Select committee: Foreign Affairs Committee
Recommendation 6
Third Report - Sovereignty for sale: the FCDO’s role in protecting strategic British assets
Published 14 Jul 2021
Paragraph 30
Addressed to Foreign, Commonwealth & Development Office
Foreign Affairs Committee The FCDO’s role in blocking foreign asset stripping in the UK All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Recommendation (the committee's words)
The FCDO should demonstrate leadership on the foreign relations aspects of foreign investment decisions. Supporting the ISU’s work in this area is a key responsibility of the FCDO. It will be vital that the Department has the right expertise both at overseas Posts and in London to fulfil this responsibility, including through ongoing monitoring of the global investment landscape. We recommend that the Government outlines how it intends to achieve this in its response to this report.
From: Foreign Affairs Committee, Third Report - Sovereignty for sale: the FCDO’s role in protecting strategic British assets (HC 197), paragraph 30, 14 July 2021
Government response
The government responded to the whole report on 25 October 2021 (deadline 14 September 2021).
Summary written by Accountability Index from the government's response. It is not the government's own words.The Government "notes" the Committee's recommendations and agrees that the FCDO has a key role in supporting the Investment Security Unit, while not setting out a position on Newport Wafer Fab pending a National Security Adviser review.
- On the call-in of the Newport Wafer Fab acquisition, the Government says the National Security Adviser is "presently conducting a review" and that it "would be inappropriate to comment further" before it concludes.
- It agrees that the FCDO holds the key role in supporting the ISU, and says a dedicated FCDO team has been established and it is "identifying and securing the short and long-term capabilities required".
- On seconding 10 per cent of ISU staff from the FCDO, it does "not consider it necessary to mandate" a specific percentage, and says it will keep staffing and structures "under close review".
- On parliamentary scrutiny, it believes it is "right" that the BEIS Select Committee oversees the ISU, and says a Memorandum of Understanding on information access "will be published in due course".