John Redwood's Diary
Incisive and topical campaigns and commentary on today's issues and tomorrow's problems. Promoted by John Redwood 152 Grosvenor Road SW1V 3JL

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The UK government needs to uphold UK sovereignty and interests

A petulant EU has refused over many months to simply discuss a Free Trade Agreement which they agreed would be at the core of our future relationship. Now in a tantrum they propose to take us to their court to tell us they think we are wrong! Meanwhile, a rattled EU nonetheless rejigs the talks and is at last prepared to discuss a Free Trade Agreement.

The UK government should reply to their incoming letter with a short and courteous reply. It should say

Dear EU

Thank you for your letter. We have left the EU and do not accept the future jurisdiction of the European Court of Justice . We made clear in the legislation that put into effect the Withdrawal Agreement that we reserved the right to follow UK interests, with our clear sovereignty clause in the legislation. We will use this power which expressly overrides the Agreement to guarantee the UK interests set out in the Withdrawal documents should you not negotiate a simple Free Trade Agreement in good faith as you promised.

We will not of course participate in ECJ proceedings , which would be a silly political stunt. We note that you are now willing to negotiate, and trust you will respond favourably to the draft Free Trade Agreement we submitted for your approval or modification some time ago. The EU’s interpretation of the Withdrawal Agreement is not international law, it is an unhelpful negotiating ploy.

Yours etc

We need an exit plan from CV 19 restrictions

In the world of the government advisers the UK has to carry on with major restrictions on our freedoms to contain and reduce the incidence of the virus. They want us to do this until a vaccine is available that works well and is accepted by the bulk of the population.

They do have to tell us that of course the present vaccines in trials may turn out not to be effective, or may show side effects that are unacceptable. There may be long delays in developing a successful vaccine. Even when one is available it will take time to produce enough of it and vaccinate enough people with it to allow removal of the controls.

That is why I have been urging Ministers to have a Plan B, a plan for relaxing controls when there is no generally available effective vaccine. Some scientists think Sweden shows that the virus stabilises or wanes after a period of time, as more people have immune systems capable of warding it off without vaccine intervention. Others have a number of proposals to improve treatments, help containment and protect the vulnerable better, so more people can resume a normal life.

We now seem to know the most vulnerable groups are the elderly and those with other conditions like diabetes and obesity. It is possible to devise ways to offer all those most at risk better safeguarding whilst allowing the rest of the population to behave more normally. All those who wish to shield themselves should have access to support to make this possible for them.

Many of the deaths we experienced in the spring came in Care Homes. There could be stronger rules preventing the return of patients from hospital with CV 19, tests for new residents and regular tests for Care Home staff. It would be best if people can keep in touch with their families through on line systems and the phone. Of course people will also want some face to face meetings. These can be organised in gardens, with suitable ways of keeping warm on colder days, or in large meeting rooms with a good circulation of air designed to avoid contamination.

It is important to ensure good infection control in hospitals, preferably by having designated CV 19 hospitals with other hospitals virus free. I await progress reports on a range of possible treatments that some doctors claim can make a difference.

We need a message of hope. There does have to be plan to get us out of lock down whilst avoiding deaths and helping people take sensible precautions to control the disease. We must not allow a large number of good businesses to be written off because they are not allowed to trade at all or under such constraints that they are not commercial.
I am trying to persuade Ministers they need a new plan to restore our liberties.

My speech yesterday on the United Kingdom Internal Market Bill

Sir John Redwood (Wokingham) (Con): I support the Government’s amendments to the legislation for the reasons outlined admirably by the Minister—it did need a little strengthening and this is a welcome clarification—but I rise mainly to oppose new clause 1.

I am disappointed with the official Opposition, because I was delighted after the clear decision of the people in the last general election that the Opposition said that they now fully accepted the result of the referendum, although it took place years ago—the previous Parliament blocked its timely implementation. We had a rerun in the general election and the Opposition fully accepted the verdict of that general election, yet here we are again today, with new clause 1 deliberately trying to undermine the British Government’s sensible negotiating position in the European Union.

Whenever there is a disagreement in interpretation of that original withdrawal agreement between the United Kingdom and the European Union, the Opposition and most of the other opposition parties rush to accept the EU’s—very political—interpretation of the situation and rush to say that anything the UK Government wish to assert in this Parliament, or in a court of law if it came to that, is clearly illegal.

It is preposterous that we have so many MPs who so dislike the people of this country that they are still trying to thwart the very clear wish to have a Brexit that makes sense.

Karin Smyth (Bristol South) (Lab): Will the right hon. Gentleman give way?

Sir John Redwood: I must not take up too much time. I wish to develop my argument quickly.

