Scotland's role in the development of future UK trade arrangements

This paper discusses the role of the Scottish Government, Scottish Parliament and others in the development of future UK trade arrangements, to help ensure that Scotland’s economic and other interests can be protected and enhanced.


Footnotes

1. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

2. UK Government (2018) The Future Relationship Between The United Kingdom and The European Union https://www.gov.uk/government/publications/the-future-relationship-between-the-united-kingdom-and-the-european-union

3. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

4. Article in The Times, 23 March 2016 https://www.thetimes.co.uk/article/sorry-boris-canada-is-not-a-model-for-post-brexit-trade-xb57hcjh0

5. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

6. Speech to Kings College London, 28 February https://www.kcl.ac.uk/business/assets/PDF/Sir-Martin-Donnelly-UK-trade-and-exports.pdf

7. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

8. UK Government (2018) The Future Relationship Between The United Kingdom and The European Union https://www.gov.uk/government/publications/the-future-relationship-between-the-united-kingdom-and-the-european-union

9. National Institute of Economic and Social Research (2018) National Institute Economic Review, 245, F11-F13, August 2018

10. Professor Jonathan Portes, senior fellow at The UK in a Changing Europe http://ukandeu.ac.uk/dont-be-fooled-into-thinking-a-chequers-brexit-would-be-economically-painless/

11. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

12. Scottish Government (2018) Export Statistics Scotland 2016 http://www.gov.scot/Resource/0053/00530678.pdf

13. The agreement was formally ratified in December 2015

14. European Commission http://ec.europa.eu/trade/policy/countries-and-regions/countries/south-korea/index_en.htm

15. Scottish Government (2018) Export Statistics Scotland 2016
http://www.gov.scot/Resource/0053/00530678.pdf

16. EY Scotland Attractiveness Survey 2017 https://www.ey.com/uk/en/issues/business-environment/ey-uk-attractiveness-survey-2017-scotland

17. Scottish Government (2018) Export Statistics Scotland 2016
http://www.gov.scot/Resource/0053/00530678.pdf

18. Scottish Government (2018) Export Statistics Scotland 2016
http://www.gov.scot/Resource/0053/00530678.pdf

19. HMRC Regional Trade Statistics https://www.uktradeinfo.com/Statistics/RTS/Pages/default.aspx
Note - HMRC trade statistics use an alternative methodology based on apportionment of UK data. These statistics include estimates for Petroleum and North Sea related exports. Exports Statistics Scotland does not. Petroleum and related materials have not been included in the chart above.

20. HMRC Regional Trade Statistics https://www.uktradeinfo.com/Statistics/RTS/Pages/default.aspx

21. Ibid

22. Ibid

23. ONS Regional Services Export Statistics https://www.ons.gov.uk/businessindustryandtrade/internationaltrade/datasets/regionalisedestimatesofukserviceexports

24. Note – comparisons can only be made with GB, rather than UK. Latest data available is 2015, some sectors, including large export sectors such as financial services, are excluded from the EU/Non- EU split provided by ONS.

25. HMRC Regional Trade Statistics https://www.uktradeinfo.com/Statistics/RTS/Pages/default.aspx

26. HMRC Regional Trade Statistics https://www.uktradeinfo.com/Statistics/RTS/Pages/default.aspx

27. OECD (2008) - Trade and Innovation Project: A Synthesis Paper. Trade Policy Working Paper No.72 http://www.oecd.org/trade/benefitlib/41105505.pdf and Harris and Li (2008) - Firm Level Empirical Study of the Contribution of Exporting to UK Productivity Growth https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1467-9701.2007.01087.x

28. General Agreement on Tariffs and Trade https://www.wto.org/english/docs_e/legal_e/gatt47_01_e.htm

29. Comprehensive Economic and Trade Agreement http://ec.europa.eu/trade/policy/in-focus/ceta/

30. Pascal Lamy evidence to House of Commons Select Committee on Exiting the European Union, 27 February http://data.parliament.uk/writtenevidence/committeeevidence.svc/evidencedocument/exiting-the-european-union-committee/the-progress-of-the-uks-negotiations-on-eu-withdrawal/oral/79454.html

31. Dr Gracia Maŕin Durán, evidence to Scottish Parliament Culture, Tourism, Europe and External Relations Committee, 15 March 2018
http://www.parliament.scot/parliamentarybusiness/report.aspx?r=11419&mode=pdf

32. UK Government (2010) Constitutional Reform and Governance Act 2010 http://www.legislation.gov.uk/ukpga/2010/25/contents

33. UK Government (2018) The Future Relationship Between the United Kingdom and the European Union https://www.gov.uk/government/publications/the-future-relationship-between-the-united-kingdom-and-the-european-union

