38 Lord Stoddart of Swindon debates involving the Foreign, Commonwealth & Development Office

European Union Bill

Lord Stoddart of Swindon Excerpts
Wednesday 13th July 2011

(12 years, 10 months ago)

Lords Chamber
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Lord Flight Portrait Lord Flight
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My Lords, does the Minister agree that certain noble Lords are perhaps a bit out of touch with British public opinion? It is clear that the British public are against Governments surrendering any further sovereignty to the EU without the consent of the people. That was very much reflected in the attitude taken to the previous Government’s signing up to Lisbon, having promised a referendum and then having ratted on it. The whole point of the Bill, clumsy though it may be, is to provide a deterrent to stop Governments of any political hue giving away yet more sovereignty, and the British people not having a say in that. The noble Lord, Lord Hannay, gave the game away. He was arguing that he wanted a situation where Governments could fudge it and give away a bit more sovereignty and was very unhappy that they might be deterred from doing that through fear of losing a referendum. The whole point of the Bill is to provide an effective deterrent to Governments giving away sovereignty. This amendment would weaken that principle.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I took part in virtually all the debates that we have had so far on this Bill, and it seems to me that the amendment would be a wrecking amendment. I understand that the Government and the coalition brought forward the Bill after long consideration and to provide assurance to the British people before they surrendered any powers—powers of the people and powers of this Parliament, if we are talking about parliamentary democracy—to the institutions of the European Union. Indeed, we had long discussions about these provisions, and after hearing all the debates I believe that the Government were right to try to get it through this House. Unfortunately, they did not do so.

The Bill went to the House of Commons and I have read the debates. The Labour Party did not oppose these clauses in any reasonable way and did not support Amendments 6 to 13. There was very little discussion on them, as a matter of fact. If it was Labour Party policy, as the noble Lord, Lord Liddle, assured us and as is contained in his amendment, why was it not moved in the House of Commons? That is where it should have been done, but it was not done. What is the gain? If the Labour Party believes in restricting the effect of Clause 6, why did it not try to do that in the elected House? In the circumstances, this House ought to take note of what the other place has done.

Lord Lea of Crondall Portrait Lord Lea of Crondall
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The noble Lord spent many years in the House of Commons. Is it not the position that the Labour Party was looking at the Bill, as amended by the House of Lords, and that it was not incumbent on the Labour Party to do anything along the lines he suggests?

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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It was not incumbent on the Labour Party to do so, but it had the opportunity to do so and did not. If it believed, as the noble Lord, Lord Liddle, said when he moved his amendment, that this should be its policy, why did Members not do it when they had the opportunity in the House of Commons? That is the question that has to be answered. I assure the noble Lord that I know the procedures in the House of Commons. I was a Whip in the House of Commons and I have sat on a number of committees dealing with amendments that have come from the House of Lords. The House of Commons was perfectly entitled to move an amendment but it did not do so.

Lord Lea of Crondall Portrait Lord Lea of Crondall
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I am going to put the matter right for the noble Lord, Lord Stoddart. It was a Bill that had been amended in this House, which is what the House of Commons was considering.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The House of Commons is entitled to amend amendments that we have made in this House, but did not do so. The Labour Party did not do so because it did not want people outside to get the impression that it was against consulting them about losing further powers to the European Union. That is the real reason behind it.

I know that the House wants to get on, but I just want to say that the noble Lord, Lord Davies, referred to Greece. Of course, it is very clever to do that because we know the appalling state that the eurozone is in at present. He made the reasonable point that if it were a unitary state the Commission would have examined the accounts of the Greek Government. It had the opportunity to do so before Greece was admitted to the eurozone, but it did not do it because it was a politically driven decision. It wanted as many countries in the eurozone as possible, whether they were broke or, like Germany, prosperous. We should be very careful when using the present crisis to undermine the Bill. I would like it to go further but it is the best we are going to have, and I hope that the House will not insist on the amendments on this occasion.

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick
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My Lords, I had not intended to speak in this debate and I will be extremely brief. I rose to speak only because so many of my noble friends have made rather powerful speeches, but ones with which I disagree. I take very seriously the point made about moving too far in favour of plebiscitary democracy. One has to agree that that is a real danger. Balanced against that has to be the fact that the seeping away of the power of Parliament to the European Union is also an extremely serious issue. I agree in general that referendums should be held largely on constitutional issues because they are a good way of settling how we live with each other and how we are governed.

We had quotations from the side opposite and from Cross-Benchers in earlier debates from Edmund Burke and the judgment of members of the legislature. One might quote back at them Tom Paine, who argued that constitutions belong to the people: that it is not for politicians to decide the rules by which government is conducted—sovereignty comes from the people. While I think that referendums should be on constitutional issues—important constitutional issues, as has been said—the totality of our relationship with Europe is a huge constitutional issue. It is therefore right that referendums should play a part in that.

That poses the question: is it right that we should have in this Bill so many different powers and so many different issues all rolled into one that might, as has been said, give rise to a flood of referendums on trivial issues? I do not believe that that will be the consequence of this Bill. That has been said before in our proceedings on the Bill, so I shall not go on about it at any great length. I will say, however, that that will not happen because: first, these measures are likely to come in packages; and, secondly, there are reserve powers—reserved to the nation state and left out of the previous treaties of Lisbon, Nice and Maastricht—because individual countries in the past have wanted to preserve them, and not necessarily Britain. There are other countries in the European Union, and one can look through the minutes of the constitutional convention leading up to the Lisbon treaty to see how some other countries in the past have argued for the veto to be preserved in certain areas. This is not just at the insistence of British politicians.

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Lord Triesman Portrait Lord Triesman
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My Lords—

None Portrait Noble Lords
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Oh!

Lord Triesman Portrait Lord Triesman
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My Lords, either the Whip on the other side is making a judgment that he is inviting the House to endorse or he is not. I do not mind either way but I suspect he is right.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, this is perfectly out of order. If necessary I will get the House to vote on whether I can speak.

Lord Shutt of Greetland Portrait Lord Shutt of Greetland
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My Lords, I believe that I heard the voice of the House, and I believe that the House is very clear that it wants to hear the closing speakers.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, I thank the noble Lord—

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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We are now winding up.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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If anyone wishes to challenge me and move that I no longer be heard, let them do so, but I wish to ask a question. If I had been allowed to do so without the very rude interruption of the Whip on the Bench, noble Lords would have saved themselves a lot of time. What I wanted to ask—and I am going to ask it now—is whether, when the amendment states that a future Government “may”, it means “shall”. We often have debates about what “may” and “shall” should mean, and I think it is important that before noble Lords vote, if there is going to be a vote, they know whether they are voting for something that commits the next Government to something or is permissive for the next Government. Now I will sit down and be quiet.

Could I just add that the Whip on the Bench did not intervene on the noble Lord, Lord Maclennan, who widened the debate on this very narrow amendment to the extent of whether we should be in or out? I think I have been extremely badly treated, and I hope that the Whip will apologise.

Lord Shutt of Greetland Portrait Lord Shutt of Greetland
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My Lords, I would not want to upset the noble Lord. I was taking the view of the House. In this business of a self-regulating House, occasionally we have to use judgment, and it was my judgment that we were ready to conclude this debate, and I believe that is the case.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I might say to the noble Lord that he is not entitled to make that judgment.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 13th June 2011

(12 years, 11 months ago)

Lords Chamber
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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I supported this amendment in Committee and we had quite a good debate about it. I am not going to repeat everything that I said at that stage but I want to say a couple of things. First, I regret that the noble Lord, Lord Willoughby de Broke, has reduced the amount of time from five years to three.

Secondly, second referendums have been quite common in Europe. When Governments do not like an outcome, they are quite prepared to hold a second referendum in order to get it changed. Second referendums per se are perfectly logical and legitimate in the European Union. Surely we should not arrive at the decision that once a referendum has been held on anything there should be no second referendum. That would be quite absurd. It would bring Governments in particular into disrepute, because it is usually they who call for second referendums, if they said to the electorate, “You have voted but I’m afraid we don’t like what you have told us. We must therefore ask you to vote again, and indeed again, until you provide the right answer for the Government”.

Lord Liddle Portrait Lord Liddle
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My Lords, the Opposition cannot support the amendment. The reasons why many have spoken against it are very true. I agree with what the noble Baroness, Lady Brinton, had to say. I agree with the noble Lord, Lord Hamilton, that in our political culture a precise repeat referendum would be extremely unlikely. However, we should not tie our hands. As the noble Lord, Lord Deben, said, you vote under a particular set of circumstances but circumstances can change at remarkable speed. We do not need these kinds of constraints on our politics.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 13th June 2011

(12 years, 11 months ago)

Lords Chamber
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Lord Risby Portrait Lord Risby
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My Lords, perhaps we could return to the Laeken declaration, which signified a very important moment in the history of the European Union. We all recognise the problem of disconnect. The Laeken declaration was intended to inform the individuals who were considering the whole future of the European Union what should be done about that problem. It is a fair summary to say that out of the Laeken declaration we saw the emergence of the constitutional treaty, which became the Lisbon treaty. Anyone, by any objective standards, would have to conclude that the spirit of Laeken, which was meant to inform the constitutional treaty, and later the Lisbon treaty, was not successful. Right across Europe we have seen an increase in Euroscepticism and in the disconnect between the peoples of Europe and the institutions of the European Union. The treaty, which was meant substantively to deal with that problem, has failed, not only in this country but right across the European Union. I suppose that one of the definingly difficult moments in the history of our relationship with the European Union was when Tony Blair substantially gave up the rebate in return for some structural reforms particularly linked to the common agricultural policy.

At the heart of this Bill must be the veto for the very firm purpose of restoring a sense of ownership of the processes of the European Union and our relationship with them. I think we all agree that the rebate is a most sensitive issue. Therefore, I just pose this question: would we wish to delete the requirement for a referendum if a future Government agreed to remove unanimity from the EU multiannual budget? This is a very contentious issue—it covers the whole envelope of European Union spending. The annual budget veto has already gone, and I suggest that nothing, particularly at a time of austerity, would be more damaging. It is precisely the threat of that happening that the Bill attempts to deal with.

I come back to the point that right across the European Union we have failed dismally to give people a sense of ownership or to secure the feeling that they have some sort of control. Therefore, comprehensive but clear processes, with a significant range of vetoes, are crucial in this country if we are to restore a sense of confidence and connection between the people and the European Union.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I think that I have taken part in virtually all our Committee days. We are beginning to get to the end of our labours, although there are still a few amendments to go. This is a very important amendment and it has been discussed at great length. However, I want to get back to the reason why we have the Bill at all. It is because the people of this country have felt let down by the Government, and indeed by Parliament, for not involving them in very important decisions which affect their lives and the future of our country. I think that the Lisbon treaty brought that to a head and persuaded the Conservative Party that it had to do something about it. Together with its Liberal Democrat colleagues, it has now brought forward a Bill which, frankly, I believe has to stand virtually as it is or not at all. For that reason alone, if there is a vote, I shall vote against the amendment.

During our debates, we have heard a lot about parliamentary democracy, and so we should. Of course everyone agrees with real parliamentary democracy, if that is what we are talking about, but are we really talking about proper parliamentary democracy or do we have a “whipocracy”, in which great issues are not decided following proper debate in Parliament and relatively free votes on important constitutional matters but are voted on at the behest of government with strong whipping? Under those circumstances we cannot say that Parliament alone should be responsible for the great issues of who governs Britain—which is what it is all about.

Lord Richard Portrait Lord Richard
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I have listened to the noble Lord for 20 years. He has been a passionate supporter of parliamentary democracy and British sovereignty, and has passionately opposed any kind of Eurofication or steps towards greater union with the countries of Europe. How on earth does he square the position that he has held for donkey’s years that Parliament is sovereign, and that it is what Parliament does that matters, with the idea that now Parliament has been doing things that he does not like it can no longer be trusted—even though Governments with majorities have been elected in general elections—so we have to move to a different form of public consultation? It is inconsistent with everything that he has said for 20 years.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Of course, I have listened to the noble Lord, Lord Richard, for longer than 20 years, and I know that he is an absolutely committed Europhile. He is right to say that I am very much in favour of parliamentary democracy, but I am trying to explain that in relation to the European Union we do not have a proper parliamentary democracy. All the amendments made to the European Communities Act 1972 were made by treaty. Under those circumstances, the Government agree to the treaty and sign it. One former Secretary of State for Foreign and Commonwealth Affairs said, “Now that I've signed the treaty, perhaps I'd better read it”. Therefore, we cannot be sure that even those who sign the treaties know what they are about. Nevertheless, the treaty then comes before Parliament and Ministers come to the Dispatch Box and say, “You must pass this treaty because we have agreed to it. If you do not, the country's standing in the world will be damaged and we will never be trusted again”. Governments put Parliament in an almost impossible position. If Parliament rejects the treaty out of hand, the Government will say, “My God, we have no further influence in the world because Parliament has declared that it does not agree with the treaty”.

Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean
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I was the lead Minister on the Amsterdam and Nice treaties. I stood at the Dispatch Box and argued for them. I do not recall ever saying to the noble Lord, Lord Stoddart of Swindon, that we would not be trusted again. We argued on the merits of the treaty. It is important that we stick to the merits of the treaty in this argument today. I would not like the noble Lord's arguments about what was said from the Dispatch Box to stand on the record without being challenged by the person who stood at the Dispatch Box.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Of course the noble Baroness is entitled to challenge what I have said. I accept that she did not say that from the Dispatch Box, but various Prime Ministers did so. I am sorry if I offended her, but I did not accuse her of any such thing. However, we do have this problem; and there is a further problem that treaties cannot be amended. Parliament, which is here to scrutinise and amend, is told that it is not allowed to amend a treaty. Treaty amendments are simply not allowed, so Parliament has to accept everything in the treaty or nothing. That is Parliament’s situation in relation to the European Union. It is not democratic and it is not demonstrative of parliamentary democracy; when we talk about parliamentary democracy, let us realise that in respect of EU treaties. It has been the case with every single treaty that I have taken part in—and that is all of them. As the noble Lord, Lord Richard, pointed out, I was never in favour of joining the Common Market in the first place, and I believe that it would be in the best interests of this country to leave it at present. That is my view on this Bill. It is the best that we are going to get, quite frankly, at this stage.

