A company is in line to save £73m from a post-Brexit trade shake-up, after campaigning to leave the EU and donating money to the Conservatives.
Tate & Lyle Sugars has secured “a sweet deal” that will also see cane imported from countries with lower employment and environmental standards, Greenpeace alleged, following an investigation.
“It looks like the government has granted them their wish,” said Sam Lowe, senior research fellow at the Centre for European Reform think-tank, on the new arrangements.
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But the firm said it was “a complete fantasy” that it wanted to import cheap, poorly produced sugar, under a shake-up at the end of the year, and defended its lobbying.
Gerald Mason, its senior vice president, told The Observer: “We’ve never hidden our issues with Europe. We’ve been quite transparent about it.”
The controversy comes after the government said companies will be able to import 260,000 tonnes of raw sugar cane from anywhere in the world, tariff-free, from January.
However, the only company that currently imports raw sugar cane is Tate & Lyle – one of the few large employers that publicly backed Brexit.
Its name was also carried on the lanyards worn by everyone who attended the 2017 Tory conference, a sponsorship is recorded as an £8,000 donation by the Electoral Commission.
The new tariff-free quota equates to a £72.8m saving, according to analysis by Greenpeace’s Unearthed investigations team.
1/20 Britain votes to leave the European Union – 23 June 2016
A referendum is held on Britain’s membership of the European Union. Fifty-two per cent of the country votes in favour of leaving
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2/20 David Cameron resigns – 24 June 2016
David Cameron resigns on the morning of the result after leading the campaign for Britain to remain in the EU
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3/20 Theresa May takes the reins – 13 July 2016
Theresa May becomes leader of the Conservative party and prime minister, winning the leadership contest unopposed after Andrea Leadsom drops out
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4/20 High Court rules parliament must vote on Brexit – November 2016 – 3 November 2016
The High Court rules that parliament must vote on triggering Article 50, which would begin the Brexit process
5/20 Article 50 triggered – 28 March 2017
The prime minister triggers Article 50 after parliament endorses the result of the referendum
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6/20 May calls snap election – 18 April 2018
Seeking a mandate for her Brexit plan, May goes to the country
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7/20 May loses majority as Labour makes surprise gain – 8 June 2017
After a disastrous campaign, Theresa May loses her majority in the commons and turns to the DUP for support. Jeremy Corbyn’s Labour party makes gains after being predicted to lose heavily
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8/20 Negotiations begin – 19 June 2017
David Davis and Michel Barnier, chief negotiators for the UK and EU respectively, hold a press conference on the first day of Brexit negotiations. Soon after the beginning of negotiations, it becomes clear that the issue of the border between Northern Ireland and the Republic will prove a major sticking point
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9/20 MPs vote that withdrawal deal must be ratified by parliament – 13 December 2017
The government suffers a defeat in parliament over the EU withdrawal agreement, guaranteeing that MPs are given a ‘meaningful vote’ on the deal
10/20 Boris Johnson resigns as foreign secretary – 11 July 2018
Following a summit at Chequers where the prime minister claimed to have gained cabinet support for her deal, Boris Johnson resigns as foreign secretary along with David Davis, the Brexit secretary
Reuters
11/20 Draft withdrawal agreement – 15 November 2018
The draft withdrawal agreement settles Britain’s divorce bill, secures the rights of EU citizens living in the UK and vice versa and includes a political declaration commiting both parties to frictionless trade in goods and cooperation on security matters. The deal also includes the backstop, which is anathema to many brexiteers and Dominic Raab and Esther McVey resign from the cabinet in protest
Getty
12/20 May resigns – 24 May 2019
After several failed attempts to pass her withdrawal agreement through the commons, Theresa May resigns
Reuters
13/20 Johnson takes over – 24 July 2019
Boris Johnson is elected leader of the Conservative party in a landslide victory. He later heads to Buckingham Palace where the Queen invites him to form a government
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14/20 Parliament prorogued – 28 August 2019
Boris Johnson prorogues parliament for five weeks in the lead up to the UK’s agreed departure date of 31 October.
