All 10 Debates between Lord Davies of Stamford and Baroness Warsi

Wed 18th Jun 2014
Tue 13th May 2014
Tue 18th Mar 2014
Tue 4th Mar 2014
Thu 9th Jan 2014
Wed 10th Jul 2013
Tue 18th Jun 2013

Russia: Arms

Debate between Lord Davies of Stamford and Baroness Warsi
Wednesday 18th June 2014

(10 years, 6 months ago)

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Baroness Warsi Portrait Baroness Warsi
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My noble friend makes an incredibly important point. Our common interests with Russia—and, indeed, any differences—go well beyond just the dispute in Ukraine. We have many interests on which we have worked together, whether with regard to Syria or, more recently, Iran. It is therefore important that we keep those diplomatic routes open to continue trying to resolve those matters.

On Ukraine, I have stood at this Dispatch Box and raised concerns about the amassing of troops on Ukraine’s borders. It has therefore been right for us to send air defence support for monitoring in the region, to make sure that our allies feel that we are there and are supportive.

Lord Davies of Stamford Portrait Lord Davies of Stamford (Lab)
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My Lords, I totally agree with my noble friend that the culmination of the considerable arms build-up, year after year, by Mr Putin, along with ourselves and the rest of the EU cutting our defence expenditure is extremely dangerous and should not be sustained. Would it not be deplorable and shameful if we reached a deal with Mr Putin on the basis of which the Crimeans could exercise self-determination if they wished to join Russia but Ukraine could not exercise democratic self-determination if it wished to join the EU and NATO?

Baroness Warsi Portrait Baroness Warsi
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Each country must have the right to determine its own future, and Ukraine has indicated that it would like a closer relationship, certainly with the EU. Membership of NATO is not on the cards at the moment as regards Ukraine. However, ultimately, this is a matter which the Ukrainian people have to decide through their legitimately elected Government.

Ukraine

Debate between Lord Davies of Stamford and Baroness Warsi
Tuesday 13th May 2014

(10 years, 7 months ago)

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Baroness Warsi Portrait Baroness Warsi
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The noble Lord is right that Russia’s actions contravene its obligations under the UN charter, the OSCE Helsinki Final Act and the 1997 partition treaty on the status and conditions of the Black Sea fleet and are in breach of its commitments under the Budapest memorandum signed in 1994. Russia is not following a plethora of its obligations.

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Baroness Warsi Portrait Baroness Warsi
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First, in relation to the point on recess, my understanding is that apparently the number of recess days does not exceed what has happened in previous years. As a Minister who is part of this coalition Government, I cannot remember the last time I had recess.

On the economic consequences, it is already clear, for example from the recent downgrade of growth for Russia’s economy from 2.3% to 0.2% this year, the $63 billion capital flight and the downgrading of Russian bonds, that this is having a real impact on Russia’s economy. The format for making sure that these sanctions are having an impact has been, among other things, the EU Foreign Affairs Committee. It is because there is constant planning happening that when there is an escalation in the situation there is an escalation in sanctions, and those sanctions are biting.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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The Minister said a few moments ago that she was very careful about language. I put it to her that her right honourable friend the Foreign Secretary was most unfortunate in his language in one section of the Statement, when he said:

“We demanded that Russia move its troops away from the Ukrainian border”.

I do not need to remind the House and the Minister that Russia’s troops are, unfortunately, already within the Ukrainian border, in Crimea. It is most unfortunate, undesirable and dangerous to use language that implies that, even if we have not accepted that situation formally or legally, we have somehow psychologically acquiesced in the annexation by Russia of Ukraine.

Does the Minister agree with me that President Putin will naturally take whatever he thinks he can get away with? The sanctions that we imposed on him after the illegal annexation of Crimea were so footling—at the time I think that I described them as “derisory”—that it is hardly surprising that he has come back for a bigger bite. Does the Minister accept that, if we are going to need new sanctions, they had better this time be a great deal more powerful, because she has a very considerable credibility gap to cover?

Baroness Warsi Portrait Baroness Warsi
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I have outlined the impact that the sanctions are already having. We are designing these sanctions in such a way as to have a maximum impact on Russia with the minimum impact on others—but, of course, there will be an impact on others, including on ourselves. HMG do not accept—the Foreign Secretary has said this on numerous occasions—the illegal annexation of Crimea. I do not think that anything in the Statement suggests that we do.