Out in the country there is disquiet about our membership of the European Union—where it was, where it is now and where it is going in the future. My view, which I expressed in Committee, is that there should be a referendum as to whether we remain in the European Union or come out. I know that is difficult, but some way, some time, that is going to have to happen. I do not think the people of this country will be satisfied until it happens. I am sorry that I cannot support the amendments before us. As I have said, I think this Bill is about the best that we are going to get.

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Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean
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My Lords, of course it is a question of balance and common sense. Where do we find arguments about balance and common sense but in another place and, especially, here? It is here where we have those arguments and can argue out what is in a Bill.

The noble Lord said that the British people know best—he did not qualify the sentence that he uttered—in making his argument about how important referendums could be. I merely suggest to him that the British people would perhaps have liked to have had a referendum on the increases in university fees.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Will the noble Baroness give way?

Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean
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I will give way in a moment. Perhaps it would be pertinent to suggest that there should be a referendum on the future of the nuclear deterrent.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I am most obliged to the noble Baroness for giving way. Would it not have been more pertinent if the Labour Government who introduced university tuition fees had had a referendum? That would have saved them from betraying everything that the Labour Party ever stood for.

Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean
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No, my Lords, of course that is not the case. The point about what has happened in the very recent past is that not only did one of the parties in the referendum say in its manifesto that it would not raise fees but its members signed individual pledges to their electorates to say that they would not increase them, let alone put them up by three times. I do not take the noble Lord’s point on that; it was rather a weak one.

I return to the noble Lord, Lord Waddington. We understand that he has very robust views, as do many of his noble colleagues, but I hope that the Conservative Benches have listened to what I thought was the generous support from the noble Lord, Lord Goodhart. There can be no doubt where he stands on the European Union and yet he and the noble Lord, Lord Hannay, are willing to compromise on this issue. They are willing to acknowledge some of the points that have been raised on the Conservative Benches—and I make the point that it is very much the Conservative Benches, with one or two exceptions on the Liberal Democrat Benches. The noble Lords, Lord Goodhart and Lord Hannay, and others are willing to support referendums on the really important issues. That is the point. We are not saying no; we are saying, “Let’s listen to what our own Constitution Committee, with its representatives from the Conservative Benches, has said unanimously on this issue”, and it has said that referendums must be kept for the really important constitutional issues. If we do not concentrate on what is important, where we should be concentrating the British public’s attention, then indeed we do have a big argument about the role of Parliament and we do start to get into the fundamental constitutional issue of what Parliament is here to do.

It has been said that people will really want to have these referendums. I put it to your Lordships that we all know that is not true; of course they will not want them. They would want them on the euro; if we decided that we were going to leave the European Union; on Schengen issues, because immigration is such a major issue; and on whether or not there should be a European army. Those are the fundamental issues that have been at the centre of most of the arguments in this House in the whole time that I have been here, listening as we went through them over and over again. I suggest to your Lordships that going through the long list in front of us will do nothing to make the British public more confident in what we are doing here. Frankly, it will make them think that we have been dealing with trivia instead of with the important issues that face us.

European Union Bill

Lord Stoddart of Swindon Excerpts
Wednesday 8th June 2011

(12 years, 11 months ago)

Lords Chamber
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Lord Dykes Portrait Lord Dykes
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I rise briefly to speak enthusiastically in support of this amendment and to thank the noble Lord, Lord Williamson, for his remarks—I agree with them all. I was, like others may be, a little startled when the noble Lord, Lord Tomlinson, began to say that he rather agreed with the first part of the speech of the noble Lord, Lord Waddington. But I understand what he was getting at. The beauty of the amendment is that it can appeal to a whole range of Members of this House in deciding, irrespective of their own particular views on the virtue of referendums, or referendumitis, or the danger of referendums, or whatever, that this would be a good way of making more respectable a given referendum result with a turnout requirement—following the wisdom of the noble Lord, Lord Rooker, in a totally different context—and would make sure that we were not trivialising the exercise in a way that would disconcert the public in a big way. The beauty then is that, if the threshold is not reached, the power goes back to Parliament and the Government as the noble Lord, Lord Waddington, would always wish.

On 5 April, in the early stages of the Committee of the whole House, the noble Lord, Lord Davies of Stamford, in referring to Schedule 1, said:

“if we present to the electorate the sort of issues in Schedule 1 and ask them … to turn out at the polls”—

in referendums—

“we are being not only completely unrealistic but deeply insulting to them”.—[Official Report, 5/4/11; col. 1694.]

I have left out a few of the smaller words, but essentially that is what he said.

The electorate would say that that is what they elect parliamentarians to decide. We could easily have participation rates of less than 20 per cent, and we would return, therefore, to the Vernon Bogdanor example. I believe that this matter is important for parliamentarians in both Houses, but particularly here, as this House has an opportunity to improve the Bill in a way that government Ministers have already started to do with their generous amendment. We must work hard to restore public faith in the public’s ownership of first-rate parliamentary standards of tradition, work and devotion to the public good. My personal view is that I am very fearful of referendumitis and this Bill would deliver a lot of it in the future if the situation were allowed to get out of hand.

Most sensible citizens are highly intelligent and quite rightly regard subjects other than mere politics as far more important and crucial. I often do. I would cite family and children, the local community, jobs and job prospects, football and—even better—rugby, holidays, the kids’ results at school and music. Very many of those things are more important than politics. The public want to enhance political quality by leaving the political decisions to their elected representatives, even if some of them in the other place are sometimes rather nerdy people, like Bill Cash or John Redwood. We have to remember the warning words of my noble friend Lady Williams when she spoke of the disastrous example of California, which had become a bankrupt state as a result of excessive referendumitis and foolish populism. This amendment provides a pragmatic way of making the results of referendum—if there has to be one—more respectable. I hope that this House will support it.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I wish that the noble Lord, Lord Dykes, would not describe people who oppose his points of view in such terms as “nerds”. It does not enhance debate and it is quite unnecessary to lampoon one’s opponents.

The amendment has a certain superficial attraction, but we need to be extremely careful what we do. If you say that a decision on an item on which a referendum is to be held can take effect only if 40 per cent of the electorate vote, you could say that about almost every election we have. People are elected to the House of Commons—certainly in by-elections—on a turnout of less than 40 per cent of those entitled to vote. Why on earth should that be legitimate and a referendum on a matter which is to be transferred to European governance not be accepted? We have to be very careful not to create a precedent here which might be used in other circumstances that may be inconvenient to Parliament and certainly to local authorities, where the turnout is very often far below the 40 per cent of those entitled to vote.

The noble Lord, Lord Tomlinson, talked about the various alternatives that might be put on the ballot paper. If you pass this amendment, there is another alternative which is that you can campaign for people not to vote. That is good democracy, is it not? Or is it? If you encourage people not to vote to get the decision you want, that is extremely bad democracy. I do not want to delay the House any further, but I believe that before we vote we should be very careful about what we are doing.

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick
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My Lords, the noble Lord, Lord Williamson, as always, made a very careful and thoughtful speech which places me in a slightly awkward position. I find it surprising that there is so much enthusiasm for this amendment from those who accuse the Government of obstructing the process towards greater European integration. They have said that the Government have been putting locks on moves towards further European integration. Here they are putting a padlock on the lock; they are putting another obstacle in the way of European integration. Let us not forget that one will get a referendum only when the Government are proposing to acquiesce in a step towards European integration. Therefore, I find it a little strange that those who are enthusiastic about more integration and think that the Government are being obstructionist about this want to put up another obstacle.

I do not accept the argument of the noble Lord, Lord Williamson, that there is a danger that we will have lots of referendums on trivial subjects such as the number of advocates-general or the voting system for having advocates-general. There are several reasons, which we went through in Committee, why we will not get a whole series of trivial referendums. First, these sorts of changes tend to come along in packages after major treaty revisions and we have been assured there will not be major treaty revisions. It seems unlikely that any one country is going to invest a huge amount of political capital pressing for a change in the voting system for choosing advocates-general. If some power has not been given to Brussels even after the Lisbon treaty and the Maastricht treaty—the series of constitutional treaties we have had—if powers are left to individual countries, there is a very good reason for that. Obviously in previous negotiations countries have not wanted to cede those powers. The idea that we are going to get a lot of referendums on trivial matters is unrealistic and is a chimera. If that was the basis of the noble Lord’s argument I would not accept it. There are many subjects that are by no means trivial, such as our borders and our criminal justice system, where it would be wholly appropriate to have a referendum. That is why I am broadly a supporter of the Bill.

I said at the beginning that the noble Lord, Lord Williamson, places me in a slightly awkward position because I was, as some of my noble friends will remember, a very strong supporter of the 40 per cent threshold for the referendum on AV. Indeed, I voted twice against my party on it. I do not like to make personal comments but I got to my feet largely because of my noble friend Lord Dykes, who I have known for many years. On the AV question, my noble friend was a very firm opponent of the 40 per cent threshold to which he has put his name on this occasion. As I am placed in an awkward position and he is also exposed in an awkward position, I am prepared to do him a deal. If he will not support this amendment, I will vote for it.

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The noble Lord, Lord Kerr, also described this as a constitutional innovation. I have tried to describe why I believe that is the right description. It is a constitutional innovation of a very profound and difficult kind, and one born of the fear of taking responsibility for taking difficult decisions ourselves as parliamentarians. Of course there are the issues that should be put before the people of the Untied Kingdom; I hope that I have illustrated what those might be. Alongside this are those instances where it is quite right that Parliament and the Government of the day should say no. In light of this Bill, this amendment stands as the optimum extent to which it is possible to defend the historic role of Parliament and to ensure that the responsibility of Parliament is not given away in needless circumstances.
Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, before the Minister gets up, I have a point of order.

None Portrait Noble Lords
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No.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I will make the point of order whether there are interruptions from other parts of the House or not. The noble Lord, Lord Triesman, said that we had had enough of this debate and that, when he got up, no other noble Lord would be able to speak. This is not in accordance with the Companion to the Standing Orders and Guide to the Proceedings of the House of Lords. If noble Lords turn to paragraph 8.139, on page 152, they will see that, as long as the House accepts that they should do so, noble Lords may speak until the Minister gets up. After this, there shall be no speeches. However, before the Minister or spokesman gets to his or her feet, with the permission of the House, any Member of the House may speak

Lord Howell of Guildford Portrait Lord Howell of Guildford
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My Lords, if the noble Lord, Lord Stoddart, is correct, as I have got up, this debate now comes to a close.

As always, it has been a fascinating debate with many profound remarks. It has predominantly been a debate about referenda, but I do not agree with the noble Lord, Lord Williamson, that the debate has been entirely separate from the Bill. Speaking as one of the, I suspect, rather few ex-Ministers who have taken a referendum Act through the other place in the distant past—the Northern Ireland referendum Bill—I suppose that, in the eyes of my noble friends Lord Deben and my noble and learned friend Lord Howe, I am damned before I start.

Nevertheless, let me set out one or two of the arguments that have perhaps not been exposed as clearly as they should. We know that the purpose of these amendments is to include a minimum turnout threshold for any referendums arising as a result of the Bill. If the threshold is not met, regardless of the result, hey presto, the referendum would become advisory and not mandatory. This proposition has a whole string of disadvantages, which are not all obvious but become clear if you think about them. First, as many of your noble Lords have pointed out, instead of it being mandatory on the Government, it leaves the British people in real doubt about what the effect of their vote will be. The noble Lord, Lord Triesman, is incidentally entirely wrong that it will be mandatory on Parliaments; it will be mandatory on Governments, though it is true that Governments often, but not always, control Parliaments. However, this goes by the board if we pass the amendment. It will be the end of the British people’s mandatory certainty and they will be back where they started, passing the ball back to Parliament and the party and Government controlling Parliament. This is where the record has, frankly, not been brilliant or reassuring. This is one of the reasons why we are facing these problems.

We have the glorious assertions of excellent and eloquent spokesmen like the noble Lords, Lord Tomlinson and Lord Triesman, that the only need is for the Government to say no. However, they have not said no. They have said yes, when many people have felt that this yes was the wrong and inappropriate proposition. The fear is that, now that we have said yes to Lisbon, we have said yes about handing many important powers to the European Union. We work with the European Union and believe that they should have powers. However, will it be a no or yes in future? The doubt remains. The doubt must be removed. The reassurance is not there. For the vast majority of the people, the call is for the reassurance to be there. Though the noble Lord, Lord Pearson, will not agree with me, I suspect that the vast majority in this country want us to be good Europeans and to be effective in Europe and effective in allowing Europe to use—and not have us unravel—its vast range of existing competences. They are, however, worried as to whether it will be a yes or a no in future. The noble Lords do not seem to have grasped this central point. It is simply not right to lead people in doubt about what their role will be. It leaves them with a doubt—a dangerous doubt—about whether they will be listened to, about the lack of clarity and about whether their views will count.

The noble Lord, Lord Kerr, brought us back to Edmund Burke. I love Burke. He is one of my favourites. However, he is not particularly my favourite when he warned that democracy only works if, as he put it, there is a policeman within each one of us. It is slightly different from the proposition about parliamentary democracy. We all know perfectly well that Burke was not operating in today’s situation. He perhaps did not foresee the iron discipline of party politics, where some parties get a complete grip on Parliament. Has the noble Lord, Lord Kerr, recently read—or ever read—Lord Hailsham on elected dictatorship? In it he would find a heavy antidote to the glorious idealism of the Burkean age, in which the noble Lord, Lord Deben, and Mr Burke could speak out to their conscience freely unaware of any party restraints. I have spent 31 years in the other place and I am afraid that every day I was aware of party restraints.

