ANALYSIS AND NEWS: Today’s General Election result – with a ‘soft Brexit’ now more likely – raises the probability that EU waste and recycling measures will be transposed into UK law.
[This General Election report is being updated as below]
Accordingly, while on the one hand there will be concerns that firm government policy on the environment may not emerge quickly, there will be a longer-term benefit to larger businesses in the waste and recycling sector with the knowledge that producer responsibility measures and recycling targets will remain, and are likely to increase.
A large Conservative victory could have meant that the option of a hard Brexit remained on the table or that Prime Minister Theresa May’s “no deal is better than a bad deal” option would remain a possibility. Instead an expected Conservative/DUP government is likely to mean a softer approach to the negotiations.
Now a position of advantage in the negotiations could be seen as passing to the European Union itself and chief negotiator Michel Barnier. Consequently discussions are set to focus on the single market and freedom of movement and, with the UK having weaker bargaining strength, there would be more certainty that other laws – such as the Landfill Directive – will be transposed in their entirety.
This would confirm a form of commitment given by former waste and recycling minister Therese Coffey. She indicated that the environmental legislation would be transposed into a Great Repeal Bill. However, had a harder Brexit approach been an option for a new Conservative government then this commitment could well have been watered down.
Stability
“Britain’s businesses crave political stability, but the election result has unfortunately failed to deliver this”
David Palmer-Jones
Suez UK
First reactions to the election result from the waste sector came from David Palmer-Jones, chief executive of Suez (formerly Sita UK). Suez is based in Maidenhead and the company is a significant employer within the Prime Minister’s constituency.
Mr Palmer-Jones noted that “Britain’s businesses crave political stability, but the election result has unfortunately failed to deliver this.”
He said: “We are prepared to work with a Government of any colour or coalition to ensure waste is treated as a resource for both secondary raw materials and energy but for the UK economy to prosper, we must quickly continue in the same positive direction started earlier this year, and not leave to languish the policies that could unlock the investment and support the resource management industry has to offer.”
Sterling
At a breakfast briefing this morning on the impact of the election result, HSBC bank’s head of economics, Mark Berrisford-Smith, said that he felt that the economic backdrop in the UK “remained ok, but there were distributional issues” and that while there had been a modest slowdown in the economy “this would probably abate now”.
On the currency front, which is important in terms of the export of recyclables, Mr Berrisford-Smith predicted that “it was not beyond the bounds of possiblity that sterling could hold up fairly well as markets have favoured a soft Brexit”.
Backlash
(l-r) HSBC economist Mark Berrisford Smith and David Cameron’s advisor Alex Woollcombe
Also speaking at the briefing, Alex Woollcombe, former advisor to David Cameron and the Bill and Melinda Gates Foundation, suggested that Prime Minister Theresa May had erred in calling the election and remarked: “Being an effective minister doesn’t make you a good leader”.
And, he added that he thought that there had been a “bit of a backlash on austerity” and suggested that Britain would not achieve a hard Brexit as Article 50 had to be completed in 2019 which meant the EU had a lot of “wriggle room to keep a tight control on the negotiations”.
[update 11.55] Organics
Jeremy Jacobs technical director of the Renewable Energy Association (REA) and its Organics Group said a hung Parliament was “not the ideal result”, but emphasised the importance of strong leadership to maintain momentum in the industry.
Mr Jacobs said: “In these uncertain times it is essential that we agree on carbon budgets and resource agenda, to continue momentum and the good work done in the past. And, it is important that the recycling resources agenda needs to stay on track.”
Mr Jacobs said strong leadership would maintain continuity and stability. “Assuming Theresa May stays they need to continue to stay on the resource agenda. We have been making great strides and advances and we need to continue the Clean Growth Plan.”
[update 12.00 noon] Democratic Unionist Party
Northern Ireland’s DUP, which has agreed to work with the Conservative Party in the wake of the hung Parliament result, highlights renewable energy and litter on its website as environmental issues.
The DUP notes (ahead of the election): “Following the merger of the Department of Agriculture and Department of the Economy the DUP will create a new environmental advisory division within the new department to help improve the natural environment. We wish to see NIEA prosperity agreements, which reduce environmental impacts while creating prosperity and well-being, rolled out to the wider economy.”
And, the DUP wants to adopt the American ‘Don’t mess with Texas’ campaign, which it said has been “one of the most successful in changing public attitudes to public littering. It led to significant reductions in the amount of litter on public roads.” The DUP wants to launch a campaign that aims to be as successful in NI.
[update 12.20] Turmoil
Reacting to the General Election result, the Environmental Services Association (ESA) which represents the UK’s waste management industry, expressed concerns over what the ‘additional uncertainty’ could mean for Brexit.
“The clock is ticking on Brexit negotiations so this latest political turmoil will need to be resolved as quickly as possible.”
Jacob Hayler
ESA
ESA’s executive director, Jacob Hayler, said: “The clock is ticking on Brexit negotiations so this latest political turmoil will need to be resolved as quickly as possible.”
In order to secure ‘maximum stability’ and growth for the industry, ESA suggests the new Government prioritises four recommendations made in its Resourceful manifesto, including driving waste crime out of the sector and stimulating demand for secondary raw materials.
Mr Hayler continued: “By addressing these areas, the new Government can help deliver thousands of new green jobs, provide stable economic growth, and create a healthier, more resource efficient environment.”
MP results
In terms of results, there were few surprises among MPs who have shown interest in the environment and waste and recycling with all re-elected, including the last recycling minister Dr Therese Coffey who was re-elected with an increased majority. One departure however was Conservative MP Gavin Barwell who lost his Croydon seat. Previously he was minister for housing and planning.
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Source: letsrecycle.com General
