Monday 9th May 2011

(13 years, 6 months ago)

Lords Chamber
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Lord Davies of Stamford Portrait Lord Davies of Stamford
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The noble Baroness has made one of the longest interventions that I have ever taken in my time in either House. I shall not reply at such length, but I will say, first, that I have never made ad hominem or ad feminam arguments in this place; I have tried to address the issues and I hope that she will try to do the same. Secondly, by drawing an analogy with the people who were extradited to the United States for commercial crimes, she has completely misunderstood not only the point I was making but particular articles in the treaty. All the crimes foreseen in Article 86 as matters for the public prosecutor are defined as those that are,

“affecting the financial interests of the Union”.

It is a narrow category of crimes, and there is no way in which that category could be expanded without unanimity.

As I said, it is extraordinary for the Government to decide specifically to provide for a referendum on a matter that can scarcely be of great public controversy. It is very difficult for me or the public to see what national damage could be done. The most respectable explanation that I can think of is that the Government are acting in an utterly narrow-minded and dogmatic fashion. They are displaying the mentality of, if you like, the Spanish Inquisition. There is no flexibility or pragmatism. That would be a very frightening way to conduct our national interests abroad.

Lord Risby Portrait Lord Risby
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My Lords—

Lord Dykes Portrait Lord Dykes
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As I hope my noble friend will agree, I have put my name to the amendments and wish briefly to address the House on them, following the remarks of the noble Lord, Lord Hannay. Although the noble Lord is no longer in the Chamber, he should receive the thanks of the House for revealing the shocking irony that Clause 6 is in many ways more obnoxious than Clauses 2, 3 and 4 in terms of what it does to weaken Parliament and, ironically, government and ministerial decision-making in European meetings which would take place as a result of the clauses.

Amendments 32, 33, 34, 35 and so on, including my noble friend’s amendments on the EPPO, try again to appeal to the Government to respond reasonably. There has already been a hint, to which the Labour spokesman referred, that the Government were beginning to listen to deep and genuine arguments from all parts of the House against the details of the Bill.

Amendment 32 and subsequent amendments remove the referendum condition from the beginning of Clause 6, to deal with items not covered in Clauses 2, 3 and 4. These are specified decisions postulated in the TEU or the TFEU that do not need a new treaty or Article 48(6) treatment, because the two categories listed mirror the list set out in earlier clauses; and the second category relates to the so-called one-way decisions that are by definition irreversible. Similarly to the previous clauses, especially Clauses 3 and 4, it would greatly improve the efficacy and good faith of the Bill if those subsections were either eliminated altogether or substantially amended to soften the harsh impact of the provisions.

The subsequent amendments in this cluster, under the names of the same promoters, would remove the referendum condition in other areas of decision-making. I will not go into great detail, but Amendment 33 omits the whole of Clause 6(2) to (6) and cancels the need for referenda on QMV, EPPO, social policy items, the environment and so on. Those are all worthy of consideration by the Government once again to reinforce and return power to the British Parliament, which has been seriously undermined by the constant nagging by the anti-Europeans that Parliament has somehow let down the British people about Europe. That is not the case in any evidential way, and we now need to restore the balance to the British Parliament—both Houses—in future. Incidentally, it is interesting to muse that according to page 9 of the Constitution Committee's report, if change in the House of Lords were covered by the definition covering abolition of either House of Parliament, then change in a fully elected House of Lords also should be the subject of a referendum. I bet that it will not be, bearing in mind what happened last Thursday.

Under the clause, no ministerial judgment is exercised on the transfer of power argument, because the primary legislation and referendum are automatic. There are no exemptions. Hence, on Europe Day, I am wearing the Europe tie in honour of the Schuman day. There is one European flag in Parliament Square—that is because it is Europe Day—and the member state flags as well, but Britain is the only leading member state where the European flag does not routinely fly on any government building. Perhaps my noble friend Lord Wallace would try to do something about that in future for the coalition Government.

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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Every issue that transfers powers from this country to the European Union is very important. The Bill is about ensuring that when great powers are transferred, the people of this country as well as Parliament will have a say.

It is a pity that we have got to this stage. Nevertheless, because there has not been proper parliamentary scrutiny over the 40 years that we have been a member of the European Union, we have now got to a stage where the Government have had to bow to the demand that the people should be consulted and proper parliamentary scrutiny should happen.