I cannot see that this 40 per cent threshold would reconnect the British people with the decisions being taken in their name at the EU level; it certainly would not do so. These devices do not serve to solve the problem, as astutely identified by a great many commentators day after day on the radio or in the newspapers. I see that my brief refers to the BBC’s Europe editor, who said the other day that,

“Across Europe voters feel insecure, suspicious of an elite with its own vision of an ever closer union but which doesn't necessarily address their hopes or fears”.

I would hope that this wise House of Lords, where we wear our party allegiances somewhat more lightly, would support efforts to resolve this concern and to see the European Union on a more solid basis than, frankly, it is today, not only for lack of popular support but because it is facing very serious policy issues as well. For those of us who want to build a better relationship between the British people and the EU and, indeed, people generally and the EU right across the 27 countries—soon to be 28 or more—I would have thought that this is the way to go.

By the same token, the amendment before us undermines that whole aim of the Bill. That is the first point which must be taken into account and cannot be dismissed, unless those who do so think that popular support and consensus are irrelevant, do not arise and that parliamentary wisdom is so entrenched and admired that anything decreed by Governments in Parliament will be immediately accepted—it will not. Secondly, the point has rightly been made that thresholds of this type encourage game playing during a referendum campaign rather than a proper presentation of the arguments to achieve a desired result. For example, if supporters of the yes campaign know that Parliament supports the treaty change in question, they have a huge incentive to keep the vote down below 40 per cent rather than going out and making the case for change.

Thirdly, the Government believe that we should encourage public participation rather than providing reasons for keeping that down. We could wish that the internet age had never occurred and that the days of massive and wide public consultation had not developed, but they have. As my noble friend Lady Nicholson rightly pointed out, are we saying that local elections are not legitimate? We can wave a hand and say that they are different but that is just an assertion. I do not think that they are all that different. Are we saying that the European parliamentary elections are not legitimate? What does it do to the trust in the body politic if a majority have voted no in the referendum but Parliament decided, because it has the power to do so, to go ahead anyway? That would be extremely damaging.

Fourthly, the Lords Constitution Committee, to which some of my noble friends referred, in its wisdom—it is a very wise committee—shares opposition to thresholds. Its report on referendums in the UK concluded that,

“there should be a general presumption against the use of voter turnout thresholds and supermajorities”.

Thresholds are bound to distance voters from the issues on which the British people want to have their say. Incentives to campaign to abstain would be vastly increased.

There is a further question. During our first days in Committee on the Bill, the wise noble Lord, Lord Kerr, said that during the debates on the EEC Referendum Act 1975, the noble Baroness, Lady Thatcher—then Margaret Thatcher—had objected to the possibility of the referendum being mandatory. She also said:

“The Government might regard themselves as bound, but the result could not fetter the decision of Parliament”.—[Official Report, Commons, 11/3/1975; col. 315.]

That, of course, is exactly our point. That is why I fear that the noble Lord, Lord Triesman, is wrong. These referenda, or the referendum that might occur—I think that it will occur only once every few years, but I will come to that in a moment—are mandatory on government. That is the whole point of the Bill. However, they are not mandatory on Parliament. They cannot be. Parliament’s view of the treaty will be taken during the passage of legislation for the referendum. If Parliament did not support the treaty, it would not pass the legislation, so Parliament has its say and remains supreme in every sense.

European Union Bill

Lord Stoddart of Swindon Excerpts
Wednesday 8th June 2011

(12 years, 11 months ago)

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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I have read the amendment, which would restrict the operation of the Bill to matters of urgency. That is what it is about. I thought that the Bill was about major transfers of power, not just little changes to ongoing, day-to-day matters in the EU; it is about major transfers of competence or powers. Whenever you are transferring powers from this country to another institution, it ought not to be done in haste. There should not be urgency about it.

Those sort of matters, those great matters, should be decided only once all the issues concerned have been examined by the Government and by Parliament; and then by referendum. Why do we want an urgency clause? We cannot afford to have an urgency clause when we are transferring powers from our country to another organisation. I cannot support the amendment, although I understand why the noble Lord, Lord Triesman, feels that it would be helpful to the Bill. I do not think that it would be helpful to the Bill, because it would undermine its whole purpose, which is to ensure that when this country transfers major powers elsewhere, there has been proper consideration over a proper period by the proper authorities, including the Government, Parliament and the people.

Lord Kerr of Kinlochard Portrait Lord Kerr of Kinlochard
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My Lords, I need to make a rather nerdish point.

Lord Kerr of Kinlochard Portrait Lord Kerr of Kinlochard
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The noble Lord, Lord Stoddart, will be very upset. I accuse myself of being nerdish, and I hope that the noble Lord will agree that I can be considered in the same class as Mr William Cash.

We are talking about an amendment to Clause 3. Clause 3 is about the accelerated, simplified procedure. I do not know why we have Clause 3 separate from Clause 2, but we do, and we are debating it. The simplified procedure cannot be used for the transfer of competences. That is what the treaty states. Article 48(6) states that the decisions referred to in the second paragraph,

“shall not increase the competences conferred on the Union in the Treaties”.

We are talking about urgency and the use of the competences that the treaties have conferred. We are talking about urgency because that is the nature of the simplified procedure. It was invented to move fast in situations where we might want to. It avoids the convention, it avoids the full paraphernalia after Parliament—you still have to consult Parliament under Article 48(6), but that can be quite quick.

This is a modest amendment, unlike the previous amendment on which we voted, which was bigger. This is a modest amendment because it simply suggests that the urgency condition might be written into Clause 3, on the simplified treaty revision procedure, which is about urgent treaty revision and not about competence. It cannot be used to confer competences on the Union from the member states.

It seems to me appropriate and modest to say that, when we are dealing with treaty revisions or decisions taken under Article 48(6)—which, by definition, will happen only in a hurry—we should be able to have an accelerated procedure here in this country. We might accept that the general view was correct: this was an emergency and we needed to move fast. Of course, if you did not accept that, you would have said “No” in Brussels and the accelerated procedure would have stopped, because it still requires unanimity. By definition, you are in a situation where people have thought, “We haven’t got the time to do the whole shooting match”. This is important. The Government think it is in the UK interest—they voted for it. Who would decide whether the urgency consideration applied? It is a question asked in this debate. The House would decide. Parliament would decide. If this provision was in the Bill, the Government would have to explain whether the urgency procedure, in their view, applied. Parliament would vote on that. This is a parliamentary democracy—that is where the decision should be made.

I do not see anything wrong with this amendment. It seems to me that it is appropriate—particularly appropriate—to this clause. I supported the previous amendment—the bigger amendment—which would have written it also into Clause 2, alongside the significance condition, which sadly is still missing in Clause 2, for reasons that I do not understand. Putting it in Clause 3, which the amendment of the noble Lord, Lord Triesman, proposes, is absolutely appropriate and I support the amendment.

The Minister commented with approval, as would I, on the evidence that Sir John Grant gave to the Commons committee. Sir John Grant made two points that the Minister quoted with approval. I approve of them too—although, as the Minister delicately pointed out, Sir John is a more recent permanent representative in Brussels than me. There may have been a faint connotation in the Minister’s remark that I might be a bit fuddy-duddy or out of date. I accept that; it is perfectly possible, and Sir John Grant is a very brilliant man.

Sir John said that he saw no chance of serious treaty amendment in the next few years. I agree with him for a whole lot of reasons. Nobody in Brussels wants it; the UK Government have said that they are not going to have it; and it is in a coalition agreement. That seems to me to be fairly conclusive, so I think Sir John Grant was on pretty safe ground with that prediction. He also spoke of the unlikelihood—and the Minister quoted him—of the passerelles being used in the near future. I agree. That seems to me to be implausible too.

What the Minister did not mention—I cannot remember whether Sir John Grant did—is the much more likely scenario in which, some time in the next decade, something will cause people to say, “Jeepers, we are going to have to change something. This is clearly a case for the accelerated procedure”. Things do happen in the world, things change, and the chances are—I do not think this is very likely in the near future, though the monetary example is fresh in our minds—that some time in the next decade there will be a need seen by most people, possibly by us as well, for a change, and if it is to be done quickly then the chances are that people will use Article 48(6) procedure.

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I come to the conclusion that I put to the House, but it relates to a point made by the noble Lord, Lord Stoddart, which, again, I understand. Of course, it would be great in all circumstances if we had sufficient notice of anything that happened to be able to go through every single process and feel that we had interrogated it to the nth degree. Of course that would be desirable. I understand that, but we do not live in a world which affords us that luxury on every occasion.
Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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What I was talking about was the transfer of great powers, which would be permanent; what the noble Lord has been discussing is matters of emergency. Those are quite different because, for example, on the financial crisis that has blown up in the European Union, it is perfectly possible for the Government—indeed, the Government alone, backed later by Parliament—to make decisions that might last for five years, but would nevertheless not be permanent transfers of power. That was what I was trying to get at.

Lord Triesman Portrait Lord Triesman
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My Lords, if I misunderstood the point, I of course apologise.

I conclude my remarks by saying that this does not involve the same sort of transfer of powers as under Article 48(6). It is not intended to do so. We have all acknowledged that it has a different standing.

My key point is this, and I address it to the government Front Bench to think about—even though they obviously cannot respond to it this evening in this particular debate. The G20 was as good an attempt as anybody could make in the circumstances to try to find some way of codifying the responses to the financial crisis across the world. Thinking of it professionally almost—as an economist—I think that it was a pretty poor outcome and the G20 did not do what it was supposed to do. The key players did not play the roles. It may be that a number of people, including eminent politicians from this country, talked up what the G20 was capable of doing and what its successes might be, but when we look at it in the cold light of day, we do not have in the international financial system the protections that some pretended there would be as a consequence of that meeting. There is no doubt in my mind that one of the reasons for that is that a number of coherent economies in Europe that were used to mature financial operation found themselves without the tools to respond together, and that had a profound effect. I beg leave to withdraw the amendment.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 23rd May 2011

(12 years, 12 months ago)

Lords Chamber
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Lord Dykes Portrait Lord Dykes
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It can be done? Thank you for the answer. I was not quite sure.

I am very glad that the noble Lord, Lord Lea, brought his points in because they reinforce the need for the basic underlying enthusiasm for membership of the European Union to be reiterated again and again. The speech made by the noble Lord, Lord Howell, at the end of the previous group emphasised the same point, so to that extent one is very grateful indeed. Coming back to the previous discussion on Amendments 57 and 59, like the noble Lord, Lord Kerr of Kinlochard, I was not quite sure whether the description should veer between vague and unnecessary or go back to sinister. If we listen to the words of the noble Lord, Lord Willoughby de Broke, one might say that it should go back to being sinister, but I am glad to suggest to the Committee—I hope I am not being discourteous—that that is still a minority view of the worth of this country’s membership of the European Union. I always listen with great respect to the things that he espouses when he makes his arguments, even if I do not agree. At the moment, we are still with vague and unnecessary, and that is the crux of the problem. I express enormous appreciation for the very wise words of my noble and learned friends Lord Howe and Lord Mackay of Clashfern.

Returning to my noble and learned friend Lord Howe, one remembers with great affection the riveting extracts that one can still read in Hansard from the debates when the then new Conservative Government were promulgating the legislation. As Solicitor-General, he had the opportunity to re-educate Harold Wilson about the realities of the 1972 Act in general and, specifically, about Section 2, which he did with great skill, I believe. It came back to the reality, as George Brown reminded us continually before and after these events, that he could never quite persuade Harold Wilson to be a really genuinely deep, good European, as he was. It was the best they could do in the circumstances, and the rest of it flowed from that.

The report by the Constitution Committee of the House of Lords, which was published in March, has been much quoted in these debates. It referred to these matters, as my noble friend Lady Falkner said today. The scrutiny committee’s report and this report are very relevant in this context. The very specific amendment tabled by the noble and learned Lord, Lord Mackay of Clashfern, would remove the original text of Clause 18 and insert a new clause that would reassure us and dispel the doubts that might arise, such as the one to which paragraph 59 on page 16 of the House of Lords Constitution Committee report refers when it talks about this particular dilemma:

“An argument raised in evidence to the European Scrutiny Committee is that, by seeking to shield the principle of parliamentary sovereignty only in the context of EU law, clause 18 may inadvertently invite questions in the courts about why Parliament did not take the opportunity to seek to reinforce its sovereignty more generally”.

Paragraph 60 of that report concludes in dark print:

“We are confident that if parliamentary sovereignty were to be questioned in any other context, the existence of clause 18 would not prevent the courts from upholding the well understood and orthodox position”.

One may relate that directly to paragraph 118 on page 27 of the Explanatory Memorandum and the Government’s absolute reiteration of the fundamental principle in that lengthy text on Clause 18, which, they say,

“does not alter the existing relationship between EU law and UK domestic law; in particular, the principle of the primacy of EU law. The principle of the primacy of EU law was established in the jurisprudence of the European Court of Justice before the accession of the United Kingdom to the European Communities”.

They then mention the cases that were referred to the ECJ that bore that out.

Amendment 57 is in my name and that of the noble Lord, Lord Hannay, and in the names of two other noble Lords, one of whom is unwell tonight and cannot be present—the noble Lord, Lord Tomlinson, who has given his apologies, I believe. The great beauty of Amendment 57 is that it relates back very neatly to the very text of paragraph 118, which I have just quoted, and to the actual words of the insertion suggested by the noble Lord, Lord Hannay, on page 12, line 9, at the end of Clause 18, for which we thank him. The Government’s magisterial decision will therefore surely be to accept the amendment in the name of the noble and learned Lord, Lord Mackay, with its much more precise and unshakeable reference to the 1972 Act and his inserted words that underline the fact that EU law has primacy and that would therefore dispel the doubts and restore the Government’s authority on European Union matters.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I oppose all the amendments, and indeed the clause itself, because of a simple proposition that people will understand. Like the noble Lord, Lord Armstrong of Ilminster, I cannot claim to have any legal background in these matters. I do know, however, that during the whole of my political life, which has been a very long one, I and everyone else understands that the British constitution is based on the proposition, and indeed the law, that one Parliament cannot bind its successor. That you must hold to. It is indivisible, and once you start qualifying it you undermine the whole concept. That is why I oppose all the amendments and Clause 18, because they all seek to qualify that absolute part of our constitution.

