European Union (Croatian Accession and Irish Protocol) Bill Debate

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Department: Foreign, Commonwealth & Development Office

European Union (Croatian Accession and Irish Protocol) Bill

Angus Robertson Excerpts
Tuesday 6th November 2012

(11 years, 6 months ago)

Commons Chamber
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David Lidington Portrait Mr Lidington
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I am grateful to my hon. Friend for his comments. I hope to say more about the transitional controls later, but he will have observed that the Minister for Immigration, my hon. Friend the Member for Forest of Dean (Mr Harper), is here, and I can assure him that the Home Office and the Foreign and Commonwealth Office are working hand in glove on the preparation for Croatian succession.

For many years, EU enlargement has enjoyed firm cross-party support in the House. We can look back to the premiership of the noble Lady Baroness Thatcher to see support being expressed for enlargement covering the newly enfranchised democracies beyond what was once the iron curtain, at a time when it was not fashionable or even believed feasible that those countries of central and eastern Europe could become full members of the European family of nations. Today, for the countries of the western Balkans, including Croatia, that process of accession provides a means of entrenching political stability, democratic institutions, the rule of law and human rights —traditions and values that that part of our continent needs but which were crushed for much of the last 100 years.

Angus Robertson Portrait Angus Robertson (Moray) (SNP)
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I endorse the Minister’s comments. May I invite him to underline that the accession agreement foresees not only the points that he has made but the fact that on accession Croatia will nominate a commissioner, take up a seat on the Council of Ministers and have 12 MEPs?

David Lidington Portrait Mr Lidington
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The hon. Gentleman is right. Our support should not only be about what Europe is or ought to be; I also want to stress the point that enlargement, and Croatia’s accession in particular, is firmly in our national interest.

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David Lidington Portrait Mr Lidington
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I discussed that with both the Slovenian and Croatian Governments when I was visiting Ljubljana and Zagreb earlier this year. We encourage both countries to find a bilateral solution. It is clearly not for the United Kingdom to lay down how that should be done, but they need to find a bilateral agreement that is in accord with the various international treaties to which the two countries are party. We hope that they succeed in the very near future.

The Committee was critical of the Government’s assessment that Croatia was making good progress with the reform of the judiciary and the courts. I am conscious that I have given way a lot and that other Members want to speak, but I want to deal with the most egregious element of the problems with the legal system in Croatia: the backlog of civil cases, to which the Committee drew particular attention.

The backlog in criminal cases in Croatia has fallen for some time and continues to fall, and we ought to pay tribute to the work that the Croatians have done to achieve that. They are still finding it a battle to reduce the backlog in civil cases, but it is important that we should not be misled by grand totals of the number of civil cases before the courts.

According to the figures that I have for the first half of 2012, roughly 844,000 new civil cases reached the Croatian courts; in the same period, roughly 836,000 cases were resolved. Although the total number of cases pending increased slightly, it would be wrong to think that 800,000-plus cases simply sat there in the “pending” tray and never moved. The truth is far from that. There has been a reduction in the backlogs in respect of the older cases—those over 10 years old or over three years old. The Croatians have also assigned a significant number of additional judges to focus on the backlog. Again, although we accept that further work needs to be done, we think that Croatia has made good progress and is committed to completing it. We do not believe that that is a reason to delay its accession.

I move on to migration. Croatia has a modest population of about 4.5 million. The potential impact of Croatian migration is relatively small, but we know that appropriate immigration controls are crucial for stability in our labour market, particularly in the current economic climate. Recently, the Home Office published its intention to impose transitional controls on Croatian workers in line with the Government’s policy to impose such controls on workers from all new member states, under the terms provided for in their accession treaties.

The accession treaty for Croatia sets out the framework within which member states may apply transitional controls to Croatian nationals who wish to work in their country. That framework is as follows. During the first two years following accession, the existing 27 member states can apply either national immigration controls or those resulting from bilateral agreements to regulate access to their labour market by Croatian nationals.

From the third year to the fifth year, member states have the option either to continue to apply the same controls as in the previous two years or, if they choose, to grant Croatian nationals the right to move and work freely, in accordance with European Union law. For the fifth year, member states must grant Croatian nationals the right to move and work freely in accordance with EU law. However, if member states find that they are subject to serious disturbance of their domestic labour markets—this has to be an evidence-based assessment of the kind that we seek from the Migration Advisory Committee—those member states may choose to continue to apply controls for a further two years, taking us up to a seven-year maximum period after accession, having first notified the European Commission.

The Home Office will be bringing forward detailed regulations on the transitional controls early in 2013, so the House will have the chance to debate the detail of those ahead of Croatia’s planned accession date. However, the Government’s intention is that for the first two years at least we would continue with the current arrangements under which Croatian nationals who would qualify to come and work here under the points-based system would be allowed to do so, although we do not envisage further relaxation beyond that.