Stephen Morgan MP
15/20 Prorogation ruled unlawful – 24 September 2019
The High Court rules that Johnson’s prorogation of parliament is ‘unlawful’ after a legal challenge brought by businesswoman Gina Miller
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16/20 Johnson agrees deal with Varadkar – October
Following a summit in Merseyside, Johnson agrees a compromise to the backstop with Irish prime minister Leo Varadkar – making the withdrawal agreement more palatable to Brexiteers
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17/20 Final Say march demands second referendum – 19 October 2019
As parliament passes the Letwin amendment requiring the prime minister to request a further delay to Brexit, protesters take to the streets in the final show of force for a Final Say referendum
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18/20 Johnson wins 80 seat majority – 12 December 2019
The Conservatives win the December election in a landslide, granting Boris Johnson a large majority to pass through his brexit deal and pursue his domestic agenda
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19/20 Withdrawal deal passes parliament – 20 December 2019
The withdrawal agreement passes through the commons with a majority of 124
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20/20 EU parliament backs UK withdrawal deal – 29 January 2020
Members of the European parliament overwhelmingly back the ratification of Britain’s departure, clearing the way for Brexit two days later on 31 January. Following the vote, members join hands and sing Auld Lang Syne
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1/20 Britain votes to leave the European Union – 23 June 2016
A referendum is held on Britain’s membership of the European Union. Fifty-two per cent of the country votes in favour of leaving
AFP via Getty
2/20 David Cameron resigns – 24 June 2016
David Cameron resigns on the morning of the result after leading the campaign for Britain to remain in the EU
Getty
3/20 Theresa May takes the reins – 13 July 2016
Theresa May becomes leader of the Conservative party and prime minister, winning the leadership contest unopposed after Andrea Leadsom drops out
Getty
4/20 High Court rules parliament must vote on Brexit – November 2016 – 3 November 2016
The High Court rules that parliament must vote on triggering Article 50, which would begin the Brexit process
5/20 Article 50 triggered – 28 March 2017
The prime minister triggers Article 50 after parliament endorses the result of the referendum
Getty
6/20 May calls snap election – 18 April 2018
Seeking a mandate for her Brexit plan, May goes to the country
Getty
7/20 May loses majority as Labour makes surprise gain – 8 June 2017
After a disastrous campaign, Theresa May loses her majority in the commons and turns to the DUP for support. Jeremy Corbyn’s Labour party makes gains after being predicted to lose heavily
AFP/Getty
8/20 Negotiations begin – 19 June 2017
David Davis and Michel Barnier, chief negotiators for the UK and EU respectively, hold a press conference on the first day of Brexit negotiations. Soon after the beginning of negotiations, it becomes clear that the issue of the border between Northern Ireland and the Republic will prove a major sticking point
AFP/Getty
9/20 MPs vote that withdrawal deal must be ratified by parliament – 13 December 2017
The government suffers a defeat in parliament over the EU withdrawal agreement, guaranteeing that MPs are given a ‘meaningful vote’ on the deal
10/20 Boris Johnson resigns as foreign secretary – 11 July 2018
Following a summit at Chequers where the prime minister claimed to have gained cabinet support for her deal, Boris Johnson resigns as foreign secretary along with David Davis, the Brexit secretary
Reuters
11/20 Draft withdrawal agreement – 15 November 2018
The draft withdrawal agreement settles Britain’s divorce bill, secures the rights of EU citizens living in the UK and vice versa and includes a political declaration commiting both parties to frictionless trade in goods and cooperation on security matters. The deal also includes the backstop, which is anathema to many brexiteers and Dominic Raab and Esther McVey resign from the cabinet in protest
Getty
12/20 May resigns – 24 May 2019
After several failed attempts to pass her withdrawal agreement through the commons, Theresa May resigns
Reuters
13/20 Johnson takes over – 24 July 2019
Boris Johnson is elected leader of the Conservative party in a landslide victory. He later heads to Buckingham Palace where the Queen invites him to form a government
Getty
14/20 Parliament prorogued – 28 August 2019
Boris Johnson prorogues parliament for five weeks in the lead up to the UK’s agreed departure date of 31 October.
Stephen Morgan MP
15/20 Prorogation ruled unlawful – 24 September 2019
The High Court rules that Johnson’s prorogation of parliament is ‘unlawful’ after a legal challenge brought by businesswoman Gina Miller
Getty
16/20 Johnson agrees deal with Varadkar – October
Following a summit in Merseyside, Johnson agrees a compromise to the backstop with Irish prime minister Leo Varadkar – making the withdrawal agreement more palatable to Brexiteers
Getty
17/20 Final Say march demands second referendum – 19 October 2019
As parliament passes the Letwin amendment requiring the prime minister to request a further delay to Brexit, protesters take to the streets in the final show of force for a Final Say referendum
Getty
18/20 Johnson wins 80 seat majority – 12 December 2019
The Conservatives win the December election in a landslide, granting Boris Johnson a large majority to pass through his brexit deal and pursue his domestic agenda
Getty
19/20 Withdrawal deal passes parliament – 20 December 2019
The withdrawal agreement passes through the commons with a majority of 124
Getty
20/20 EU parliament backs UK withdrawal deal – 29 January 2020
Members of the European parliament overwhelmingly back the ratification of Britain’s departure, clearing the way for Brexit two days later on 31 January. Following the vote, members join hands and sing Auld Lang Syne
AFP/Getty
It is being introduced after a long and public lobbying campaign by the company. Greenpeace said Tate & Lyle had held at least 10 meetings with senior ministers over the last three years.
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The Brexit fight split the UK’s sugar industry, because the company’s main rival, British Sugar, makes its product from beets produced by British farmers – and has attacked the changes.
“This is a sweet deal for a food giant with close ties to the Conservative Party and easy access to ministers, but it’s a bitter one for our environmental standards and farmers,” said John Sauven, Greenpeace’s executive director.
“Ditching tariffs on raw cane sugar will boost imports from a handful of countries, all of which use pesticides banned in the UK for being harmful to wildlife and humans.”
But Mr Mason said: “In Australia and Brazil, which are two countries we’d love to buy more from, they have the highest numbers of sugar producers who are certified for the highest ethical environmental standards in the world.”
He defended Tate & Lyle’s links with the Tories, saying: “Yes, we have ministers visit the refinery to talk about the issues.
“We have Labour Party politicians, we have Lib Dem politicians. Anybody who can help us secure the future of our business in the UK, we will speak to very openly and transparently.”
A Department for International Trade spokesperson said: “The UK global tariff schedule is tailored to the UK economy and designed to back British businesses, ensuring they compete on fair terms with the rest of the world.”