34. Memorandum of Understanding and Supplementary Agreements /publications/devolution-mou/

35. Joint Ministerial Committee Plenary Communiqué /publications/joint-ministerial-committee-plenary-communique-march-2018/

36. JMC on EU Negotiations Terms of Reference
/publications/joint-ministerial-committee-minutes-october-2016/

37. Smith Commission Report on the devolution of further powers to the Scottish Parliament (2014) http://webarchive.nationalarchives.gov.uk/20151202171029/http://www.smith-commission.scot/wp-content/uploads/2014/11/The_Smith_Commission_Report-1.pdf

38. Scottish Government (2014) More Powers for the Scottish Parliament: Scottish Government Proposals http://www.gov.scot/Resource/0046/00460563.pdf

39. UK Government (2017) Preparing for our future UK trade policy https://www.gov.uk/government/publications/preparing-for-our-future-uk-trade-policy/preparing-for-our-future-uk-trade-policy

40. European Commission Draft Withdrawal Agreement on the withdrawal of the United Kingdom of Great Britain and Northern Ireland from the European Union and the European Atomic Energy Community. https://ec.europa.eu/commission/sites/beta-political/files/draft_withdrawal_agreement.pdf

41. UK Government (2018) The Future Relationship Between The United Kingdom and The European Union https://www.gov.uk/government/publications/the-future-relationship-between-the-united-kingdom-and-the-european-union

42. European Council Draft Negotiating Guidelines https://g8fip1kplyr33r3krz5b97d1-wpengine.netdna-ssl.com/wp-content/uploads/2018/03/European-council-Art.50-23-March-2018-Draft-Guidelines-1.pdf

43. UK Government/European Commission (2018) Topics for Discussions on the Future Framework at Forthcoming meetings https://ec.europa.eu/commission/publications/topics-discussions-future-framework-forthcoming-meetings_en

44. UK Government (2017) Preparing for our future UK trade policy https://www.gov.uk/government/publications/preparing-for-our-future-uk-trade-policy/preparing-for-our-future-uk-trade-policy

45. UK Government (2018) Trade White Paper: Preparing for Our Future UK Trade Policy – Government response https://www.gov.uk/government/publications/trade-white-paper-preparing-for-our-future-uk-trade-policy-government-response/trade-white-paper-preparing-for-our-future-uk-trade-policy-government-response

46. Ibid

47. European Union Withdrawal Act 2018 http://www.legislation.gov.uk/ukpga/2018/16/contents/enacted

48. UK Withdrawal from the European Union (Legal Continuity)(Scotland) Bill
http://www.parliament.scot/parliamentarybusiness/Bills/107725.aspx

49. Trade Bill https://services.parliament.uk/Bills/2017-19/trade.html

50. Taxation (Cross-border Trade) Bill
https://services.parliament.uk/Bills/2017-19/taxationcrossbordertrade.html

51. Scottish Government (2017) http://www.parliament.scot/SPLCM-S05-12-2017.pdf

52. House of Commons International Trade Committee (2018)
https://publications.parliament.uk/pa/cm201719/cmselect/cmintrade/520/52002.htm

53. House of Commons International Trade Committee (2018)
https://publications.parliament.uk/pa/cm201719/cmselect/cmintrade/520/52002.htm

54. Hansard, 9 January 2018, col 213 https://hansard.parliament.uk/Commons/2018-01-09/debates/582F83B5-0943-4BE2-A473-599C6C4897F9/TradeBill

55. UK Government, 18 July 2018 https://www.gov.uk/government/news/new-public-consultations-announced-for-future-trade-agreements

56. Finance and Constitution Committee European (Withdrawal) Bill LCM – Interim Report https://sp-bpr-en-prod-cdnep.azureedge.net/published/FCC/2018/1/9/European-Union--Withdrawal--Bill-LCM---Interim-Report-1/FCCS052018R1.pdf

57. The Scottish Parliament. (2017, November 1). Official Report, Col. 25. Retrieved from
http://www.parliament.scot/parliamentarybusiness/report.aspx?r=11171&mode=pdf

58. European Commission Negotiating EU Trade Agreements – Who does what and how we reach a final deal http://trade.ec.europa.eu/doclib/docs/2012/june/tradoc_149616.pdf

59. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

60. Scottish Government (2017) Scottish Energy Strategy: The Future of Energy in Scotland http://www.gov.scot/Resource/0052/00529523.pdf

61. Scottish Government (2017) A Nation With Ambition: The Government's Programme for Scotland 2017-18 http://www.gov.scot/Resource/0052/00524214.pdf

62. Scottish Government (2016) Scotland's Place in Europe
http://www.gov.scot/Resource/0051/00512073.pdf

63. Scottish Government (2018) Scotland's Place in Europe: People, Jobs and Investment http://www.gov.scot/Resource/0053/00530160.pdf