Angus Robertson Portrait Angus Robertson
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For decades since independence, there have been associations between the former Yugoslavia and the subsequent nations. There are decades of experience of citizens from that part of the world working in Germany and Austria as Gastarbeiter. Based on that assessment, do the Government agree that when the free movement of labour comes into force, those citizens are most likely to travel to countries with which there is an historic association—in the first instance, Germany and Austria?

David Lidington Portrait Mr Lidington
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The hon. Gentleman is right. According to our figures for 2011, about 2,000 Croatians emigrated to other EU member states and half of those went to Germany. UKBA figures for 2011 show that only 115 Croatian nationals were admitted to the United Kingdom to work.

David Lidington Portrait Mr Lidington
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That is a perfectly fair question, but I assure the hon. Gentleman that there is no evidence at the moment that Croatia is being used by traffickers as he says has happened in Moldova. However, people traffickers are extremely professional, well organised multinational businesses. We have to be vigilant and continue to work closely with the Croatian authorities, trying to provide the practical advice, support and training that we have been giving them as they carry out their immigration, asylum, judicial and administrative reforms, so that their own systems are up to scratch in ensuring that they cannot be exploited by traffickers. The Croatian Government would not want that to happen, and nor would we.

Now I want to talk briefly about the Irish protocol. The addition of the Irish protocol to the EU treaties does not have a significant impact for the United Kingdom. It relates to a series of guarantees given to the Irish people as a condition of their ratification of the Lisbon treaty, but it does not change the substance or application of the treaty. It confirms the interpretation of a number of its provisions in relation to the Irish constitution. Helpfully, the Irish interpretation of the Lisbon treaty aligns with our own.

Angus Robertson Portrait Angus Robertson
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I invite the Minister to take the opportunity to acknowledge that the Irish protocol underlines the rights of member states to set their own tax rates. The Irish Government sought that important guarantee. However, that rings true not just for the Irish Republic but for all member states of the European Union in future, which is welcome.

David Lidington Portrait Mr Lidington
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It is very welcome that the Irish protocol makes that assertion about tax sovereignty, which is in line with our own interpretation of the Lisbon treaty and previous European Union treaties. The Irish protocol also confirms that neither the charter of fundamental rights nor the Lisbon treaty in the area of freedom, security and justice affects the scope and applicability of the Irish constitution as regards the right to life, protection of the family and protection of rights in respect of education. It confirms that the Union’s action on the international stage, particularly under common security and defence policy arrangements, does not prejudice the security and defence policy of individual member states or the obligations of any individual member states. It also deals with other matters specific to Ireland, such as its long-standing position of military neutrality. It was formally agreed by Heads of State and Governments of the 27 member states in June 2009. It amounts to a guarantee in international law that the concerns raised in Ireland were unaffected by the entry into force of the Lisbon treaty. Once all 27 countries have formally ratified the Irish protocol, it becomes binding in terms of the European Union as well as of international law.

The Government’s original intention had been that we might include with this legislation a comparable but differently worded protocol as regards the Czech Republic. That is still stalled in the Brussels decision-making process. The European Parliament has yet to produce an opinion on the Czech protocol, and until that has come out of the Brussels negotiations it would be premature for us to think about bringing forward legislation here in Parliament.

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Michael Connarty Portrait Michael Connarty
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The point has been made that there should be a wider mandate in deciding whether the treaty should go through. It should not just rest with this House. As you have said, Mr Deputy Speaker, that has been decided before, but the Bill contains provisions on the Irish protocol, which, as has been pointed out, provides only a clarification. It is the same protocol that the UK got in the original Lisbon treaty, but as was pointed out in many debates and in many legal opinions that we received in the Committee, all it stated was what was already in existence—that every country has the right to its own Bank and that no country will lose any rights that it already has because of the Lisbon treaty coming into force.

The protocol did not change anything, but if the Irish people require that reassurance, that is fine. However, it does trigger a change in the Lisbon treaty, and a change in a major treaty should, in reality, be required to be put to the British people—if, as has been pointed out, we are also to get the credibility of the Irish people. They may not do things they like; indeed, I remember when the Irish delegation came to tell us that because Ireland was a small country—one of my colleagues, the leader of the Scottish National party, was at the meeting when they said this—it had to do what Europe wanted, whereas the UK was a big country that could argue its corner much more strongly. The protocol will make no difference to the situation in Ireland, but it is in the Bill and it changes the treaty.

Angus Robertson Portrait Angus Robertson
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Will the hon. Gentleman give way?

Michael Connarty Portrait Michael Connarty
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I certainly will, as I named the hon. Gentleman.

Angus Robertson Portrait Angus Robertson
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If the hon. Gentleman believes that Ireland does not have clout because it is a small country, can he explain why we are discussing an Irish protocol today?

