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UK Bilateral Relations (Russia)

I begin by congratulating the hon. Member for Shrewsbury and Atcham (Daniel Kawczynski) on securing this debate. I would like to emphasise, as he has already done, why it is important for the UK to work with Russia, and why we do so. We should not lose sight of the fact that Russia is an important player in enabling us to achieve our international objectives. I shall add to the examples that the hon. Gentleman rightly set out. Russia remains a key player and an important partner in the United Nations Security Council. It is a major energy supplier to Europe. We need Russian assistance to tackle climate change—indeed, strong leadership from Russia will be required to do so—and Russia offers real potential as an important market for UK trade. Those are just a few of the reasons why we should engage with Russia to promote international security, stability, and prosperity. We work with Russia in the UN to address challenges to international peace and security. We discuss issues such as Iran’s nuclear programme, Kosovo and the middle east peace process. We have worked with Russia through the G8 to address, among other things, the challenges of climate and energy security, international development and avian flu. We are working with allies through the NATO-Russia Council to discuss plans for a ballistic missile defence system in Europe, and we are working with our European Union partners towards a new framework for EU-Russia relations. Negotiating a successor to the current partnership and co-operation agreement will give us a mechanism for discussing and resolving any disagreements on issues of key interest to the UK, including trade, energy and human rights. In working to achieve the Government’s international priorities, the Foreign and Commonwealth Office spends considerable time, effort and resources engaging with Russia. Russia’s chairmanship of the G8 resulted in a particularly high level of contact in 2006, with 15 ministerial visits to that country. I visited last autumn, and I hosted Deputy Foreign Minister Vladimir Titov for talks in London in March this year. My right hon. Friend the Secretary of State for Trade and Industry visited Russia in February with a high-level business delegation, and Ministers with responsibility for international trade and for energy have visited in the past two years. Notwithstanding the hon. Gentleman’s assertions, the truth is that there has been high-level and high-quality engagement with Russia at ministerial level in recent times. It is important to emphasise that engagement with Russia does not always mean agreement with Russia. Its status as a global player means that it must abide by international commitments and operate from the same international rulebook. We want Russia to be strongly committed to the rule of law, and to provide a just home for its citizens as well as a predictable partner for Governments and businesses to deal with. If we believe that Russia is falling short of the international standards to which it has subscribed, we will say so. Let me give some examples of that. On energy security, which the hon. Gentleman referred to, the British Government were at the forefront of efforts in the G8 that led to the St. Petersburg principles on energy security that were agreed in July 2006 under Russia’s G8 presidency. The principles of transparency, predictability and stability of global energy markets and supply should underpin global energy markets. On numerous occasions since the G8 summit in St. Petersburg, we have reminded Russia of the important principles to which it signed up. We have done so not least in the context of seeking protection of British investors’ interests in the oil and gas sectors in Russia. We have repeatedly underlined to the Russian Government the importance of ensuring an operating climate that encourages investors to invest for the long term in that country, which in itself will help Russia to meet global energy security needs. I conveyed that message to all the Russian interlocutors who I met last autumn, and I continue to do so. On the specific agreements and contracts affecting British companies, it is important that the companies themselves should make decisions as to the right way forward. They have received strong and consistent support from the British Government, but, ultimately, it is for them to make judgments as to the best way to secure their own arrangements with and in Russia. Furthermore, as we have stated on many occasions, the Government welcome investment in the UK by companies and individuals from Russia or, indeed, anywhere else who are transparent in their business, and who are prepared to operate in markets governed by competitive, liberal market principles. The Government believe that respect for human rights, democracy and the rule of law promotes stability and economic development. That is as applicable to Russia as to any other country. As such, where we have concerns about Russia’s human rights record, we will raise them. We do that through formal consultation mechanisms, such as the European Union and the Council of Europe, as well as bilaterally. For example, EU-Russia human rights consultations raised such issues only last week and in the Council of Europe we continue to work with Russia and others to ensure that all member states, including Russia, uphold their commitment as signatories to the European convention on human rights. The hon. Gentleman referred to Russia’s relations with its near neighbours and we believe that it is in our and Russia’s interests to have stable and prosperous countries on Russia’s borders. We regularly discuss the common neighbourhood with Russia and raise issues of concern, such as Russia’s embargo on Georgia and the economic restrictions placed on Georgians living in Russia. Equally, we believe that Russia must treat our EU partners fairly and with respect. I mention that in the context of recent difficulties in relation to Estonia. Another issue on which we do not see eye to eye with Russia is its attitude to the asylum or refugee status of individuals in the UK, and their continued presence here. Despite our continuing efforts to explain the nature of judicial independence in this country, the Russian Administration have not fully accepted that such questions are matters of UK law, not of politics or diplomacy. Nevertheless, having set out the areas of critical concern, we should not lose sight of the positive aspects of the relationship between the UK and Russia. On trade, during the first three quarters of 2006, the UK was the largest foreign investor in Russia and accounted for about 18 per cent. of Russia’s total foreign investment. Our trading relationship reached an all-time high in 2005 when annual exports were nearly £3 billion. In terms of people-to-people contact, the number of Russians visiting the UK has risen by 20 per cent. a year over recent years. The number of Russians who have visited the UK now exceeds 170,000. The Government regard Russia as an important international partner and, as such, we expect Russia to meet its international commitments. As I have said, relations with Russia are underpinned by active, and, where necessary, critical engagement. When we disagree with Russia we say so, and where obstacles and disagreements exist, our aim will continue to be to seek to resolve them through a transparent, open and honest dialogue. It is a balanced approach that is aligned to British interests and I hope that the hon. Gentleman can support it. Sitting suspended until half-past Two o’clock.