7. Statement by the Counsel General and Brexit Minister: Brexit Update

Part of the debate – in the Senedd at 4:51 pm on 17 September 2019.

Alert me about debates like this

Photo of Jeremy Miles Jeremy Miles Labour 4:51, 17 September 2019

As the law officer for the Welsh Government, I take my duty to ensure the rule of law is followed very seriously. This is a fundamental principle that all citizens of the UK, and, indeed, citizens of any mature democracy, rely on every single day.

Dirprwy Lywydd, we've used strong language in this Chamber in recent weeks, but I make no excuse for calling out the UK Government Ministers when they fail to commit that they will obey the law. It is utterly scandalous that the people of the UK cannot rely on the Prime Minister to follow the law of the UK.

Last week, at the JMC(EN), I challenged Michael Gove on this and he assured me that the Government would obey the law. But, at the same time, he continued to talk as if the UK would definitely have left the EU by 31 October. And we must remember that the UK alone does not decide whether this is the case; each of the 27 other EU member states wields a veto on an extension. What is clear, then, is that the risks of the UK crashing out on 31 October remain and we need to press on at pace with our 'no deal' planning.

Yesterday, we published the Welsh Government’s 'no deal' action plan. This echoes the sobering analysis of the risks that we face that the forced publication of the UK Government’s Yellowhammer assumptions revealed to the general public. We, as a Government, have been saying for months that the sort of consequences mentioned in those documents are a very real risk of a 'no deal' Brexit and completely unthinkable, which is why we have called for it to be ruled out. We have been clear that where we have the ability to take action to mitigate against the implications of 'no deal' we have done so.

Over the next few weeks, ministerial colleagues will update the Chamber on the preparations outlined in the action plan. The Welsh Government will also bring together stakeholders from across Wales to discuss the implications of 'no deal' on Wales and what more, if anything, we can do to limit the damage that would be done.

But let me be clear: the majority of the mitigations needed for a 'no deal' are out of our direct control—they're not even in the control of the UK Government. In the recent UK Cabinet sub-committee meetings that I and other Welsh Government Ministers have attended, the dire consequences of a 'no deal' exit continue to be laid out. It is extraordinary that the UK Government could contemplate such damage to the UK as a matter of political choice.

The people of Wales should not be fooled that a 'no deal' Brexit will be the end of three years of uncertainty. Instead, it will start a new chapter of immense turbulence. The economy will suffer significant economic pain, with a crash in the value of the pound and wider instability in the financial markets. This pain will be felt by every citizen in Wales and the UK.

All the evidence shows that this economic pain will be long-lasting and permanent. The economy will be smaller than it would otherwise have been, which will hit the income of every family in the UK. Moreover, even in the so-called clean break, the UK will have to negotiate a new relationship with our closest economic partners, and a crash-out Brexit will only make these negotiations more difficult.

UK-EU relations at the point of exit look set to become even more deeply acrimonious, with an entrenchment of positions, very little likelihood of a future deal in the near term, and the UK Government focusing on blaming the European Union. Add to that the threat that the UK Government will not honour the financial commitments in a 'no deal' exit, and it is clear that, even before negotiations begin, the UK will need to build new bridges and repair damaged relationships.

The reality is that the UK will be in constant negotiations with the EU forever if we leave. For this new relationship to get off on such a bad note is deeply worrying and damaging to our international reputation. The Prime Minister has been given clear instructions by Parliament. The process for avoiding a 'no deal' is set out in legislation. The steps are there to take. Yet we hear from the Prime Minister that it is his policy for the UK to leave on 31 October even if a deal cannot be agreed. If the Prime Minister was to disobey the instruction by Parliament, then this would be a decision that must have grave constitutional and legal implications.

A 'no deal' exit will be catastrophic and should be unthinkable. We remain committed to the alternative path. There is a brighter future for Wales, and that is to choose to remain in and help shape a reformed European Union.