Michael Connarty Portrait Michael Connarty
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The simple point is that it is because unanimity is required for an accession treaty. Clearly the concession was given to Ireland, and the concession for the Czech Republic is still being debated. However, as for what happened in the Lisbon treaty, I take our Irish colleagues’ word for it, because they are the people who have to live day in, day out with the consequences of what is being forced on their Government, citizens and industries by the European Union, because of the European Union’s decision on the present crisis. That is the context in which they were speaking.

Let me return to the question of whether Croatia is fit to be a member of the European Union at this time, which has taken up a lot of the Committee’s time and was referred to by the hon. Member for North East Somerset. As he is in the party of the majority, I would have thought that he would put on record the context and the comments that were made throughout the whole process. For example, when the Minister came to us in March, he said:

“It is important that the Commission’s Comprehensive Monitoring Report in the Autumn is able to reflect significant further progress”.

That was the offer to us, as it were, to say that things were not going particularly well in Croatia on coming together on the aspirations we had. We talked strongly in our Committee about the need for conditionality, because Romania and Bulgaria did not accede with the conditions met. In fact, in many instances they slipped back from the original agreements once they were in. That was a point made by my hon. Friend the Member for Blackley and Broughton (Graham Stringer)—and possibly the Member behind me—who intervened to say that once a country is in the European Union, very little can be done to make it speed up. The temptation for economic advancement from the European Union is slipping away as the crisis in Europe becomes more and more of a problem; therefore, the European Union has less and less of a carrot to offer countries, and it would appear that it is not willing to use sticks in the way that might be encouraging to those countries either.

At that time we waited for that report, which duly came to us. The report was not one to fill members of my Committee with joy and pleasure, because it was full of criticism of the Croatian position. It was quite true that some advances had been made, but the report also said, for example, that Croatia needed to

“Complete the adoption of related by-laws, to ensure the implementation of the police law,”

so there were problems in police law. The report said:

“While Croatia’s preparations in the field of migration and asylum are nearly complete, the government still needs to finalise and adopt the new migration strategy,”

adding:

“While border police staffing targets have nearly been met and training continues, Croatia needs to achieve the established recruitment target for border police for 2012”—

this is the autumn report for 2012 we are talking about. The report also talks about the integrated border management plan, which is vital, as the Minister admitted, because of the strange situation whereby a piece of Bosnia splits Croatia in half, so that two borders face each other with another country in the middle, which is a real faultline.

I want to draw the attention of the House to some of the points in the final report of the Committee, for 2012-13, which was considered by the Committee on 24 October. That is the most recent document that we have, and people should take the trouble to read it. I want to highlight some of the deep concerns expressed by the Committee. Paragraph 1.82 states:

“Addressing impunity clearly remains a major challenge, with the majority of war crimes yet to be successfully prosecuted”.

One of the basic demands of the Balkan countries is that they co-operate fully with the International Criminal Court. It is a matter of concern that, when they come into the European Union, there would be no pressure on them to continue in the desired direction. Perhaps it is only the temptation of membership that makes them focus on this issue. The report continues goes on to state that

“further measures are needed to facilitate the protection and attendance of witnesses.”

A country cannot get prosecutions without witness protection, and it cannot therefore be a country that is fully co-operating with the International Criminal Court.

I have mentioned trafficking, and I shall go into more detail in a moment. Paragraph 1.83 of the report states that the Commission has noted

“in particular that training for judges, prosecutors and others dealing with trafficking needs to be improved, and that sentencing in this area is very low compared to other types of organised crime.”

I recall a comment by a senior police officer in the UK, who caused a great scandal by telling a woman police inspector who tried to pursue a human trafficking case, “We don’t do human trafficking here. We do burglary and violence.” The worry is that Croatia does not see human trafficking as a major problem, but it is certainly a major problem for those who are trafficked.

Paragraph 1.84 of the report states:

“Tackling the scope for corruption in Croatia also still requires much work.”

That was in October, after the matter had been considered by the Minister and his Department, and by our own senior officials who give us evidence and support in our Committee. These warnings cannot be ignored. The paragraph goes on:

“Croatia has not efficiently implemented all legal measures to prevent conflict of interest. Local-level corruption needs attention, particularly in public procurement.”

Corruption is an endemic problem. It comes from the former Soviet Union countries, and it must be properly addressed. Paragraph 1.85 states:

“Croatia needs to ensure that a strong system is in place to prevent corruption in state-owned companies.”

Again and again, we are getting strong warning signals that Croatia is not yet in a good place to enter the European Union.

Paragraph 1.86, in reference to our call for conditionality, states that

“the Commission is still seeking of both Bulgaria and Romania: an autonomously functioning, stable judiciary, which is able to detect and sanction conflicts of interests, corruption and organised crime and preserve the rule of law”.

