(10 years, 11 months ago)
Commons ChamberBecause the hon. Gentleman has been so persistent, and because he has written me so many letters and I have written him so many letters, I have had another look at whether there is a better way of doing things. I think the truth is that what we do, if there is a group of people involved in an appalling crime like this, is put them our warnings index and stop them coming to our country. The advantage is that we can then be even more expansive. Of course we know who—[Interruption.] If the hon. Gentleman wants to ask a question, why does he not listen to the answer? I would have thought that a former man of the cloth had better manners than that; I am trying to answer his question. I am assured that we are actually able to be more expansive. There are people we ban from this country who are not on other countries’ Magnitsky lists. I will write the hon. Gentleman a sixth letter and in that way try to make him happy.
As the euro area moves towards political transfer and banking union, is there a growing recognition by other EU member states that the United Kingdom will need a new relationship based on trade and friendship because we cannot possibly be part of that political union?
There is a greater understanding that as the euro deepens with the banking union and other elements—I would argue that countries will one day need greater fiscal union and burden sharing—there is an understanding, which is discussed around the EU table, that the countries that are not in the EU are going to need some guarantees of their own, because otherwise, for instance, we will have a situation where a qualified majority of EU eurozone countries are able to dictate to the rest of Europe what it can and cannot do, and that would clearly be unacceptable. There is a growing recognition that change is required. That is why it is right, after the election, to go into a proper renegotiation and then hold an in-out referendum.
(11 years, 2 months ago)
Commons ChamberIn this area, on this occasion, the G20 rather under-delivered. We have made progress on the exchange of tax information, which is vital, and on the idea that every country has to have a process of transparency for beneficial ownership so that tax authorities can find out who owns what, but the hon. Lady is right that the third leg is further progress on the extractive industries and the extractive industries transparency initiative. We made limited progress, but it was not a strong feature of what we agreed at the weekend.
Given that the United States has been the fastest-growing advanced economy since 2009, based on the exploitation of cheap energy, was there any discussion about what we and others need to do to compete with America industrially? We will need to invest in a lot of cheap energy to keep up.
There was a discussion about energy, and it is notable now that America starts these interventions by explaining that it is the world’s largest producer of oil and gas. My right hon. Friend makes an important point though: we should not be left out in the shale gas revolution. It has helped American competitiveness and energy prices, and I want to ensure that we do everything in the UK to take advantage of it too.
(11 years, 4 months ago)
Commons ChamberTo be absolutely direct, I am not claiming that by air strikes alone we can roll back this problem. What this problem requires is a comprehensive strategy, including a well formed Iraqi Government and well formed Iraqi armed forces, because they in the end will be the ones who have to defeat this on the ground.
Where I disagree with my hon. Friend is on the cause of how this came about. As I have said, there is the background of Islamic extremism, but I would say that the two principal causes of this problem are the fact that in Syria Assad has been butchering his own people and acting as a recruiting sergeant for the extremists, and that in Iraq the Maliki Government did not represent all the people of Iraq. I thought that Ban Ki-moon, in one of the most powerful interventions I have heard him make, got it spot on when he said that missiles can kill terrorists but it is good governance that will kill terrorism. We should have that thought front and back of mind as we debate this afternoon.
Does the Prime Minister agree that the Iraqi Government need a political strategy to win over Sunnis and Kurds in their own country, and is he satisfied that they now know how to do it and will get full diplomatic support?
In answer to the first part of my right hon. Friend’s question, that is absolutely essential. A lot more needs to be done. I met Prime Minister al-Abadi in New York and discussed this very directly with him. We need to make sure that the Government in Iraq are not just supporting the Shi’a community, but bringing together Shi’a, Sunni and Kurd in a united country, with armed forces that are respected by every part of the community. That has not happened yet, but it is happening and I think that President Obama was absolutely right to delay this action until we had an Iraqi Government with whom we can work as a good partner.
