Tuesday 15th July 2014

(10 years, 5 months ago)

Lords Chamber
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Lord Maginnis of Drumglass Portrait Lord Maginnis of Drumglass (Ind UU)
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My Lords, I am grateful, of course, to the noble Lord, Lord Northbrook, and to others who have spoken constructively about the problems facing Cyprus. I am also reminded that when I spoke in a previous debate on Iran when the noble Baroness, Lady Warsi, was responding—I think it was in February—she flattered me with the words:

“I am grateful to all noble Lords who have contributed with such authority to today’s debate, especially … the robust alternative critique presented by the noble Lord, Lord Maginnis”. —[Official Report, 27/2/14; col. 1070.]

With that expectation, if I may, I shall present a somewhat different objective view of the Cyprus situation. In doing so, I will be critical of the role that for more than 50 years the United Kingdom has played in terms of assisting in a solution. It is important to know what really happened in Cyprus. It is time to stop rewriting history. There is an obvious gap, not just in this Government’s knowledge but in the previous Government’s knowledge. How many know that EOKA-B sought to expunge every Turkish Cypriot from the island between Christmas 1963 and 1974? I hope that the Minister will be able to tell us explicitly the significance of the Akritas and Ifestos plans—the blueprint for ethnic cleansing even before we used that term.

Let me outline when the invasion of Cyprus began. It was not 20 July when the Turkish military, in order to protect Turkish Cypriots, intervened in the island. The noble Lord, Lord Northbrook, with some force, picked 15 July, since it was on that date exactly 40 years ago when the Cyprus National Guard and EOKA-B, led by the Greek junta, launched a coup and overthrew the democratically elected President, Archbishop Makarios, with the goal of Enosis—annexing Cyprus into Greece. Although the Turkish Cypriots are blamed for the events of 1974, I remind the House that Rauf Denktas, my late dear friend the Turkish Cypriot leader, said:

“Our duty in this situation, which we believe is a matter between Greek Cypriots, is to protect our international security, to take defensive measures and not to interfere in any way in inter-Greek Cypriot events”.

Four days later on 19 July, while addressing the UN Security Council, Archbishop Makarios accused Greece of having invaded Cyprus:

“The coup of the Greek junta is an invasion, and from its consequences the whole people of Cyprus suffers, both Greeks and Turks”.

Nothing has changed over the years regarding that common suffering. Is it not time for our Government to nail the big fat Greek Cypriot lie once and for all on this 40th anniversary of the Greek invasion and coup to overthrow President Makarios? I could go through many instances of the difficulties that all the people of Cyprus suffered during that period.

We hear about all the people who were killed when Turkey, as a guarantor power did what we, as a guarantor power, should have done—intervened to try to stop wholesale slaughter. We hear about that, but have many of us heard that, in the five days between 15 July when the Greeks invaded and when the Turkish military intervened, more than 3,000 Greek Cypriot supporters of Makarios and the communist party AKEL were killed in an orgy of Greek-on-Greek bloodletting? At the same time Sampson gave the notorious Akritas plan full rein to exterminate Turkish Cypriots “once and for all”.

Having posed that question, I want to move to our behaviour in Cyprus in terms of our 371 soldiers who died during the emergency, and the 58 policemen—British, Turkish Cypriot and Greek Cypriot—who all died in the service of the Crown. Why is it that 50 years on, in 2009, when a few of us sought to erect a memorial to our troops, we did not have any support from government? In those days we did not bring our bodies home, so we sought to erect a monument in Wayne’s Keep, where most of our soldiers are buried. That was refused by the Greek Cypriots. I was part of a small group of half a dozen who managed to raise more than £200,000 and we erected a monument to those 371 soldiers. This year we are extending that monument to include the 58 policemen.

Despite all the sweet words that we may talk in this House and in the other place about regard for our troops, we do not have the guts to stand up to the Greek Cypriots and say, “We will honour our dead. We have respect for our dead”. How can we, with so little self-respect, ever hope to play a positive role in bringing some sort of settlement? I put my cards on the table. I do not think that it is reintegration; I think it is federation. How can we play our role in that when we, over the period of 50 years, have failed our own people? How can we support the Turkish Cypriot minority? How can we conciliate between it and the Greek Cypriot majority? I do not believe we have given ourselves the status to do so, and I hope that the noble Baroness will be able to reassure me this evening.