Those were conditions for Bulgaria and Romania in 2007, yet both were allowed in without meeting their conditionality provisions. We still do not believe that those conditions are being correctly met by Croatia. The Commission is also seeking

“concrete cases of indictments, trials and convictions regarding high-level corruption and organised crime”—

of which there is still no evidence—

“and a legal system capable of implementing the laws in an independent and efficient way…That state has clearly not yet been attained in Croatia. It is doubtful that it will be prior to accession. Yet, despite the demonstrable ineffectiveness of post-accession monitoring, that now seems the only option open to the EU.”

It is as though we are heading for the only doorway, but that doorway will not lead to reality for the people of Croatia, and we must be concerned about that. I aspire to seeing Croatia joining the EU and becoming part of the wider family of Europe. I do not have confidence, however, that when it gets in, its lifestyle and its approach to the issues that we are discussing will be better than they were before it joined the EU. The factor that is changing things is the attraction of going into the EU, but that will be lost once Croatia goes through that door.

I want to raise the matter of human trafficking, because I think that people are blind to what is going on. I want to talk about human trafficking for slavery as well as that for prostitution and sexual abuse, which is massive. The latest figures, which I read in a pamphlet entitled “This Immoral Trade”, suggest that 27 million people are in some kind of slavery around the world. That situation is not helped by what we know is going on, through our work with the EU group, Parliamentarians Against Human Trafficking. That work is based on the work of the Human Trafficking Foundation, which is based here in London and should be commended.

Concern has been expressed that there is trafficking from Montenegro and Bosnia into Croatia. Although the numbers involved are relatively small, this appears to show the inability of the authorities to protect the victims. There is also a question about trafficking from Turkey through Bosnia. The Human Trafficking Foundation in London has gathered quite a lot of statistics on that matter. In many places, the movement is not only into Europe but into the middle east, which illustrates a new way of targeting people for exploitation. I would like the Minister to tell us what he has been doing with the Croatian Government to make them more aware of the growing number of people being trafficked through Croatia into Europe.

Reference has also been made to Slovenia in this regard. It has a weird situation, in that it grants 300 artistic dance visas every year. The women involved turn out to be employed in strip clubs and brothels in Europe, having come through Slovenia. That is a bogus use of such visas to help traffickers, and we wonder whether these subjects will be discussed. Will the Minister reassure us that, if Croatia comes into the EU, he will encourage it to join the organisation that I have just mentioned, Parliamentarians Against Human Trafficking? It could then join us and other European countries in trying to stop this vile trade.

I am worried by the lack of awareness of judges in this context, and by the low tariffs being applied in cases of trafficking because of the low status afforded to the activity. We need assurances that the accession process will mean that Croatia will have to sign up to the directives on human trafficking and on the exploitation and sexual abuse of children.

Turning to the final point in my three-part analysis, I want to know what lessons have been learned from the process. Article 49 of the treaty on the functioning of the European Union, which deals with a country applying to join the EU, states:

“The conditions of admission and the adjustments to the Treaties on which the Union is founded, which such admission entails, shall be the subject of an agreement between the Member States and the applicant State. This agreement shall be submitted for ratification by all the contracting States in accordance with their respective constitutional requirements.”

That is what we are doing today. When the Minister was asked about Schengen, he said that an application to join Schengen would be expected from Croatia within a couple of years, but he did not say whether there would be an obligation on it to join. I should like clarification on that point, and I imagine that colleagues from the various parties and constituencies in Scotland would as well, as this is a hot subject. Would an accession country have to join Schengen, and what would the conditions be?

There is another question to which we have not had a clear answer. At the moment, we are torturing ourselves over various parts of the acquis communautaire and the Amsterdam treaty, including the opt-ins and opt-outs. For me, the significant thing about 2014 will not be the anniversary of some battle that took place at Bannockburn, down the road from where I used to be a councillor in Stirling. It is that we will have to decide—I believe we have to take the actual decision in 2013—whether to opt out en bloc from all the co-operation that we have set up on policing and immigration—all the things that are fundamental to the Amsterdam treaty and are part of Schengen—that give us a unified rule of law that protects all our citizens and takes on those who wish to damage their lives. In that situation, would the acquis have to be signed up to piece by piece, or could Croatia just sit there for two years and then say, “Let’s not make an application for Schengen; let us not bother; it is too much trouble. Our people will get the right to travel after four or five years in any case, without Ministers having to sign up to Schengen”? The Minister has not clarified that.

We do not know what the conditions are. Can a country really say yes to join the EU, but not bother applying to join Schengen two years hence—or must it join Schengen? This issue is important for this country, for Croatia and for the future debates that will take place about other countries that wish to break away from one country and then reapply for membership of the EU.