(11 years, 4 months ago)
Commons ChamberThe weakness of the Iraqi army was based not on its equipment or even on its training, but on the fact that it was seen as a force that represented only one part of Iraq. That demonstrates the importance of focusing on politics as well as on military issues. What is required—I think the Iraqi army will not succeed until this happens—is a Government of Iraq who represent all of Iraq, and Iraqi security forces that can make the same claim.
Do not recent events show the need for us to control our own borders? Should not that be central to our new relationship with the EU, so that its weakest border is not our border?
(11 years, 7 months ago)
Commons ChamberWell, that is not the outcome that I seek; I want to secure a reformed European Union, and I want Britain to be part of that reformed European Union. I have to say that the problem with the hon. Gentleman’s position is that the Opposition do not seem to see anything wrong with the status quo. It is only those on this side of the House and in my party who know that we need serious change in Europe before we hold that referendum.
I congratulate the Prime Minister on—[Interruption.] It is now time for all sensible political leaders to argue for the UK. We are not in the euro and we do not want to join the political union. Only with strong leadership can we have a relationship that makes sense for Britain.
I thank my right hon. Friend for his remarks. I think that the Opposition were rather hoping that we would all be falling out over the European issue, but they can see that we are absolutely united in doing the right thing for Britain.
(11 years, 7 months ago)
Commons ChamberIndeed. The parties that voted against the boundary proposals have a lot to answer for. Again, that is unfair to England and to those constituencies that have many more voters than the average and that looked for some justice to be brought in through sensible reform. If this place is to work, we must surely work towards a world where we all represent roughly the same number of people. That is the kind of proportional representation that I believe in.
I hope that Scotland votes to stay in the Union. I think that that is likely because, had there been a tidal wave of opinion in favour of independence for Scotland—if that really was the wish of many people in Scotland—surely in the general election of 2010, the Scots would have voted in 30 or 40 Members of Parliament who were rooting for independence for Scotland. We would have taken that seriously and would have had to listen to them.
I am grateful to my right hon. Friend for allowing me to intervene. May I say how much I agree with him that in the next Parliament, we must address the issue of equal-sized constituencies? I ask his forgiveness for the ultimate insult, which is that I will leave his speech to depart for Brussels. Sadly, that is what I have to do because the G7 is starting in a few hours and I do not want to be late. I do not want to do him any discourtesy, so I wanted to point that out while commending his strong passion for equal-sized constituencies, which are a key democratic reform.
I am grateful to the Prime Minister for his courtesy. He has been courteous to stay as long as he has given that he has such pressing engagements. He illustrates the point that I wish to move on to, which is how much Brussels dominates our proceedings and our government, but I will first complete my Scottish point.
The most likely need that we will face after the Scottish referendum is the need to look at the question of lop-sided devolution. I would be happy to extend more powers to the devolved Scottish Parliament, but I want to be a voice for England and I do not think that we can carry on doing that without England having a settlement as well.
In the less likely event that the Scottish nationalists get their wish and there is a vote for independence, I will be one of the first to congratulate the Scots and help them in any way towards a smooth transition. However, I will want them to be genuinely independent. I will not want us to pretend that there is some kind of special relationship that is rather like a federal system. If people wish to be independent, they should be independent.
In that event, I propose that the House of Commons should immediately pass legislation saying two important things. The first is that the 2015 general election will not apply in Scotland and the current Members of the Westminster Parliament from Scotland should continue for as long as it takes to complete the process of separating the countries. There would be no point in having the expense and nonsense of a general election in a country that was leaving the Union. The second thing, which the hon. Member for Na h-Eileanan an Iar (Mr MacNeil) might like less, is that the Scottish MPs should play no part in any discussions about non-Scottish business in this place and no part in forming the response of the rest of the United Kingdom to their wish to be independent.
(11 years, 10 months ago)
Commons ChamberAs ever, the hon. Gentleman speaks powerfully about these issues, and those are the sorts of things we can take into account when looking at individuals who will be affected by travel bans and asset freezes. On historical analogies—a number of people are making such points—I think that perhaps the best ones to draw are by looking at what happened to Georgia and the frozen conflicts of South Ossetia and Abkhazia, and in Transnistria. There is a pattern, and we need to interrupt it by the European Union and member states, with our American allies and others, taking a strong stance.