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Lord Hannay of Chiswick Portrait Lord Hannay of Chiswick (CB)
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My Lords, being the final Back-Bench speaker in a debate, it is always a little tempting to refer to those who have preceded you. I will try to resist that temptation other than to say to my noble friend Lord Maginnis, whose views I do not entirely share, that as I listened to him launch into his narrative, I closed my eyes and I thought I was back in Rauf Denktas’s office, the former district commissioner’s office in Nicosia, where if you could hear anything above the budgerigars that used to tweet around that office, he would give you that narrative. The only two differences are that his version lasted for 40 minutes—

Lord Maginnis of Drumglass Portrait Lord Maginnis of Drumglass
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Mine could, too.

Lord Hannay of Chiswick Portrait Lord Hannay of Chiswick
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—and that he never laid any claim to objectivity.

It is normally sensible not to speak in debates on Cyprus when there is nothing new to say and it is certainly wise not to count the chickens of a Cyprus settlement before they are hatched. After all, no one has yet lost money betting against a Cyprus settlement. Neither of those considerations seems to apply to this debate, initiated in such a welcome and timely manner by the noble Lord, Lord Northbrook. What leads me to this relatively positive view is the emergence of a number of new factors, many of which have been mentioned already, affecting what is after all one of the longest lasting and most debilitating international disputes.

The first of those factors is the presence as leader of the Greek Cypriot community and President of Cyprus of Nicos Anastasiades, a man with a proven track record of supporting the compromises needed to achieve a bi-zonal, bi-communal federation, and someone who campaigned in favour of acceptance of the Annan plan, even when such support was likely to be damaging to his own political prospects. Since becoming President and despite the distractions of the economic crisis, which nearly overwhelmed Cyprus last year, he has worked steadily to get the settlement negotiations back on track.

Secondly, there is a fundamental shift in the underlying economic arguments in favour of a settlement. In the period from 1996 to 2003, when I was involved in the settlement process, those economic arguments were either ignored or traduced. The Greek Cypriot economy was riding high in the run-up to EU accession. The Turkish Cypriot economy lagged far behind and was stagnant. It was argued, mendaciously, that a settlement would load a huge, fat fiscal burden on to the Greek Cypriot economy. That gap has now narrowed, and the potential advantages for the recovery of the Greek Cypriot economy of a settlement and of free access to the massive Turkish market are more evident and can no longer be discounted.

Thirdly, the discovery of substantial gas deposits in the waters around Cyprus has introduced a new and positive element to the equation. No doubt, I suspect, those energy resources could be developed and commercialised in an autarchic manner by the Greek Cypriots. That remains to be proven, but I think it is unwise to assume that it could not be done. There can surely be little doubt, however, that the benefits to the peoples of Cyprus will be far greater if that development and commercialisation could take place in the framework of a reunited island and with the willing co-operation of Turkey.

Fourthly, there is almost certainly going to be the emergence of Mr Erdogan as the next president of Turkey. That looks more and more like a matter of when and not if. Mr Erdogan did much in the period from 2002 to 2004 to reverse the traditional Turkish policy of supporting Rauf Denktas in blocking a settlement in Cyprus. If he comes to office with a clear, democratic mandate next month, it will surely be fitting and would be advantageous to Turkey—a Turkey which has argued that it needs to have zero problems with its neighbours—if he could use that mandate in support of a negotiated settlement to the Cyprus problem.

Do these four new factors mean that all is set fair for a Cyprus settlement? Of course not. This is, after all, the Cyprus problem, which has defied all attempts at a settlement for 50 years, and where the stars favouring a settlement never seem to be in conjunction. There is, however, enough here, I would suggest, to justify a renewed major effort by the parties in Cyprus, supported by the international community, to reach a settlement. It would be good to hear from the Minister what contribution Britain, which has so many close links with Cyprus and with both its communities, intends to make in support of a search for a negotiated solution.

I will conclude with a few remarks about public opinion and the involvement of Cypriots in a settlement. I have great admiration for Alexandros Lordos, whom the noble Lord, Lord Northbrook, mentioned. He has worked tirelessly to try to erode the barriers between the two communities, and the work he does in testing opinion is extremely valuable. The real obstacle, however, is that the leaders of both sides in Cyprus are not preparing and will not for the moment prepare their communities for a settlement which needs to be based on compromise. That was what went on in 2003 and 2004. On the Greek Cypriot side in particular, there had been no preparation of public opinion at all. Public opinion had been fed for the past 35 years on an unadulterated diet of Greek Cypriot maximalist claims. Not surprisingly, it proved impossible to turn them round on a sixpence when the Annan plan was produced. It will be the same again if the leaders cannot bring themselves to prepare their communities for the sort of compromises that will need to be made. I do hope that that process can get under way. Perhaps the noble Baroness could talk a little bit about that too.