I think it is important that we get some answers in the context of Croatia. I would be deeply concerned if the Minister told me that Croatia need not apply for Schengen membership in a couple of years’ time—that it does not need to apply. The attraction is that its citizens will be able to travel, but we hear that so few of them travel in any case. Will they not bother? Will they not become part of the wider protection system that I always thought Schengen was about—throwing a ring around the European Union to protect our citizens from the lack of rule of law, and to co-operate across citizenships and across the police and other authorities.

In the finality, I welcome Croatia coming into the European Union, but I do not do so blindly. I worry that those who drive the machine that is the European Commission want enlargement at any cost—regardless of the fact that it might bring in more problems. We have got to stop the Commission from doing this. Unfortunately, from the reports we have had from the Minister and from our Committee, it seems that we have not done well enough as yet—but I will vote for the Bill.

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Angus Robertson Portrait Angus Robertson (Moray) (SNP)
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It is always a pleasure to follow the hon. Members for Stone (Mr Cash) and for Linlithgow and East Falkirk (Michael Connarty), as we served together in the European Scrutiny Committee for over a decade. I am delighted to participate in today’s debate—first, because of a connection I have with Croatia that goes back 21 years to when I was given one of my first journalistic assignments as a new, young and keen journalist working in Vienna. I was sent down to Croatia to report from the front line of the Croatian civil war. It was a bizarre experience. Many right hon. and hon. Members will have been to Vienna—a splendid city. I found it remarkable that it was possible to get into a car and drive for three hours to the border crossing at Spielfeld—shortly after the Austrian army had stationed tanks to stop any incursion from the then former Yugoslavia, although Slovenia had declared independence by that stage—and then to cross the border and drive for another two hours through Zagreb and just past it to the city of Karlovac, which was the front line in the war at that stage. I was there to interview refugees and others in Croatia for a broadcast that was intended to bring home the realities of the situation in Croatia for the purposes of the largest charitable collection for refugees in the former Yugoslavia, Nachbar in Not or Neighbours in Need, which was in the process of being established.

Let me pass on a couple of recollections. It should be borne in mind that this was only 21 years ago. I recall talking to a priest outside his church, and asking him where the front line was. He replied “Right there”, indicating the corner of the very street on which we were standing, and suggested that it would probably be a good idea for me to get off the pavement and out of the firing line. Shortly after that, I spoke to a group of women who had just arrived from just south of Karlovac, which was then occupied, after being forced to leave their homes. The fate of their husbands and children was uncertain: they did not know whether they had been taken into captivity or worse, and they were understandably beside themselves with worry.

There I was, in my early twenties, having just driven down a motorway from a western European country into the middle of what was a circumstance of total horror for people living in Croatia. Now, only 21 years later, here we are, discussing the pros and cons—or rather just the pros, given that, as far as I am aware, no one opposes it—of allowing Croatia to join us and the other European Union member states. We have not really discussed the fact that Slovenia has been, very successfully, a member of the EU since 2004. Looking back at what has happened in both Slovenia and Croatia, which will shortly be in the EU together, is breathtaking.

I am strongly in favour of Croatia’s membership, which has already been voted on in the European Parliament. The result there was overwhelming, and I welcome it. All four groups of which most of us are part—the European People’s party, the Social Democrats, the Liberals in the European Parliament and the Greens-European Free Alliance—voted almost unanimously in favour of Croatia’s accession.

I want to take up some of the observations made by the hon. Member for Linlithgow and East Falkirk. There are a number of important points to be made about Croatian accession. There is still work to be done. I suggest that anyone who is interested in the subject should consult the House of Commons Library research paper 12/64, and also the recent European Scrutiny Committee report entitled “Croatia: monitoring the accession process”. All the Committee’s members have been looking closely at issues on which further progress is required, notably those relating to judiciary and fundamental rights.

Pages 8 and 9 of the House of Commons research document deal with questions that I think should be put on the record. It states that

“a detailed new negotiating chapter on judiciary and fundamental rights… applied… to Croatia”

with

“31 ‘benchmarks’ (compared with between three and six for most other chapters), covering”

areas such as

“judicial transparency, impartiality and efficiency; corruption and organised crime; minority and other rights; refugee return issues; and full cooperation with the ICTY”

—the International Criminal Tribunal for the Former Yugoslavia.

Those are all very important, but specific reforms that are still needed between now and accession, as has been pointed out by the European Commission. On 10 October, only last month, it produced findings on Croatia, pointing out that specific reforms are still needed in respect of: implementing and advancing measures set out in September 2012 for increasing the efficiency of the judiciary and reducing the court backlog—that was addressed by the Minister for Europe—and adopting the new enforcement legislation, in order to ensure the execution of court decisions and reduce the backlog of enforcement cases. The number of civil, commercial and enforcement cases outstanding in the courts has increased in 2012. The Minister made the point that a large number of cases have been dealt with, but more cases have come into the queue and that is not a good indication of the sustainability of implemented reforms.

