5. Statement by the Cabinet Secretary for Economy and Transport: The Recent Airbus Group Announcement

Part of the debate – in the Senedd at 4:15 pm on 26 June 2018.

Alert me about debates like this

Photo of Mark Isherwood Mark Isherwood Conservative 4:15, 26 June 2018

Diolch. Of course, I have visited Airbus very many times. I've known Katherine Bennett for many, many years and discussed this and other matters with her. I've even been to Toulouse and met senior management and employees there, some of whom were from Broughton and were working alongside their colleagues in Toulouse. 

After Friday's announcement by Airbus, I received an e-mail from an employee of Airbus who said that the news that no deal has been forthcoming to protect the thousands of highly skilled UK jobs at Airbus and their suppliers is rather worrying to say the least. Of course, the negotiations are ongoing, so I responded by saying that negotiations on the withdrawal agreement are ongoing, that the Prime Minister has made it clear that instead of a hard Brexit, she seeks a

'new, comprehensive, bold and ambitious free trade agreement',  and that she said that the agreement we reach with the EU must protect people's jobs and security. 

However, given the mixed messages and the concern that employees got the message that negotiations are over, no deal is being done and they could be up the swanny accordingly, what action will you take to help balance their understanding—yes, understand the risks, but also understand the broader scenario? For example, we know that last December the European Council agreed that sufficient progress had been made in phase 1 of the Brexit negotiations with the EU to allow talks to move on to phase 2.

In March, EU and UK negotiators reached a political deal on the terms of a Brexit transition period in a new draft withdrawal agreement, following which the director general of the British Chambers of Commerce said that this was a milestone that many businesses across the UK had been waiting for, and that the agreement of a status quo transition period is great news for trading firms on both sides of the channel, as it means that they face little or no change in day-to-day business in the short term. 

Will you join me in emphasising to those employees in Broughton that the UK Government last month agreed that it would be telling the EU it wished to extend Britain's membership of the customs union beyond the initial transition period, until such time as arrangements for whatever customs agreement is reached can be implemented in accordance with that agreement, and to tell them that on 19 June, last week, a joint statement from negotiators of the European Union and the UK Government on progress of negotiations under article 50 said, 

'The statement details the articles of the draft Agreement where agreement has now been reached at negotiators' level, as well as those areas where further progress has been made'?

And there's a long list of areas already agreed. They concluded:

'note that the progress recorded in this statement will contribute to the finalisation of the Withdrawal Agreement' and

'The negotiators commit to making progress as quickly as possible on all aspects necessary to reach such an agreement.'  

Is it not, therefore, vital that we balance this by ensuring the workforce know that these negotiations are ongoing, know that transition has been agreed, know the UK Government acknowledges, now unanimously, the need to extend transition into extension of the customs union, for the reasons that I describe, and know that only yesterday, Greg Clark, who you referred to, the UK business and industry Secretary, told a hearing in the UK Parliament that an agreement that ensures that avoidable threats of frictions and tariffs do not take place is absolutely within our grasp, and it is what all parliamentary parties should back during the months ahead?