Ukraine

Debate between Lord Davies of Stamford and Baroness Warsi
Tuesday 18th March 2014

(10 years, 9 months ago)

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Baroness Warsi Portrait Baroness Warsi
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My Lords, I will have an opportunity to consider that specific question and will make sure that it is answered during this debate if we have that information.

On 6 March, an extraordinary meeting of the European Council in which the Prime Minister played a pivotal role agreed a three-phase approach to stand up to Russia’s illegal behaviour: first, immediate steps to respond to what Russia has done; secondly, urgent work on a set of measures to follow if Russia refuses to enter dialogue with the Ukrainian Government; and, thirdly, a set of further, far-reaching consequences should Russia take further steps to destabilise the situation in Ukraine.

I am sure that your Lordships would appreciate more detail on each of those steps, and I will take them in turn. First, as a response to what Russia has already done, immediate steps have already been taken. We have suspended preparations for the G8 summit in Sochi indefinitely. We have withdrawn royal and ministerial visits to the Sochi Paralympic Games. Work on a comprehensive new agreement on relations between Russia and the European Union has ceased, and the EU has suspended discussions on a more liberal visa regime in the Schengen area—a long-standing goal of Russian policy.

In the second phase, and in company with other allies, we have worked to persuade Russia to negotiate with the Government of Ukraine about their concerns rather than resorting to illegal measures. We have pushed for the creation of a contact group, first proposed by the Prime Minister back in January. The European Council agreed that such talks should start within a matter of days or further measures would be adopted—the so-called second phase. Yesterday, on 17 March, the Foreign Affairs Council agreed additional measures including asset freezes and travel bans against 21 individuals responsible for actions which undermine or threaten the territorial integrity, sovereignty and independence of Ukraine. These measures are in addition to those already agreed against Yanukovych and his circle.

Lord Davies of Stamford Portrait Lord Davies of Stamford (Lab)
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Has the Minister noted President Putin’s contemptuous remarks about those sanctions this morning? Did she also note that yesterday the Russian stock market rose by more than 5% in one day with relief that the sanctions were so weak and shallow? In effect, have these sanctions not been so derisory as to ensure that the Russians feel that there is hardly any cost at all to them in taking over Crimea, which has a great psychological as well as a strategic significance for them? It was really cheap at the price that we have set.

Baroness Warsi Portrait Baroness Warsi
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My Lords, I did notice the specific comments to which the noble Lord refers. We fundamentally believe that the issue of sanctions will work; indeed, it has worked in a number of scenarios in relation to other foreign policy matters. These sanctions are currently being kept under review and the situation as it develops will be responded to with further measures, including further sanctions.

Thirdly and most significantly, the Council agreed that if further steps were taken by Russia to destabilise Ukraine there would be “additional and far-reaching consequences” for the relationship between Russia and the EU, including,

“in a broad range of economic areas”.

The Prime Minister played a leading role in helping to reach this agreement, including through convening a meeting with fellow leaders from France, Germany, Italy and Poland on the morning of the Council. Such sanctions would have consequences for many EU member states, including Britain, but the Government believe that the costs of not standing up to aggression are far greater.

Finally, the Council sent a clear message of support to Ukraine by agreeing to accelerate the signature of the political part of the EU’s association agreement with Ukraine and by unilaterally lowering trade tariffs. The EU has now frozen the assets of 18 people linked to the former regime, and Britain has deployed a team to Kiev from our National Crime Agency to help the new Ukrainian Government track down misappropriated funds. Ukraine also needs support for its economy. My right honourable friend the Foreign Secretary has been at the forefront of efforts to co-ordinate an international package of support for Ukraine, drawing principally on IMF and EU funds.

The Prime Minister announced last week that we would review all UK bilateral military co-operation with Russia. Today, my right honourable friend the Foreign Secretary has announced that we have suspended all such co-operation, including the signing of the military technical co-operation agreement, along with the cancellation of this year’s France-Russia-US-UK naval exercise and the suspension of a proposed Royal Navy ship visit to St Petersburg and of all senior military visits. We believe that under current circumstances, there is a compelling case for EU member states to suspend export licensing for military and dual-use items destined for units of the Russian armed forces or other state agencies which could be, or are being, deployed against Ukraine. The UK has now, with immediate effect, suspended all licence and application processing for licences for direct export to Russia. We will also suspended licences for exports to a third country for incorporation into equipment for export to Russia where there is a clear risk that the end product could and will be used against Ukraine.