I have not yet heard any mention of the fact that post-accession safeguard clauses are in place. It is important to understand them, because there are many concerns about Bulgarian and Romanian membership and what has happened subsequently. That is a prism through which we must understand the position on Croatia, because the monitoring mechanisms for Bulgaria and Romania are not being replicated in relation to Croatia. However, three safeguard clauses and various transitional provisions in Croatia’s accession treaty can apply for several years after accession. They are designed to deal with difficulties that might be encountered after membership and are as follows: a general economic safeguard clause; a specific internal market safeguard clause; and specific justice and home affairs safeguard clauses. I know that the Minister is listening closely so perhaps he will help us by setting out the Government’s position on whether there is full confidence that the safeguard clauses will deliver what everybody requires from Croatia.

It is also worth noting that queries about Croatia’s accession have also been raised in the Parliaments of other member states. Within the past month, there have been pretty outspoken commentaries from the president of Germany’s Bundestag, Norbert Lammert, the chairman of the European committee in the Bundestag, Gunther Krichbaum and the SPD’s European spokesperson, Michael Roth. They are not Europhobes—they are not anti-European in any way—but they have asked a series of questions, so it is important that we should examine the points they have made.

We should also note that in reaction to those points other senior figures in Europe have intervened to suggest that the concerns are not everything they have been cracked up to be. Thus, European Parliament president Martin Schulz has intervened subsequent to those views being expressed from the Bundestag, and in recent weeks the European Parliament’s rapporteur on Croatian accession, Hannes Swoboda, has said that

“new obstacles should not be created for Croatia. There are some issues which Croatia must solve, and it is feasible. Enthusiasm in Europe for Croatia's entry in mid-2013 should not wane. I am absolutely certain that Croatia will be in in mid-2013, a small portion of work remains to be done, but one should be serious and not set new obstacles”.

That is helpful in putting into perspective where the outstanding issues lie.

Michael Connarty Portrait Michael Connarty
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Like me, the hon. Gentleman is a great enthusiast for countries that wish to take on the mantle of European Union citizenship, but is he not playing it a little light? He is quoting someone from the European establishment, which is determined to have a greater Europe that it will administer. The worry is that when Croatia comes in, its citizens will find that the people who should protect them will start to slide back and the life they hoped to have will not be realised.

Angus Robertson Portrait Angus Robertson
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The hon. Gentleman makes a good point but this is not simply about the citizens of Croatia. It is also about all other EU citizens; we are talking about the impact on other EU citizens who will be in Croatia in the future. That is why these provisions are important to citizens here and there and why I asked the Minister for Europe to clarify the point about the safeguards. I agree with the hon. Gentleman entirely and everybody—citizens of Croatia and everybody else in the EU—wants to be reassured that the uniform minimum standards will be upheld everywhere. That is, after all, the advantage of the European Union.

Now that I have spoken about Croatia, I want to touch on the matter of the Irish protocol. I intervened to ask for clarification on the point about tax-varying powers, which are very important to the Irish Republic. It shows that as a small member state of the European Union, Ireland has been able to influence the process by seeking protocols and clarification on such important subjects. If they were unimportant, we would not be discussing them. Every single member state of the European Union is discussing in its Parliament the priorities of the Irish Government, as we are today.

Rather than concentrating on tax, I want briefly to mention Ireland’s defence and security priorities. It is important to acknowledge that Ireland views the protocol as very important in its maintaining its peacekeeping role and traditions and we should take the opportunity to reflect on that. Why? In my 11 years in this place, I have never heard anybody pay tribute to the scale of Ireland’s contribution to the United Nations. There have been 56,000 individual missions to 54 different UN peacekeeping operations. That service has not been without cost. To date, 85 members of Irish defence forces have given their lives in the cause of world peace.

The high standing of the Irish defence forces in UN peacekeeping is reflected in the senior positions that have been held by Irish military personnel: force commander in Cyprus; force commander on the Syria-Israel border; force commander in Lebanon; chief of staff in the United Nations; troop supervision organisation in the middle east and in Liberia; and chief military observer on the India-Pakistan border. Most recently, of course, we saw the European Union’s endeavours to deal with the genocide in and its impact on the countries neighbouring Darfur, which was commanded by Irish Lieutenant General Patrick Nash, who was the EU’s operational commander to Chad and the Central African Republic in 2008. In addition, an Irish general commanded the multinational task force centre in Kosovo in 2007 and defence forces officers serve in key positions in UN headquarters in New York. The importance of the protocol and Ireland’s UN commitments have been underscored by Tanaiste and Minister for Foreign Affairs Eamon Gilmore, who stressed the triple-lock of approval for international missions involving the UN, the Irish Government and Dail Eireann.

