EU Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 17th December 2012 Lords Chamber

[Lord Strathclyde]

My Lords, that is a good question but I will not be tempted to get into the details of this, because they have not been finally agreed within the eurozone. Final conclusions on that will need to be come to over the course of the next few months.

[Lord Stoddart of Swindon]

My Lords, first, I wonder whether the noble Lord has seen a report that the Bundesbank’s lawyers have found that the eurozone banking union lacks a sustainable legal basis and that there is a lack of clarity over the new safeguard powers. Is he able to comment on that? It is a very serious statement. Secondly, on page 4 the Prime Minister says:

“We will never support a European army”,

but we have an Air Force and a Navy as well, so presumably the “army” also includes those two forces. Perhaps the wording ought to be reconsidered in future. Thirdly, on Syria, I find it very worrying that the Government are urging that the arms embargo should be lifted by the European Union. Arms mean more deaths, surely. Will the Government not embark upon a peace process rather than a war process, given the support of some elements in Syria which are nasty, vicious and should not be supported?

[Lord Strathclyde]

My Lords, on the question of the Bundesbank and its lawyers’ view of the safeguards, the noble Lord has an advantage over me. I have not seen that but perhaps I could ask my officials to look into it and I will send him a letter. As far as I am concerned, when the Prime Minister said that Britain will not join a European army, he meant the European armed forces. Why do I say that with such confidence? Because I know that what he believes in is co-operation between our nations and their armed forces, which we have done very successfully, particularly with the French, and no doubt that will continue. On Syria, I agree with the noble Lord that it would be premature to lift the arms embargo but it is also right to keep it under review, and that is what we are doing.

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 26th November 2012 Lords Chamber

[Lord Stoddart of Swindon]

My Lords, I have read the Statement and it seems to me to be an interim Statement. The Prime Minister is saying, “Not a penny more and, if possible, a lot less”. I raise two points. The first concerns the position of the European Parliament, which seems to have a lot to say about expenditure but of course has no power to raise the money. I believe that the Prime Minister should be pointing out that those who raise the money—in other words, the nation states—should have the most say. My other point concerns the rebate and the report that sets out very clearly what a reduction in the rebate would mean for British taxpayers. I hope that the Leader of the House can promise that the Prime Minister will not do what his predecessor did and give away some £1 billion of our rebate for nothing tangible in return.

[Lord Strathclyde]

My Lords, I totally agree with the noble Lord’s concluding remarks. The Prime Minister has made it absolutely plain—if the noble Lord, Lord Grenfell, wanted a red-line issue, here is a red-line issue—that he will not surrender any part of the rebate. The rebate is absolutely crucial. There is a good reason for doing so: the last time a proportion of the rebate was surrendered by Mr Blair, he got absolutely nothing in return. It was a very positive act by the then Prime Minister, but it did not help the relationship or the further negotiations with the EU; quite the contrary.

I also agree with what the noble Lord said about the nation states. There is increasingly a division between the net contributors and the net benefactors within the EU, and it must be right that those who pay the most are listened to very carefully during these negotiations, which is why the UK finds itself not isolated over the course of the weekend but with some good friends who agree that these issues need to be debated and discussed in full and that reform needs to come.

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 22nd October 2012 Lords Chamber

[Lord Strathclyde]

My Lords, the noble Lord, with all his experience and knowledge, asks whether I understand how irritated other members of the EU are at the Prime Minister’s stance. I understand how irritated the British people would be to see budgets for austerity in this country and profligacy in the EU. That, of course, is what is uppermost in the Prime Minister’s mind.

The Prime Minister and Chancellor Merkel have agreed to meet early in November. There are, of course, huge budgetary pressures throughout Europe, including in this country. Let them meet. The Prime Minister said what he has said, echoing the words that Chancellor Merkel agreed and signed in 2010. Actually, I think that increasing the EU budget in real terms is a very fair deal for the people of Europe, particularly given that Britain is the second largest contributor to the EU budget.

[Lord Stoddart of Swindon]

Britain is not a member of the eurozone. We have decided to keep our own currency. There is no prospect of our joining the eurozone. So why on earth does our Prime Minister keep lecturing the eurozone as to how it should carry on, including whether it should have a banking union? Since we are not part of it, it is nothing to do with us, and we should keep out of it.