Lord Wood of Anfield Portrait Lord Wood of Anfield (Lab)
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My Lords, I too thank the noble Lord, Lord Northbrook, for this debate. For 40 years we have seen moments of opportunity come and go but very little progress towards a settlement in Cyprus. Now, as many speakers have said, we have a moment of opportunity that we have not had since the Annan plan of 2004—the noble Baroness, Lady Hussein-Ece, referred to that—and possibly a moment we have not had since 1974.

The people of Cyprus deserve a settlement to bring stability, peace, settlement of long-standing grievances and issues, and the possibility of prosperity. The failure to achieve a settlement in Cyprus, however, also undermines the search for security in a crucial region that is a hinge between Europe and the Middle East. Instability in Cyprus continues to affect the function of the European Union and the ability of the European Union to co-operate effectively with NATO.

For our part, as many speakers have said, the UK has a special responsibility to be a supportive force for resolution because of our colonial past, because of our pivotal roles in the European Union and NATO, and because we are a guarantor power. This year it seems we have a moment for very cautious optimism but, as always, we need optimism grounded in realism.

I will make a few remarks about the principles of our party’s approach to achieving a settlement in Cyprus, to assess the progress in the process that began with the February declaration and to look at the wider issues that any successful process needs to address.

I will start by setting out our party’s approach. We are committed to a just and lasting settlement for the whole of Cyprus. That settlement has to be based on a bi-communal, bi-zonal federation. We strongly believe that, to use the formulation of the noble Lord, Lord Northbrook, a settlement has to be negotiated by Cypriots, for Cypriots and under the auspices of the UN. Only then will it be acceptable and provide for a just and sustainable solution.

While we do not support recognition for the Turkish Republic of Northern Cyprus, Turkish Cypriots have interests, aspirations and a burning desire for peace that are as valid as those of Greek Cypriots. Cyprus’s population is about 800,000, of whom 80% are Greek Cypriots and about 11% Turkish Cypriots, but, despite this numerical asymmetry, any just settlement must be based on the principle of equality of treatment of the two communities.

While peace has to be negotiated by Cypriots themselves, we believe that the UK has a privileged role. We are the main export market for Cyprus, and Cyprus punches above its weight as a destination for UK exports. As the noble Lord, Lord Maginnis, has reminded us, our historical role has been, to put it mildly, a chequered one. Britain took administrative control of Cyprus after the Congress of Berlin in 1878—a Disraeli special—and declared Cyprus a British colony in 1915. Under the terms of the 1960 treaty, we remain one of three guarantor powers.

Of course we have another role, as about 3% of the island of Cyprus is comprised of UK sovereign bases. In government, we proposed that about half the land in bases in Cyprus would be made available to a united island once a resolution was found. Will the Minister tell us the coalition Government’s position on that proposition now that negotiations have begun again?

Recent developments have given us some cause for hope, particularly the joint declaration process that started in February. The declaration signed by representatives of both communities marked the most significant breakthrough that we have had for at least 10 years. There are encouraging signs in the declaration of principles that can form the basis of a lasting settlement. The declaration confirms the unacceptability of the status quo. It commits to the integrity and identity of both Greek and Turkish Cypriot communities. It affirms respect for democratic principles, human rights and fundamental freedom. It states that,

“any settlement will be based on a bi-communal, bi-zonal federation with political equality”,

to form a single, sovereign Cyprus inside the European Union. It envisages a federal constitution,

“composed of two constituent states of equal status”,

legitimised by separate and simultaneous referenda.

These are all encouraging shared commitments. It is further encouragement that, although progress has been slow, there have been further meetings, most recently at the beginning of last week. The meeting seems to have made some limited progress—I am being more optimistic than my noble friend—on mutual confidence-building, and ended with a five-step road map being submitted to the Greek Cypriots by the Turkish Cypriot leadership and an agreement to meet again later this month.

I want to ask the Minister about reports that the Turkish Cypriot side has suggested a meeting with the guarantor powers, including the UK, at some point this year after discussions have begun on the highly vexed issue of territory on the island. Are the Government involved in discussions on participating in such a summit? What is the Government’s response to the Turkish Cypriot leader Eroglu’s proposal that the referenda take place before the year’s end?