Today we are affirming those priorities and that is a good thing. It is good to reflect on the contribution made by Ireland to the EU and the UN. It is also good to reflect on the role of smaller countries, both those in the EU and those that are joining. The Minister helpfully clarified that Croatia, a country with a population of fewer than 5 million, will join other EU member states of similar size, that is, Denmark, Finland and Slovakia. He confirmed that it will have 12 MEPs, a commissioner —an important role, as we all know how powerful the Commission is—and seven votes in the Council of Ministers. In addition, Croat nationals will take up important EU posts, with Commission plans to hire 249 Croat officials, one of whom will serve as a director general. That is extremely beneficial for Croatia.

Let me contrast that with the position of another European nation with a population of 5 million that is entitled to only half the Croatian entitlement of MEPs, has no right to nominate a commissioner and has no guaranteed votes in the Council of Ministers. That nation, of course, is Scotland and I look forward to Scotland having full membership rights after the 2014 independence referendum. Unlike Croatia—perhaps I can clarify accession mechanisms in response to the intervention made by the hon. Member for Linlithgow and East Falkirk—Scotland would assume its membership from within the European Union, as recently outlined by the honorary director general of the European Commission, Graham Avery.

Angus Robertson Portrait Angus Robertson
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I shall make my point, then give the hon. Gentleman an opportunity to respond. I listened with great interest to what he said, and I am now clarifying the matter that he raised in the debate.

In recent parliamentary evidence, Graham Avery said:

“Scotland’s 5 million people, having been members of the EU for 40 years, have acquired rights as European citizens; for practical and political reasons, they could not—”

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. The hon. Gentleman knows as well as I do that passing reference is one thing, but we will end up in a major debate. He is not where he was when he began speaking on this subject. There was much that was great in his history of Croatia, but I do not need to hear the history of Scotland.

Angus Robertson Portrait Angus Robertson
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I am grateful, Mr Deputy Speaker. [Interruption.] If I can respond to Mr Deputy Speaker and say that I was pleased to be able to discuss the different ways in which nations plan to accede to the EU. It is a simple statement of fact that there is a different position for those within the EU and those who are outside it.

Wayne David Portrait Wayne David
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Has the hon. Gentleman received the legal advice that the Scottish First Minister has clearly not received?

Wayne David Portrait Wayne David
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Was the hon. Gentleman listening to what I said?

Angus Robertson Portrait Angus Robertson
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I have. I am delighted—

Lindsay Hoyle Portrait Mr Deputy Speaker
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Order. Two Members cannot be on their feet at the same time. We will end up with three of us on our feet.

Angus Robertson Portrait Angus Robertson
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If the intervention by the hon. Member for Caerphilly (Wayne David) is in order, Mr Deputy Speaker—[Interruption.] It is not in order, in which case I am disappointed that I will not be able to complete the answer as I would wish.

Michael Connarty Portrait Michael Connarty
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Having read the opinion—it has been given in writing, I think, to the Select Committee on Foreign Affairs—on the question of Scotland’s accession, has the hon. Gentleman read the other 13 submissions that contradict Mr Avery and do not take the same position, to say—

Lindsay Hoyle Portrait Mr Deputy Speaker
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Order. I know that Mr Robertson wants to get back on to the subject, and that no hon. Member wants to distract him. He is not a man who is easily distracted.

Angus Robertson Portrait Angus Robertson
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You are very kind, Mr Deputy Speaker. I am disappointed that the hon. Members for Linlithgow and East Falkirk and for Caerphilly (Wayne David) have been ruled out of order when trying to mention Scotland in the way that they did. However, they had an opportunity to take part in the Westminster Hall debate earlier this afternoon. Unfortunately, they were not able—

Lindsay Hoyle Portrait Mr Deputy Speaker
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Order. I have been very generous, but I am not going to be as generous now. I am sure that the hon. Gentleman wants to contribute a lot more to the debate, and we do not want to open up a debate about Westminster Hall. That is something that we are not going to do.

Angus Robertson Portrait Angus Robertson
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I shall conclude, Mr Deputy Speaker, by saying that I think that a nation of nearly 5 million— Croatia—joining the EU in 2013 is a good thing. It is good for the citizens of Croatia, and it is good for citizens in the rest of the European Union. We need to reflect on unresolved issues. Trafficking is a very serious matter, and there is a long track record in the European Scrutiny Committee of Members who care deeply about it. I commend the non-governmental organisation that the hon. Member for Linlithgow and East Falkirk cited. We need to obtain assurances on those issues. It is important not only for the citizens of Croatia and the rest of the European Union but for those people who may be trafficked in future through any EU member state, which is why I again appeal to the Minister to take the opportunity to clarify the fact that the safeguards are of the highest standards and that we can have confidence in them.

