EU-UK Relationship (Reform)

Alec Shelbrooke Excerpts

Tuesday 18th September 2012 Westminster Hall

[Andrea Leadsom]

I am grateful to my hon. Friend for that intervention; he has made some really good points and I will address just a couple of them. It is absolutely the case that the EU is regulating us into being globally uncompetitive—uncompetitive not only within the EU but outside it as well. There are huge opportunities in China and the other emerging economies for Britain’s services, high-technology, financial services, manufactured goods and so on. Reform is essential.

As for the collapse of the euro project—the European project—it is true that, although we can certainly tolerate those who want to create some kind of federal Europe, at the same time Britain cannot be hampered by that movement. In a sense, therefore, their move to ever-greater fiscal union indicates the need for us to move towards having a far more clearly defined role that works better for British interests.

The Fresh Start project is all about saying that what we need is to renegotiate our EU membership—to remain within the EU but to have our absolutely best attempt at renegotiating a relationship that works for Britain, with full and free access to all EU assets, but without being hampered in a global world by EU regulation. What I want to see is fundamental reform.

What the Fresh Start project started to do just over a year ago, and with the support of more than 120 Conservative MPs, was to carry out a serious research project to see how different policy areas within the EU have affected Britain and British national interests; to make a cost-benefit analysis; and to see what we could change and how we could do that. It has been an enormous piece of work, which makes a splendid door-stop—I see that my hon. Friend the Member for East Worthing and Shoreham (Tim Loughton) is weightlifting today as he carries copies around with him. I congratulate him on doing so.

In June, just before the recess, the Fresh Start project published our green paper setting out the options for change. We colour-coded green those things that we can do ourselves, of which there is a surprising number: the British Parliament could simply decide to reform the way that we do certain things and get a better deal for ourselves without even making reference to our European colleagues. Amber options are those where negotiated treaty change would be necessary, but it has often been the case that we have never even attempted to negotiate those treaty changes and we should certainly have a go at doing so. The red options defined in the options for change are those things where we need to say, in Britain’s best interests, that we are no longer willing to entertain EU sovereignty over British sovereignty, and therefore we wish to withdraw.

[Alec Shelbrooke (Elmet and Rothwell) (Con)]

On the green options—the things that can be done straight away—does my hon. Friend agree that the present situation is a consequence of the pro-Europe Labour Government, who gold-plated so much EU legislation to interfere in our lives and used the EU as a good excuse to do it?

[Andrea Leadsom]

I absolutely agree with my hon. Friend; he makes a very good point. That was never more true than in relation to the working time directive. Having recently carried out an inquiry with all the royal colleges, I know that the evidence is overwhelming that the training of doctors is suffering seriously as a result of the negotiated on-call hours, which the last Government presided over and allowed to happen, to the detriment of our NHS. They should be ashamed of that.

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[Alec Shelbrooke (Elmet and Rothwell) (Con)]

It is a pleasure to serve under your chairmanship, Mr Hollobone. I warmly congratulate my hon. Friend the Member for South Northamptonshire (Andrea Leadsom) on the immense work she has done in leading on this important subject.

I was born in 1976, two years after the last referendum on Europe. A great many of my colleagues—I look at my hon. Friend the Member for Wycombe (Steve Baker)—have had absolutely no say in Europe. We are now Government Members and this cancer of Europe has eaten away at debate throughout almost my entire political career, from the moment I was delivering leaflets on the doorstep 20 years ago. It is time to get this problem sorted out.

The constant rush for federalisation will have precisely the opposite effect to what the European Union was set up for in the first place. The laudable point of a European union was to try to prevent another war in Europe, but if people’s sovereignty is withdrawn, they will strike back: eventually, right-wing parties will get elected and say enough is enough and rise up in nationalistic fervour. Those who do not think that such things could happen only have to look back 20 years to Yugoslavia and see how dangerous it can be when people do not feel they have control of their destiny. We need a sensible way forward.