That is such a simple proposition that all ordinary people understand what it means: that Parliament is supreme, and that what Parliament does can be undone. It is absolutely true that things can be sorted out by repealing the 1972 Act. The only problem so often is that people go on to say that that is inconceivable, but it is not. There are circumstances in which this country may wish, and indeed may have the duty, to withdraw from the Community. I know that that sounds as though it is out in the clouds. Nevertheless, there are circumstances in which it would be desirable, and perhaps essential, not to be bound by the European Communities Act, and it can be repealed. That is the essence that we have to stick to: the fact that that Act is simply an Act of Parliament that can be repealed by any Parliament in the future or in the present. I agree with those who say that letting go of that could be a dangerous course.

Lord Deben Portrait Lord Deben
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My Lords, I have not been able to support the Government at all times during the passage of this Bill. I hope therefore to rectify that, at least in part, on this occasion. It seems to me that it is a mistake to say that at all times a declaratory statement is unhelpful. Clearly, there is a need for some declaration, having heard the speech of the noble Lord, Lord Willoughby de Broke, who clearly believes that what would be declared would not be right. Therefore, declaring it is not merely otiose. In the present world, it is occasionally valuable to make a statement which may for some be a statement of the obvious but clearly for some it is not. Therefore, I am happy for there to be a declaration.

My problem is not about the need for a declaration but in the wording of Clause 18. That problem arises from two directions. First, I do not believe that it is safe to have anything which is in the slightest bit ambiguous. That is not because I have the same suspicion that the noble Lord, Lord Kerr, has of the Government’s intentions. I have been reassured on that by my noble friend the Minister. It is simply because there are people in this country who will do anything possible to try to drive in wedges where there is really no hole to drive them into. Therefore, one should just make sure that one does not provide a means for them driving. Let us be careful about ambiguity.

Secondly, I wish that we would talk about these things while remembering the other countries in the European Union. There is a tendency to feel that somehow it would be perfectly all right for Britain to decide that it liked “this” Act but not “that” one. But the moment that the French, the Spanish, the Portuguese or the Slovenians do that, we get on our high horse immediately. That interesting daily newspaper, the Daily Mail, spends most of its time doing precisely that and saying that someone is being absolutely unacceptable because they are not agreeing, supporting or doing what they should under the European Union. But the moment it is convenient to complain about Britain, somehow Britain is in a different category. I do not think it harms us to be reminded of the enormous value that we have in the fact that all members of the European Union are bound by the European treaties.

Earlier, a noble Lord mentioned BSE. I do not think that anyone has had more experience of BSE than me or that anyone has been more photographed as regards BSE. I say to your Lordships’ House that the ability to insist that countries could not use excuses for restraining trade was a crucial part of this country’s defence against what turned out to be a situation which could have damaged us in an unfair and unreasonable way. That is only one example but there are dozens. Anyone with any ministerial experience knows that, within the context of the European Union, issues are pressed one way or another: Denmark may make a statement about something and the French may be difficult about something else. We are very difficult about a lot of things, which is part of the give and take of a community in which we are all members and partners. It is the same give and take that you have in any Cabinet. Sometimes there is more take than give, which has been our experience of Britain’s attitude to the European Union in my view. We have often failed to give enough and, therefore, we have found ourselves looking as though we are more concerned with the take.

I have a considerable desire to remind the House of the advantages of this clause, as amended by the amendment of my noble and learned friend Lord Mackay, and supported by my noble and learned friend Lord Howe of Aberavon. Clarity is a valuable addition to what is not an unnecessary clause but something which would be well worth having.

I end by making one comment which should be mentioned in this debate. One of the problems with our system—I support the system enormously—is that we produce legislation in our Houses of Parliament to carry into law the decisions that are made by us all around the table in the European Union. I make that point because it is not Brussels which makes those decisions. We make them with others in Brussels of our own volition. Then we carry it into law. The real concern is that, unlike many other European countries, we have a wonderful opportunity to make the whole thing more complicated. We can add this and that. “Better not leave that out”, and, “Have they thought about this possibility?”, says the civil servant. When you look to see where the gold-plating comes from, you can see that it comes from our system. I am in favour of us doing this, but I would not like to have spoken to this amendment without reminding the Committee that every time we do it, we ought to be careful. Perhaps we would do better to keep to the simplicity of much of European law rather than elaborate it for the benefit of the curious mind of the bureaucracy of Britain.

I hope that the Government will find it possible to accept the amendment. It cannot mean anything different from what they intend to mean in their Clause 18. However, if Clause 18 does mean something different, the noble Lord, Lord Kerr, is right to be suspicious. If it means the same, surely it would be better to take the wise advice of noble Lords who are learned in the law and accept that the formulation put forward by my noble and learned friend Lord Mackay, my noble friend Lord Lester and the noble Lords, Lord Kerr and Lord Dubs, is a better way of achieving something that I believe is worth while.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 23rd May 2011

(12 years, 12 months ago)

Lords Chamber
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Lord Howell of Guildford Portrait Lord Howell of Guildford
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I am not sure I agree with the picture of decisions having to be taken instantly. On the contrary, it seems to me to be much more likely that there would be all kinds of negotiation, not least because it would result in one or more member states being outvoted. I do not think these are. This is a very complex matter, and I have sought to try to explain as best I can how we see it working but, of course, I will write to the noble Lord in more detail about his precise concerns. I am not sure that he has really satisfied me about the cutting edge of his amendment, and I have clearly not satisfied him. We will just go on boxing and coxing while other noble Lords have to listened, so I think it is better if I write to him and try to clarify the Government’s understanding of the reasoning and the reason why primary legislation would be justified against his clearly very strongly held view that it would not be justified and might hold things up.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Will the Minister ensure that all Members of the Committee who have taken part in our debates so far also receive the letter that he is going to send to the noble Lord, Lord Kerr?

Lord Howell of Guildford Portrait Lord Howell of Guildford
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Yes, of course I will.

I want now to turn to the next point that the noble Lord raised, which is to do with Article 64(3) of the TFEU on the reverse of liberalisation of capital movements to or from third countries. The noble Lord, Lord Kerr, indicated he did not fully understand what the Bill means. He interpreted it as allowing a move back from QMV to unanimity. Article 64(3) allows for unanimity for the adoption of,

“measures which constitute a step backwards in Union law as regards the liberalisation of the movement of capital to or from third countries”.

I do not know where this phrase “step back” originally emerged from. I do not know whether it was way back in the original draft of the European constitution. It may have been. It is used to do that which we believe should be subject to an Act of Parliament. Once again, I will obviously look at it very closely, but that is why we believe it is in the Bill in the form that it is and why we think an Act of Parliament is the right way forward.

Those are the detailed points that were raised. As I said about the phraseology that comes down to us from legislation under a previous Government, there is matter for further reflection. I fully accept that just because it was there before does not automatically mean that it is the right way forward now, although the previous Government undoubtedly thought that there were good reasons for it, otherwise they would not have put it there.

Clause 7 covers four categories of passerelles—I do not want to detain the Committee by listing them all now—that cover a wide range of different passerelle devices with which we are concerned. I like to think that Clause 7 represents a clear step, which in principle although maybe not in detail has the support of noble Lords generally, towards enhancing parliamentary control over the Government’s participation in a range of important passerelle decisions at EU level. The result ought to be—indeed, the coalition Government believe it will be—an increase in Parliament’s, and ultimately the British public’s, sense of ownership of and engagement with the future direction of the EU.

Of course, in the highly sensitive areas listed in Schedule 1, as we know and have debated endlessly in Committee, the referendum lock would apply on top of parliamentary approval. However, an Act of Parliament is required in the other areas listed in the clause, which surely can only be a bonus for the public trust and accountability that we are all working towards in this legislation and in our work on the European Union generally.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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Of course we will reflect on that, but I remind noble Lords that the purpose of this Act is to improve parliamentary scrutiny and oversight of the procedures of the EU.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Did I understand the noble Lord correctly when he said that the proposal is that the Official Journal of the European Union should only be published online? If so, that is quite a serious proposal because not everyone has online access.

Lord Bowness Portrait Lord Bowness
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My Lords, I do not wish to take up the time of the Committee. The proposal as I understand it is to continue producing the printed version. It is a question of which version the courts will recognise. The courts have said to date that only the printed version is the authentic one. If this proposal goes through, they will be able to accept the electronic version. The noble Lord will not be disfranchised by not being online.

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Lord Willoughby de Broke Portrait Lord Willoughby de Broke
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My Lords, I am very familiar with that argument, which was wheeled out after the constitutional referendum by numerous pro-Europe commentators—they said that it was about the colour of Monsieur Chirac’s socks or something; it was not about the constitution at all—but I know, because I was in France at the time of the referendum, that people were very engaged in the debate. So whatever the noble Lord on the Front Bench may say, there was a rejection by the French people by a 55 per cent majority of the constitutional treaty. I do not think that his arguments hold water.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I remind the noble Lord that every French voter received a copy of the Lisbon treaty, so they were perfectly well aware of what they were doing—unless they are stupid, which of course they are not.

Lord Willoughby de Broke Portrait Lord Willoughby de Broke
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That is right. It is history now, but I believe that they were voting on the constitution and they voted against it. The noble Lord, Lord Dykes, is not in his place so perhaps it is not worth saying this, but these are not the ravings of a swivel-eyed Europhobe or the poisonous meanderings of the Murdochite press. These are simple facts—it is what people said after the votes on the constitution and on the previous treaty, as I mentioned.

On the dubious basis that a no vote was a request for more Europe, not less, after a period of reflection the constitution was wheeled out again, this time badly disguised as the Lisbon treaty. Monsieur Giscard d’Estaing himself had the decency to admit that the treaty was,

“purely a legal rewriting—incidentally unreadable—of the draft Constitutional Treaty”.

The reason, he admitted, was above all to avoid having referendums.

Yet again, that ungrateful bunch the Irish threw a shillelagh in the works by voting against the Lisbon treaty. What an unnecessary obstacle these referendums are to the furtherance of the great project. For their pains, the Irish were roundly vilified. A leading German politician said that a no vote was real cheek, while a British Labour MP said that the Irish had voted no because they had become entirely too arrogant. True to form, Ireland was shamelessly vilified by the Eurocracy and told to hold another referendum, which duly gave the so-called “right answer”. Not that this has done the Irish any good, of course; their reward has been to be sacrificed on the altar of the solidarity of the euro, to be loaded with debt that they will probably never be able to pay back and to be told by the French that they must raise their corporation tax. So much for EU solidarity.

Noble Lords can see that the European elite have form when it comes to reversing the results of referendums that do not suit them. The amendment will reassure the people of this country at least that when they vote no in a referendum on any of the items in Section 6 against a transfer of further powers to the EU, their vote will not be nullified by an immediate demand for another referendum and to think again. The Bill has a referendum lock in it.

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Lord Waddington Portrait Lord Waddington
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I hear what my noble friend says. I have not the faintest idea whether it was uttered or not. By the time all these great events were occurring, I was reading the Royal Gazette in bed in Bermuda and not the Times or the Telegraph here in Britain. All I am telling noble Lords now is what the history of the matter is. The history that I have related so far is entirely correct. The Conservative Government were obviously not happy about many aspects of Maastricht, which was precisely why they, with considerable perspicacity, negotiated the opt-out. However, having opted out, there were still great dangers ahead. Therefore, when the Danes rejected Maastricht there was an opportunity to block the treaty and work for a fresh start in which energies would be concentrated not on trying to manage the economies of the member states but on extending the borders of the EEC and creating a fully competitive common market within those borders. But that opportunity was all thrown away. If it had not been and there had been a fresh start, the EU would not be in the mess it is in today, bailing out countries which are “broke” as a result of having been put in the straitjacket of the euro.

This amendment cannot affect how we should react if there are further defeats of proposals for treaty changes in other countries, although I hope that we have learnt some lessons in that regard, but it would prevent a British Government going along with EU bullying if the people voted no in a referendum—and that would be a very good thing.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I am a signatory to this amendment and, of course, support it. The noble Lord, Lord Willoughby de Broke, has provided a good deal of the history of referendums in other countries. The most recent case of a further referendum was in the Irish Republic, where the first referendum was held on 12 June 2008. During that referendum, Mr Barroso intervened to warn that, if the Irish rejected the Lisbon treaty, there was no plan B under any circumstances, and that there would be dire consequences not only for Ireland but for the whole of the European Union. Nevertheless, the Irish voted no on a 53 per cent turnout, with 53.4 per cent voting no and 46.6 per cent voting yes. There was pandemonium all over the place, especially in the European Union. Many people thought that the Irish had spoken and that that should be the end of the matter, especially as Mr Barroso had denied that there was a plan B, but obviously there was a plan B—another referendum. That took place on 2 October 2009. As noble Lords will know, the result was reversed after a bitter campaign, during which the European Commission and the Irish Government weighed in with taxpayers’ money—probably illegally, incidentally. According to Mr Jens-Peter Bonde, who at that time was a senior MEP, the Commission and the Irish Government between them spent millions of euros supporting the yes campaign. As if this huge support was not enough, large amounts were also contributed by vested interests, including €250,000 by Ryanair. In fact, 10 times as much was spent on the yes campaign as on the no campaign—little wonder, then, that the Irish people reversed their first vote by a 2:1 majority.

