Second Report
Proposed Negative Statutory Instruments under the European Union (Withdrawal) Act 2018
Instruments recommended for upgrade to the affirmative resolution procedure
Consumer Protection (Enforcement) (Amendment etc.) (EU Exit) Regulations 2018
Date laid: 10 October 2018
Sifting period ends: 26 October 2018
1.The purpose of these draft Regulations, laid by the Department for Business, Energy and Industrial Strategy (BEIS) as a proposed negative, is to remove current reciprocal arrangements which oblige Member States to cooperate in the cross-border investigation of and enforcement against infringements of EU consumer laws, where the collective interest of consumers is being harmed. The instrument also ensures that UK enforcement bodies, such as the Competition and Markets Authority, retain the same powers as now for investigating and addressing infringements of specified retained EU law in the UK after EU exit. The instrument is proposed as contingency planning for a “no deal” scenario. BEIS explains that the changes are required because if the UK leaves the EU without an agreement, it would cease to benefit from current reciprocal arrangements, and that it would not be appropriate for remaining Member States to benefit from the arrangements unilaterally in the UK.
2.The Government’s guidance Consumer rights if there is no Brexit deal1 confirms that in a “no deal” scenario there would no longer be reciprocal obligations on the UK or Member States to investigate breaches of consumer laws or take forward enforcement actions, and that UK consumers when buying goods and services in the remaining Member States would find it more difficult to use the UK courts to seek redress from EU based traders and enforce court judgements.
3.Given that cross-border protections for UK consumers, in cases where their collective interest is being harmed, would be reduced considerably in a “no deal” scenario or in any agreement with the EU that does not achieve reciprocity, the House may expect the opportunity to debate this instrument. We therefore recommend that this instrument should be subject to the affirmative resolution procedure.
Proposed Negative Statutory Instruments about which no recommendation to upgrade is made
- Driving Licences (Amendment) (EU Exit) Regulations 2018
- Road Vehicles (Registration, Registration Plates and Excise Exemption) (Amendment) (EU Exit) Regulations 2018
1 Department for Business, Energy and Industrial Strategy, ‘Consumer Rights if there’s no Brexit deal’: https://www.gov.uk/government/publications/consumer-rights-if-theres-no-brexit-deal--2/consumer-rights-if-theres-no-brexit-deal [accessed 23 October].