Jonathan Reynolds MP: speeches

Speeches

• 1 May 2025 · Trade: US Tariffs · Hansard source

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  As we have heard, the US is our largest single country trading partner, with total trade worth £315 billion in 2024, representing 18% of total UK trade. More than a million Americans work for UK-owned businesses and vice versa. We have regular and ongoing constructive negotiations with our US counterparts, including some this week, on securing a wider economic deal to benefit UK businesses and our economy. In those talks, we continually push the case for free and open trade. Nobody wants to see a trade war, so our focus is on keeping calm and continuing to negotiate in the interest of UK businesses and consumers.

• 1 May 2025 · Trade: US Tariffs · Hansard source

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  First, let me assuage the hon. Gentleman’s concerns: that is a misreading of how the US is approaching these negotiations. The US has perhaps more complex issues with some countries that will take more bandwidth on its side. As I have always said, the existing relationship between the UK and the US is incredibly strong, reciprocal and mutually beneficial. I see far fewer issues to negotiate to get to that outcome. Again, I would push back on anyone attempting to put the case that the decisions we make must be based on either the EU, the US or any other partner being our principal partner. The role for the UK is to position ourselves in this challenging world with a genuine strategic advantage because we do things that improve our trading relationship with the EU; we secure this US deal; and we secure the deals with India, the Gulf and other key markets. I am pragmatic about where the UK’s national interest lies and am absolutely confident that it is possible and desirable.

• 1 May 2025 · Topical Questions · Hansard source

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  The shadow Secretary of State points to the statement in which I said that in the previous budget there was a £2.5 billion allocation for the green steel fund. Of course, that came in addition to the £500 million for the Port Talbot transformation, which was agreed under the previous Government but was not in the Departmental accounts—as he knows, it was in a heavily oversubscribed Treasury reserve. Yes, the green steel fund will be there to support what we have had to do at Scunthorpe. Again, as I said when Parliament was recalled, the question there was whether we would pay a significant amount of money for the total loss of the business; give a large amount of money to Jingye, but without the certainty that it would be able to deliver on that plan; or step in and take the action that we did, which I am confident was the right option for value for money and for Scunthorpe.

• 1 May 2025 · Topical Questions · Hansard source

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  When we took office, years of Conservative neglect had left our steel industry on the brink, but while others were willing to let the heart of British industry go cold, we were not. I welcome the recent conversion of Opposition colleagues to an active industrial policy, but make no mistake: while others may talk tough, only Labour can be trusted to act in the interests of British workers. When the future of British Steel was on the line, we took immediate action. I can report to the House that thanks to our intervention we have secured the raw materials to keep Scunthorpe’s blast furnaces lit, and British Steel has cancelled the redundancy consultation, which put 2,700 jobs at risk. It was an honour to visit Scunthorpe and Immingham port recently to meet British Steel workers, and I am enormously grateful to them for their resilience, determination and hard work during a turbulent time. There is still much to be done to protect and rebuild our steel industry as a whole after a decade of failure, and that is why we are committed to a £2.5 billion clean steel fund and to work with industry on our steel strategy. We have always said that steel has a bright future in this country, and our actions over the past month have shown that we meant it.

• 1 May 2025 · Topical Questions · Hansard source

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  We should always be careful about what we read in some newspapers. [ Laughter. ] The hon. Gentleman knows that we cannot give a running commentary on trade negotiations, but the UK-India talks have been fruitful this week. I am optimistic and excited for the future of what is a key relationship bilaterally and for the signal it can send to the rest of the world.

• 1 May 2025 · Topical Questions · Hansard source

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  I welcome the progress being made in the hon. Gentleman’s constituency—I thought he was about to invite me there, which is often the case at topical questions, but I sadly did not manage to secure an invitation. I have been absolutely clear: I genuinely wish the inheritance of this Government was a better one in economic terms than the one we received. I genuinely wish the Conservative Government had not left that black hole and that we had not had to make difficult decisions, but life is sometimes about difficult decisions, and Government and business certainly are as well. Without investment in infrastructure, without a serious approach to the fiscal rules, which was absent for much of the last Government, and without investment in the health service, we would struggle. I welcome the success he is talking about; I am always keen to work with him on that.

• 1 May 2025 · Topical Questions · Hansard source

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  The amount of working capital provided to British Steel to date stands at £94 million, which is considerably less than if we had given a large amount of money to Jingye, or if we had had to deal with the complete loss of the entire British Steel site and business.

• 1 May 2025 · Topical Questions · Hansard source

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  I feel that is a question for either the Treasury or the Department for Environment, Food and Rural Affairs, but the hon. Lady made it well. Agriculture features prominently in trade and business, and I will ensure that she gets the right opportunity to put questions about taxation to the Chancellor.

• 1 May 2025 · Topical Questions · Hansard source

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  I can absolutely give that assurance. I have had meetings about this issue just this week. We are ambitious for the just transition for Grangemouth and recognise the issues not just with the refinery but with the polyethylene cracker. We will get to work and set that meeting up.