A major focus for the interim Government in Ukraine and the international community is to ensure that the pre-term presidential elections called for 25 May are properly conducted, enabling all Ukrainians, including Russian speakers and minorities, to choose their leaders freely. Britain is providing technical assistance to support these elections and to assist with reforms on public finance management, debt management and energy pricing.

Europe is facing a grave challenge to the peace and security that we have worked so hard to build since the end of the Second World War. That security has hinged on respecting the territorial integrity of our neighbours. History has taught us many hard lessons about the dangers of turning a blind eye when the rights of fellow Europeans are being threatened. I am sure noble Lords will agree with the Prime Minister’s recent statement that we must stand up to aggression, uphold international law and support the Ukrainian Government and the Ukrainian people. They surely have the right to make their own choices about their own future. That is right for Europe, right for Ukraine and right for Britain.

The reality on the ground in Ukraine has constantly changed over the past few weeks and, regrettably, will continue to do so. I have sought to keep the House regularly informed through debates and Questions and have benefited from the expertise and knowledge of noble Lords from all sides of the House. Today’s debate is another timely opportunity to update noble Lords and to take note of the interventions, suggestions and views of the House.

Ukraine

Debate between Lord Davies of Stamford and Baroness Warsi
Tuesday 4th March 2014

(10 years, 9 months ago)

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Baroness Warsi Portrait Baroness Warsi
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I hear what my noble friend says, but I am not entirely sure that this is the kind of discussion that we should be having at the Dispatch Box at this time.

Lord Davies of Stamford Portrait Lord Davies of Stamford (Lab)
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My Lords, there is a very widespread feeling in the world that Vladimir Putin’s ultimate ambition is to restore the frontiers of the Soviet empire and the Tsarist empire. If he succeeds in de facto occupying—or even, one might say, de facto annexing—the Crimea, that surely will be a great encouragement to him to proceed with that agenda a bit further; in fact, he would probably become a great hero to nationalist sentiment in Russia. Against that background, is it not important that not only do we have the right sanctions to apply if it is not possible to achieve some diplomatic solution over the next few days and weeks, as we all hope, but also that we look again at the long-term signals that we are sending to Russia? We should review two things in particular: first, the dependence of the European Union on Soviet, or rather Russian, natural gas—surely as an urgent strategic priority we should try to reduce that—and, secondly, the deplorable signal that we, along with many other EU countries, have been sending in reducing our defence expenditure. Terrible tragedies have happened in history because the wrong signals were sent to a potentially aggressive party.

Baroness Warsi Portrait Baroness Warsi
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My Lords, no doubt there is previous history in a very similar matter. We can draw parallels between Russia’s intentions in what is happening now with what happened not so long ago in relation to Georgia. That is something that we are acutely aware of. Only last week we were talking about sanctions with regard to Ukrainian politicians and now here we are talking about sanctions of a completely different kind. That just shows how quickly the situation is moving on the ground. We have already seen some of the consequences of sanctions and economic costs in what is being felt within Russia in relation to both its currency and its stock exchange. As to what is now happening and the consequences of Russia’s actions, it is important that we keep up that pressure. I do not think that a military option is on the table—the noble Lord opposite was kind enough to refer to that—and therefore I do not draw any parallels in relation to defence expenditure.

European Union (Referendum) Bill

Debate between Lord Davies of Stamford and Baroness Warsi
Friday 24th January 2014

(10 years, 10 months ago)

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Lord Davies of Stamford Portrait Lord Davies of Stamford
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Why is the noble Baroness continuing to use “we”, referring to the Government, when she says that she speaks merely on behalf of the Conservative Party? The list of so-called achievements she has just reeled off are—if they are achievements—achievements of the Government as a whole.

Baroness Warsi Portrait Baroness Warsi
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They are—and that Government are headed by a Conservative Prime Minister and a Conservative Foreign Secretary, who have led on these matters in the negotiations.

