative competence. The Attorney General has decided to exercise this power in relation to this Bill and, yesterday, he referred it to the Supreme Court. The Attorney General and the Advocate General for Scotland similarly referred the Scottish continuity Bill to the Supreme Court.

Regrettable though it is, I don't think that we should over-dramatise the development. We brought forward our own legislation to avoid finding ourselves in a situation where no agreement on amendments had been reached and we no longer had a continuity Bill alternative as an option. In the same way, the UK Government has made the reference at the very end of the intimation period, because agreement on the contents of the EU withdrawal Bill has not yet been reached and because, if they had not done so now, they would lose the right to make a reference.

Negotiations continue, and both we and the UK Government remain committed to securing an agreement. This is therefore a protective measure on the part of the Attorney General. Indeed, I note that, in his press release, he stresses that:

'The Government very much hopes this issue will be resolved without the need to continue with this litigation.' 

The Attorney General has referred the entirety of the Bill to the Supreme Court for determination, rather than limiting the reference to particular sections. He has cited a number of grounds in the reference, which include that the Bill does not relate to the subjects listed in Schedule 7 to the Government of Wales Act, incompatibility with EU law, impermissible imposition of functions on Ministers of the Crown, impermissible modifications of the Government of Wales Act, and impermissible modifications of the European Communities Act 1972.

I'm sure that Members will appreciate that we have had limited time to consider these arguments, though we remain clear in our view that the Bill passed by the Assembly is within its legislative competence. We will continue to consider the reference and the more detailed arguments that the Attorney General will be required to provide in due course in support of his reference as part of the proceedings, but I can reassure Members that we will, if necessary, defend the reference in full. In particular, we are taking steps to seek an expedited hearing and we will keep the Assembly updated of any developments in this regard.

As I've already stressed, we continue to work towards an agreement on the EU withdrawal Bill. In the event of such an agreement, appropriate amendments will need to be made to the EU withdrawal Bill. The final Bill will then require consideration by the Assembly as part of the legislative consent motion process. If the Assembly does ultimately approve an LCM in relation to the EU withdrawal Bill, the Law Derived from the European Union (Wales) Bill will no longer be necessary, and we then will take steps to repeal the Bill. At that point, we would expect the reference to be withdrawn.