• 1 May 2025 · Topical Questions · Hansard source

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  I am always keen to support my hon. Friend, and I will certainly consider that legislation. We are not a protectionist Government—we welcome open and free trade—but we believe British goods can compete on quality, and his area is a fine example of that. Where British goods are being undercut, not by price and fair competition but by misrepresentation and fraudulent practices, we take that seriously and have taken more powers to deal with it. I am sure that he will raise this shortly during the urgent question. We will ensure that we give him the support he needs to pursue it.

• 1 May 2025 · Topical Questions · Hansard source

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  I am always grateful to the hon. Gentleman for his questions. We always seek to keep colleagues in Northern Ireland well briefed on a range of issues, particularly some of the complexities around trade that have come out of the Windsor agreement and need to be managed carefully. I do not think I have had a specific conversation about the matter he raises, but this is a good opportunity to say that I think I should, and I will. I am grateful to him for getting that on the record.

• 1 May 2025 · Topical Questions · Hansard source

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  I am grateful to finally get an invitation to somewhere. We understand that there are significant pressures for many businesses, and the global situation certainly will not provide reassurance in the short term. The measures in the Employment Rights Bill are not in effect yet and will take some time to come in. Since the election, nearly 200,000 jobs have been created, so the labour market is holding up particularly strongly. There are particular issues such as making sure we get probationary periods right and that zero-hours contracts are monitored in the right way, and we are working with business on that.

• 1 May 2025 · Topical Questions · Hansard source

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  I recognise the shadow Secretary of State’s concern, but let me reassure him on that point. The options available to the Government were: first, the total collapse of British Steel, which would have had an incredible cost to the Exchequer of well over £1 billion; secondly, the request from Jingye for £1.2 billion, which the Leader of the Opposition said she did or did not agree to in some way with it going to Teesside, at very significant cost; or thirdly, as we have done so far, the provision of working capital to British Steel in order to pay wages and continue the purchase of raw materials and the operation of the business. Of course, those costs will be incurred by the company, because they will enable it to produce and sell steel. I will write to him with the details if he is not confident in the decision that we have made, but it was the right decision not just for the steel industry but for the taxpayer.

• 1 May 2025 · US Trade Negotiations: Farming · Hansard source

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  I regularly engage with my Cabinet colleagues on a wide range of issues, and in particular the UK’s ongoing trade discussions with partner countries, given the cross-cutting nature of those matters. The Secretary of State for Environment, Food and Rural Affairs is a key partner in that process, including with the US. As colleagues know, we have had constructive discussions with the US on an economic deal, and we remain committed to those talks, but we have made it clear that we will only ever sign trade agreements that align with the UK’s national interests. Our manifesto was also clear that we will always uphold our high food standards.

• 1 May 2025 · US Trade Negotiations: Farming · Hansard source

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  We will all struggle to believe that at times different Departments could be better co-ordinated —I cannot recognise that at all! I absolutely agree with the right hon. Gentleman. The moves to look at the business models around farming and profitability are welcome, and I think colleagues on both sides of the House would support that. On matters of trade, DEFRA and its Secretary of State are closely involved with those conversations. Perhaps in the past the community has not always felt this, but in some of the ongoing trade negotiations that we are progressing there are real export opportunities for UK agriculture. Its quality and the premium and brand associated with that is a market that is growing around the world. Part of our discussions in a range of different trade negotiations is about ensuring that there are more opportunities in future, but I promise the right hon. Gentleman that the overall efforts of Government in the sector are co-ordinated, and that is ongoing.

• 1 May 2025 · Trade Agreements · Hansard source

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  The answer, as the hon. Gentleman knows, is no; we are not, in this Government, seeking to change the ratification process for any treaty. He knows the process and how it works. The Constitutional Reform and Governance Act 2010 sets out that process. It allows MPs to scrutinise any treaty agreed with a country and presented to the House. The implementation of any aspect of any treaty still has to come to Parliament, of course; it is not the case that any agreement on any kind of international treaty can supersede what we agree in this place. In that process, all Members of Parliament get the same rights and privileges, quite rightly, but no—we are not proposing changes to the process by which we agree treaties with other countries.

• 1 May 2025 · Trade Agreements · Hansard source

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  I thank the hon. Lady for the earlier part of her comments. She is right that we wanted the previous Government to secure the India FTA, and we were willing to support them fully in doing that, but they were unable to get it across the line. With Canada, there are issues, particularly around agriculture, that are similar to those involving the US, so that may be more of a challenging negotiation. The entirety of this Government, however, have been clear that we are not seeking to pick between one market and another—both are absolutely fundamental. The Chancellor’s comments specifically relate to the simple truth that there is a much greater quantum of UK-EU trade than UK-US trade. Equally, though, in all these negotiations, we have to focus on not just what can be done quickly, but what can be done right and in the national interest. There is no point securing an agreement that does not deliver on our objectives, no matter whom that agreement is with. We will welcome any support from the Conservatives for the work we are trying to do. I do believe it is easier politically for this Government to do some trade agreements that are available to the UK; some may not have been politically available to the Conservative Government. We will continue to do that work, and we welcome all support for it, from across the House.