EU: Reform

Debate between Lord Davies of Stamford and Baroness Warsi
Thursday 9th January 2014

(10 years, 11 months ago)

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Baroness Warsi Portrait The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi) (Con)
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My Lords, I thank and congratulate my noble friend Lord Dykes on securing this debate on an issue of such significance to the United Kingdom. It has been a great starter for the main meal of a debate which I sincerely look forward to tomorrow. I am sure that many of the issues that have been raised today will be raised again tomorrow.

This Government are clear that membership of the EU is in the UK’s interest. We are also clear that the EU urgently needs to reform. As the Prime Minister and Deputy Prime Minister set out in speeches last year, the EU needs to become more competitive, more flexible and more democratically accountable, with powers flowing both ways and fairness between eurozone and non-eurozone members. I am delighted to hear the noble Lord, Lord Liddle, say that he agrees with almost 80% of the Prime Minister’s speech from last January. He also agrees with the need for reform, and it would be interesting to hear specifically the areas that he does not agree with. I certainly look forward to hearing from the Benches opposite in relation to how they feel the British people could also have their say in relation to these matters.

It is the Government’s priority to engage with all member states and the European Union institutions to make these reforms, which we feel are essential, a reality. Some have suggested that the UK is seeking special treatment in Europe. I want to be very clear on this. The reforms that we seek are for the benefit of all member states, and we are working with them to achieve this. My noble friend Lord Howell of Guildford said exactly that.

It is not as the noble Lord, Lord Giddens, described. I am pleased to say that we are already making significant progress, and I do not accept what my noble friend Lord Dykes said in his analysis. Let me give him a few examples of what I think our approach is already doing in terms of making a difference. We worked closely with countries such as Sweden to achieve a double majority voting rule, which provides a safeguard for non-eurozone members in banking union decisions and makes sure that our voice is heard.

We worked with other member states, including Denmark, Germany, Sweden and the Netherlands, to abolish the policy of—

Lord Davies of Stamford Portrait Lord Davies of Stamford
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Will the noble Baroness tell the House the reasons which make it not in the national interest to be part of the banking union?

Baroness Warsi Portrait Baroness Warsi
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To be part of the banking union we would have to be part of the euro, and I am certainly not going to spend this debate debating the benefits of membership of the euro.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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The noble Baroness is, with respect, wrong about that. A number of countries are joining the banking union who are not members of the euro, though they may join the euro of course. The banking union involves a common supervisory, common bank resolution and a common retail deposit insurance system which can be applied to countries which are not currently in the euro.

Baroness Warsi Portrait Baroness Warsi
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I will look into this matter again. My understanding was that the banking union flows from the single currency and not from the single market, and therefore I will look at this question again and write to the noble Lord once I have considered it.

I was talking about work that we had done with the Danes, the Germans, the Swedes and the Dutch to abolish the policy of “discarding” caught fish as part of a wholesale reform of the common fisheries policy. We have secured the first ever exemption of micro-businesses from new EU proposals from 1 January of last year. We have worked with a coalition of countries to secure the first ever cut to the EU’s budget. We could have done none of this alone. Our engagement with other member states has been, and will continue to be, key. We will continue to work closely with our partners to further the good work on international trade agreements and cutting red tape to make Europe more competitive. We will work with others to ensure that the rights of eurozone-“outs” are protected as the eurozone puts in place the necessary governance arrangements to secure its long-term stability and safeguard the position of the single market.

We will continue to seek greater democratic accountability within the EU, particularly through strengthening the role of national Parliaments, and ensuring that the principles of subsidiarity and proportionality are respected. We will continue to position ourselves at the heart of the debate on the interests that matter most to the United Kingdom.

I think that the reading of the Government’s position on the part of the noble Lord, Lord Davies of Stamford, is simply wrong. We have been clear that membership of the EU is in the UK’s interest. On many occasions, the noble Lord has heard me detail at this Dispatch Box what I feel those interests are.

My noble friend Lord Howell also spoke about the respect for more subsidiarity and national Parliaments needing a red card. I fully agree with that. The Foreign Secretary has, indeed, called for a red card for national Parliaments, and others, such as the Dutch Foreign Minister, have made it clear that they, too, agree. We support the principle set out by the Dutch—namely:

“Europe where necessary, national where possible”.