We have to recognise what we are dealing with here. The EU withdrawal agreement was pretty unsatisfactory and one-sided because the previous Parliament stopped the Government putting a strong British case and getting the support of this Parliament in the way the British people wanted. The Prime Minister wisely went to Europe and did his best to amend the withdrawal agreement but it was quite clear from the agreed text that a lot was outstanding and rested to be resolved in the negotiations to be designed around the future relationship, because we used to say that nothing is agreed until everything is agreed and that the withdrawal terms had to run alongside the future relationship.

The EU won that one thanks to the dreadful last Parliament undermining our position all the time. This Prime Minister is trying to remedy that and the only ​reason I was able to vote for the European Union (Withdrawal) Act 2018—much of it was an agreement that I knew had lots of problems with it—was that we put in clause 38, a clear assertion of British sovereignty against the possibility that the EU did not mean what it said in its promises to my right hon. Friend the Prime Minister and did not offer that free trade agreement, which was going to be at the core of the new relationship. We therefore needed that protection, so I am pleased that the Government put it in.

That made me able to vote for the measure to progress it to the next stage, but I was always clear that the EU then needed to get rid of all its posturing and accept what it had said and signed up to—that the core of our new relationship was going to be a free trade agreement. We were going to be a third country, we were not going to be under its laws and we were not going to be in its single market and customs union, but it has systematically blocked that free trade agreement. The UK has tabled a perfectly good one based on the agreements the EU has offered to other countries that it did not have such a close relationship with, but it has not been prepared to accept it. Well, why does it not table its own? Why does it not show us what it meant when it signed up to having a free trade agreement at the core of our relationship? If it will not, we will leave without a deal and that will be a perfectly good result for the British people, as I said before the referendum and have always said subsequently.

Of course, it would be better if we could resolve those matters through that free trade agreement. As colleagues will know, many of the problems with the Northern Ireland protocol fall away if we have that free trade agreement, and we are only in this position because the EU is blocking it.

Why is the EU blocking the agreement? It says that it wants to grab our fish. I have news for it: they are not on offer. They are going to be returned to the British people, I trust. I am always being told by Ministers that they are strong on that. The EU wishes to control our law making and decide what state aid is in the United Kingdom. No, it will not. We voted to decide that within the framework of the World Trade Organisation and the international rules that govern state aid—rules, incidentally, that the EU regularly breaks. It has often been found guilty of breaking international state aid rules and has been fined quite substantially as a result.

I support the Government’s amendments, and I support this piece of legislation. We need every bit of pressure we can to try to get the free trade agreement and the third-country relationship with the EU that we were promised by it and by the Government in the general election. We can then take the massive opportunities of Brexit. It is crucial that new clause 1 is not agreed to, because it would send a clear message to the European Union that this Parliament still wants to give in.

No deal is better than being a colony of the EU

Yesterday I made the case again for no more U.K. concessions to the EU in the debate on the Internal Market Bill. I will post the speech later this morning.

The Withdrawal Agreement was based around the promise of a future relationship which had its core a Free trade agreement where the EU would respect the UK’s sovereignty. There is no good faith by the EU over this. It’s time to leave and to be independent.

My speech during the debate on Covid-19, 28 September 2020

Sir John Redwood (Wokingham) (Con): The Government rightly want to get the virus down and limit deaths, but they also need to promote livelihoods and economic recovery, and it is proving difficult to get that balance right. I do not accept the criticisms that say, “Well, the Government change their mind.” Of course the Government change their mind, because the virus waxes and wanes and the situation changes on the ground. They have to study the data and do the best they can.

What I would like to hear from Ministers is more in various directions where I think they could improve the position more quickly. The first is the issue of treatments. There has been some excellent work done in the United Kingdom, and it is great that a steroid has now been discovered that can make a decent improvement for various patients. That is great news and I welcome it, but what about the tests and trials we were promised when I raised this, many months ago now, of other antivirals, other steroids, antimalarials and clot-busting drugs? All those may have possible efficacy and they have their scientific and medical support around the world. We have great science here, so can we hear the results, please, Minister? Where have we got to? Are any of those going to work? The more and better treatments we can get and the more we can understand the different strands and features of this disease in different patients, the better it will be for keeping people safe.

We have learned that the Government now agree with me and others that they need to do a better job on isolation hospitals and on segregating patients who have this very contagious disease from all the other people who need to use our health service. I am pleased about that, but can we have some more details? Why cannot we simply use the Nightingale hospitals for covid-19—let us hope we do not need anything like that number of beds for this second wave—and keep all the other hospitals for non-covid? Or, if they are going to have shared facilities, certainly in urban areas where there is more than one hospital, can we have covid-19 hospitals and other hospitals that are open for other conditions? We do not want to see all the death rates for other things shooting up because people feel they cannot get access to their hospital or they are worried about going to their hospital because of covid-19.​

We then have the issue of the damage this is doing to the economy. I understand the strategy, but it seems that the damage is going to fall unduly heavily on hospitality, leisure, travel and tourism, the areas where we need more social contact and where that is thought to encourage the transmission of the disease. As someone who does not normally recommend subsidies, I do think that when people are banned from going to work, running their business or doing their job, they deserve some public support. They are doing that in the public interest, because their Government have told them that their activity is particularly damaging to the public good. If that is true, surely we the taxpayers have to pay for that.