Lord Risby Portrait Lord Risby
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My Lords, we have heard a great deal in this debate about marginalisation. We should recall the words of the noble Lord, Lord Mandelson, who talked about the pragmatic nature of this Government. As we reflect on what the coalition Government have done, we should recognise that none of the grandstanding and grand old Duke of York activity that we have seen from successive Governments has been characteristic of this Government. It is worth reminding ourselves of the pragmatic relationship that has been established by the Government with the institutions of the European Union.

The amendments deal with the removal of all treaty provisions requiring a referendum, except euro membership. I accept the sincerity of what has been said by a number of noble Lords. Nevertheless, I suspect that many who have spoken in this debate do not like referendums at all. I find it curious that they accept the idea of a referendum on the euro when in principle many would not like a referendum at all, and that they thereby elevate the euro to a level of importance that is unique and special, to the exclusion of other considerations in the Bill.

There is a settled view on this in the nation, which should be accepted. However, there are wide areas of EU activity that alienate the public and enhance the view that there is a democratic deficit. Judicial independence, military independence, the ability to control our own borders, social policy including the rights of workers and employment terms and conditions, could not be blocked. Given our history, particularly in the latter area, this is a crucial issue. They are absolutely not crucial.

Lord Goodhart Portrait Lord Goodhart
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Perhaps my noble friend will explain why judicial independence is damaged by our relationship with the EU.

Lord Risby Portrait Lord Risby
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I will be delighted to. I will come in a moment to a discussion of various elements such as passerelle clauses, which I hope will cover this point.

Clause 6 sets out which passerelles would automatically trigger a referendum if powers or competences were moved from the UK to the EU. We touched, for example, on the matter of defence. This reflects the reality for us that EU member states have different relationships with third countries and different foreign policy priorities. For example, the UK has particularly strong relationships with interests in the Commonwealth. It would be wrong to give the EU the ability to prevent us developing these relationships. I am sure that that is perfectly logical, and it is covered in Article 31(3).

I turn to measures on working conditions and social security. Noble Lords will know that QMV already applies to many decisions concerning the health and safety of workers, working conditions, informing and consulting workers, combating social exclusion, modernising social protection systems, as well as to decisions in areas such as the European social fund. However, there are important things left for unanimity; for example, social security and the social protection of workers, the protection of workers when their employment contract is terminated, et cetera. These things can have a huge impact on the life of an individual nation and the businesses that add to the prosperity of that nation. Any move to QMV could jeopardise independent national decisions on that score. If we look at environmental matters, for example, they are mostly covered by QMV, but there are others that are still subject to unanimity. We would, of course, like to retain national control of what is left on the environment where there is a fiscal element attached to them: town and country planning; the management of water resources or the availability of those resources or land use; and, of course, the choice of energy resources and the general structure of the energy supply. These are very important for people at an individual level, a community level and a national level.

So, as we look at this debate and hear the discussion, I find it rather perplexing that our currency alone seems to have a critical aspect for our relationship with the EU. I think it is misplaced. There are all these other areas of vital concern to our national interest which concern people in terms of our relationship with the European Union. Coming back to my original point, it is precisely because we want to defuse the difficulties that have arisen in terms of public opinion and the public’s attitude to the European Union with a totally pragmatic Government—that has been obvious in the past year—that this Bill is in place. If we have red lines, they have to be very clear and very red. The amendments would make the Bill incoherent and make the public very suspicious and alienated. That is exactly what this Bill seeks to avoid.

Lord Flight Portrait Lord Flight
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My Lords, I rise to address the amendments tabled in my name. As I understand it, Clause 6 addresses areas that are suitable for the requirement of a referendum in two of the ways in which a veto could be given up which are not covered by Clauses 2 to 4. They are, through the other part of the simplified revision procedure using Article 48(7) of TEU, effectively a third type of treaty change, and the six specific cases are dealt with by the passerelle.

The amendments are grouped somewhat strangely in that my Amendments 35A, 35B, 48A and 48B are on one side of the argument and all the others, with the exception of Amendment 40A, are in one way or other seeking to reduce situations where a referendum and Act of Parliament are required. Self-evidently, I do not agree with those amendments.