My noble friend Lord Howell is absolutely right to say that follow-up is now needed. The noble Lord, Lord Davies, also said that we should focus on substance, not rhetoric. I wholeheartedly agree with that. Progress is being made. For example, the Prime Minister worked with Germany, the Netherlands, Sweden and Denmark to secure the cut in the EU budget. The PM and Commission President Barroso co-chaired the meeting of leaders from Germany, Italy, the Netherlands and others in the Business Taskforce, which presented a report on cutting red tape. These are but a few examples.

The noble Lord, Lord Kakkar, has raised the working time directive before. This Government are committed to limit the application of the working time directive in the United Kingdom. The noble Lord made some incredibly important points in relation to specific professions where this has had a disproportionate impact. The evidence suggests that a one-size-fits-all approach in the working time directive limits the time available for training and reduces operational flexibility in relation to particular professions and, of course, in relation to medicine and surgery. The Government will continue to prioritise this important issue which came up in the first set of balance of competences review reports. I do not have details of the clinical trials directive in my brief but I will certainly write to the noble Lord.

My noble friend Lord Dykes asked why the European Union Act 2011 excludes enlargement treaties from the referendum lock. The referendum condition is focused on treaties that expand EU competences or change the voting rules. Extending the geographical scope of the EU does not currently fall within the relevant section because it does not curtail the competence of existing member states such as the United Kingdom.

The noble Lord, Lord Giddens, asked me four questions. I will try to answer some of them. He spoke about the first set of reports from the balance of competences review. I dealt with some of this in an Oral Question earlier today. Although the first set of those reports mainly concern non-contentious areas, even where they lay out the benefits of EU membership they go on to say that further improvements could be made. Therefore, there is a real need for reform outlined in those reports. The noble Lord asked about the restrictions on EU migrants. I do not think I could put it better than my noble friend Lord Howell who commented on that point. I wholeheartedly endorse his comments. The noble Lord has asked me before about the PM campaigning for an exit. I can tell him that my right honourable friend the Prime Minister is campaigning for a referendum. We need to get back behind the idea of giving people the right to decide. We can then campaign in whatever camp we want to as to what we feel the outcome of that referendum should be, but we should at least give people the choice.

The noble Lord, Lord Liddle, suggested that treaty change would not happen or that there would not be the possibility of treaty change. A number of ideas have been considered in European capitals and in Brussels that we feel would require treaty change. Europe is changing because of the eurozone crisis, among other reasons, and we expect that process to include treaty change.

I conclude by thanking the noble Lord, Lord Dykes, again for giving us the opportunity to examine this interesting issue. We have covered some ground and I am sure we will cover more ground tomorrow. The noble Lord, Lord Dykes, in setting out the debate, asked specifically about the vision for reform. I will simply repeat what I said at the beginning about a Europe that is more competitive, more flexible and takes account of the diversity of its different EU member states and the differences between those which belong to the single currency and those which do not; a Europe that is more democratically accountable, so that the connection between citizens and the EU can be strengthened; a Europe where powers flow both ways; and a Europe that ensures fairness between those that are in the eurozone and those that are not.

Many European leaders welcomed the Prime Minister’s January speech and the debate that it has provoked. Many voices across Europe—in the Netherlands, Germany, Sweden, Italy, Austria, the Czech Republic and elsewhere—have spoken out in support of European reform. The Government will continue to prioritise this issue, working closely with our partners across Europe to deliver a Europe that works for all its member states and that works better.

Referendum: European Union

Debate between Lord Davies of Stamford and Baroness Warsi
Monday 29th July 2013

(11 years, 4 months ago)

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Baroness Warsi Portrait Baroness Warsi
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I agree completely with my noble friend.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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My Lords, last week the Government faced deserved criticism and indeed derision on the farce of opting out of the justice and home affairs measures and then opting back in. Is it not equally absurd to decide now on a referendum in 2017 or on any other fixed date years ahead? An awful lot can happen between now and then. There might even be a new treaty—the Germans are already talking along those lines—that might be under negotiation in 2017, so we would not know what we were voting on. Is it not time for the Government to stop taking decisions on European policy that are illogical and do not make the slightest practical sense, but are simply based on attempts to pander to the eurosceptics in the Tory party and desperate attempts to try to retrieve the UKIP vote?

