UK Parliament / Open data

European Union (Withdrawal) Bill

My Lords, this group of amendments—frankly, I have lost track of who moved what and which ones are in the group,

but I will be generous and address all the issues that were part of the original grouping under the amendment tabled by the noble Lord, Lord Adonis, although the noble Baroness, Lady Kramer, has moved Amendment 183—addresses two quite distinct institutions, the European Bank for Reconstruction and Development and the European Investment Bank, including its subsidiary, the European Investment Fund. If the Committee will permit, I will address each of them in turn.

The European Bank for Reconstruction and Development is an international financial institution that is based in London and is subject to its own establishing agreement through a multilateral treaty that was laid before Parliament in 1990. The EBRD is led by a British president, Sir Suma Chakrabarti, who in 2016 was re-elected to serve a second four-year term. The bank is not an EU institution and therefore the UK’s membership is fully independent of EU membership. As such, the European Council does not have dominion over the membership or operation of the EBRD. The UK’s exit from the EU will not have any bearing on the location of the bank’s headquarters in London, which is enshrined in its articles of agreement. The EBRD has also publicly reiterated that Brexit will have no impact on the UK’s membership and the London headquarters. Amendment 167 is therefore unnecessary and would have no effect on UK membership, which will continue unaffected after the UK leaves the EU. The Government have made it clear in recent Answers to Parliamentary Questions that the UK remains firmly committed to the EBRD and that exit from the EU will have no impact on our continuing membership. With that reassurance, although I am not sure whether the noble Lord moved the amendment, I hope that he will feel able not to press it.

Amendment 227BC would create a negotiating objective for the UK to remain a full member of the European Investment Bank. The EU treaty defines members of the EIB as EU member states. It also sets out that only members can hold capital in the bank and participate on its board. That means that in March 2019 the UK will no longer be a full member of the EIB, as it will no longer be a member state of the European Union. However, let me reply directly to the questions put by the noble Lords, Lord Adonis and Lord Tunnicliffe, and the noble Baroness, Lady Randerson. The Chancellor has made it clear that the UK considers that it may prove to be in the mutual interest of all sides for the UK to maintain some form of ongoing relationship with the EIB group after leaving the EU. The UK will explore these options—

About this proceeding contribution

Reference

789 cc1725-6 

Session

2017-19

Chamber / Committee

House of Lords chamber

Subjects

Back to top