The second point I want to raise has already been raised—that is, the position in relation to Angela Merkel, the German Chancellor, who seems to be throwing her weight about increasingly these days. The Prime Minister does not have to satisfy Angela Merkel; he has to satisfy the people of this country, and the people of this country, we understand, will suffer austerity for the next 10 years, which means that they cannot afford to pay any more than the £10.3 billion that we already pay into EU coffers. I hope that the Prime Minister realises that he is not answerable to the EU for taxation and our contributions. He is responsible to the British people, who show increasingly that they are not very happy about remaining in the European Union, and who will be even unhappier if they are asked to pay even more towards it.

[Lord Strathclyde]

My Lords, that is the point that I was trying to make to the noble Lord, Lord Grenfell. I have every sympathy with the view given by the noble Lord, Lord Stoddart. It is entirely correct that, although we believe that the economy is heading for a state of recovery and long-term growth, many budgets are being cut in Britain, and we are not in the business of seeing them being increased in Europe, where British taxpayers will have to foot the bill. But that is a discussion that will take place, first between the Prime Minister and Mrs Merkel and then, later on, in the Council of Ministers.

As for the noble Lord’s question as to why we are interested in the banking union, self-evidently financial services and financial matters are incredibly important to the United Kingdom—it is one of our key interests—and to the City of London. It is entirely right that we should take note of what is happening in the zone where nearly 40% of our exports go. One of the many reasons why this economy has suffered in recent years is because of the uncertainty in the eurozone, which we believe needed to be resolved—and one way in which to do that is through the banking union.

Arrangement of Business

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 2nd July 2012 Lords Chamber

[Lord Stoddart of Swindon]

My Lords, the Motion is whether the House should adjourn.

[The Chancellor of the Duchy of Lancaster (Lord Strathclyde)]

My Lords, the point is that the debate that we are now on is about whether or not the House should adjourn during pleasure for 10 minutes. I suspect that it is probably my fault that we are in this position. I said that the first Statement should not start before 4 pm; it started pretty much on the dot of 4 pm, and perhaps if we had delayed it for another 10 minutes we would have been able to continue without a gap at all. I am in a bit of a quandary because I would have hoped that the Statement in the Commons from the Chancellor of the Exchequer would have already begun.

EU Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 2nd July 2012 Lords Chamber

[Lord Strathclyde]

My Lords, I, too, read those words from the conclusions of the Council’s meeting, which say:

“on the path of smart, sustainable and inclusive growth”.

I suspect that in different countries within the EU, it means rather different things. The conclusions go on to say that it should provide,

“a coherent framework for action at national, EU and euro area levels, using all possible levers, instruments and policies”.

It then directs the reader to the annexe.

That leads me to my noble friend’s second question. I entirely agree with him that growth in Europe will come from sustaining, liberalising measures within the European economy. Again, we have been at the forefront of that by arguing for sound money, for spending European money better and more wisely, and wasting less of it, for decentralisation and for reducing bureaucracy. All these measures are the kind of things that have worked in the past and will work again.

[Lord Stoddart of Swindon]

My Lords, the Statement refers to the British rebate. If there are proposals for changes to Britain’s rebate, can the Leader of the House say whether they would they have to be agreed by veto or QMV? My second question concerns the growth arrangements that four countries agreed on before the summit. Will Britain be making a contribution to that and will it add to the £150 billion to which we are committed through the ECB and the European Investment Bank? Finally, does he agree with Dr Liam Fox that Britain should negotiate a new relationship with the European Union and, indeed, that,

“life outside the EU holds no terror”?

[Lord Strathclyde]

My Lords, on that last point, there is no proposal for the United Kingdom to leave the EU, so the whole question simply does not arise. No analysis has been made, nor is likely to be made, of what life would be outside, and my right honourable friend has no intention of proposing a referendum on whether we should be in or out of the EU. There are substantial benefits to our remaining a member.

Yes, we are committed to funding aspects of the European Investment Bank. Many of these have been debated and discussed in the past.

Finally, the British rebate is absolutely fundamental to our monetary relationship with the EU. We will not agree to giving it up. The noble Lord asked me whether, if it were to be changed, it would be under unanimity or under QMV. I think that I am right in saying that it would be under unanimity; if that is not the case, I shall write to him.