However, that was not the first time that the Irish people had been made to vote again. When they had the temerity to vote no to the Nice treaty, they had to vote again to provide the only answer that was acceptable to the European Union and the Irish Government—in other words, if people do not provide the right answer first time round, they will be made to vote again until they do. That is the impression that is given, and that is why in many respects the European Union and some of the nation states are held in contempt by their peoples.

However, as we have heard from the noble Lord, Lord Waddington, the Irish people were not the only ones who were made to vote again. When the Danish people voted no to the Maastricht treaty in 1992, they were forced to vote again a year later in 1993. Again, the no campaign was out-financed and clobbered by their own Government and others with vested interests in obtaining a yes vote—and this was duly achieved. However, as noble Lords may remember, when the result was declared the Danish people were so annoyed that they actually rioted in Copenhagen, the police fired 113 shots into the crowd when it was trapped, and 11 people were treated for gunshot wounds. When people feel cheated about their decisions, in some cases and under some circumstances, they are prepared to cause mayhem and riot.

Therefore, for these and other reasons, I support the amendment and hope that the Government will accept it. Before I sit down, I ask for an assurance from the Government that in any referendum under the Bill they will not use taxpayers’ money to support one side of the argument, and that they will prevent the use of taxpayers’ money by any institution of the European Union to support one side of the argument. That should include the European Parliament, which has just voted for a change in funding rules that will allow cross-national EU political groups of MEPs to take part in referendum campaigns in member states. It would be quite outrageous if MEPs from any part of the EU, with taxpayers’ money through their expenses, were able to indulge themselves in a specifically British referendum. Unless the Government can assure us that they will block such activities, I support the amendment.

Lord Flight Portrait Lord Flight
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My Lords, it is very tempting to support the amendment, and the noble Lord, Lord Stoddart of Swindon, made some good points about expenses. The forced holding of second referenda has been shameful and has involved quite improper practices. However, I should like to make two points on why the amendment may not be appropriate for this country. The first is that any second referendum would require the approval of both Houses of Parliament. I trust that this House, unless it is dangerously interfered with, would act properly in that situation. Secondly, in the event of a referendum on “in or out” in which people voted to stay in but certain developments in Europe within the five-year period made the situation dramatically different, it would be unwise to be limited by a five-year rule that the UK could not reconsider the issue again in the light of future developments. Many Members of this House are sympathetic to the amendment on the improper use of forced second referenda, but such a measure would not be appropriate in this country.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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I am happy to answer that now: perhaps it will enable us to avoid having a debate on Clause 13, which is largely technical. The Political Parties, Elections and Referendums Act makes it entirely clear that there are tight controls on the funding of referendums by political parties and other actors, including those outside the European Union. My understanding of the clause is that the European Commission would not be allowed to spend more than £10,000 in the course of a referendum. I hope that that provides the answer that the noble Lord needs. If any further details are required, I will of course write to him. However, I am sure that he is an expert on PPERA and all the details that the Electoral Commission now oversees.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I asked about the new rules which would allow European political parties to campaign in any country on referendums. Does the existing legislation cover expenditure by MEPs in any country, including our own, in case of a referendum? We need to know that.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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I seem to remember that in both the Danish and the Irish referendums there was substantial assistance from Eurosceptic groups in this country in terms of finance and people—but perhaps I am wrong about that. Perhaps my memory is at fault. Perhaps we should consider whether there should be an amendment at a later stage to ensure that such British groups are prevented from intervening in other countries’ referendums. I will have to take advice on that and on some other matters.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I am most obliged to the Minister for giving way again, but the point about MEPs is that they will be able to use their expenses to campaign, and that is taxpayers’ money. If people give voluntarily, that is a matter for them, within the election rules, but if MEPs are spending taxpayers’ money, that is another business. I appreciate that the Minister cannot reply now, but when he considers the matter further he will perhaps take that into consideration.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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I will refer back to the Political Parties, Elections and Referendums Act.

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Lord Clinton-Davis Portrait Lord Clinton-Davis
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I have rarely heard such piffle from any Member of this House as we have just heard. To suggest that Government Ministers would play fair on this issue is addled. At the moment, all the evidence points the other way. They are happier to point in the way of negativity rather than deploy the arguments in favour of the community.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Is this an intervention or a speech?

Lord Clinton-Davis Portrait Lord Clinton-Davis
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It is a speech. Many years ago, I shared the view of many members of the Labour Party when I expressed the opinion that our membership of the EU was wrong. My noble friend Lord Radice took a different view. He was right and I was wrong. Having been a commissioner of the EU for some time, and having been in charge of transport, the environment and the nuclear industry, I formed the view that on all those issues, the voice of Europe should be positive and heard. I never came to the conclusion that we should somehow shilly-shally on those issues.

My noble friend Lord Liddle was in Europe as well. I think that he would share my view that it is imperative that members of the Commission should be heard. At the moment, their views are drowned out by people who take a contrary view, such as the noble Lord, Lord Waddington, who is a great friend of mine despite our differences of opinion on this issue. When the then President of the Commission, Jacques Delors, spoke to the TUC in Bournemouth, it was a remarkable event. I wish that more members of the Labour Party and of this House had been present. It was remarkable because many people in the TUC did not share that view. But he was rather positive about the virtues of the European Union and he convinced most of those present that that was right.

Unfortunately, in recent times Ministers from both parties have been less than forthcoming with their views on the European Union. I wish that that was not the case. Therefore I support the views expressed by my noble friend Lord Radice on this point. It is incumbent on members of this Administration to speak out about the virtues of the European Union. It is quite impossible for us to withdraw from the EU or play a lesser part in it, although some people here would like us to do so. It is absolutely vital that the case for the European Union should be advanced by Ministers at all times, and that is singularly lacking at the present moment.

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Baroness Williams of Crosby Portrait Baroness Williams of Crosby
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My Lords, I do not believe that the noble Lord, Lord Radice, was suggesting that there should be a legal obligation on Ministers to say nice things about the European Union. What he was trying to do is to get at long last a more balanced perception of the pros and cons of our membership of the European Union, for which I profoundly commend him.

Of course there are many things wrong with the European Union, as there are with the United Nations, with our special relationship with United States and with many other aspects of international institutions, one recently mentioned being NATO. Nobody argues with that; we live in a world of real politics where it is clear that most institutions have substantial flaws. Nobody denies that the same is true of the European Union.

But what I find so sad is that, for 40 years now, this country has gone on missing opportunity after opportunity to lead and profoundly to influence the European Union because of its obsession with constantly trying to run it down, even when it does things which are obviously in the interests of this country, of the European Union itself and of the world. Neither your Lordships nor I have got time to go back at great length, but such an attitude dates from our refusal to have any part in the Coal and Steel Community of 1951, our refusal to take part in the 1957 treaty of Rome, with our dismissal of the enterprise as being unlikely to succeed, our failure to recognise the astonishing achievement in bringing Spain, Portugal and Greece, all of them dictatorships, into a framework of democracy which has been sustained, undoubtedly with some difficulty, right up to the present time—which is an amazing achievement—and our total lack of interest or great concern with the European Union’s extension eastwards into central Europe, the Baltic states and elsewhere, countries for which the European Union, alongside their membership of NATO, were the guarantees of their future democracy and stability. They still have a long way to go, but they have come a very long way since 1989 when the Soviet Union collapsed.

We turn aside time and again from the fact that the European Union is the single greatest giver of aid to developing countries, exceeding any other country on the same scale such as the United States, China or India. We take very little notice of the tremendous efforts made by the European Union to do something serious about emissions, greenhouse gases and the environment. At the most parochial level, when we look at the cleanness of our beaches and at the fact that the Thames river now has salmon all way up to the Pool of London, we see that that is due directly to European Union directives, though nobody is ever prepared to say it very loudly in this country. I could go on—I shall not—but what I find so sad is that we in this country have failed to give a constructive lead to the European Union and spend almost all our time carping about it. We are right to criticise it—yes—but to carp, to sour and to change and distort the facts in the way that happens in the British press is astonishing and not copied in France, Germany, Spain or most other major countries of the European Union. It is a unique aspect of a certain kind of British moaning about the great opportunities that it has decided not to follow up.

The noble Lord, Lord Radice, spoke about the Murdoch press and Associated Newspapers. Those newspapers do not simply produce balanced and constructive criticism of the European Union; they continually emit a series of distorted statements, falsified facts and false scandals which rarely come home. One should compare them with the one newspaper that I think everybody in this House would recognise does not grind very strong party axes and attempts seriously to devote itself to society and the public good, in providing the nearest thing to truth that can be provided—I refer, to your Lordships’ surprise perhaps, to the Financial Times. The indications, the outlines, the descriptions and the analysis in the Financial Times of what is actually going on in Europe are unique in being genuinely international, genuinely global and genuinely objective in a way that most newspapers do not pretend or even try to be. One reads in that newspaper lots of criticisms and worries about the eurozone and so on, but it provides a picture of what is happening that is far better balanced than that which one gets from most of the other major tabloids or even for that matter, sadly, some of the major broadsheets.

Our future as a country lies in working closely with the European Union. It is not just me who says that; it is people such as President Obama and the leaders of China. Our major neighbour nations recognise that the UK’s future as a serious player on the world stage is very closely linked to the extent to which we can co-operate with our neighbours in Europe. That is very strongly the view of the United States; it has been over several presidencies—I do not doubt that we shall hear anything very different when the present President of the United States comes here on Wednesday. Should we not at least give a moment’s pause for some of our closest friends and best allies when they say to the United Kingdom, “Please, think constructively about what you can contribute to the future, and think about how the Commonwealth and Europe together could create a world of greater peace and greater balance”? Just for once, let us move away from the negative position that we in this country so often take and look at the prospects for our children and grandchildren. Let us notice that they inevitably require us to work, not uncritically, but thoughtfully and constructively, with our European neighbours to make the world a somewhat better place.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The amendment refers to the failure of Governments and Ministers to promote the European Union; what we have had is a debate about the pros and cons of the European Union. I could speak for a very long time on that, but I shall not. However, I say to the noble Lord, Lord Radice, that he is wrong in his view that Ministers of all Governments have not promoted the European Union or the European ideal. In fact, we have progressed—if that is the right word—from what was supposed to be a common market to what is now, almost, a new country called Europe. We need to understand that all the way along, ratchet by ratchet, treaty by treaty, Governments have promoted our memberships, first, of the Common Market and now the European Union. They have done so in the belief that things should be done better by a group rather than by individual nations. That is not what the British people think; they believe that Britain should remain a self-governing nation.

The Single European Act transferred huge tranches of power to the European Union. It was followed in 1992 by the Maastricht treaty, which promoted even more powers to the European Union. That process culminated in the latest treaty, the Lisbon treaty. There is virtually no policy area where the European Union is not now involved. It is even involved in taxation and the control of our financial institutions. It takes the lead in foreign affairs and virtually all issues of British policy now have, in part or as a whole, a European Union basis. That is all I want to say for the moment, but I hope that the noble Lord, Lord Radice, will withdraw his amendment, which is ill conceived.

House resumed. Committee to begin again not before 7.01 pm.

European Union Bill

Lord Stoddart of Swindon Excerpts
Tuesday 17th May 2011

(13 years ago)

Lords Chamber
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Lord Risby Portrait Lord Risby
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My Lords, I apologise for arriving in your Lordships’ Chamber a few minutes late; I was unavoidably detained. I think that the Committee should be grateful to the noble Lord, Lord Pearson of Rannoch, who has underscored something which causes huge concern to the people of this country; that is, the spending patterns within the European Union and the lack of accountability. In that sense, he is entirely correct.

The Bill sets out that a referendum would be necessary if there was a proposal for the veto which covers the multiannual budget—the seven-year budget—to be removed. That financial perspective is crucially important given all the various spending envelopes contained in it. Of course, the previous Government gave up the veto on the annual budget.

It is right that people have been concerned about the proposal recently for a 4.9 per cent increase by the Commission, which is absurd. It has got nothing to do with irrational newspaper headlines; it is a fact that there is austerity in all parts of the European Union and this has to be reflected in what is proposed by the European Commission. It has led the Prime Minister of our country to make this point clearly and I hope that, in due course, as it is further examined by the Commission and the European Parliament, it will be dealt with.

We can all be grateful for underscoring the importance of the necessity for frugality. However, the Bill deals with transfers of power and competence, a point made by my noble friend Lady Nicholson. Funding of the EU is not part of the Bill and therefore the amendment is irrelevant.

On the point about fixing the sum of £10 billion, the noble Lord, Lord Pearson, asked what the benefits were from membership of the European Union. Over the years, the Commission has been able to drive reform in many member countries which, for domestic reasons, found it very difficult to improve competition and undertake privatisation of their nationalised industries, and it has done so very effectively. It has been useful for national Governments to have that force available to enable them to do so and the Commission has driven forward the single market in that respect effectively—not perfectly but effectively. For us, as a trading nation, that has been a significant contribution to our own prosperity.

For many reasons the European Commission needs a budget—frugal and sensible, but a budget it certainly needs to carry out its functions.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, like the noble Lord, Lord Tomlinson, I welcome this modest amendment from the noble Lord, Lord Pearson. He is seeking a referendum—or at least to discuss the possibility of one —at the appropriate time, which falls within the competence of the Bill, on the amount of money the people are paying to the European Union and what they get for it. It is about time the people of this country were consulted in a far greater manner about the money which they have to pay, one way or another, across the exchanges to the benefit of other countries. After all, the taxes levied in this country are now high and are going higher. People cannot understand why on earth they are being squeezed to the extent of about £20 billion a year when we are paying over to the European Union £10 billion a year. Indeed, if we also take into account the loans, it is more than £22 billion a year.