64. Trade Justice Scotland Coalition submission to Scottish Parliament Finance and Constitution Committee http://www.parliament.scot/S5_Finance/General%20Documents/Trade_Bill_20180309.pdf

65. Hansard, 9 January 2018, col 214 https://hansard.parliament.uk/Commons/2018-01-09/debates/582F83B5-0943-4BE2-A473-599C6C4897F9/TradeBill

66. Scottish Parliament Finance and Constitution Committee (2018) Overview of Written Evidence http://www.parliament.scot/S5_Finance/Meeting%20Papers/20180418_Agenda.pdf

67. Scottish Whisky Association response to Finance and Constitution Committee (2018) http://www.parliament.scot/S5_Finance/Meeting%20Papers/20180420Public1.pdf

68. Scotch Whisky Association oral evidence to Finance and Constitution Committee (25 April 2018) http://www.parliament.scot/parliamentarybusiness/report.aspx?r=11487&mode=pdf

69. Law Society of Scotland evidence to the House of Commons International Trade Committee Inquiry into UK Trade Policy Transparency and Scrutiny https://www.lawscot.org.uk/media/360663/22-06-18-con-tra-trade-policy-transparency-and-scrutiny.pdf and the Scottish Affairs Committee Inquiry into Scotland and Brexit https://www.lawscot.org.uk/media/360726/lss-response_tra_scotland-and-brexit-trade-and-foreign-investment-inquiry_july-18.pdf

70. European Union Commission for Economic Policy (2017) The democratic dimension of EU negotiations on trade agreements: the role and responsibilities of citizens and Local and Regional Authorities https://publications.europa.eu/en/publication-detail/-/publication/0b0045f6-ff3b-11e7-b8f5-01aa75ed71a1/language-en

71. Written submission to Scottish Parliament Finance and Constitution Committee (2018)
http://www.parliament.scot/S5_Finance/Meeting%20Papers/Public_Agenda_and_papers_21_February_2018.pdf

72. Chris Southworth (March 2018) https://www.uscib.org/post-brexit-trade-an-opportunity-to-set-new-standards/

73. Welsh Government (2018) Trade Policy: the issues for Wales https://beta.gov.wales/sites/default/files/2018-01/180202-trade-policy-the-issues-for-wales.PDF

74. Wales Centre for Public Policy (2018) Sub-national government involvement in international trade negotiations https://docs.wixstatic.com/ugd/f06571_b20d3a00b784412abc9c0e813002f006.pdf

75. Professor Lang oral evidence to Finance and Constitution Committee, 21 February 2018 http://www.parliament.scot/parliamentarybusiness/report.aspx?r=11373&mode=pdf

76. Scottish Parliament Information Centre (2018) Negotiation of Trade Agreements in Federal Countries https://sp-bpr-en-prod-cdnep.azureedge.net/published/2017/11/17/Negotiation-of-Trade-Agreements-in-Federal-Countries/SB17-79.pdf

77. High Commission of Canada source, quoted in Scottish Parliament Information Centre (2018) Negotiation of Trade Agreements in Federal Countries https://sp-bpr-en-prod-cdnep.azureedge.net/published/2017/11/17/Negotiation-of-Trade-Agreements-in-Federal-Countries/SB17-79.pdf

78. Dr Melo Araujo oral evidence to the Finance and Constitution Committee, 21 February 2018 http://www.parliament.scot/parliamentarybusiness/report.aspx?r=11373&mode=pdf

79. Scottish Parliament Information Centre (2018) Negotiation of Trade Agreements in Federal Countries https://sp-bpr-en-prod-cdnep.azureedge.net/published/2017/11/17/Negotiation-of-Trade-Agreements-in-Federal-Countries/SB17-79.pdf

80. Scottish Government (2016) Global Scotland – Scotland's Trade and Investment Strategy 2016-2021 http://www.gov.scot/Resource/0049/00495491.pdf

81. Taxation (Cross-border Trade) Bill
https://services.parliament.uk/Bills/2017-19/taxationcrossbordertrade.html

82. Scottish Government (2018) Scotland's population needs and migration policy: Discussion paper on evidence, policy and powers for the Scottish Parliament http://www.gov.scot/Resource/0053/00531087.pdf

83. Negotiating EU Trade Agreements
http://trade.ec.europa.eu/doclib/docs/2012/june/tradoc_149616.pdf

84. In practice, all trade agreements will cover a range of reserved and devolved issues.

85. These principles should apply to any changes to existing trade agreements as a result of the 'grandfathering' process, in addition to any new trade agreements including the proposed UK-EU Future Economic Partnership. As future arrangements develop, further consideration will need to be given to address the Scottish Government and Scottish Parliament's role in governance of trade agreements and wider trade policy, which should observe these same principles.

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