Will the Prime Minister now seek fundamental changes in EU energy policy? Some member states are far too dependent on Russian gas, and the rest of us are far too dependent on intermittent, dear and scarce sources of energy, owing to EU directives. Do we not need to get control of our power to be able to reply?
My right hon. Friend is entirely right. Here in the UK, we are not reliant to any significant degree on Russian supplies of gas, but some countries in Europe receive 60% or 70% more of their gas from them. As a European Union we need to think about how to make ourselves more resilient as a group of countries, and part of that will be by completing the European energy single market, which will make a difference to those countries. This is clearly a good moment to press that concern in Europe and get more done.
(12 years, 3 months ago)
Commons ChamberI make no apology for coming to this House and repeating the policy prescriptions we need to achieve in Europe. We have a very consistent record of going after completing energy, completing digital and completing services. That is what will make a difference. It is hard work in Europe—it is hard going —but we are making progress.
The Leader of the Opposition asked a number of questions; let me answer all of them. On electricity disconnections, more than 200,000 people are currently disconnected and work is under way to reconnect them. Obviously, circumstances will differ in each case, so it may take longer for some than others.
I very much welcome the fact that there is cross-party agreement on the intelligence services. Over recent years, we have put in place—under Governments of both parties—very good arrangements for governing our intelligence services and we should be proud of the work they do.
On the EU-Canada trade deal, the right hon. Gentleman is right that there is still more to do. I think that the most difficult decisions in principle have been made, particularly on key areas such as beef and dairy, so I do not expect this to take a long time. The pressure is on, because everybody knows that the EU now wants to turn to the bigger deal with America, so the Canada deal needs to be wrapped up.
On digital and the single market, there is quite a lot of detail in paragraphs 5 to 9 of the communiqué about the specific progress on individual items. Whether they are telecoms, data or rules for e-commerce, a huge number of detailed changes have to be made.
I reassure the right hon. Gentleman that we have looked very closely at the data protection directive. The effect of the current draft would be to add more than £300 million to the costs of UK business. It would mean that quite small businesses that do market research, for example, would have to employ one extra person simply to comply with the directive. We need a directive in order to make the digital single market work properly, but the current draft is wrong and we should hold it up so that we get it right.
On deregulation more generally, I hope the right hon. Gentleman will read the report, which is excellent because it comes up with good principles that should be adopted in Europe, such as the one-in, one-out principle that we have adopted in the UK. It also makes 30 recommendations for directives to be scrapped, amended or in some cases completed. It is a good report.
On unemployment, let me answer the right hon. Gentleman specifically. The UK youth unemployment rate is below that of France, Italy and the EU average. It is down over the quarter. The youth claimant count is down 79,000 since the last election. There is much more to do, but the fact is that just this morning we announced 100,000 extra training opportunities for young people and there are record numbers of apprenticeships—they are now running at twice the rate they were under the previous Labour Government.
The right hon. Gentleman made a number of economic predictions that rather reminded me of other predictions he has made over the years. He told us in 2010 that our policies would lead to a loss of 1 million jobs. That was completely wrong: we have added 1.4 million private sector jobs. In 2012 he was still saying, amazingly, that the loss of public sector jobs would not be made up for by the growth of private sector jobs. Again, he was wrong: we got 1 million more people in work.
As late as June this year, the shadow Chancellor, who is not in his place—presumably he is sorting out Labour’s HS2 policy—said that we would choke off growth, and yet the truth is that this year we are forecast to grow more than twice as fast as Germany. Those are the results we are getting both here and in Europe.
During the summit, did the Prime Minister manage to raise the issue of energy prices? EU regulations mean that we have much dearer energy than America or Asia, and I seem to remember the previous Government willingly signing up to those proposals. They are clearly a competitive impediment to us.