We should understand that that money does not belong to the Government but to the taxpayers, the people who are being asked to pay more and more out of their own pockets while we pay more and more across the exchanges to other people who, in some cases, may very well be better off than ourselves. It is therefore about time the people of this country were consulted about the money they pay—not the Government—to the European Union, which, quite frankly, is not popular in this country. According to the latest opinion polls, a majority of people would be happy to come out, which is why I would like them to be consulted. The people of this country are not against referendums—indeed, they would still like a referendum on the Lisbon treaty. They showed in the AV referendum that they can respond to argument and give a proper and positive decision.

The noble Baroness, Lady Nicholson, said that this is a small country and that its influence is improved and increased by being a member of the European Union. She implied that this country really could not go it alone. It is very odd that this little country built an empire with far fewer than 60 million people; that it has now established a great Commonwealth which unfortunately it does not make enough use of; and that it stood alone against the forces of Nazism during the last war and therefore saved the world from the ravages of Hitler. That is not a bad record.

Baroness Nicholson of Winterbourne Portrait Baroness Nicholson of Winterbourne
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I am very grateful indeed to the noble Lord. It is most courteous and gallant of him to allow me to make a brief comment. Would he not agree that our great leader who led us in that battle and standalone fight, Winston Churchill, was in fact a supporter of the Treaty of Brussels, which in 1947 would have greatly enlarged our integration into what has now become the European Union with far wider and deeper social clauses, for example, than the Treaty of Rome created?

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Yes, there is only one problem about that—he believed in a united Europe, but not including this country. Winston Churchill never believed that we would be part of a European union, particularly of the sort we have now. So I do not think the point made by the noble Baroness is at all valid.

The noble Lord, Lord Tomlinson, was dismissive of the arguments used by the noble Lord, Lord Pearson. The noble Lord, Lord Pearson, has repeatedly asked for a cost-benefit analysis. That has always been refused. However, the expenditure by the European Union is very often not the sort of expenditure that we would want in this country. Indeed, the Prime Minister is currently concerned about some of the spending within the European Union and wishes to bring it down, particularly when the next negotiation takes place on the septennial outcome from 2014. Therefore, it is not only the noble Lord, Lord Pearson, and people like me who are concerned about the amount of money we are paying. The Prime Minister and perhaps other people, too, are beginning to understand that the whole idea of the European Union is expensive and it is not conducive to good government.

As to whether we receive any benefit, it is very difficult to see any but we are always told that we have the benefits of trade. Yesterday, when the Minister was answering the noble Lord, Lord Vinson, he did not seem to know whether the percentage of our trade was 40 per cent or 50 per cent, so that is quite uncertain. What is absolutely certain is that we trade in permanent deficit with the European Union. People say that our trade is profitable with Europe, but that is by no means certain because of this endemic deficit. Since trade is claimed as the great benefit, I think we really ought to reassess our position.

I do not know whether the noble Lord, Lord Pearson, is going to put his amendment to the vote tonight. I imagine not—not at this time of night, which is similar to the time we entered into debate on this Bill last night. I was very tempted this evening to speak to the Motion that this Bill goes into Committee, as I did yesterday, and actually vote on it. That would have been the nuclear option and I do not like nuclear options. But neither do I like embarrassing Governments, and this Government are embarrassing themselves and this Committee. It is going to be even worse because they intend, as I understand it, to bring the Bill back not only next Monday, but on Wednesday as well when we have a very important visitor to the Palace of Westminster. They have the idea that we should be discussing this Bill when many Members—I shall not be here—will wish to go to see our very distinguished visitor, President Obama. What on earth are this Government thinking about? What are the Chief Whip and the Leader of the House thinking about in doing that sort of thing?

I hope that the message will get back to them that this Committee is not in favour of the way in which the Government are conducting this Bill, because the Members who are taking an interest in it are being messed about. They have other things to do, and the Government should be considering not only their convenience but that of the Members of this Committee who have been good enough to take part in the debates to try to improve the Bill.

Lord Grenfell Portrait Lord Grenfell
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I apologise for intervening at this point, but I think we have strayed rather far in the latter remarks of the noble Lord, Lord Stoddart. I go back to the position taken by the noble Lord, Lord Pearson of Rannoch, and his supporters, on a referendum on what we are required to pay into the European Union. I understand their principle to be that if the British taxpayers are to provide this money, the British taxpayers should be allowed to say whether they approve of it being done. The further logic of that is that this would normally then apply to any case in which the British taxpayers are required to pay an assessment into international institutions. Are noble Lords who are supporting the amendment saying that the European Union is an exception and that it is because we do not like it that we want a referendum? Would they not be more honest in saying that if the principle is that the British taxpayer has a right to vote on what money we pay to international institutions, why are we not having a referendum on our assessment to the United Nations, the FAO or UNESCO or the money that we put into the International Development Association arm of the World Bank? You could go on for ever. If you added up everything that we are putting into all international institutions, it would come to more than what is being paid into the European Union. So why not have a referendum on all of it?

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The noble Lord has raised a very important point. It would be very useful to know exactly in total how much we are paying not only to the EU but to all the other institutions and more that he has just mentioned. The British people would be very interested in that.

Lord Grenfell Portrait Lord Grenfell
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Perhaps we could finish on that point. It would be very interesting, if we made just a little more publicity about the value that we derive from the assessments that we pay to many international institutions. The noble Lord has talked about the importance of trade. If we were not paying our way with many of the international institutions that are enabling developing countries to develop their ability to trade with us, we would be the losers. There is always a benefit to be had from this, but what I find extraordinary is that the noble Lords should limit this to one institution, and our membership in it, which they do not happen to like. It does not make a great deal of sense.

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Lord Triesman Portrait Lord Triesman
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My Lords, I, too, start by thanking the noble Lord, Lord Pearson of Rannoch. He has provided me with an object lesson about looking at amendments in Committee. I confess that I have been wasting my time poring over figures and the economic prospects of the EU, looking very carefully through the Treasury figures. I now appreciate that I should have been looking at fish, at pollution of the sea bed, at the visual image of 40-ton lorries in this Chamber, at various issues of climate change, renewable energy, the desirability of pumping carbon into the atmosphere from coal-fired power stations and so on. I have to tell the House that I have not looked at any of those things. I have been focusing on the EU budget, so I hope noble Lords will forgive me if I return to that and to the amendment itself.

May I say to the noble Baroness, Lady Nicholson, I realise that some of the figures may have appeared daunting? Incidentally, I am not going to join her in saying anything disobliging about the Burkina Faso economy or its exchange rate; I leave that to one side. However, looking at the financial details, I am confounded by some of the figures produced by the noble Lord, Lord Pearson, not because they are complicated or big or there were a lot of them but because fairly elementary mathematics leads to rather different conclusions to those that he presented. For example, he suggested that the £10 billion that is being spent on trying to induce some stability in other economies is 50 per cent of the spending cuts, which run at £80 billion. In short, it is not 50 per cent but 12.5 per cent; but he is only 400 per cent wrong. I guess that is within the levels of tolerance that anybody should allow in a debate of this kind.

I, too, went over the Treasury figures and I do not know that there is very much alternative but to look through the detailed figures that it produces, which are cross-referenced to other studies that have been done not only in the EU but in the World Bank and so on. They are not regarded as peculiar or anomalous in that sense but are well cross-referenced. The fact of the matter is that at 2004 prices, the contribution to the EU budget was £3 billion. I shall work in pounds, not euros, so that there is no question about what I am saying. It was £3 billion in 2008-09 and is expected to be £4.7 billion in 2009-10. These contributions, particularly in 2009, were relatively low—particularly low, the Treasury said. The contributions would rise in future years and it is not the Treasury but the Office for Budget Responsibility that is forecasting a net contribution of £7.7 billion in 2010-11—but that is at 2004 prices.

That is why I come back to the point that the noble Baroness, Lady Nicholson, made because it is extremely important to find out whether we are talking about anything in these figures that is indexed. Because of movements in these indices, you can so easily end up with a completely fictional figure when you look at it in relation to the original baseline calculation. The date mentioned by my noble friend Lord Tomlinson, 2004, is particularly relevant as that figure has been used to deal with the whole of the financial perspective from 2007 to 2013. When the Committee looks at how this Bill has been framed, the idea that there is to be a change during the course of this perspective—particularly as there is no strong belief that we are in fact going to have referenda on anything—seems to me to make the proposal all the more fanciful.

It is absolutely true, as a couple of noble Lords have said, that this is nothing to do with competences. I went back and read Article 311 again, in the rather fanciful way that one does when trying to address the amendment, and it is completely clear that the competences are already there. They are set out absolutely and plainly. The Council is acting in accordance with the special legislative procedure and it would require a unanimous decision in relation to changes across a financial perspective. There is no change at all in the competences covered by this amendment. The amendment is not about whether the EU is spendthrift, as some noble Lords including the noble Lord, Lord Pearson, have suggested. It is not to do with failures about timely or robust reports on budgets. It has nothing to do with any of those things but is about whether the EU has the competence in this area. It plainly does, so that is a straightforward matter.

I have also been looking at other referenda, particularly Californian referenda, where they have touched on budgets. What you can guarantee, because the populist character of this is so plain—I do not mean popular; I mean populist—is that if you put any increase in any budget to anybody in a referendum, or even spending the same budget, the odds are that the people who do not want to spend it will win that referendum. That is a fairly straightforward matter. On the basis of what we have heard this evening, it would be sensible to put any proposals in the Budget of the United Kingdom to a referendum, whichever Government were in power and whatever their majority might be, to see whether they would get warm acclaim through a referendum for any changes they made which took a penny piece out of people's pockets. Maybe on occasions they might, but I doubt that it would be frequent. If California and some other referenda are anything to go by, I suspect that nobody in general will vote for increases—whatever the data on the proportionality of the sum or in any other matter.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The noble Lord quotes California but the Californians had referendums about their internal taxation and expenditure. What we are talking about in this amendment is taxpayers’ money not being used within the taxpaying area but being exported outside that area, so I hope he will agree that there is a difference.

Lord Triesman Portrait Lord Triesman
- Hansard - - - Excerpts

My Lords, I entirely understand the difference. I truly had appreciated it. My point is that in a popular sense, putting to people the opportunity to vote on whether more money should be taken from them will almost invariably lead to them saying no. I do not think there is much doubt about that. It is precisely why, for example, in the run-up to general elections—which are a vote on policies, including future financial policies—most of the serious parties will say that they are going to do absolutely nothing to anybody’s taxation or financial well-being. They will make a point either of saying nothing or pledging to do only what the last Government had put in train. This whole proposition is a significant distortion of the character of the debate that we should have.

At the end of the speech of the noble Lord, Lord Pearson of Rannoch, having said most of the things that I have already tried to cover, he dealt with what his amendment asks in one sentence. We have no objection to a wider discussion on money or greater clarity, particularly in relation to the European Union. That can only benefit us and our democratic practice. However, the notion that we should embark on a process of this kind in this, or any other Bill, is a recipe for trying to make sure that there is no progress whatever in a European context.

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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If needed and if we are still discussing the Bill, there will of course be an adjournment. Some of us hope that we might possibly—if we manage to stick to the subject of the amendments—have finished the Committee stage by then. I want to address the amendments, I do not wish to divert into fish and—

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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After the apology the Minister has made for the late start and the Bill being put on again on Wednesday, the eve of the Whitsun Recess, why on earth do the Government have to do that? It has been pointed out time and again by the Government themselves that the provisions of this Bill will not take effect until the end of this Parliament. We also have a Session which goes through until next May. So what on earth is the hurry? I could understand it if the Government were short of time and had a lot of Bills to get through quickly, but this is a Bill that does not have to get through so quickly. There is no reason why they should inconvenience Members as they have been doing.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, I shall resist going down that great sideline. We have a certain amount of time remaining in this Committee stage if we manage to keep to the subject and avoid talking about great trucks, fish, rifles, minarets and Britain standing alone in 1940 before the United States and the Soviet Union came in—and I think those countries had a little to do with the United Kingdom’s victory over Nazism. I want to address myself to the amendment.

The noble Lord, Lord Pearson, suggested that the total cost may amount to £100 billion a year. I thought that was rather modest. Daniel Hannan MEP, who I know the noble Lord knows well, suggested in his blog the other week—I had heard him say it previously—that withholding our contribution to the EU would enable us to cancel every spending cut and still knock a third off council tax. That must be an estimate of around £160 billion a year. The Treasury estimate is that the UK’s net contribution to the EU budget will be £7.7 billion in 2012-13, rising to £8.9 billion in 2014-15, and then falling to £8.2 billion in 2015-16. These are unavoidably estimates, partly because, as noble Lords will be aware, a surplus is routinely entered into the EU budget each year that serves to reduce member states’ contributions the following year. The initial estimate of the British contribution might therefore be rather higher than the net result declared the following year. As the noble Lord, Lord Pearson, demonstrated in the figures that he so dazzlingly threw out, the exact calculation of how much each member state gives is itself a matter of some controversy.

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Baroness Williams of Crosby Portrait Baroness Williams of Crosby
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I will not be lured very far by the noble Lord, who is always very polite in the way that he attempts to broaden out the debate in Committee. I do not think that is what most people want to do. I will simply say that we have clean beaches in Britain. We have clean rivers. We have cleaner air. The first two of these owe a very great deal to the European Union’s requirements, which we should meet.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I understand exactly what the noble Baroness, Lady Williams, is saying and I can understand the reasons why she is saying it. However, the reason we have this Bill is because of the betrayal—if I might use that strong word—of promises which have been made and not kept.

I refer first to the promises that were made by the Government and, indeed, by the Opposition about having a referendum on the constitution, later to be known as the Lisbon treaty. There is very little difference. Even Giscard d’Estaing says that there is very little difference. However, I do not want to get into that argument. I want to try to explain why I believe we have reached this point where such detail has been put into a Bill. It is because people join political parties and have an influence on them. So many times promises have been made, such as on the five red lines that were all crossed, and not kept. Increasingly, people in this country have lost trust in the Government’s promises that we are not, ratchet by ratchet, going into a federal European state.