G20 Summit

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 25th June 2012 Lords Chamber

[Lord Strathclyde]

My Lords, I have a lot of sympathy for what the noble Lord said about Syria. I said earlier that the situation was extremely difficult and complicated, and continues to be appalling. Syria is descending rapidly into a bloody and tragic civil war, with potentially irreparable consequences for its people and for the future.

We are continuing to discuss with key partners, including in the UN, exactly what the best way forward will be. We still believe that the essential framework of the Annan plan is the best way forward, and that is what we will continue to discuss. We have put forward a strong EU arms embargo, which we are currently tracking, and we will maintain that. The EU has announced further sanctions against the Syrian regime today. The UK is at the forefront of imposing the 16 rounds of EU sanctions against 129 individuals and 49 entities.

I cannot be sure that those things in themselves will work. As the noble Lord said, the international community at the highest level is aware of what is going on. There is a lot of activity and pressure is being applied to the Syrian regime. We have to hope and believe that in due course we will reach the end of this appalling conflict.

[Lord Stoddart of Swindon]

My Lords, like other noble Lords, I believe that the Statement is rather bland. I also agree with the noble Lord, Lord Hannay, that the influence of the G20 appears to be declining. My only question concerns the speech that Mr Barroso made to the G20 in which he blamed the United States for the economic and financial problems that we have today. Was he speaking for all the nation states of the European Union, including our own? Such a statement is hardly likely to improve relations between the United States and the EU.

[Lord Strathclyde]

My Lords, I speak on areas for which I am responsible and Mr Barroso speaks on areas for which he is responsible within the European Union. I do wonder whether what he said will influence relations not just with the United States but with the UK, and whether there is enough of a fundamental understanding of the problems that have occurred over the past five years, and therefore of the solutions that will need to be taken into account.

Queen’s Speech

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Thursday 10th May 2012 Lords Chamber

[Lord Strathclyde]

No, my Lords. It would be very nice to have a consensus between the three Front Benches. I think that that is a condition of being able to create a consensus in both Houses of Parliament.

A moment ago, I said something extremely important that the Labour Party and the House need fully to understand. Consensus in Parliament will be impossible without the support of the Labour Party. The Government’s latest brave and sensible proposal is built on the White Paper by the noble and learned Lord, Lord Falconer, the White Paper by Mr Jack Straw when he was Lord Chancellor and the consensus created by my noble friend Lord Wakeham when he chaired the royal commission 10 or 11 years ago. If this Bill founders now, having had all this work done on it, then I am utterly convinced that it will be entirely due to Labour’s conniving and collective spinelessness. The spines are already quivering.

[Lord Stoddart of Swindon]

I am interested in what the noble Lord said about consensus and take account, particularly, of what the Joint Committee recommended. One of its recommendations—and this concerns consensus—was that there should be a referendum of the people about this. Will the Bill that will be presented to Parliament contain a clause insisting on a referendum before any reform for an elected House?

[Lord Strathclyde]

My Lords, we have not taken a final view on the Joint Committee’s report and proposals. We are working on that now. I do not really see the case for a referendum any more than the Labour Party did in 1999 or when it kicked out the Law Lords or for most of the other constitutional changes that it made, but more of that in a moment.

Welfare Reform Bill

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Tuesday 14th February 2012 Lords Chamber

[Lord Strathclyde]

My Lords, my noble friend Lord Fowler, with his tremendous memory, harked back to 1986. He complained about the Commons using programme Motions more than they did in the past, and that is true, but of course it is up to them. However, I can confirm that the House of Commons discussed and debated each of these amendments in full before passing them back.

I can tell him my noble friend Lord Higgins that my noble friend Lord Freud will be able to explain the Government’s position on each of these amendments, but he will not be able to confirm what position may be taken by the House of Commons because that is a decision for the Speaker on the advice of his Clerks. However, I should like to repeat the really important thing in all this. Some 35 of the 46 Lords amendments to the Welfare Reform Bill that were designated by the House of Commons as privileged were subsequently accepted by that House. That must be an indication that we did a good job and we did it well.

I hope that I have answered all the questions put to me. If not, I shall reply in writing, but I hope that we will now be able to continue.