There was no specific discussion about energy prices, but one of the proposals of the business taskforce report is to ensure that we do not add to the cost of, for instance, shale gas extraction. That was very much welcomed by other member states. We need to consider how regulations add to the costs for energy consumers.
(12 years, 4 months ago)
Commons ChamberThe motion that we put before the House spoke specifically of there being a UN vote—a UN process—and not then some sort of rush, as the right hon. Gentleman likes to say, to military action. It specifically mentioned that there would have to be another vote, but he voted against that motion. It did say that there would be another vote, but the point he makes is important. Of course we always favour taking things to the United Nations, but in the end we have to make a decision in this House and the Opposition have to make a decision too: do we think it is right to confront those who use chemical weapons? I think it is.
I read reports that the Prime Minister had a very welcome meeting with the German Chancellor to discuss member states of the EU having more control over economic migration and benefit systems. Is this true, and is there any news about the timetable for this welcome work?
I have many discussions with Angela Merkel, the German Chancellor. At the G20, most of our discussions were about Syria rather than about reform of the European Union, but we have had good discussions about the reform of the European Union. The stance that the German Government have taken is very helpful and I will continue to discuss that with her.
(12 years, 7 months ago)
Commons ChamberI have great respect for the former Home Secretary, and I know that he knows how important the issue of comms data is. I hope that, when we bring forward proposals, we will have support from across the House of Commons for them. Comms data were mentioned in the Queen’s Speech, and we have specifically said that we want to look at how we can match IP addresses, because that is such an important part of what needs to be done. We should look at all the options, including non-legislative approaches, so that we can make some progress on this important issue. I look forward to having the right hon. Gentleman’s support, and to hearing his explanation to others in the House of how important this is.
I welcome the Prime Minister’s efforts to get us cheaper energy through shale gas, but did the EU recognise that its regulations and energy policies are making us completely uncompetitive in world markets, destroying jobs and giving us energy that our elderly cannot afford?
I think it is important that we ensure that Europe does not make the situation worse through new regulation that could stop the exploitation of shale gas. That was part of what we discussed at the European Council. Also, there is an opportunity to get cheaper supplies of energy if we can increase competition within the single market, and that should be the aim of our policy.
(12 years, 11 months ago)
Commons ChamberThe right hon. Gentleman is right to raise this. The Commission proposal—heading 5, on EU bureaucracy—was €63 billion over the seven-year-period. That was cut back to €61.6 billion, but it is disappointing. Looking at levels of pay, levels of benefit and some of the special payments that people receive, there is a range of reforms that could be made. We must go on arguing for them in the annual budget process and go on working with allies. I think it is now understood across Europe that there are generosities that simply are not defendable.
I congratulate the Prime Minister heartily on a very professional outcome to the negotiations. Will he take this opportunity to ask all party political leaders in this country to urge their MEPs to uphold this deal and to vote for it in the European Parliament? I am sure Conservatives will, but the public would not take kindly to being let down by MEPs after he has done so well.
My right hon. Friend makes an important point. All the UK MEPs account for a decent percentage of the European Parliament, so it makes a real difference if socialist MEPs and Liberal MEPs from Britain vote for this budget, and they should do so in an open, transparent manner. The idea of having a secret ballot in a Parliament seems to me completely wrong. The fact is that you send MEPs to Brussels—and, regrettably, to Strasbourg—so you can see what they do on your behalf.
(13 years, 1 month ago)
Commons ChamberThe right hon. Gentleman makes an extremely good point. This is not a fully fledged banking union; it is simply the first step in terms of a single supervisor. A banking union as we in the United Kingdom would know it would cover the resolution of problems in banks and deposit guarantees. If a bank in England, Scotland, Wales or Northern Ireland has problems, it does not make any difference because we have a proper banking union. They are a long way from that in the European Union. The point I was making is that these discussions are going to go on for quite some time, because they involve big issues of national sovereignty, so it will take time before they get a banking union.
