EU Budget (Surcharge)

Debate between Lord Lansley and George Osborne

Monday 10th November 2014 Commons Chamber

[Mr Osborne]

He says no, but the penal rate is 2% above base, and 2% above base per day on a £1.7 billion charge is £114,000. Is that just an amazing coincidence?

[Mr Andrew Lansley (South Cambridgeshire) (Con)]

I congratulate my right hon. Friend on securing the deal last Friday. He was good enough to recall that, two weeks ago in the Chamber, I said that the rebate should apply to the additional demand on the UK’s contributions. Despite the shadow Chancellor’s assertions just now, the Leader of the Opposition said nothing about the rebate two weeks ago; he said nothing until my right hon. Friend actually secured it. Will my right hon. Friend confirm that the rebate will still apply to UK net contributions in future years, as it would have done before? [Interruption.]

[Mr Osborne]

I am sorry that the hon. Member for Stoke-on-Trent Central (Tristram Hunt) wants to leave, because we were just talking about the presence of the Labour leader. As the hon. Gentleman said at the weekend:

“‘I never believed the answer to Labour’s problems was to show people more of Ed Miliband.”

My right hon. Friend the Member for South Cambridgeshire (Mr Lansley) is right; on 27 October, he asked my right hon. Friend the Prime Minister about the position of the rebate. The Prime Minister said it was:

“One of the important questions that needs to be asked and properly answered”.—[Official Report, 27 October 2014; Vol. 587, c. 30.]

He said that that is what we are seeking to do. So my right hon. Friend the Member for South Cambridgeshire is right to have asked the question—of course nobody from the Labour party did—and that is why we were engaged in the intensive discussions to nail down the rebate.