Baroness Warsi Portrait Baroness Warsi
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I am glad the noble Lord has got that off his chest. He will recollect that the amount of support the Government had in relation to that particular opt-out was clear in relation to the majorities in both Houses.

Iran

Debate between Lord Davies of Stamford and Baroness Warsi
Wednesday 10th July 2013

(11 years, 5 months ago)

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Baroness Warsi Portrait Baroness Warsi
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I think that we are proposing official-to-official contact, possibly even in a third country, beforehand. That would be the normal course of events, not just in the case of Iran.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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My Lords, all of us hope that Rouhani will prove to be more reasonable and rational than Ahmadinejad. Is it not important that nobody should have any illusions; that we should make it absolutely clear that sanctions cannot be relaxed until there is real evidence, through inspections or otherwise, that Iran is not proceeding with a nuclear weapons programme; and that, in view of the lamentable record on human rights and other matters that the noble Baroness has just set out, we should reserve even symbolic concessions on our side until the Iranian regime makes some positive move forward?

Baroness Warsi Portrait Baroness Warsi
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Sanctions are there for a purpose. They are targeted. They are for a specific issue and we have been careful to note that humanitarian goods are protected. However, the noble Lord is right. We have to make progress on substantive issues, and nuclear is one of them.

Gaza

Debate between Lord Davies of Stamford and Baroness Warsi
Tuesday 18th June 2013

(11 years, 6 months ago)

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Baroness Warsi Portrait Baroness Warsi
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The simple answer to my noble friend’s question is no. I am aware of the statistics that she quotes and, indeed, have responded to the many Written Questions that she has submitted on this issue. The UK is deeply concerned by the humanitarian situation in Gaza, which is both a tragedy and unsustainable. It is for that reason that the Foreign Secretary has made it clear that the Middle East peace process is a priority for 2013. Noble Lords are aware that I have previously said from this Dispatch Box that this is an important—a decisive—year. That is why we continue to support Senator Kerry in his efforts—he has made five visits, I think, in the past two months—to move this forward.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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My Lords, is it not the case that, any day that it wished, the Hamas regime in Gaza could lift the blockade and bring to an end the terrible purgatory under which the people of Gaza have been living for so long, simply by following the example of the Fatah Administration in the West Bank and accepting the quartet principles, including abjuring violence? Should we not be urging the Hamas regime to do just that?

Baroness Warsi Portrait Baroness Warsi
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I hear what the noble Lord says but I think that he would agree that nothing in the Middle East peace process can be resolved by one group alone or by addressing only one issue, and that nothing there is simple.

European Union: Recent Developments

Debate between Lord Davies of Stamford and Baroness Warsi
Monday 17th December 2012

(12 years ago)

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Baroness Warsi Portrait The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi)
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My Lords, I am looking forward to a very long afternoon and evening. We are here to discuss recent developments in the EU, a topic which is never far from the headlines and is of significant interest to Members of this House.

My right honourable friend the Prime Minister and my noble friend Lord Strathclyde have just provided a full and informative report, to this House and the other place, of some of the most recent developments in last week’s European Council. I am also pleased to bring two Bills before the House this afternoon. The provisions in both Bills are technical in nature but will, in their own way, play an important role in the future shape of the EU.

The first is the European Union (Croatian Accession and Irish Protocol) Bill which provides for the necessary parliamentary approval to allow the UK to ratify Croatia’s accession to the EU and the transitional immigration controls to be applied post accession. The Bill also provides for approval of a protocol on the concerns of the Irish people which is to be added to the EU treaties. I introduce the second on behalf of my noble friend Lord McNally: the European Union (Approvals) Bill simply provides for parliamentary approval of three draft EU decisions. I will return to the two Bills in some detail later. Members of this House will no doubt wish to discuss areas of their own particular interest during the debate. If noble Lords will permit me, I will use the two EU Bills, which represent just a few of the recent developments in the EU, as a starting point for the debate.

Membership of the EU has brought, and continues to bring, real benefits to the UK. Enlargement and the establishment of the single market are two of the EU’s greatest achievements. The single market is the largest market in the world with more than 500 million consumers and 21 million companies. It has opened up prosperity and opportunity to hundreds of millions of people. The challenge we face now is to maintain those benefits in the face of global financial challenges.