If we are to have growth in Europe, we need to have banking reform both to recapitalise the banks and to write off the bad loans and assets. Is there any timetable for raising the huge sums that the euro area will need to capitalise its banks, and when is the ECB going to make the Spanish and other weak banks in the system write things down to a realistic level so that we can start to trade away from the disaster?
My right hon. Friend asks an important question, which reminds me that I did not answer the former Chancellor’s question about the Spanish banks. There will be opportunities to deal with that, but in the light of the way in which this is being structured, further progress will need to be made under the banking union proposals before the sorting out of Spanish banks can take place. Many in the eurozone would argue that all those delays are damaging to the future of the eurozone. On bank recapitalisation, stress tests have been carried out in Europe, although some people argue about their robustness, but that was not the focus of discussion on this occasion. This was not so much about banking capital as about the process of a banking union.
(13 years, 3 months ago)
Commons ChamberI hate to disappoint the right hon. Gentleman, but we are not having an in-or-out referendum on the European Union tomorrow. I want us to achieve a new settlement between Britain—the United Kingdom—and the European Union and to put that new settlement to fresh consent. That is what should happen. I think that the idea of an in/out referendum is wrong, because I neither support the status quo nor think that leaving is the right answer.
I warmly welcome the Prime Minister’s wish to have a new settlement with the European Union and encourage him to negotiate just that. Is not our veto over a six-year budget perspective for which the others want a huge expansion of spending the opportunity to negotiate that new settlement?
The point about the European budget is that we need to maximise our negotiation leverage on that specific issue, as we are part of this union and we want it to have a sustainable budget. As I wrote in the letter of 18 December 2010,
“payment appropriations should increase, at most, by no more than inflation over the next financial perspectives”—[Interruption.]
The shadow Chancellor asks from a sedentary position what our leverage is, and it is very simple. The decision must be agreed by unanimity. Tony Blair, when he sat in that seat, gave up our rebate without any need, but we will not do that.
(13 years, 6 months ago)
Commons ChamberI have great respect for the right hon. Gentleman, and what he says about the eurozone agreements at the weekend is absolutely worth listening to and having regard to. The point I would make is that for the first time in a long time there was a series of steps that countries such as Britain had been calling for about using the facilities to buy bonds and about direct recapitalisation of banks. They are hedged around with all sorts of ifs and buts, but that was progress. On the truth and reconciliation commission issue, I note that the right hon. Gentleman said that a full independent public inquiry is not the right way ahead. I think the way ahead we have suggested will be swift enough, but also strong enough to get to the answers—and to get to them quickly.
Given that there is practically no unpledged money left in the current bail-out fund and given that the new bail-out fund does not exist, did the member states assembled discuss how they are going to get hold of the £500 billion or more that they might need, and are they proposing to borrow it on the credit rating of countries such as Spain and Italy?
As ever, my right hon. Friend is incisive at getting to some of the difficulties in what is being proposed. I think we should be pushing the eurozone members into taking the short-term steps to try to help with financial stability, which buying bonds, directly recapitalising banks and sorting out issues of seniority are all about. We have to recognise the great difficulties they are going through in trying to raise adequate amounts of finance, but none the less it is in our short-term interests that they do deal with the crisis at the heart of the eurozone, because the high interest rates in Italy and Spain are not only hurting Italy and Spain; they are hurting us, too.
(13 years, 8 months ago)
Commons ChamberI have great respect for the right hon. Gentleman, and he raises absolutely the right point. I would say that the German approach is changing, to an extent, because the Germans know that alongside deficit reduction plans, in a single currency, there needs to be greater co-ordination of that single currency. Their concern is that they do not want to take their foot off the deficit reduction until they have more of a political system around the single currency. I understand their concern. This is one of the reasons that I never wanted to join a single currency; I have always believed that a single currency involved a sort of single economic government. The struggle is to try to convince countries in Europe that, alongside deficit reduction, they need a more active monetary policy, a European Central Bank that stands behind the currency, and the structural reforms, such as completing the single market, that we have always argued for.