[Lord Stoddart of Swindon]

My Lords, I am much obliged to the Leader of the House. I do not really believe that he has dealt satisfactorily with the points raised by the noble Lord, Lord Fowler. He said that this House would be strengthened by the Bill that apparently is to come before us in the next Session, but if it does not provide the same financial powers as those of the House of Commons, we will be in no different a position from that in which we are at present, which we are discussing. Unless that Bill can be amended to give the House of Lords the power to make amendments that may indeed put up expenditure without being told by the Commons that we cannot do so, then what is the point of us?

[Lord Strathclyde]

My Lords, I have long believed that there are adequate powers in this House, many of which we do not use, partly because we are an unelected and appointed Chamber. When and if we are ultimately elected I expect that, over time, those powers will evolve. I have no idea how they will evolve, but if a Bill for an elected House is presented, this is an issue that we shall debate long and hard, and I look forward to the noble Lord’s amendments.

EU Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Tuesday 31st January 2012 Lords Chamber

[Lord Strathclyde]

My Lords, it is not just diplomatic to say that these are issues that Greece and the other countries of the eurozone need to sort out; it is common sense. My noble friend's gloomy view may come to pass, but we should all fear that. There is a chilling effect on the economy already because of the crisis in the eurozone, and it would be considerably worse if there was a real banking problem in the whole of the eurozone and the whole of Europe, which would leak into us. Therefore, we urge the countries of the eurozone to solve their problem. With the intergovernmental treaty, we have given them the best opportunity to do so.

[Lord Stoddart of Swindon]

My Lords—

Companion to the Standing Orders

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Tuesday 25th October 2011 Lords Chamber

[Lord Strathclyde]

My Lords, I am well aware of the situation that arose on Report of the Armed Forces Bill. The reason why an agreement took place was so as to allow the Health and Social Care Bill Second Reading to be postponed from Tuesday 4 October to Tuesday 11 October. I think the whole House would have approved of that decision. These decisions were made by the usual channels, as I made clear, so as to help the House as a whole. I do not think there was any detriment in taking that decision.

[Lord Stoddart of Swindon]

I speak as one who took part in the discussion about this. Was not the real reason for the decision on the Armed Forces Bill to accommodate the Conservative Party conference and the ability of Members of this House to attend that conference? Am I right in thinking that the same problem is going to arise next year, when this House will be recalled during the Tory Party conference? Will the noble Lord the Leader of the House look at the position for next year to ensure that the House’s business takes preference over that of the Conservative Party?

[Lord Strathclyde]

My Lords, I can assure the noble Lord from personal observation that there were very few Members of the House of Lords—of all parties— present at the Conservative Party conference. They were far more likely to be attending to their duties in your Lordships’ House. It is true that the Chief Whip has announced that the House will sit next year during the week of the Conservative Party conference, but this is in large part due to representations that have been made to me and others from all parts of the House that they would rather come back earlier in October than sit in September, as we did this year.

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 27th June 2011 Lords Chamber

[Lord Stoddart of Swindon]

My Lords, I am pleased that the Prime Minister has said that Article 122 will no longer be used in future for bailing out other countries. Is it not true, however, that Article 122 was used illegally? Indeed, Article 125 of the Lisbon treaty precludes Article 122 or any other article from being used to bail out other countries within the European Union. In that case, the Commission broke the law. Should not the Government in fact be referring that breach of the law to the European Court of Justice to see exactly what went wrong?

[Lord Strathclyde]

The noble Lord, Lord Stoddart of Swindon, is always first to pick holes in an argument of this kind and, rightly, to see when illegality is going on. We take no particular view on this. We know that some controversial decisions have been taken on the basis of these articles, but we are very glad with the results of this Council and the communiqué, which we believe has come up with the right solution.

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 20th December 2010 Lords Chamber

[Lord Strathclyde]

My Lords, yes, we are in favour of stability in the eurozone, but we also feel that it is entirely right for nation states to stand up for their interests and to get together. That is in a way exactly what happened in this letter between Chancellor Merkel, President Sarkozy and others, who suggested—rightly, in my view—that it is time for the European budget to come under further control. That is not seeking to centralise power within Brussels; it is seeking to exert more pressure and more control from member states on the European Union. That is a very good direction of travel.

