European Union Bill

Lord Davies of Stamford Excerpts

Tuesday 22nd March 2011 Lords Chamber

[Lord Davies of Stamford]

My Lords, before I get on to the points I wanted to make this evening, I must deal with the speech we have just heard from the noble Lord, Lord Stevens, because it was such a good example of the classic Eurosceptic speech. It had an absolute maximum of sloganising and an absolute minimum of thought, reflection or familiarity with the facts. I shall take three points on which the noble Lord seemed to be making an egregious error.

First of all, the noble Lord said that the European Court of Auditors has qualified the accounts of the European Union. The Court of Auditors has not qualified the accounts of the institutions of the European Union, the Commission, the Parliament or the Court of Justice. The court has qualified, because it has been unable to certify, the accounts of certain member states in the administration of European Union programmes. If he is consistent, perhaps the noble Lord would be in favour of the Commission taking over the administration of all EU programmes, for example, the structure and agricultural funds within the member states concerned. That is an enormously federalist proposal and I do not think the noble Lord really meant that. He should think about this a little more and perhaps look at the actual statements of the auditors in question.

The noble Lord then started referring to tariffs, saying that 90 per cent of tariffs have been abolished anyway. He has clearly not understood the distinction between tariff barriers being reduced and the creation of an internal market. The whole point of an internal market is that it deals with the non-tariff barriers, the really difficult obstacles to trade. Those problems have been dealt with very successfully by the creation of the single market. That seems to me to be a significant point.

Thirdly, he said that we have been forced to bail out Ireland because of our membership of the EU. Obviously he does not listen to his own Government. Ministers made it absolutely clear the other day that the reason we are contributing to Ireland has nothing to do with our membership of the EU, but is simply because it is in the national interest to help a neighbouring country with which we have a close economic relationship and a lot of ties, and indeed we hold a number of Ireland’s assets that we do not want to write off. The noble Lord needs to think about all these things and perhaps take some advice on some aspects before he addresses the House again on EU-related matters.

The Bill before us has already been described several times as a “bad Bill”. It is worse than that: it is a disreputable Bill and the most cynical Bill that I have ever read—and I say that coolly, reflectively and seriously. I shall explain exactly what I mean in saying that. As has already been pointed out, of course, the Bill was born in cynicism. It has nothing to do with trying to increase democratic accountability in this country or with advancing the interests of this nation. As we all know, it was a decision by the Prime Minister to give a sop to the extreme Eurosceptics in the Tory party to get them off his back, and no doubt to make an attempt at getting some UKIP voters back into the Tory fold. The Lib Dems went along with this and thus have swallowed a lot of their own principles—just as they are swallowing their principles in supporting the Government on their excessively rapid spending cuts, on a Bill to restructure and privatise large tracts of the National Health Service and on the abandonment of their electoral promises on tuition fees and so forth. It is not a very edifying spectacle.

I pay tribute to the brave dissenting voices of a number of distinguished Lib Dems that we have heard in the course of the debate, and I hope that we hear more from them in the course of the Committee stage. But the fact is that the Liberal Democrat Front Bench has completely sold out. That is particularly sad because—

[Baroness Falkner of Margravine]

The noble Lord waxes on about principles, but perhaps I may respectfully suggest to him that he would know a thing or two about them, and indeed the Conservative Party, given where he is today and where he was for many years.

[Lord Davies of Stamford]

The noble Baroness may have better things to do with her time, but if she feels like going over my track record in public life and indeed before, I have to tell the noble Baroness that it is a matter of fact that my first political campaign was conducted on the 1975 referendum. That shows how old I am. I have been absolutely consistent on the matter, as indeed I have on other matters. When I joined the Tory party in 1974, it was actually the pro-European party. The noble Baroness would not have been born or thought of then, so perhaps she has forgotten that fact. I have been extraordinarily consistent.

Neither the Tory party nor, I have to say in all honesty, the Labour Party has been consistent on this matter, but until this moment, the Liberal Party was. We can go back to the 1950s when the treaty of Rome was first conceived and signed. The Liberal Party was the one political force in this country that was in favour of our joining the European Community as it then was, and has been committed to its principles and spirit ever since. Those were the days of Jo Grimond and Lady Violet Bonham Carter. There is thus a personal as well as an intellectual tradition that goes straight back to the internationalism of Sir John Simon to Asquith and Gladstone. What would all those figures be thinking today if they saw the Liberal Front Bench subscribing to a measure like this? It is a very sad day for all of us. I have been happy to pay tribute to the consistency of the Liberal Party and its successor the Liberal Democrat Party until this moment, and precisely because that history has been so honourable up to the present time, today’s picture is a squalid and sad one for the country as a whole.