The progress in negotiations is welcome to all of us, but we know that agreement has proved elusive in the past for good reasons. There are significant areas of disagreement and difficulty—issues that have sabotaged previous plans for the past 40 years.

First, there is the bundle of issues around territory, property and displaced persons. The legacy of both the violence of the early 1960s and the Turkish military intervention in 1974 is a complex set of issues around the need for land swaps, restitution of property, the status of areas such as Morphou and Famagusta, and church property on the island. It is estimated that around 200,000 Greek Cypriots were forced to leave their land in Northern Cyprus after 1974, and the issue of repatriation of new Turkish settlers on the island was a key factor in the unravelling of the Perez de Cuellar plan in the mid-1980s. These issues are the most sensitive of all and demand more than any other—

Lord Maginnis of Drumglass Portrait Lord Maginnis of Drumglass
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I apologise for interrupting, but I did not pick up what the noble Lord said. Did he say that Greek Cypriots had to abandon their territory and did he fail to mention the fact that Turkish Cypriots—for example, on the site of the present airport in the south—had to abandon theirs? Did he overlook that point?

Lord Wood of Anfield Portrait Lord Wood of Anfield
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No, absolutely not. The noble Lord is absolutely right: Cypriots of both communities have had to leave land. Working out a final agreement on settlement and property restitution affects both communities. These issues demand more than any other a spirit of pragmatism, compromise and trust between the representatives of the two communities.

Secondly, there are the issues around the Cypriot economy and trade with the European Union and the neighbourhood. On the Greek side of the island, Cyprus has seriously suffered from the fallout of the financial crash and a bailout—or rather a bail-in, to be more accurate—of Cypriot banks which imposed a levy on depositors, in banks that were supposedly covered by a deposit insurance scheme. It was a move which in my view the EU would not have countenanced for the larger members of the EU but which was seen as okay for smaller ones.

Meanwhile, Turkish Cyprus continues to have no direct trade relations with the European Union. Ten years ago, the EU proposed giving more than €260 million to the Turkish Cypriots for infrastructure spending and to open up trade with them, but, sadly, very little progress has been made on this front in the past decade. I would like the Minister’s view on whether there is any prospect with the advent of a new Commission and a newly elected European Parliament for any limited progress in the next few months in that area.

Lastly, there is the question of constitutional arrangements. Prior to 1974, Cyprus had a constitution that one expert called,

“unique in its tortuous complexity”.

Of course, any constitutional arrangement that provides rights of self-government for two communities, as well as rules for decision-making at the federal level, is bound to be complex, but so-called consociational arrangements for countries with a history of conflict between two or more communities can take root and endure. I appreciate that these solutions take time, but can the Minister tell us whether any thinking is going on in the Government about offering assistance in the form of constitutional expertise to the communities?

There is a line in the February declaration that reads that,

“nothing is agreed until everything is agreed”.

It is a simple maxim, but a crucial one. If 2014 is, as the communities’ leaders seem to want it to be, the year in which a successful negotiation is concluded, they have to provide a credible and legitimate way through on all these issues and not just on some.

It is said of Aphrodite, who was born in Cyprus, that because of her beauty, other gods feared their rivalry over her would interrupt the peace among them. Surely it is time for us all to combine our efforts to ensure that peace and stability in Cyprus are interrupted no longer.

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Baroness Warsi Portrait Baroness Warsi
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We hope that the settlement will ensure that there is a united Cyprus.

A united Cyprus would benefit from a larger and more efficient economy, an improved investment climate and improved trading relations with Turkey and the wider Middle East. A solution would also allow Cyprus fully to exploit its natural resources. I welcome the increased attention being paid to the economic dimension. More than a year after the bailout agreement, the Cypriot economy is doing better than expected, but there are challenges ahead. We are providing technical assistance in the area of public sector reform to support Cyprus’s efforts to implement the troika memorandum, which sets out the framework for troika support to the Cypriot economy. I hope that the noble Lord, Lord Harrison, will see that as part of the UK’s support for public sector reform.

The noble Lord, Lord Harrison, also raised the issue of direct flights. This would, of course, help. The UK Court of Appeal has confirmed that direct flights from the UK to the northern part of Cyprus would breach our obligations under international law. The court found that it was for the Republic of Cyprus to determine which airports are open to international traffic, and as a result no airlines are licensed to operate flights from the UK direct to the north of Cyprus. The UK supports the European Commission’s proposal for a direct trade regulation to enhance the Turkish Cypriot community’s access to EU markets. Disagreements over the legal basis mean that this has not yet been agreed. A comprehensive settlement to the Cyprus problem would mean that such measures would not be required, since the whole island would enjoy the benefits of EU membership.