[Lord Stoddart of Swindon]

My Lords, the noble Lord has been under attack for trying to kowtow to his Eurosceptic Back-Benchers in the Tory Party. Some of us think that the Government kowtow far too much to the Europhiles, so there is a real difference of opinion. In all the latest opinion polls, a majority of the British people do not want any further powers to be ceded to Europe, and over half of them would like to leave the European Union.

Could I ask the noble Lord a question about the eurozone? In one part of the report, the statement is made that it could work only if there was fiscal union as well— saying that it did not want to tell the European Union this, but going on to do so anyway. Is the noble Lord aware that any reform with regard to the larger powers involves fiscal union? That is what France, Germany and, indeed, Italy want. Can I have the assurance that this would be opposed by the British Government and, perhaps, even by the British people through a referendum?

[Lord Strathclyde]

Yes, my Lords. The noble Lord says that we have been accused of kowtowing too much to Europhiles. We have certainly been accused of kowtowing to Eurosceptics. The main point of this, which the noble Lord has understood very well, is that we have said clearly that if there is to be a transfer of power from this Parliament to the European Union, it should be subject to a referendum. We hear what people are saying in various polls about their view that too much power has been ceded, that they are not consulted enough and it is all being done the wrong way. We will make this a matter of statute when later in this Session we get to the European Bill, which I hope the noble Lord and other noble Lords will support.

The countries of the eurozone need to sort out their own problems. No doubt some of us will have different views as to how that should be done but, if there was a move down the road towards a European-wide fiscal solution for European-wide economic problems, we would oppose it.

G20

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 15th November 2010 Lords Chamber

[Lord Strathclyde]

My Lords, I cannot say what the answer was because a wide range of issues was covered in the discussion between my right honourable friend and the leadership in China, but that included an in-depth discussion on human rights. As I said earlier, no subjects were off limits. My right honourable friend the Foreign Secretary said at the time of the announcement of the Nobel Peace Prize that the decision to award the prize to Liu Xiaobo,

“shines a spotlight on the situation of human rights defenders worldwide”.—[Official Report, 20/10/10, Commons, col. 727W.]

[Lord Stoddart of Swindon]

My Lords, can I ask the noble Lord two questions? In the first place, I applaud the Prime Minister for taking a large delegation to China and for his dealing with the wider aspects of our relationship with China. After all, China is an emerging superpower and we should look after it. In regard to trade with China, and indeed with the rest of the world, our manufacturing industry has fallen as a proportion of GDP, from 32 per cent in 1973 to 10 per cent in 2008. Are the Government going to do anything to resuscitate and revive our manufacturing industry, especially in the north-west and north-east of this country?

My second question is about the discussions at Seoul on trade, particularly with emerging countries. Is the noble Lord aware that the greatest barrier to trade with those countries is the CAP? Will the Government do something about that? Unless it is reformed, people in Africa will find it particularly difficult to export their goods to Europe.

Parliamentary Voting System and Constituencies Bill

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 15th November 2010 Lords Chamber

[Lord Strathclyde]

My Lords, years have gone by when we have not discussed these issues, either of hybridity or special Select Committees. It seems extraordinary that within six months of the Labour Party going into opposition we have had to debate them on three separate occasions. I do not think that anyone in this place outside a few zealots in Labour’s back room wants to see the kind of opposition and government politics that we have seen develop over the course of the past few months.

[Lord Stoddart of Swindon]

I wonder whether the Leader of the House has made an assessment of how long the Examiners would take. Is it weeks or months or days?

[Lord Strathclyde]

My Lords, that would be up to the Examiners, but, based on the precedent set earlier this summer, it would be between a week and 10 days. Everybody knows that this Bill is on a tight timetable, which is precisely why we are discussing this Motion today. Six years ago, the noble and learned Lord, Lord Lloyd of Berwick, submitted from the Cross Benches that the Constitutional Reform Bill, a Bill profoundly affecting this House, which ended centuries of this House’s judicial role, be referred to a Select Committee. The noble and learned Lord, Lord Falconer of Thoroton, condemned that as political mischief-making and strongly urged the House to resist it. Now on a Bill that has nothing to do with this House at all and has been approved by another place—

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Tuesday 2nd November 2010 Lords Chamber

[Lord Strathclyde]

My Lords, my noble friend said he had a short question, but it is a huge subject. I look forward to his debate. It is completely unacceptable that the European Court of Auditors has not been able to sign off the EU accounts. I understand that the majority of the errors are not due to fraud but to the sheer complexity of the rules and regulations. We need to address the root cause and press for simplification of EU financial management alongside reform of the budget itself.

