Wednesday 30th January 2013

(11 years, 4 months ago)

Commons Chamber
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Lord Hague of Richmond Portrait Mr Hague
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In a few minutes, given that I have taken a lot of interventions already.

When that political will is there, we can make a decisive difference. That is clear in foreign policy. We have led the way with France on EU policy on Syria, and with France and Germany on sanctions on Iran. The flagship EU anti-piracy operation is hosted not at an EU operational headquarters—something that I have always opposed—but at the UK’s Permanent Joint Headquarters in Northwood.

Those are some of things we have achieved so far. Looking briefly at the months ahead, a number of important issues are on the agenda. The multi-annual financial framework will be discussed again at next month’s Council. We are working closely with all our European partners—

Andrea Leadsom Portrait Andrea Leadsom (South Northamptonshire) (Con)
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Will my right hon. Friend give way?

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Lord Hague of Richmond Portrait Mr Hague
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Of course I congratulate, and the Prime Minister will be congratulating, the new President of the Czech Republic. However, the Prime Minister of the Czech Republic said last week:

“The scepticism of the British public is understandable...British voters’ feeling of remoteness from EU elites in Brussels is right. EU competitiveness is a Czech priority as well.”

So it is interesting to hear from the Czech Republic.

Andrea Leadsom Portrait Andrea Leadsom
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Does my right hon. Friend agree that the Prime Minister’s speech last week was right to set out a new vision for Britain in Europe, because it is Europe itself that is changing? That change is inevitable, and the Prime Minister is simply reflecting the inevitability of reforming the EU if it wants to become globally competitive once again.

Lord Hague of Richmond Portrait Mr Hague
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Yes, my hon. Friend is absolutely right. I pay tribute to all the work that she, with many of our colleagues, has done on this subject. It is vital to shape and reform this debate. Europe has to change, and the UK should be at the forefront of arguing for that change.

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Douglas Alexander Portrait Mr Alexander
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I am keen to make a little progress and then I will happily take as many interventions as we can manage in the time available.

The Prime Minister, alas, seems more focused on the UK Independence party’s numbers than on the gross domestic product figures. When the priority should have been stability, investment and jobs, as Friday’s figures confirmed, he delivered a glorified handling strategy for Conservative Back Benchers, confirming that he is more interested in securing stability in the Conservative party than in securing stability in the economy.

Andrea Leadsom Portrait Andrea Leadsom
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Does the right hon. Gentleman not accept that the EU is changing, and that the eurozone crisis has led to the point at which Britain simply cannot continue in the same way? Does he agree that, in order to safeguard our current interests, we must adopt change?

Douglas Alexander Portrait Mr Alexander
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Of course change is coming to the EU and we want to see it. The tragedy is that Conservative Back Benchers prevent the Prime Minister from addressing those changes in a sensible, serious way and from advancing Britain’s national interest.

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Douglas Alexander Portrait Mr Douglas Alexander
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I will make a little more progress before giving way.

Let me read the principles so that the House can know just how crystal clear they are. The principles are competitiveness, flexibility, that power must be able to flow back to member states and not just away from them, democratic accountability and fairness. As I have said, the Opposition agree with those principles—I hope that does not cause great discomfort on the Conservative Benches. Indeed, to be fair, there is a degree of common ground between the Prime Minister and the Opposition on the need for change in Europe.

Andrea Leadsom Portrait Andrea Leadsom
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Will the right hon. Gentleman give way?

Douglas Alexander Portrait Mr Alexander
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I have already let the hon. Lady intervene. As I have suggested to her, the real tragedy is that Conservative Back Benchers will not let the Prime Minister sensibly deliver the changes that we agree are needed in Europe.

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John Denham Portrait Mr John Denham (Southampton, Itchen) (Lab)
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The Foreign Secretary is a fine orator but today, apart from quite an amusing bit at the end of his speech, he gave the impression that he would rather have been anywhere other than here. He certainly gave no clue why this issue has driven such passions in politics over a long time.

Let me make one or two fundamental points. There is a fundamental truth: the driving forces of anti-Europeanism are fear and pessimism—fear of meeting the challenges of the 21st century and pessimism about our country’s role in the world. Many Eurosceptics would like us to believe that they are patriots, but their actions tell a different story and show a deep belief that Britain’s future is inevitably one of decline, lowered ambitions and a downgrading of our role in the world. I do not think, based on the same evidence as that used by the hon. Member for Isle of Wight (Mr Turner), that most British people want to share that pessimism about our future.

When Eurosceptics talk of being free from the drag of co-operation, from shared obligations and from any common purpose, and when they talk about Britain going it alone, they think that that is a proud statement of intent. It is not. It is an admission that they have lost faith in the future of our country. Those who say, “Go it alone” do not believe that we can succeed, as any modern nation must, in collaboration with others. They think that if Britain tries to work with others we must inevitably be losers—that it will always be them bossing us, rather than us influencing them. The debate does not divide Europhiles from Europhobes; it divides pessimists from optimists.