The noble Lord, Lord Harrison, asked about UK support at the time of the financial crisis. For a settlement to work, the Turkish Cypriot constituent state will need to be ready to function as part of a united Cyprus within the EU. Since 2004, the UK and the EU have funded a range of projects, including during the period of the financial crisis, supporting modernisation of the public administration, which we think is necessary in order to be ready for a settlement. Now that talks have resumed and are making progress, it may be time to look again at what more the EU could do so that a settlement is viable.

My noble friend Lord Balfe spoke about Turkish Cypriot isolation. The UK remains committed to supporting the economic development of the Turkish Cypriot community and bringing Turkish Cypriots closer to Europe. They are, after all, EU citizens. The status quo is, of course, difficult for all Cypriots, and the Turkish Cypriots in particular feel the effects of Cyprus’s division.

Lord Maginnis of Drumglass Portrait Lord Maginnis of Drumglass
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I interrupt only briefly. Is there not a contradiction in what the Minister has just said? The Turkish Cypriots are members of the European Community, but we do not recognise them and we will not recognise them. To put it simply, we do not give any place to self-determination.

Baroness Warsi Portrait Baroness Warsi
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Of course, it is because there is a dispute that we are in the state that we are. It may not be the answer that the noble Lord wishes to hear, but unfortunately, that is the current state of play.

The noble Lord, Lord Wood, asked about an international conference. The UK stands ready to participate in such a conference once the parties have reached a greater level of convergence on the core issues of the settlement process. He also asked about the constitutional reform process. Again, we stand ready to respond to a request from either of the parties for technical advice on constitutional issues or to do anything to support the settlement process.

A number of noble Lords, including my noble friends Lord Northbrook, Lord Balfe and Lady Hussein-Ece asked about Cyprus’s exploitation of its natural resources. We accept the Republic of Cyprus’s sovereign right to exploit its natural resources and it remains our position that such resources should be exploited for the benefit of all the communities in Cyprus. Estimates of the scale of the natural resources vary, though the potential is clearly significant. We are aware of the Turkish Cypriot proposals on hydrocarbons and it is for the leaders of the two communities to work together on any proposals to share the revenue from Cyprus’s exclusive economic zone. We would welcome any agreement which the two communities can reach on this.

The noble Lord, Lord Harrison, asked about universities, including the Bologna process in higher education. We would support further measures to address Turkish Cypriot isolation. The British Council already helps Turkish Cypriot students access educational opportunities across Europe. However, once again the status of the north, as the noble Lord, Lord Maginnis, has just mentioned, poses constraints on what we and the EU institutions can do.

Reunification is not only about economics. A settlement would make a substantial contribution to the security and prosperity of the region, unlock Turkey’s EU accession process and enable full co-operation between the EU and NATO. That is all the more important given the new challenges that a number of noble Lords referred to in the European neighbourhood, as we have seen in Ukraine. Turkey is Europe’s emerging power and Cyprus is the EU’s easternmost member. Both share a sometimes difficult region. A unified Cyprus could well become a role model of intercommunity harmony—one of peace and prosperity founded on deepening relationships with its neighbours.

We of course followed closely the Turkish Cypriots’ recent experience of the European parliamentary elections in Cyprus—something that my noble friend Lady Hussein-Ece referred to. My officials in Nicosia have spoken to Turkish Cypriot politicians, Republic of Cyprus officials and the European Commission. We do not believe that the difficulties encountered on the day were due to deliberate obstruction by the Republic of Cyprus authorities, but that does not, of course, lessen the frustration and sense of discrimination felt by many Turkish Cypriots who believe that they were eligible for the first time to vote in these elections.

In conclusion, this debate has underlined the warmth of the ties between the UK and Cyprus, and that this Government firmly believe that a solution that meets the fundamental concerns of both communities is available. The benefits of a solution, whether political, economic, social or in terms of security, are clear. The parties have stated their willingness to reach a deal, and Cypriots of both communities want to live and prosper together in peace. This Government will continue to encourage them in that noble and achievable ambition. Once again, I am grateful to the noble Lord for giving us the opportunity to discuss these important issues.