Lord Lea of Crondall Portrait Lord Lea of Crondall
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Is the noble Lord not giving the game away that this is an exercise in trying to destroy the Lisbon treaty by the back door when in fact the country has signed the treaty? He thinks that this is an opportunity to take, bit by bit. He wants a referendum on everything they have tried to do under Lisbon and it can be blocked because we do not want to have a referendum or because it can be defeated in a referendum. Is that the point he is now making?

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The noble Lord has misunderstood what I am trying to say. The Lisbon treaty is in operation, and I am not suggesting that that can be reversed. I am trying to explain why this Bill has come about. It is because people have lost trust in the leadership. I think the reason why it is so detailed is probably because this coalition Government—it is not a Tory Government, but a coalition Government—have been trying to set out their red lines that can be crossed only if the people of this country agree to it. I hope people will reflect on that and realise that, out there, ordinary people are very unhappy about the way the European Union is proceeding. I think they have already said, “So far and no further”. This Bill is complicated because the red lines that have previously been put forward have not been kept to, and perhaps this Government are trying to put them into an order where they cannot lightly be set aside.

Lord Triesman Portrait Lord Triesman
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My Lords, I want to express very real appreciation for what the noble Lord, Lord Taverne, and the noble Baroness, Lady Williams, said and to say how strongly we agree with that. We greatly appreciated the comments about what we were attempting to do yesterday. The aim was not to make life impossible in the terms of the Bill but to try to inject some rationality and proportionality so that it would have a genuine sense of balance about giving people the opportunity to deal with major issues in the way that the Bill describes and not to mix into that so much detail that it could not conceivably achieve that objective.

I want to add one further thought because I think it bears very strongly on the style of work that we try to achieve in the House. The noble Lord, Lord Hannay—and I am going to be very cautious about putting words into his mouth—said, I think it was yesterday, although the days begin to blur into one after a while, that when he is making a proposition he prefers it to be in his own words rather than in words that are put into his mouth.

I felt very strongly that that was absolutely the right and correct way of dealing with things that were being put to him. Some of the things that we are supposed to believe—or rights of the people of the United Kingdom we are alleged to be prepared to give up—have been a travesty. In no circumstances were we making propositions of that kind.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 16th May 2011

(13 years ago)

Lords Chamber
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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, I oppose the Motion on the basis that it is completely unfair to bring on a major Bill at 8.05 pm, when, presumably, the House is to rise at 10 pm tonight. This is supposed to be the fifth day of consideration on the Bill. It is certainly not the fifth day, although it is a fifth of a day. That is unseemly and unfair to all noble Lords who have taken part in discussion on the Bill so far and who wish to do so at a proper hour in future.

We were given notice that the Bill would be considered again today only on Thursday. Until then, I think that everyone who was interested in the Bill had the impression that the next consideration would be tomorrow, instead of which it is coming on at 8.05, after Report of a major Bill and the previous debate. Frankly, that is not good enough. It is treating this House with contempt.

That is exacerbated because, as I understand it, there has been virtually no consultation with those who have been concerned with the Bill. The usual channels have just said, “Oh well, we'll give it a run on Monday. Never mind the arrangements that people might have made to do other things. We will put it on. No one will object”. I am objecting now, and objecting strongly.

I was unable to be here on Thursday. When I saw this appear on the business, I made inquiries about what time it was likely to come on. I was told that it would be at 6 pm. Even on the basis of information available on Thursday, we have lost a further two hours. To embark on a Bill now with major amendments is unbecoming to the Government and the usual channels. As I said, there has been complete disregard of the convenience of noble Lords who wish to speak to the Bill.

It is not as if there is an urgency about the Bill. We do not need the Bill tomorrow or next month; we do not need it next year. The Government have said that we do not need it in this Parliament, because none of its provisions will be operative in this Parliament. What on earth are we doing here at 8.10 pm embarking on the so-called fifth day of an important Bill? It is completely wrong and the Government ought to be ashamed of themselves.

Of course, the situation is even worse than that. Tomorrow, when we will embark on the Bill again, another major Bill will be debated before it—the Postal Services Bill, and God knows how long that will go on for. I shall almost be tempted to speak on it myself so that we talk out tomorrow’s discussion on this Bill.

Therefore, tomorrow we will have only half a day, if that, to spend on the Bill. The Committee is being cheated of the time that it was promised, which I believe was six days. Bearing in mind the time that we lost on previous days, we will certainly not have anything like six days. In any event, as this Session goes on until next May, why on earth do we want to start debating a Bill at this time of night? I hope that the Government will reconsider their decision to take the Bill into Committee tonight and agree to oppose the Motion before us.

Lord Triesman Portrait Lord Triesman
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My Lords, I cannot recall an occasion yet when the noble Lord, Lord Stoddart of Swindon, and I have been in complete accord but we are this evening. I share the view that it is absolutely extraordinary that most of us should have stood by ready to start debating this Bill at 6 pm only to find that it has started, even with a few minutes’ intervention from the noble Lord, Lord Stoddart, way past 8 pm. I do not believe that that is helpful to the government Front Bench, let alone to both parties opposite or, indeed, to us. I shall not repeat what the noble Lord, Lord Stoddart, said at any length, because he made the point very forcefully. It is extremely hard to understand what is so pressing as to mean that we should discuss absolutely critical issues about constitutional arrangements between our Parliament and Europe on this type of timescale. We are shoe-horning it—that is the only way that I can describe it—into tiny pockets of time very late in the day with the prospect of holding debates extremely late at night, when we all know that proper justice is not done to the matters that we need to discuss.

I take the Bill very seriously, just as the House took the Fixed-term Parliaments Bill seriously this afternoon. They are big constitutional issues by any standard. As I said, I take this Bill very seriously, although I have a very different view from that of the noble Lord, Lord Stoddart, for example, on a number of its provisions. However, that is neither here nor there. We either take it seriously or we do not. I think that we are being asked to perform a serious job in a trivialised way and I cannot believe that the House will find that acceptable. I hope that the Front Bench opposite will have a credible answer and a credible timetable.

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Earl Attlee Portrait Earl Attlee
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My Lords, all noble Lords know that business is organised by the usual channels. I agree that the House is working very hard at present and I can think of few noble Lords who work harder than the noble Lord, Lord Stoddart of Swindon. However, we have plenty of time to undertake valuable work on the Bill. In fact, we still have an hour and three-quarters, and it is not an unusual time of day to be considering such legislation. I do not believe that the House or the general public would understand if we went home an hour and 45 minutes early, especially if they worked out the cost of doing so. Therefore, I hope that noble Lords will agree to go into Committee.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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We have an hour and three-quarters. Is this to be considered a day of Committee?

Earl Attlee Portrait Earl Attlee
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My Lords, I very much doubt that the usual channels would consider an hour and three-quarters to be a whole day. However, I shall pass on noble Lords’ views to my noble friend the Chief Whip, who is not too far from me, and I am sure that she will take that into consideration in her discussions with the usual channels. However, I strongly suggest that we go into Committee on the Bill.

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Lord Dykes Portrait Lord Dykes
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I think that there have been examples of much larger figures when money has been offered by newspapers, although on this occasion the Daily Express at least had the grace not to offer any money. We know that the whole thing is got up by the British press, a small number of headbangers in the parliamentary Conservative Party in the Commons, UKIP, the BNP and other entities like that—not many people. I am returning to the amendment as quickly as I can, but I am quoting the Daily Express’s remarks to show the background to the whole campaign. Clause 6 would directly affect the status of all the provisions in it and make them subject to referendums. It has nothing to do with the common sense or logic of it.

Another letter, to the noble Lord, Lord Flight, on his points, was sent from my noble friend Lord Howell, who has kindly sent copies to other participants on these debates. The very acceptable reply gives ample intellectual and practical cover for the notion of the Government now having the imagination to remove some of the other sub-subsection areas from the classification of being subject to a referendum. We therefore concentrated on the three, four or five areas which could be retained—we differ on those, although some people say we differ only on the euro—starting with euro inclusion, which is generally regarded as the most important, as already supported widely in the Chamber in recent debates. We will therefore reduce the future nightmare for hapless Ministers suffering agonies of confusion in the Council of Ministers and receiving the wrath of their counterparts for paralysing the Union on literal trivialities.

When a Bill is complex and incomprehensible, and far too verbose and heavy because it has to cover so many points, I feel sorry for the government draftsmen who have to assemble it—in quite a short time, I imagine. They would probably regret it, and wish to look at it again. When you feel it is complex and incomprehensible, you turn to the Explanatory Memorandum, but that does not help at all. In respect of what the noble Lord, Lord Kerr, was saying when he was particularly concerned about subjection (5)(i) and (j) of Clause 6, paragraphs 78 and 80 on page 18 of the Explanatory Memorandum show once again how obnoxious Clause 6 is compared to the earlier clauses. I will not go into detail, or I will take too long. However, the last part of paragraph 80 refers to moving from unanimity to qualified majority voting:

“This is in line with the provisions of subsection (5)(b) above. Such a move would not require a referendum, however, if a referendum had already been held to approve a decision to move from unanimity to qualified majority voting in accordance with subsection (5)(i) in the same area of enhanced co-operation. To do so would in effect mean holding a referendum on whether to change the role of the European Parliament or not, and would not be a transfer of power or competence”.

I suppose that you might say that that would be literally true, subject to carefully re-reading it again. However, the noble Lord, Lord Hannay, talks about throwing the key through the window. That would not, of course, be a good idea because some sensible pro-European pragmatists would pick up the key. They would find it in the street, come back in and unlock the secrets. You have to put it down a hole to ensure that the whole thing is abandoned. An explanation like that shows the bad quality of a badly drafted Bill, particularly this clause.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I probably would not have risen except for the speech of the noble Lord, Lord Dykes, to which I will return in a moment. As for the amendment, at this time of night it is confusing and difficult to understand what its result would be. As far as I can see, it attempts to introduce parliamentary control over the items which might well attract a referendum. I hope that that is right, because I am of course always in favour of better parliamentary scrutiny. The problem is that all our experience so far shows that, one way or another, the Government manage to evade parliamentary scrutiny. For example, last week they overrode the European Union Committee’s reserve on the matter of patents. They did not do so on any reasonable grounds, except that the Hungarian presidency wanted them to do so. The Government overrode the parliamentary scrutiny of the House of Commons.

Lord Roper Portrait Lord Roper
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But not the House of Lords.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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No, I specifically excluded the House of Lords. It was the House of Commons. The House of Commons had before the meeting of its committee a Member of this House, who tried to explain exactly why the Government acted as they did. I hope that when the noble Lord, Lord Liddle, winds up, he will assure me that this would be better parliamentary scrutiny than what is contained in the Bill.

I come back to the noble Lord who was excoriating all the people who are opposed to further European integration. He well knows that I was never in favour of joining the EEC or the Common Market, as it was. I still believe that this country would be better off out of it. The Daily Express has been trying to give people the opportunity to have a say whether we should remain in. I noticed in last Sunday’s Sunday Express that one of Nick Clegg’s most senior advisers—Mr Tim Farron, the president of the Liberal Democrats—had called for a referendum on Britain’s membership of the European Union. He said that Britain’s relationship with the EU has become so poisonous—poisonous, mind you; I have never used that sort of language—that voters deserved a chance to express their views in a referendum on membership of the bloc. Those are not the words of any Liberal councillor; he is the president of the Lib Dems. The noble Lord presumably excludes his own president from his excoriation. He will have to be careful whom he excoriates in the future.

Baroness Williams of Crosby Portrait Baroness Williams of Crosby
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The president of the Liberal Democrats is very well known to me. He is a supporter of the European Union. He simply believes that the only way to end the misrepresentation of what the European Union is doing and the attempts to get us out without directly facing the question of “in or out” is to have an “in or out” referendum. He believes, as I do, that such a referendum would be likely, in the end, to confirm that we should stay in. The trouble, as the noble Lord, Lord Stoddart, knows even better than I do, is that within less than five years of the previous referendum, which gave a clear decision in favour of staying in Europe, the Labour Party officially decided to leave the Union. That does make referenda look a bit less strong than one might like to believe they are.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I remember the 1975 referendum very well. I took part in it myself. If Mr Farron believes that we should have a referendum because our relationship with the European Union has become poisonous, he is right and I agree with him. However, it is not only UKIP—there are Labour Members who are opposed to our membership of the European Union and, indeed, quite a lot of Liberals. When he believes, rightly, that our relationship with the European Union has become so bad that we need a referendum, I would hope that people, particularly from the Liberal party, would stop criticising those who believe that, after 50 years or so, it is time the British people had another chance to say whether we should stay in or get out.

Lord Dykes Portrait Lord Dykes
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If the result of the referendum was a yes vote, which I believe the noble Baroness, Lady Williams, has suggested would definitely be the case, the noble Lord would refuse to accept that verdict, as he did with the 1975 referendum.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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The noble Lord is absolutely wrong on this. The 1975 referendum was held because of the failure to hold a referendum before we went in. The Labour Party was having great trouble—I remember it well because at that time I was a member of the Labour Party—and to heal the split that had grown up within it, the device of a referendum was put into operation. However, that occurred only two years after our entry into the Common Market and we had not felt the effects of that. Now that we have been in it since January 1973, people have experienced what it means, what it costs and how it affects them. That is why so many people now are beginning to believe, or already believe, that we need to test the view of the British people on the matter. What is wrong with that? People like the noble Lord, Lord Dykes, have said that the European Union is the best thing since sliced bread and that the country is behind it. They said the same about AV but, when people voted on it, they found that they were not with them at all. I believe that they should test the people’s opinion. I promise that if we have a referendum on being in or out of the European Union, and the people say that we must remain in, I shall go away and have a nice retirement. Until then I shall continue to press for a referendum. I hope that eventually the noble Lord, Lord Dykes, and others like him, will come round to the same position as that of his party’s president.