I assume that the Government think we will come out of this sometime, and we want to go back to a world where there are theatres, cinemas, entertainments, good restaurants and all the other things that make life worth while and give pleasure to families. We do not want to live in a world where they are gradually all closed because there is no support and they are not allowed to function at all. We need more intelligence to work alongside those sectors, to see how they can get ways of working and living alongside this virus all the time it is out there and causing us trouble.

There have already been hon. Members today requesting exit strategies, and I quite understand why it is very difficult for the Government to give us one, because they are all sorts of unknowns that I do not know any more than they or their advisers do. We understand that their preferred exit strategy is the discovery of a vaccine and the roll-out of massive quantities of that vaccine for sometime early next year, so that we can then come out of lockdown.

That would be great, but we cannot bank on that. There are ifs and buts in that and it may not happen, so there needs to be a strategy for a situation where we do not have a magic vaccine. That is why we need more work on safeguarding people who are most at risk and more work on how we can get other people back to work, to save those livelihoods and those businesses and to wean them gradually off subsidy, which they are going to need all the time they are banned from doing their job and keeping things ready for us when times improve.

Above all, the nation needs some hope. It needs a vision of a better future. It needs to believe that, in a few months’ time, something good will happen. It certainly does not need the threat of cancellation of Christmas or the threat that thousands of students will be locked away in rather small accommodation in their universities because there is a fear that they might spread the virus more widely.

Coronavirus powers and the Brady amendment

Tomorrow I will vote for the Brady amendment which requires the government to provide time for a debate and a vote on further extensions and changes to Coronavirus powers.

I expect the Speaker to allow this debate and vote, though the government does not think it should happen. I trust the government will meet Sir Graham Brady and agree to accept the terms of the proposal, to avoid the defeat which is otherwise likely on this matter.

I will also post today my speech yesterday in the CV 19 debate.

Commons bars observe the curfew

I received the following official communication today, contrary to some contributors here.

Sale of alcohol on the parliamentary estate

Alcohol will not be sold after 10pm anywhere on the parliamentary estate. In line with the Government’s industry guidance, catering facilities will remain open later (but no selling of alcohol) when the House is sitting, to serve food for those still working and to support social distancing.

This decision was taken by the Speaker last Thursday. Today [28 September] is the first day since that the House is expected to sit beyond 10pm.”

No to negative interest rates

I welcomed the arrival of the new Governor this Spring. He immediately responded rapidly and decisively to the pandemic induced collapse of demand and activity with a strong programme designed to generate fast money growth as an offset to the large contractionary forces brought on by lock down. Like the Fed but on a smaller relative and absolute scale, the Bank created money and bought up government bonds, lowering the interest rates in the process.

Money growth accelerated rapidly, hitting 13% on the wider M4 measure. This was a welcome contrast with the previous Governor’s era when for the later years the Bank was busy slowing money growth well below a safe speed, which was duly reflected in and contributed to lower overall GDP growth. In the last couple of months it appears that the Bank has throttled back its money programme, which will become a problem as we face more regional and local lockdowns.

Maybe the Bank was unduly impressed by Chief Economist Mr Haldane’s confident and positive forecast of a sharp V shaped recovery. My readers will know I never thought that likely. It must now be clear to Mr Haldane that this is not going to happen. All the time large sectors like hospitality, leisure, shop retail, travel , property and others are impaired and damaged by the Covid measures, there can be no early return to total output and incomes at February levels. The fear must be that recent news of the virus will depress confidence again and lead to substantial job losses as exposed businesses recognise there is no early return to full capacity working for them.

I read that the Bank is reconsidering using negative interest rates. The Governor wisely expressed scepticism about such a course in his earlier interviews. There is no evidence to suppose that the official rate of interest at 0.1% is too high or causing a problem. Taking it mildly negative will not provide a significant boost, nor will it allow businesses scarred by the pandemic measures to borrow more cheaply, as commercial banks will want a big margin to take care of loan losses from future bankruptcies and capital write offs. Countries that have gone negative have not shown any striking gains to output as a result. Despite its large issue programme the UK government can currently borrow very cheaply. That can continue and will be assisted by the Bank’s bond buying programme.