• 1 May 2025 · Trade Agreements · Hansard source

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  I think that was a few questions, but we seem to have time for them today, so I welcome all of them. First of all, I recognise exactly what the hon. Lady says. When it comes to the importance of the EU as a principal trading partner for this country, the figures speak for themselves. I disagree with her about us having to choose between the US and the EU, or any other markets. I believe that the UK can be well positioned for all markets. There will be strong political views in this place about political leaders in a range of countries, but I would just say to her that when it comes to the United States, there are potentially thousands of jobs at stake. That is why we are pursuing a trade and economic prosperity deal with the US, and I think we cannot get away from that. On the questions relating to the EU, a successful negotiation takes two parties. I want to see greater co-operation. I would not talk about the specifics of any part of the negotiations, but I would not want the kind of barrier that she identified to be in place. I want the UK to have the best and most frictionless trade possible with the EU, in a way that is consistent with our aspirations and obligations with the rest of the world, but she has made her point very well, and I recognise it.

• 1 May 2025 · Trade Agreements · Hansard source

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  I announced in July that we were resuming free trade agreement negotiations with the Gulf Co-operation Council, India, Israel, the Republic of Korea, Switzerland and Türkiye. We have also begun talks with the United States on an economic prosperity deal, and we support the Cabinet Office with trade aspects of the EU reset.

• 1 May 2025 · Trade Agreements · Hansard source

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  First, let me thank my hon. Friend for all her work as our trade envoy to New Zealand. She knows, because she was present, that on his visit to the UK, New Zealand Prime Minister Luxon spent the day with the Prime Minister, and I was able to spend considerable time with him in the afternoon. We discussed the implementation of the UK-New Zealand FTA, as well as the comprehensive and progressive agreement for trans-Pacific partnership, and the importance of working together to support free trade and to protect a rules-based trading system. We are working to ensure that businesses are using the FTA to support the Government’s growth agenda and the plan for change. Later this month, we will host the UK-New Zealand FTA joint committee, which will discuss continuing to grow UK and New Zealand trade.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  To be clear, where there is a transfer of ownership to the state, we would always pay the fair market value for the assets. In this case, the market value is effectively zero, so I take the right hon. Gentleman’s point entirely. I would say that the intention of Jingye has not been to engineer that situation; its intention has been to keep the downstream mills, which colleagues will know are fundamental to our construction and steel industries, and supply them from China, rather than from Scunthorpe; that is the situation.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  The hon. Lady will know that the company brought into question whether that coal was the right grade for blast furnace supplies. I remember several debates in this place about that. I should also make it clear—I think hon. Members understand this—that we are talking about two blast furnaces that date from the 1930s and 1950s. We must also be looking to the future, to new technology and new investments. Crucially, having the dedicated resources that this Government have put into steel is why we have the chance to look to the future with optimism. The UK steel industry is an outlier, in the sense that it is a much smaller proportion of our overall economy than in any major comparable economy, so of course there is potential, and we should look to the future. I would be more than willing to work with the hon. Lady as a local MP to do so.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  I think I must progress, Mr Speaker. I can see your indication to do so.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  We remain in close engagement with all the unions, which have been monitoring the situation closely. Again, I reiterate that the Bill is not in itself about a change of ownership; it is about a change of control to rectify the situation. However, I will certainly have regard to the comments my hon. Friend has made and, of course, the role of the workforce at all stages. We will never accept the argument that steelmaking is a sunset industry. Steel is vital to every bit of the modern economy. Domestic demand for steel is set only to go up, not down. In the past few weeks alone, we have seen Heathrow airport announce multibillion-pound expansion plans requiring 400,000 tonnes of new steel, and Universal Studios confirm it will be building Europe’s biggest theme park and, where possible, will use UK-made steel to do so. This Government are backing the builders, not the blockers. With the action we take today, we have the chance to feed that boom with steel made in Britain. The legislation we are setting out today will help to end the uncertainty that has been hanging over British Steel’s Scunthorpe site for too long. I welcome the Opposition’s support today for this recall, but this issue should have been resolved years ago. I believe they may now view it as a mistake to have given this essential national asset to this company. I have to address the statement made by the Leader of the Opposition yesterday, which I do as a matter of genuine regret. She claimed that while she did my job, she negotiated a modernisation plan with British Steel to build an electric arc furnace at Teesside, followed by one at Scunthorpe. I wish to make it unequivocally clear to the House that the new Government inherited no such deal. We could not renege on that deal because it did not exist. On day one, I was told that there had been a lack of progress on this matter to date.

• 12 Apr 2025 · Steel Industry (Special Measures) Bill · Hansard source

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  I do not want to embarrass the right hon. Lady, but the blast furnaces have already closed at Port Talbot. They are not available to be saved —that situation has moved on. Let me stress again: Port Talbot is in a stronger position because it has that long-term future in place and the potential additional investments through the green steel fund.