I do not propose that we withdraw from the European Union, although I fear, as my hon. Friend the Member for Stone (Mr Cash) outlined, that might be where we end up; but we do need to renegotiate the relationship and to withdraw from the interference in our lives. When I say to people, “You had the vote and you decided,” they reply, “No we didn’t. We voted for a common trading area.” That is the point: the people voted for a common trading area, not for a European Union of increasing federalisation. This review is a very important piece of work. The Minister would have the support of the vast majority of Government Members if the Government worked to ensure that we have a common trading area, not a federal Europe.

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[Emma Reynolds]

That question might be more appropriate for the Foreign Office Minister. The point that I am making, if the hon. Gentleman will listen, is that it is more likely that we will be able to prise open markets and change the rules of the game on intellectual property rights and other issues if we are part of the collective weight of the European Union. China, with 1.3 billion people, has much more interest in forming a trading relationship with a European Union representing 500 million consumers than with a single country within that Union.

[Alec Shelbrooke]

I am listening carefully to what the hon. Lady said about being in Europe to negotiate such trade terms. Will she clarify whether that means that we should have much further integration to open up those markets?

[Emma Reynolds]

That was not my point. We have much more influence and weight in international trade negotiations acting as part of the European Union than we do alone. I now want to make some progress.

Our membership of the European Union is also vital to attracting foreign direct investment. I want to agree with one point made by the hon. Member for South Northamptonshire, which is that it would not be in our national interest to be in the position of Norway. A recent report by some Norwegian academics pinpoints a democratic deficit in Norway’s relationship with the EU, because the country is bound by the single market’s rules, regulations and laws, over which it has no say. If we were to put ourselves in that position, it would not be in our national interest, so I agree with the hon. Lady on that.

We are in favour of our membership, but we are not defenders of the status quo. We would like to see a Europe that is more outward looking, that is stronger in the world, that is—crucially, at the moment—better able to deal with the eurozone crisis and that reforms some of its internal policies. We would like to see the multi-annual financial framework more focused on growth and job creation, a reform of the common agricultural policy and, crucially, a completion of the single market in services. The only way to achieve such reform, however, is to have influence in the EU and not to be stranded on the sidelines.

Regrettably, as a result of the Prime Minister’s walk-out at the European summit in December, our stock in Europe sits at an all-time low. [Hon. Members: “ Rubbish.”] If hon. Members visited European capitals and discussed with other politicians the stock of UK influence, they would have a pretty bad surprise. Negative tactics such as vetoes and empty chairs are instruments of last resort; they are open to member states and we should be prepared to consider their use in defence of a vital national interest, but in December no vital national interest was defended. The Prime Minister’s protocol on financial services was rejected as a retreat from existing single market rules, and the rest of Europe simply carried on without us. The Prime Minister’s action therefore incurred a loss of influence for no tangible gain. Ironically, as a result of what he did in December, the Government are more reliant on an institution that many Conservative Members love to hate, the European Commission, which we must now depend on to protect the single market and its integrity.

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[Mark Simmonds]

My hon. Friend will not be surprised to hear that I will not answer that question directly this morning. I urge him and others, however, to engage positively and constructively with the forensic analysis of the balance of competences, which will feed into a national debate about the relationship that we should have with the European Union.

I want to be up front in ensuring that all hon. Members understand that the Government have been absolutely clear that there should be no further transfer of competence or powers from the UK to the EU over the course of the Parliament. That is in stark contrast with the Labour Government’s record. They were clearly wrong to sign the Lisbon treaty without consulting British voters in any way. They were quite wrong to give away £7 billion of our rebate and to get nothing in return, and they were quite wrong to drop out of our opt-out from the social chapter, which means that employment laws are decided in Brussels, not here.

[Alec Shelbrooke]

Does that not illustrate the folly of the comments by the hon. Member for Wolverhampton North East (Emma Reynolds)? She said that Britain is more isolated by taking a stance. We gave away all that money, and what did we get for it?

[Mark Simmonds]

I agree with my hon. Friend. The Prime Minister’s veto back in December played a significant role in ensuring that he and the Government are always seen to be protecting the UK’s national interest. That is absolutely right. The comments of the hon. Member for Wolverhampton North East (Emma Reynolds) on this matter are confusing, particularly in view of her unwillingness to rule out British membership of the euro, which the Government have done.