[Lord Stoddart of Swindon]

My Lords, I wish to ask the noble Lord about economic governance and the German Chancellor’s proposal to revise the treaty. Why are the Government agreeing to that? Can any country now propose changes to the treaty? Will he assure me that the Government will indeed have a referendum if there is any change in the treaty at all?

[Lord Strathclyde]

My Lords, on economic governance, we take very seriously the stability of the eurozone. Some 40 per cent of our exports go into the eurozone and 50 per cent of our exports go to the EU, so it is a massively important market to us and financial stability is important. However, we maintain two things: first, we would rather not see a change in the treaty; and, secondly, we would rather not see any change involving a transfer of powers from the UK to the EU. We are not certain that a treaty amendment is required, but if it is and we are assured that there is no such transfer of powers, a referendum in this country would be unnecessary. If there were a transfer of powers, we would not agree to it.

House of Lords: Allowances

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Tuesday 20th July 2010 Lords Chamber

[Lord Strathclyde]

My Lords, the standard open ticket is the price ceiling on which all claims will be judged.

That neatly brings me towards the end of my words. The committee recommended that the new arrangements be put in place for the duration of the present Parliament. I fully support that approach.

This has been a long and at times difficult journey to reform the discredited expenses regime, but it is a journey that is coming to an end. I hope that today the House will approve the Motions before it so that the reforms can be made and, when the House returns in October, we can start afresh under a simpler, more transparent allowance scheme that can command public confidence. I commend the scheme and I beg to move.

[Lord Stoddart of Swindon]

Before the noble Lord sits down, will he say what the position is with regard to travel by standard class? If Members are travelling with officials who are entitled to first-class travel, will the officials be able to travel first class while Members of this House and Members of the House of Commons have to sit at the back?

[Lord Strathclyde]

My Lords, the situation that the noble Lord, Lord Stoddart of Swindon, suggests will never arise.

European Council

Debate between Lord Stoddart of Swindon and Lord Strathclyde

Monday 21st June 2010 Lords Chamber

[Lord Strathclyde]

My noble friend raises a point that we could debate and discuss for a very long time. He is right to mention the Bretton Woods arrangements. As to whether there should be an automatic mechanism to adjust for competitiveness, that is a matter not for the Government but the European Bank. It must take into account all the needs of all the economies within the eurozone and it is one of the reasons—only one—why we supported the view of the then Government that we should not join the euro in 1999.

[Lord Stoddart of Swindon]

I want to make two points. First, with regard to the reference to budget surveillance on page 4 of the Statement, this does not go far enough. It says that,

“the UK Budget will be shown to this House first—and not to the Commission”.

It is not a question of showing the Budget to the House; it is a question of the House of Commons agreeing the Budget before the Commission has its way. Surely that is right.

Secondly, why on earth do the Government continue to harp on about 40 per cent of our trade being with the European Union? The world is a much bigger place than that these days, so would it not be better if we expanded our trade with China, South America, India and indeed the Commonwealth, instead of concentrating on the backyard of Europe?

[Lord Strathclyde]

My Lords, on the question of the Budget, the noble Lord is in danger of tilting at windmills. We are not playing any verbal gymnastics that somehow when we say that it will be presented to Parliament first it means that round at the back door we are busily presenting it to the Commission. We are not. Tomorrow there will be a British Budget which will be presented to the British Parliament first. After it has been presented it will be a matter of public record and knowledge. I dare say that the Commission may be interested; it may indeed be very interested in looking at it before it is finally agreed by Parliament. Therefore, I do not think that there is a fundamental difference between the two of us on this issue. Neither, incidentally, is there about what the noble Lord Stoddart of Swindon, said about trade with the rest of the world. It is an important plank of British foreign policy to expand our trade beyond Europe. That is vital to our long-term prosperity and the creation of jobs in this country. We are using all the natural advantages that this country has built up over many decades—centuries even—with countries whose economies are growing extremely quickly. To ignore them would be an enormous mistake. So I hope that I can put a smile on the face of the noble Lord, Lord Stoddart, by saying that I very much agree with what he said.