Andrea Leadsom Portrait Andrea Leadsom
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Does the right hon. Gentleman not think that the Prime Minister’s speech last week was incredibly optimistic about Britain’s positive future at the heart of a newly globally competitive reformed European Union? Surely it was the definition of an optimistic speech.

John Denham Portrait Mr Denham
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None of us is against competitive success, but the Prime Minister gave no clue about how he thought that should be achieved or about which failures to achieve it in the EU would lead him to a no vote. It was all motherhood and apple pie, as my right hon. Friend the leader of the Labour party said last Wednesday. We can always sign up to those five principles, but the speech took us no further forward.

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Andrea Leadsom Portrait Andrea Leadsom (South Northamptonshire) (Con)
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I am delighted to speak last from the Back Benches in this debate. Who laughs last laughs longest, so I hope to have some influence on Britain’s EU reform. I feel hugely optimistic. The Prime Minister’s vision for Britain at the heart of a new globally competitive EU, and an EU that is both fair and democratically accountable, is music to my ears.

I find it astonishing that Opposition Front Benchers say that the Prime Minister’s speech causes rather than resolves uncertainty. They need to focus on the fact that the uncertainty over Britain’s future in the EU is the same as the uncertainty over the EU’s future. The eurozone has faced an unprecedented currency crisis and an existential crisis. While we have been worrying about jobs and growth, they have been worrying about the literal collapse of their currency and their eurozone union. Change is not just something that Britain would like to have and haggle over a bit here and there at the edges; change is essential across the whole of the EU, something already in evidence in the recent actions in the eurozone.

John Redwood Portrait Mr Redwood
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My hon. Friend has done an important study of EU powers. Did she find that the EU either now controls, or has substantial influence over, every part of Government?

Andrea Leadsom Portrait Andrea Leadsom
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My right hon. Friend makes a good point. Clearly, as part of a newly negotiated relationship with Brussels, it will be important for Britain to bring back significant powers. At the same time, the EU is set to change itself. It is already changing significantly, and changing in ways that already benefit Britain. Just one example is the eurozone’s decision to create a single regulator for eurozone financial institutions, and the recognition that in doing so there was the potential for member states to caucus against non-euro members. It has been agreed, at the request of Britain and other non-euro member states, to have a double majority, so that eurozone members cannot exclude non-euro countries from having a say in a vote. That is an important, game-changing precedent that points the way to a future for the European Union. There is a group of eurozone members that need to move towards a country called Europe where they underwrite one another’s debts and move to a federal united states of Europe. At the same time, there can be another very strong group of non-euro member countries that can find a different path. The Fresh Start project, which I was closely involved in establishing 18 months ago, has recently recommended a number of reforms. I hope that the Government will take close account of its recommendations.

Ben Gummer Portrait Ben Gummer
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Does my hon. Friend not agree that that does not necessarily preclude closer co-operation in some areas? For example, a single sex offenders register across the European Union is necessary to stop some of the outrages that some of us have seen in our constituencies. People have come in unchecked and have committed crimes.

Andrea Leadsom Portrait Andrea Leadsom
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I completely agree with my hon. Friend. It is essential that Britain co-operate fully with the EU on matters of crime and policing. I will come on to that, because it is one of the recommendations in the Fresh Start manifesto that Britain repatriate its competency in that area. In other words, Britain can envisage a scenario where we co-operate fully with the EU, but do not necessarily have to opt in to directives that cannot then be changed under qualified majority voting and are subject to European Court of Justice oversight. It is perfectly possible for Britain to repatriate crime and policing without having to give up its sovereignty in that area.

Robert Buckland Portrait Mr Robert Buckland (South Swindon) (Con)
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On that point, is it not important that, if we can get proper negotiation on proportionality, we can make the European arrest warrant work for serious crimes while avoiding the sorts of abuses about which we all have concerns ?

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Andrea Leadsom Portrait Andrea Leadsom
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That is a very specific point. I advocate co-operation on the European arrest warrant, but not opting back into that specific directive.

I want to come on to the other proposals in the Fresh Start manifesto, which support the development of the EU. First, the repatriation of social and employment law is not, as Opposition Members would have us believe, to get rid of workers’ rights, but to say that national Parliaments are best placed to decide and should have the flexibility to amend legislation when it is in the interests of their countries to do so. Let us face it, there is up to 50% youth unemployment in places such as Spain and Greece. If ever they needed flexible labour laws, it is now.

There is a recommendation to have an emergency brake for financial services for all member states. The financial services industry is very important at EU level, and for Britain it is a key contributor to the Chancellor’s tax take. We need to defend it, but it is also essential for the entire EU. We want an emergency brake that enables any member state to defend itself against unfavourable interventions. The final proposal is for a legal safeguard for the single market.

Those are some of the proposals from the Fresh Start project. I hope that the Front-Bench team will be listening carefully and taking up some of our ideas.