I welcome the emphasis on growth. Does the Prime Minister agree that the Bank of England and the banking regulators in the UK need to amend their method of operation to ensure that sufficient money and credit are available to fuel a private sector-led recovery, rather than simply providing more cheap money for the state? Could they not learn from America, which is doing that very well, in order to avoid the problems that Europe is being plunged into by doing it far worse than we are?
My right hon. Friend makes an important point. When I say “active monetary policy”, I do not simply mean a central bank that engages in quantitative easing, or whatever. We need to ensure that all the monetary institutions of a country, including its banks, are properly capitalised and properly working. Around Europe, there is a lot of work that needs to be done on that.
(14 years, 1 month ago)
Commons ChamberLet me say to the right hon. Lady that I went to Brussels wanting a result at 27, but there were safeguards that I believed that Britain needed. Frankly, you can have all the experience of negotiating in the world, but if you are not prepared to say no from time to time, you do not have any influence or power.
I congratulate my right hon. Friend on his excellent statesmanship. Does he agree that Britain has much more negotiating strength today, because Europe knows that it is dealing with a Prime Minister who will say no if he needs to, than when we had two Prime Ministers who gave in to bad deal after bad deal, including giving away our rebate for no good reason?
I am grateful to my right hon. Friend. It is the case that on too many occasions under the previous Government, Britain was outnumbered, but on the issue of the rebate, it was given away for nothing in return simply because they wanted to go along with a cosy and comfortable consensus. Sometimes it is necessary to say no. In my judgment, we did not have the safeguards that we needed, so, as a result, it was right not to agree to this treaty.
(14 years, 2 months ago)
Commons ChamberWith great respect to the hon. Lady, this Government—and to an extent the Governments whom she supported—have made and kept promises about things that our constituents care about, such as development and climate change. We are meeting those. As for being a good neighbour, one of the most unneighbourly acts someone could perform when the whole world is looking at growing the resources of the IMF to safeguard the global economy is to walk away from that and vote against it—something that I know that quite a lot of Labour MPs, probably including some on the Front Bench, are rather ashamed of. Such an act would show them to be not only not a good neighbour, but on another planet.
As there is a danger of the euro crisis now spreading to Italy, can the Prime Minister tell me what the leaders of euroland have said they will do by way of buying Italian bonds or offering subsidised loans to Italy to head off the crisis in the market there?
My right hon. Friend asks an important question. It goes back to the question that the Father of the House asked, about the actions of the ECB. The ECB has been intervening in markets and buying bonds of countries that are under pressure. That is what makes it so difficult to understand why some in Europe are so opposed to the ECB being more of a monetary activist, if I could put it that way. The key with Italy—everyone should be careful about speculating about another country—and the point I made in my statement is that Italy must demonstrate that it has a credible fiscal path. That is as much about the confidence of the markets that it will be able to pay its deficit and pay its debts. If it can do that, its interest rates will fall.
(15 years, 6 months ago)
Commons ChamberI am very keen on recommendations of the Home Affairs Committee. Another of its excellent recommendations was a border police force. On intercept, we all, I think, want to see that happen. We all want more of those accused of terrorism to go through the court process, and to be tried, convicted and imprisoned—and intercept evidence would be hugely helpful. However, it is extremely difficult to do. One of the greatest enthusiasts in the last Parliament—apart from myself—for intercept evidence being available in court was the former Member for Folkestone, Michael Howard. He was on that Committee, but did not find a way to make this happen, so let us not overestimate how easy it is to do; it is not easy at all.
I strongly welcome the Prime Minister’s approach. Does he agree that recent years have shown that targeted surveillance and intelligence are much more successful at defending a free society than an ever greater extension of guards, guns and gates? This is why his work is so important. We need intelligence services that command universal respect and get to the truth as quickly as possible.
My right hon. Friend is completely right. We need a robust and hard-nosed defence of our liberty, which means having security services that can work properly. That is why today’s announcement is important. However, we do not need what I would call ineffective authoritarianism, of which we had a bit too much under the previous regime—although I do not want to get political, as this is not a political day.