European Union Bill

Debate between Lord Davies of Stamford and Baroness O'Cathain

Tuesday 5th April 2011 Lords Chamber

[Lord Davies of Stamford]

I think that by a “no-brainer” the noble Lord means giving the same answer to any question that is asked in any context whatsoever: that we should never have gone into the European Union. The noble Lord is fundamentally flawed in his analysis of the national interest in this area, but if I actually addressed his comments I should be making a speech about the reasons why we are in the EU. All I will say is that we have kept control of our borders. We have not joined Schengen although—and we should never forget this—we have a common travel zone with the Republic of Ireland, so we have a mini-Schengen. That is another reason why we cannot simply suppose that we can draw up the moat here and do what the devil we like; we need to discuss with the Republic of Ireland what it is doing in relation to Schengen at any one time, otherwise we should have to set up a border between Northern Ireland and the Republic or something of that sort, which would have all kinds of consequences that we would not want to contemplate.

I mention this to the noble Lord merely because, while I was not very optimistic that I would persuade him about anything, these matters are extremely complex and we cannot act as if we are in isolation in this world. There is a whole range of interdependencies—I was going to say “interdependabilities”—that we have with countries that surround us. That is a natural part of things and we should not reject it. We should be prepared to come to sensible, common-sensical, mutually advantageous arrangements with our partners on a pragmatic basis and we should not cut ourselves off from the possibility of reaching agreement with them—but that is exactly what the Bill does.

What would happen if there were a pragmatic, sensible solution of this kind dealing with, say, provisions concerning passports, identity cards, residence permits and so forth? The British Minister would be paralysed and would not be able to take part in the discussion at all. If the British Minister even started entering the discussion, he would immediately be guilty of bad faith. Everyone around the table would say, “This guy’s not serious; he’s not for real. Il n’est pas sérieux. He’s not going to have a referendum on this but he can’t agree it without a referendum, so why’s he sitting in the room at all? What’s this guy doing wasting our time?”. No one would be so rude and undiplomatic as to say that out loud, but that would be the effect. We would be sending Ministers to Brussels to find themselves in that extremely embarrassing situation. Do we really want to conduct our international relations, let alone those with such important partners and neighbours as our fellow members of the EU, on that basis? It is extraordinary.

Let us look at police co-operation, covered by Article 87(3). It does not need very much imagination, for people who have had some experience of public life like ourselves, to know that out of the blue you can suddenly have a very nasty threat. It can be something to do with terrorism, and clearly we are all concerned about that; there is a Bill going through the House at the moment. I sit on a Joint Committee with the House of Commons examining the contingent terrorist detention Bill, as noble Lords will know. We are rightly concerned that something will happen out of the blue. I will give way to the noble Baroness; I am just finishing my sentence.

[Baroness O'Cathain]

I thank the noble Lord for giving way. As a very interested observer in this debate, I would just like to know what the noble Lord’s latest comments have to do with the amendment. Surely we need just to get through this and see how we feel about it rather than have a great long diatribe about what might happen if we did not do anything else. His comments have nothing at all to do with this amendment.

[Lord Davies of Stamford]

I am afraid that the noble Baroness is completely mistaken, as they have very much to do with the amendment. The amendment would have the effect of taking out of the scope of the Bill decisions falling under Article 48(6). If such decisions were no longer subject to a subsequent referendum, which would be the effect if the amendment of the noble Lord, Lord Kerr, was agreed to, the practical damage done to our country would be less. I hope that the noble Baroness can follow the logic of that. Perhaps she would like me to repeat the point. She is shaking her head, but I would be happy to do so if she does not understand the point because it is extremely important.

I repeat to the noble Baroness that the effect of the Bill as currently drafted is not merely, as she might have supposed from hearing the declarations of her Prime Minister and her Foreign Secretary, to ensure that there is a referendum if ever we have treaty changes or grant increased competence to the European Union. The Bill would have the effect of requiring a referendum on decisions such as those that I have enumerated, including, for example, on police collaboration. The effect of the amendment of the noble Lord, Lord Kerr, and his colleagues would be that we would not need a referendum on those other matters, which are decisions not involving a transfer of powers. That is an important distinction to consider.

I do not say that I would be happy with the Bill if it was simply amended in the way that the noble Lord, Lord Kerr, and his colleagues propose—I would still be very unhappy—but I would be less unhappy with it and the damage done to the national interest would be less, because the kinds of decisions that I am enumerating would be able to be reached. We would be able to take part in those decisions if this amendment went through. It is very important indeed that the noble Baroness understands that important distinction, and I am glad to have had the opportunity to go through it with her.

Let me carry on with the next example in Schedule 1, which is,

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

Again, it is very possible to imagine scenarios in which some sensible, pragmatic arrangement needs to be reached with our European partners on cross-border issues, such as drugs, racketeering or human trafficking, which we are assured is a major problem. Under the Bill as currently drafted, such decisions could not be reached without a referendum, but they could be reached without a referendum if the amendment put forward by the noble Lord, Lord Kerr, and his colleagues was adopted. Perhaps the noble Baroness appreciates that point now.

Another example is,

“adoption of certain environmental measures”.

I totally agree with what the noble Lord, Lord Deben, said about that. It seems to me that it may very well be necessary, if we are to take any practical measures at all in defence of the environment, for us to reach agreement with our continental—and, indeed, Irish—neighbours. Once again, if we are half-serious about the European Union, that is an issue on which we should be able to do business without having to resort to a referendum the whole time.

Another example that is quite interesting—I will come on to “enhanced co-operation” in a second—is,

“changes to list of military products exempt from internal market provisions”.

Perhaps the coalition has not recognised this as yet, but we actually have a very major and successful defence industry—I know something about that—so it is very important indeed that, in so far as possible, our defence industry is able to sell its products within the European Union, where there are no problems of international conflict or anything of that sort. For that purpose, it could be a very good thing if the areas in which we are currently protected against single market legislation in the matter of defence goods should be reduced. That is something on which we may need to come to an agreement with others, so it would be absurd to have a referendum on a matter like that. Of course, once again, we all know that there never would be a referendum; if we enacted this Bill, we would simply be ensuring that, in practice, the Minister could never be party to an agreement.

As I said on Second Reading, it is clear to me that the consequence of enacting this Bill, including its present provisions whereby Article 48(6) decisions would be covered by the requirement for a referendum, would be not to bring the European Union to a halt or to stop the EU doing any business; the consequence would be that we would be de facto excluded from any decisions that were taken. We would simply find that we had a Minister present who had become an embarrassment to us and a joke to others. The Minister would be completely paralysed and unable not only to take part in a decision but to have any influence on that decision. We all know that you can influence discussion, negotiation or the exchange of views only if you can contribute something. I made that point in an earlier intervention. If it is known from the outset that whatever is agreed you will not be a party to it, by definition you have no leverage on the result.

The practical consequences of the Bill as drafted would be appalling. I congratulate the noble Lord, Lord Kerr, and his co-signatories on coming up with an amendment which would seriously mitigate the damage done by the Bill, though it would certainly not by any means remove all of it. However, it would at least reduce that damage, and in that sense is extremely welcome.