With permission, I will update the House on the three recent trade deals that we have struck in the national interest.
First, however, I would like to say something about the horrific situation in Gaza, where the level of suffering, with innocent children being bombed again, is utterly intolerable. Over the weekend we co-ordinated a response with our allies, as set out in my statement with President Macron and Prime Minister Carney last night. I want to put on record today that we are horrified by the escalation from Israel. We repeat our demand for a ceasefire, as the only way to free the hostages; we repeat our opposition to settlements in the west bank; and we repeat our demand to massively scale up humanitarian assistance to Gaza. The recent announcement that Israel will allow a “basic quantity of food” into Gaza is totally and utterly inadequate, so we must co-ordinate our response, because this war has gone on for far too long. We cannot allow the people of Gaza to starve, and the Foreign Secretary will come to the House shortly to set out our response in detail.
Let me turn now to the three deals that this Government have struck. The principles we took into the negotiations are clear and simple. Does it drive down bills? Does it drive up jobs? Does it strengthen our borders? In each case, the answer is a resoundingly yes. These deals release us from the tired arguments of the past and, as an independent sovereign nation, allow us to seize the opportunities of the future—a clear message, sent across the globe, that Britain is back on the world stage.
We have a trade deal with the world’s fastest growing economy, India, cutting tariffs for British industries, which is a huge boost for our whisky and gin distilleries—their only concern now is whether they can produce enough to sell—and for our car manufacturers, with tariffs slashed from over 100% to just 10%, and no concessions on visas. We have a trade deal with the world’s richest economy, the United States, slashing tariffs, saving thousands upon thousands of jobs in car manufacturing in places like Jaguar Land Rover, protecting our steel and aluminium exports, and safeguarding the interests of our hugely important pharmaceutical sector.
But I can already see that, when it comes to this hat-trick of deals, it is our new partnership with the EU that the Opposition most want to talk about—and given their abject failure to strike a deal with India or the US, I cannot say I blame them—so let me spell out the benefits of this deal, which gives our country an unprecedented level of access to the EU market: the best access of any nation outside the EU or European Free Trade Association.
I will start with our security. When Russian tanks rolled into Ukraine over three years ago, a gauntlet was thrown down, and it is our responsibility to step up. That is what this world demands, and it is what this partnership delivers, strengthening our national security through a new security and defence partnership that paves the way for British defence firms to access the EU’s €150 billion defence fund. That will support British jobs, British wages and British livelihoods.
The partnership also increases co-operation on emissions trading, saving UK businesses from having to pay up to £800 million in EU carbon taxes—once again, backing British businesses. The deal will drive down bills with increased co-operation on energy, because the agreement negotiated by the Conservative party left us with a more expensive way of working with our neighbours—a needless rupture, despite our grids being connected by undersea cables. This partnership brings those systems together again, benefiting British bill payers and boosting clean British power in the North sea.
This partnership also strengthens our borders, because again, the previous deal left a huge gap and weakened our ability to work together to tackle illegal migration—the ultimate cross-border challenge. It closes that gap, including joint work on returns, preventing channel crossings and working upstream in key source and transit countries, co-operating along the whole migration route to strengthen our hand in the fight against the vile smuggling gangs. It boosts our co-operation on law enforcement, combating terrorism and serious organised crime with closer operational work with agencies like Europol and better sharing of intelligence and data, including, for the first time, facial imaging.
This partnership helps British holidaymakers, who will be able to use e-gates when they travel to Europe, ending those huge queues at passport control. It delivers for our young people, because we are now on a path towards a controlled youth experience scheme, with firm caps on numbers and visa controls—a relationship we have with so many countries around the world, some of which were even set up by the Conservative party. We should be proud to give our young people that opportunity. And, not for the first time, this Government have delivered for Britain’s steel industry, protecting our steel exports from new EU tariffs and backing our steel sector to the hilt.
Last but certainly not least, we have a new sanitary and phytosanitary deal, as promised in our manifesto, which will cut the price of a weekly shop, meaning that there will be more money in the pockets of working people, less red tape for our exporters, no more lorry drivers sitting for 16 hours at the border with rotting food in the back, and no more needless checks—the inevitable consequence of the Conservatives’ policies, which made it so much harder to trade even within our own market, between Great Britain and Northern Ireland.
The deal means that British goods that have long been off the menu in Europe can regain their true place, including shellfish, which are hugely important for Cornwall, Devon and Scotland. Not only does our deal on fish provide stability, with no increase in the amount that EU vessels can catch in British waters, but the new SPS agreement slashes costs and red tape for our exports to the European market. We sell 70% of our seafood to that market, so there is a huge opportunity that Britain’s fisheries, in which we have made a £360 million investment, will now look to exploit.
The reaction to this deal from business has been absolutely clear. Mr Speaker, I know you are a stickler for keeping to time, so I do not have time to run through the list of supportive quotes from businesses. [Hon. Members: “Go on!”]