To ask the Secretary of State for Business, Innovation and Skills, what position the UK's representatives at the (a) Trade Policy Committee and (b) Foreign Affairs Council have taken on the replacement of the Investor State Dispute Settlements mechanism with an Investment Court System in the negotiations over the Transatlantic Trade and Investment Partnership.
Answered on
19 November 2015
On 16 September, the European Commission published a draft of its proposed text for the investment protection provisions in the EU-US free trade agreement, also known as the Transatlantic Trade and Investment Partnership.
In discussions on these proposals with the European Commission and Member States, UK representatives have expressed support for the European Commission’s ongoing initiative to reform the investment provisions used in its trade and investment agreements. UK representatives have also raised questions of detail on how the proposed text will continue to safeguard governments’ right to regulate lawfully and in the public interest, while ensuring that UK investors are treated fairly overseas by foreign governments.
The final content of the investment protection provisions in the EU-US free trade agreement will be subject to the outcome of negotiations between the EU and the US. The inclusion of investor-state dispute settlement (ISDS) provisions in the Transatlantic Trade and Investment Partnership (TTIP) will not threaten the right of the UK or Devolved Administrations to regulate or determine public policy. The Commission has published a proposal for reforms to investment protections in this agreement, which includes a clause setting out governments’ right to regulate.
The UK will work with the Commission on this proposal to ensure that UK investors are treated fairly overseas by foreign governments while allowing governments to regulate lawfully and in the public interest.