Lord Lamont of Lerwick Portrait Lord Lamont of Lerwick
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My Lords, I do not want to follow my noble friend Lord Dykes too far as I am not sure that his remarks were strictly in order. We have tended to have rather a lot of general remarks. I am sure that the Daily Express is highly flattered by the amount of time that has been devoted to it in these debates. Listening to my noble friend Lord Dykes, I remembered Enoch Powell’s remark that politicians who complain about the newspapers are rather like fishermen complaining about the weather. It is not the Daily Express that has caused the rise of the True Finns party. It is not the Daily Express that has caused the Germans to become more sceptical about the euro. It is not the Daily Express that has caused a very considerable dramatic change in opinion in Holland about the European Union generally. If my noble friend wishes to understand why the Daily Express manages to get people to sign these petitions, he ought to read his own speech because it is exactly remarks such as his, abusing the feelings of ordinary people, which increase the number of people supporting these petitions. To seek to deny that there is concern among ordinary people about overcentralisation in the European Union is to neglect public opinion in a rather cavalier way, if I may dare say so.

I want to ask about two points that the noble Lord, Lord Kerr, made in his extremely interesting speech. The first concerns the point about Clause 6(5)(j). If what the noble Lord said was right, this was not about powers but about a policy. He instanced a policy decision and the hypothesis whereby, under enhanced co-operation, the Germans, while not participating in it, might wish to make a financial contribution to it. That is rather an important point because one of the fears one would have in Britain, as a country unlikely to participate in some of the enhanced co-operation projects, is that we might end up paying the bill. That would be one of our natural instinctive reactions. It would be extraordinary if, in fact, Germany wanted to pay part of the bill and that was not allowed without a referendum in this country. I cannot believe that the situation is quite like that, but I very much hope that my noble friend can clarify that point.

Secondly, I wanted my noble friend to comment on the remarks of the noble Lord, Lord Kerr, about whether one would have to have a referendum on the exchange rate as well as the decision to join the euro. Normally, when I was a Minister, distinguished civil servants such as the noble Lord and his noble friend Lord Hannay, and people of their ability, talent and knowledge, had ingenious ways of solving problems and they could always refer to some obscure part of the treaty to enable us to decide what to do. On this occasion, I regret to say that the noble Lord, Lord Kerr, seemed to be using his ingenuity to make things more difficult, rather than to consider this matter more seriously, which is what he normally does.

I do not believe that it would be possible to put the rate and the decision in principle to join the euro together. I certainly do not believe that the referendum would be about the rate. No one would be remotely interested in that. The referendum would be about whether or not we joined the euro. I do not see, as the noble Lord seems to do, some tremendous market problem because the rate announced on one day would be implemented on another. There was no such problem when the rates for all the individual currencies that formed the euro were announced well in advance—a year or more in advance—of the date on which the currency was set up. It was announced that there would be a date on which the currencies would be irrevocably linked together in a grid. Naturally, the market adjusted to the decision that had been made, rather than the other way round. I do not see the problem that the noble Lord, Lord Kerr, outlined, but I should be grateful if the Minister could reassure me that my understanding and conclusions on that matter are correct.

More generally, I obviously could not support the amendment because in essence, under a disguise, it tries to get rid of the lock imposed by the Bill. While we hear a lot of criticism of the vetoes that will be subject to the referendum provisions, we never hear anything about the 50 vetoes that are left intact, in the sense that they can be abolished without a referendum. There are 50 areas under the Bill where unanimity is still required, and a referendum will not be required if they are removed by whatever procedure. A degree of judgment and selectivity has thereby been exercised by the Government.

We tend to forget in these debates that after Maastricht, Lisbon and Nice unanimity remains on certain articles. They remain there for a very good reason. Many countries, not just Britain, have wanted unanimity to remain and they do not want easily to surrender it, which is one reason why the idea that you will get a multiplicity of referenda on what the Opposition consider to be minor subjects will not actually happen.

European Union Bill

Lord Stoddart of Swindon Excerpts
Monday 9th May 2011

(13 years ago)

Lords Chamber
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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, we are in Committee and it is not necessary for noble Lords to interrupt or question the Minister on the basis that he has not yet sat down when in fact he has. It is in the power of noble Lords to intervene at any time unless there is closure or we have become fed up with discussing the issue. Now that I am doing so, I have just one final question.

The noble Lord, Lord Davies, appears to think that transferring a matter from one Bill, whether it is by a previous Government or a sitting Government, to another is out of order. Transferring that item from a Bill by the previous Government in relation to the very important Lisbon treaty is the sensible thing to do because it brings forward the protection that that Government made to this Government, who, by agreeing to it, confirm that it is good for Parliament and is proper to have in the Bill.

Lord Radice Portrait Lord Radice
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I should like to raise a matter of pure curiosity. Did the previous Government’s Bill refer to a referendum, as does this clause?

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Lord Dykes Portrait Lord Dykes
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If the noble Lord will forgive me, I will not give way again at this stage.

The feeling about Clause 6 is mounting that it will have a worse effect than the previous clauses. Yet again, I do not believe that the Government have thought out the dangerous subsections. Any British Government of whatever colour or, in the case of a coalition, whatever combination of parties, could find to their dismay that the communitarian habit of working together by positive and constructive consensus for the greater European benefit and that of the national member states would be stymied by a sudden, brutal UK stop-all on routine matters of state business in the Council of Ministers. We would therefore paralyse ourselves for no good reason other than the propagandistic appeasement of the Daily Mail, the Sun, my noble friend Lord Hamilton and a few other headbangers in the Commons on the Conservative side. I did not mean to say that my noble friend Lord Hamilton was a headbanger; far from it, he is a very respected Peer who succeeded me as chairman of the European Atlantic group, so he must be a very good bloke indeed. We would also bring the whole European Council process to a stop. We recall that in the first section of the coalition agreement on Europe the Government wanted to play a leading role and to be a positive participant in the EU, but this amazingly stupid clause is a funny way of dealing with our aspirations. If it were passed, the Government would henceforth face regular clashes with their partners for no good reason other than to have a clash, and this would come from the member state that insisted on no artificial hurdles and, quite rightly, full QMV for the single market—indeed, full integration in all aspects of the single market.

Lisbon went wider on the machinery of collective decision-making than previous treaties. It included similar techniques to the ones first introduced by the Single European Act, when huge new powers were agreed for the Union without the UK authorities and indeed Mrs Thatcher, in particular, running away, as was alluded to earlier. Why were we so surprised to see other member Governments appreciating our zeal for the Single European Act and wishing to apply its mechanisms to other areas as respectable normative integration between friendly, like-minded and patriotic member countries? Why are we so insecure that we have to agree with Bill Cash and John Redwood on these issues? If the Government were sensibly to accept all or some of the original main amendments in this rather unwieldy and elaborate cluster, they would be doing themselves and Parliament a big favour in sparing us from the agonies that will surely arise under this dotty clause.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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My Lords, first, I agree with the noble Lord, Lord Lamont, in his criticism of the way that these amendments are being handled. Altogether, 19 amendments have been put into one group, but I believe that a better debate would have been had if we had been able to discuss amendments on individual clauses. I also agree with the noble Lord, Lord Hamilton, that it would have been far better if we could have had our Ministers tied to the mast with their ears waxed up, as they would not have hit the rocks. We have hit so many rocks during the past 40 or more years that we have been a member of the European Union. Of course, when we joined it, it was not a European Union but a common market, and no one ever thought that it was going to be the sort of European Union that we have now. It was sold as a common market.

Throughout this debate and in previous debates we have heard a great deal about parliamentary democracy. I believe very much in parliamentary democracy and I have been around it for quite a long time. However, we gave away our real parliamentary democracy when Parliament passed the European Communities Act 1972.

Lord Dykes Portrait Lord Dykes
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I am most grateful to the noble Lord for giving way. Should he not address himself specifically to this clause and the amendments thereon, rather than make yet another Second Reading speech? He makes exactly the same speech on every single occasion.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I explained why it would have been far better if many of the amendments had been grouped differently. Perhaps we could then have spoken to each and every one of them according to what they were proposing. It is difficult to speak to this conglomerate of 19 amendments, and that is why I want to take up the matter of parliamentary democracy at this stage, particularly as we have heard so much about it. I repeat that we gave away parliamentary democracy when the House of Commons and this House passed the European Communities Act 1972, which of course gave European law superiority over British law.

Lord Pearson of Rannoch Portrait Lord Pearson of Rannoch
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My Lords, I wonder whether the noble Lord really means to say that we gave away our parliamentary sovereignty. Surely we have been paying Brussels billions a year to take it from us. We did not give it; we are paying them to take it.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I am afraid that that was by parliamentary decision. That is precisely what I am trying to say. We gave decision-making in relation to Europe to the European Union which has the last word. We talk about parliamentary democracy but when it comes to the push and we discuss the various amendments that have been made through treaty making, we are told that Parliament cannot make amendments to the treaty. All we can do as a Parliament is accept or not accept the treaty. We are not allowed to alter the treaties because they are made by Governments. The treaty they make is the treaty that matters and Parliament has no power at all to amend any provision of the treaties that have been passed since the European Communities Act 1972. That cannot be denied.

In relation to the transfer of power in each and every treaty, particularly in the Single European Act, the Maastricht treaty and eventually the Lisbon treaty, we have given powers to Europe without Parliament being able to say yea or nay. That is why we are in this position. It is because Parliament has not been able to make decisions about individual matters and the powers that have been transferred. That is why we have reached this decision. Ultimately, because a referendum was promised on the Lisbon treaty and it was not granted, the people are so outraged that they have demanded that something should be done. Let us make no mistake about it. This issue of sovereignty, this issue of who governs Britain, is not a party political matter. It transcends party politics. It is about who governs Britain. Unless that is realised and the people are considered and given the opportunity of speaking, the European Union will sink further into public disapproval than it already has.

I just want to add that we are told all the time that if we do this or that which does not suit the European elite we will be marginalised. Why on earth should a country of 60 million and the fourth—

Baroness Garden of Frognal Portrait Baroness Garden of Frognal
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My Lords, I apologise for interrupting the noble Lord but it would be helpful to your Lordships’ House if he could indicate to which amendment he is speaking.

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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They are grouped so I am speaking to all of them. I am actually speaking in favour of the Government and I was just coming to that. I was going to say that this issue transcends party politics and that the Government have been forced by public pressure, and indeed party pressure though not only from the Conservative Party, to bring forward this Bill to reassure the people of this country that they will have a voice and that we will no longer hand over powers—great powers at that—to the European Union until Parliament has had a proper say, and indeed the people have had a proper say in matters of great note—not on little matters but matters of great note.

Baroness Nicholson of Winterbourne Portrait Baroness Nicholson of Winterbourne
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Perhaps the noble Lord will explain, given his right and proper loyalty to the sovereignty of the United Kingdom, why he supports amendments that make the euro, which after all is a financial mechanism, of greater value in sovereignty terms than defence, which was the issue that I raised.

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.

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Lord Triesman Portrait Lord Triesman
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I should really try to make some progress, if I may.

Lord Triesman Portrait Lord Triesman
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As it is you, David, how could I refuse?

Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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I was one of those who was never in favour of joining the common market and opposed it during the referendum. In relation to the intervention from the noble Lord, Lord Tomlinson, the reason why there has been continuous opposition is that the story has changed. As the European Union has become more powerful, the greater the resistance has been from those who originally opposed it and, indeed, a hell of a lot more who now oppose it.

Lord Triesman Portrait Lord Triesman
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I suspect that the noble Lord has a slightly different experience of political life to mine, if that is the conclusion that he draws. My conclusion is that you can fight either side in a referendum and find that within a short period you did not like the result, whether things have changed or not, and the opportunity to fight it again will occur. It may very well be, for example, that some of those people who thought that the proposal to change the electoral system should not have been defeated as heavily as it fortunately was last Thursday will come back and conclude that they should have another go on another occasion. I shall not be wholly surprised if they decide that that is what they are going to do, even at the cost of having the experience repeated.

The point about reconnecting with the electorate is very critical. The electorate is dismayed with Parliament and parliamentarians on occasions, for a raft of reasons, and I shall not bore your Lordships by going through all those reasons in the recent past. As I said earlier, I do not think that a feeling of greater warmth towards parliamentarians will be achieved by parliamentarians giving up work in some of the areas that would be regarded as being the nitty gritty, not the big constitutional issues at all. I have looked through the list in Clause 6(5)—paragraphs (c), (d), (f), (g) and (h). I mention those because I am an inveterate campaigner on behalf of all sorts of causes, including those of the party I have the privilege to represent. I have thought hard about having any one of those paragraphs, let alone any combination of them, about how the campaign on them would be fought and what the doorstep would be like as you went around trying to do that kind of political work. It is not because of the ignorance or foolishness of the electorate; that is not the reason at all. Yet there is an expectation that many of those issues will have so much fine-grained detail within them that the electorate expects someone to have done a lot of this work, especially if they have elected those people to come here and do it. In our case, we are not elected but they nonetheless have a healthy respect for the work that this House can do because of the knowledge and expertise that we know is in it.

I suspect that, on most of those issues, you would get far greater traction on the doorstep by discussing the Eurovision Song Contest than you would ever get by a serious attempt to discuss some of these issues in detail. As most noble Lords who have campaigned in politics will know, I know that the kinds of discussions you have on the doorstep are real ones: about wider economic issues and a wide variety of issues. However, it is not typically the case that people want to get into a large number of sub-clauses under the arrangements of Article 312(2) of the European constitution. In fact, to my dismay, I have never had that raised with me anywhere. I look forward to the occasion when it might be.

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Lord Stoddart of Swindon Portrait Lord Stoddart of Swindon
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Order. You cannot intervene on an intervention.

Lord Triesman Portrait Lord Triesman
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I have a feeling that I am going to give way instantly.