The European Union, alongside NATO, is an instrument of peace and reconciliation that has helped to spread and entrench democracy and the rule of law across Europe, and has helped to make armed conflict between its members unthinkable. This has recently been recognised with the award of the Nobel Peace Prize. That is why we support further conditions-based enlargement. Croatia’s accession will further demonstrate the transformative power of enlargement, marking a historical moment, with the joining of the first of the western Balkan countries involved in the wars of the 1990s.

We recognise that the EU needs to do better in much of what it does and that people across Europe want more of a say in how the EU does its business. The House of Lords EU Select Committee has done a great deal in examining the work of the EU. I am grateful to the committee for its ongoing scrutiny of EU decision-making. Most notably in the context of the accession Bill, I welcome its current inquiry on EU enlargement.

When they came into office, this Government committed to give Parliament a greater say in the EU decision-making process. In order to do that, we introduced the European Union Act 2011, which puts Parliament at the heart of the process. That is why we have these two Bills before the House today, both of which have been introduced under the provisions of the European Union Act 2011.

The European Union (Croatian Accession and Irish Protocol) Bill provides for parliamentary approval of the Croatian accession treaty and of the Irish protocol, which is to be added to the EU treaties. The Bill also provides an enabling power to allow transitional immigration controls to be applied on Croatian workers exercising their right to free movement.

Croatia is expected to join the EU on 1 July 2013. Meanwhile, we expect Croatia to sustain the momentum of six years of significant reform, particularly on judiciary and fundamental rights issues, so that it meets fully all EU requirements by the time of accession. Croatia’s accession will represent the achievement of a historic goal, not only for Croatia but for the EU. Croatia’s accession will set the bar for other countries of the region in pursuing their own European future and demonstrate clearly what can be achieved in the region.

The enlargement process continues to evolve with each accession and Croatia has faced the toughest negotiations yet. It was the first to negotiate under the new Chapter 23 that deals with the judiciary and fundamental rights, rightly putting the emphasis of the accession negotiations on the rule of law. It is the first to make full use of opening and closing benchmarks within the negotiations of each chapter to ensure results before chapters were closed. It is the first to experience pre-accession monitoring, a process designed to ensure that it is ready in full before it accedes. Croatia will join the EU better prepared than any previous candidate has been.

Croatia has already largely met the strict pre-accession criteria. It has made significant progress in tackling corruption and organised crime and in protecting fundamental rights, as recognised in the two most recent Commission monitoring reports. It has also made considerable progress in dealing with the legacy of the Balkans wars in areas such as war-crimes trials and refugee returns, and it continues to tackle these challenges.

Croatia’s full co-operation with the International Criminal Tribunal for the former Yugoslavia was a requirement for closure of Chapter 23. This will continue to be assessed as part of the Commission’s monitoring up until the date of accession. However, let me be clear: while the Commission’s monitoring helpfully identifies these outstanding issues, it also states clearly that it expects Croatia to be ready on time. This is an assessment that we share.

With its modest population of some 4.4 million people, the potential impact of Croatian migration is relatively small, but the UK remains vigilant to that impact. Furthermore, we have not identified any victims of trafficking from Croatia in the UK. In the US State Department Trafficking in Persons Report 2011, which ranks countries in terms of their capacity to tackle trafficking and protect victims, Croatia was designated as a tier 1 country alongside the UK. As a safeguard, the Government will be putting measures in place to minimise any possible impact of opening the British labour market to workers from Croatia. I can assure noble Lords that the Government are committed to applying appropriate controls on the free movement of Croatian workers in order to safeguard the UK labour market.

The accession treaty sets out the framework within which member states may apply transitional immigration controls to Croatian nationals who wish to work in their country. This Bill transposes the legal framework for transitional immigration controls in the accession treaty into UK law. The Home Office will bring secondary legislation before this House in order to apply those controls under UK law. The intention is to retain the current immigration controls applied to Croatian nationals for a transitional period following accession. The Home Office has published details of the proposed transitional controls in a statement of intent. All the necessary legislation will be in place when Croatia joins the EU.

Lord Davies of Stamford Portrait Lord Davies of Stamford
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My Lords, can the noble Baroness tell the House what the transitional period is proposed to be?