I said that this Bill was born in cynicism, but unfortunately the cynicism does not end there. The very fabric of this Bill is hypocrisy. The Government state that what they want to do is bring about a situation where there is direct public involvement through referenda and accountability to the electorate as a whole. All I can say, using reasonably parliamentary language, is tell that to the marines. There is no intention to have a referendum on anything at all; there could not possibly be. We know already that this Government are not going to have a referendum in this Parliament while they are still the Government because they have committed themselves not to on any grounds. Horrible thought that it is, let us suppose that the Tory party wins the next election and this Bill remains on the statute book—I take it as axiomatic that a future Labour or indeed a future Labour/Lib Dem coalition Government would immediately rescind this nasty piece of work—so can the House imagine for one second that there would be a referendum on any of this?

Let me remind noble Lords of the sort of subjects that would call for a referendum listed in Schedule 1. They include:

“Article 17(5) (number of, and system for appointing, Commissioners)”.

Are we going to go to the public, spending tens of millions or even hundreds of millions of pounds—I have no idea what it costs to run a referendum—with a referendum on the number of and system for appointing Commissioners? The list goes on:

“Article 19(2) (appointment of Judges and Advocates-General of European Court of Justice)”.

Are we going to have a referendum on that? Possibly we might do so on,

“(specific provisions on the common foreign and security policy)”,

but what about,

“(decision of European Council extending time during which treaties apply to state withdrawing from EU)”?

The scenario there is that a country wants to withdraw from the EU. It is a complicated negotiation, so the suggestion is that we should agree timetables and negotiate with that state on a qualified majority voting basis so that we do not take a month of Sundays agreeing everything or failing to agree anything at all. Are we going to have a referendum on that? Does anyone in the House seriously think that the Government are going to go to the public and say, “Can we please have consent to have qualified majority voting to resolve this particular issue?”.

The list in the schedule goes on and on and includes:

“Article 192(2) (adoption of certain environmental measures)”.

Is the idea of introducing QMV on environmental protection really so shocking that we are going to go to the public with a referendum on it? There is also:

“Article 127(6) (conferral on European Central Bank of specific tasks relating to prudential supervision)”.

Unless the Government have gone completely mad, Members on both sides of the House are in favour of good banking supervision, which probably does not involve 27 people all having to agree unanimously and then going back to their Governments to pass referenda and so forth. Is that a sensible thing to have a referendum on?

Again, I could go on and on. The list includes:

“Article 115 (approximation of national laws affecting internal market)”—

that is hardly shocking, because we have had that for many years—and,

“Article 89 (cross-border operation by competent authorities)”.

What is wrong with that? The most extraordinarily minor things are covered, such as anything to do with the “European Public Prosecutor’s Office”. All of these might be resolved by QMV, but they have to have a referendum. Are we going to the wonderful electors of the Grantham and Stamford constituency and say, “We want you to take the time to look at all these documents about the Public Prosecutor’s Office and then we want you to go to the polls”? I thought that we were all worried about excessive public cynicism about politics and low participation rates in elections. If we start having referenda on this kind of stuff, how can we expect those participation rates to be at all respectable? We cannot, of course.

Anyone who reads this thing will see more of the same. I shall draw attention to something which is the absolute killer argument. It arises in Clause 3(2):

“The referendum condition is that—

“(a) the Act providing for the approval of the decision”—

it is a decision, not a treaty change—

“provides that the provision approving the decision is not to come into force until a referendum about whether the decision should be approved has been held throughout the United Kingdom or, where the decision affects Gibraltar, throughout the United Kingdom and Gibraltar”.

Are we going to ask the British public to go to the polls to determine something that does not affect us but merely affects Gibraltar? Who in this country has ever heard of such lunacy? Cynicism understates the matter. I am looking for a stronger word than cynicism or hypocrisy to describe a situation in which the Government seriously suggest that we will have referendums on these kinds of subjects taking up the time of the British people. Are we going to have dozens of referendums on this kind of nonsense? Of course we are not. This is absolutely through and through false; there is not the slightest intention to have a referendum on any of this.

There is, however, an intention to initiate a freeze—and, if possible, create a crisis—in relations between the United Kingdom and the rest of the European Union which would make it absolutely impossible for us to give even the sensible, pragmatic and reasonable responses required by the evolution of events, which we all know to be necessary. The British Minister there will be completely paralysed and he will become Monsieur Non or Mr Niet, whatever it may be; that will be his role.

That can lead to only two things. Eurosceptics dream that what will happen is that the whole of the European Union, which they hate so much—the speech of the noble Lord, Lord Stevens, is a good example of that—will come to a juddering halt or pack up and go home and that this nasty European Union will dissolve itself or throw in the sponge and give up trying to do a serious day’s work in making sure that the interests and the futures of the peoples of Europe are properly looked after and defended. They may dream that that is going to happen, but of course it is not. The alternative will happen. The EU will proceed under the enhanced co-operation programme, the framework for which has already been created in the Treaty of Lisbon, and we shall be left behind. So that is the real agenda. It is so far from the declared agenda that I stand by my words—cynical and hypocritical.