We can look forward to Croatia’s membership. I reflect that I have not heard a single intervention today to suggest that it is a bad thing for this nation of 5 million people to take its seat at the top table in agreement with the Croatian Government. It is a gain in sovereignty for it to be able to take part directly in the EU, not just in the Council of Ministers, but with 12 MEPs in the European Parliament and a commissioner playing an important role. That bodes well for Croatia and for the western Balkans, leading to greater confidence in peace and stability in the region. We should send a strong message to other nations, whether Bosnia and Herzegovina, Serbia or others, that the door remains open to them. We are in favour of further enlargement. Beyond the issue of Croatia, reflecting on the fact that the Irish protocol is something that the Irish Government and people thought was important, Europe has listened. The protocol and the assurances within it—

Angus Robertson Portrait Angus Robertson
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This is my peroration. The protocol and the assurances relating to tax-varying powers are welcome, and for that reason, my right hon. and hon. Friends will support the measure as it proceeds through Parliament.

--- Later in debate ---
William Bain Portrait Mr Bain
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It does not follow from the EU’s deliberations with Croatia that Croatia’s offering another state’s central bank would have been acceptable to the EU in order to obtain the Commission’s recommendation for approval. That has intriguing lessons for future accessions and re-accessions. That is the implication of the Bill.

Croatia, through the State Agency for Deposit Insurance and Bank Rehabilitation, can guarantee bank deposits. It made significant improvements to this scheme in anticipation of complying with EU directive 94/19/EC, which specifies that all member states must have in place a safety net for bank depositors. It cannot be a criterion, then, for future accession or re-accession countries to fail to have a system to protect bank deposits. That is the implication that comes from Croatia’s accession process and which is reflected in the Bill.

The obvious question arises—the FCO mentioned this in a statement on Thursday—of how, if part of the EU were put into limbo, it could possibly meet the terms of such an EU directive, having no independent central bank, no machinery to guarantee bank deposits and having to rely on the central bank of another state to guarantee bank deposits. Those are all implications that come from Croatia’s accession process.

The lessons of the negotiations for any new aspirant state highlight the following issues: does it have its own financial services regulator or would it seek to continue with the current regulatory framework, which would be conducted by another state? What would be the governance arrangements for any financial services regulator? What degree of independence from Government would that have? What institution would be prepared to stand behind financial services firms with large deposits or policy holder liabilities? Indeed, how would it be possible to provide lender of last resort facilities without assuming regulatory control over financial transactions such as mortgages, insurance and even pensions? All these are issues that arise out of the Bill and the accession process that Croatia went through.

Finally, a framework to wind up failing or failed banks is required. In Croatia’s case, in chapter 9 of the 2009 common position document, the EU welcomed the alignment of Croatia’s legislation to the EU acquis with regard to bank accounts, branch accounts and the re-organisation and winding up of banks. In addition, the European Bank for Reconstruction and Development, in its 2010 to 2013 strategy for Croatia, considered the securities market regulator highly effective in pursuing complex cases. All those steps were essential in showing compliance with the EU acquis in order for Croatia’s application for membership to be accepted.

With reference to the rights of EU citizenship being conferred on Croatians joining the EU, it is appropriate that the Bill permits a phasing in of the right to work. The Minister was right to say that the UK should make use of the flexibility that allows up to seven years before full free movement rights will apply to Croatian nationals in the UK, as was the case with the accession of Bulgaria and Romania to the EU earlier.

The Opposition support future enlargement on the proper criteria. We note the applications made by Serbia, Montenegro and Turkey. Serbia was granted candidate status on 1 March this year, but has been advised by the EU that it can commence formal accession negotiations only if progress is made on the status of Kosovo and its future relations with Kosovo.

The Bill is important for Croatia’s relations with the rest of the EU and the outside world. In demonstrating that a country engaged in a bloody conflict two decades ago can emerge and be in a position to join the EU now, it shows the powerful benefits of full membership of the EU—benefits that go far beyond being a member of the European Free Trade Association. Simply being a member of that institution could render a country liable to be a net contributor to the EU budget but without any influence over how it is spent, and to be bound by the rules of the single market but with no ability to shape those rules. It was interesting that we had some figures this morning from the recent past of Scottish politics advising that a separate Scottish state should, instead of seeking EU membership, seek membership of EFTA instead—

Angus Robertson Portrait Angus Robertson
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On a point of order, Mr Deputy Speaker. Would I be right in remembering your ruling to Members of the House that the debate should be about Croatia, not Scotland?

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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That is not a point of order, but the hon. Gentleman is absolutely correct. I have mentioned to Mr Bain that I need him to come to order on Croatia. I am sure he will do that, in the same way as other Members did who drifted when we pulled them back into order. That is where Mr Bain is now going.