The Bank has the tools it needs to support the economy in these worrying times. The main issue for the MPC to settle is the pace and scale of money creation and bond buying. Having started so well as the crisis struck, they need to look to that again now we have another knock to many businesses and sectors from the further measures being taken on health grounds.

Mind the gap

One of the dangers of a political world that expects absolute loyalty to fixed views of the world and roundly condemns dissenting or sceptical voices is it creates a bigger and bigger gap between what people say they believe and what they imply they believe by what they actually do. This can be particularly true of the many politicians and senior officials who lecture us on climate change and the virus.

Today we see this in the long term issue of green transformation, and in the shorter term issue of how we should respond to the virus. Polls show a high degree of agreement with the Green movement propositions that climate change is real and a serious threat to our lives and livelihoods. There is also agreement with governments pursuing policies to lower carbon dioxide output. People do not want to be seen to disagree with the establishment consensus.

This makes it curious that most people are not rushing out to buy an electric car or to trade in their diesel for a bicycle. There are no queues to replace the gas or oil boiler in the home with an electric system based on renewable power or heat pumps. Those who do take up cycling – and many do – are usually doing so as a leisure or keep fit activity, not as a way of getting children to school, going to work or picking up food from the shops. Prior to the virus many MPs and others were happy both to tell pollsters something more needed to be done about climate change, whilst continuing to book their foreign holiday jet flights, renew their internal combustion engine vehicle, continue with a meat and dairy based diet and buy products that had been shipped half way round the world to get to them.

I remember the ultimate irony when I went to a pre CV 19 meeting in London to hear the case for more electric cars. I asked the leading advocate about his own car buying habits. Without any sense of shame he told me he had not got around to buying an electric vehicle and had no plans to.

All this suggests that people do not think the threat of climate change is so great that they need to make much if any change in their own behaviours.

The polls on CV 19 show that 71% of the UK public are concerned or very concerned about CV 19 for themselves, and 87% are similarly concerned about CV 19’s impact on the country as a whole. There has been majority support for lock downs, quarantines and early closing of hospitality venues.

Yet the recently released Kings College London study of public responses to the measures from March to August shows that only 18% of those suspecting they have the virus did actually self isolate, and only 11% of those contacted by Test and Trace to alert them to recent exposure to the virus stayed at home as requested. The study concludes that many people just find the need to stay at home with no ability to go to work, go to the shops or see friends and relatives too difficult. It may not be affordable, it may prevent looking after the people they care for, or it may be too stressful. Clearly whilst acknowledging CV 19 is a threat they do not think their own chances of getting the serious form of the disease are high enough to require them to comply with the isolation guidance.

Tackling the virus

Many want there to be an easy answer to quelling the virus. The medics and scientists search for a vaccine but have to warn it could take a long time or even prove a fruitless quest. Some seek better treatments to lessen the death rate from severe cases of the disease. These are the only two solutions to defeating the pandemic.

Others hold to the view that there is some special way that will eliminate the virus as it circulates in any particular country. Many countries are suffering intense debates about whether their governments have done well or badly in controlling the virus whilst limiting the damage virus control methods do to economies and jobs. The bitter truth is looking around the world most governments have adopted central World Health Organisation tenets that increasing amounts of social and economic activity have to be closed down to squeeze down the prevalence of the virus. Only then can gradual relaxations test out how far they can go in restoring a bit more normal life before virus disaster strikes again. Practically all governments that have adopted versions of this approach have ended up with a second wave and the need to renew the abrasive medicine of full or partial lock down.

In the early days of the crisis the cry went out that a massive expansion of ventilators would see us through. This was tried, only to discover the death rate remained high.

A more sustained case has been made out that Test, track and trace will do the job. The theory is if you test enough people, especially those who might be carrying it or have symptoms, and then isolate enough of such people and their contacts quickly enough, you will cut the circulation of the virus. We now see quite a few countries with large test and trace systems have second waves to deal with.

There are five central weaknesses to test and trace. The first is the delay in getting a test whilst people are asymptomatic or unaware that they have the disease. The second is the number of false results from tests which disrupts the data. The third is the refusal of some people to self isolate for a fortnight to make sure the virus has passed them, as people have demands on their lives which makes fourteen days locked in at home difficult. The fourth is the unwillingness of many to self isolate just because they are told they have been in contact with someone with the disease. The fifth is the impossibility of knowing many of the people encountered by a busy person who has travelled or been to populous places.

The organisation of accountable government at national level for good reasons also means that if any country does have success in curtailing the virus it then needs to shut itself off from foreign visitors whilst the virus rages. This can also be difficult given the strong patterns of global business ,travel and trade. Given the lack of success so far by the World Health Organisation in producing ways to remove or tackle the virus there is no evidence world government would have cracked it to justify the lack of democratic accountability that would bring. The WHO of course does not have to balance curbing the virus with economic consequences in the way governments need to do.