European Budgets 2014 to 2020 Debate

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Department: HM Treasury
Tuesday 8th November 2011

(12 years, 6 months ago)

Commons Chamber
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Mark Hoban Portrait Mr Hoban
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My hon. Friend is well versed in the intricacies of the European Union. As he knows, the budget negotiations later this month are done on a QMV basis. We do not have a veto on the 2012 budget and we will be seeking to build a coalition of allies who are as committed as we are to curbing the expenditure of the EU, and who are as committed as we are to opposing the inflation-busting increase proposed by the European Commission. I am sure that when we reach that deal later this month, my hon. Friend will seek to hold the Government to account on that. I can assure him that we are doing everything in our power to ensure that we curb the EU’s plans and reduce the spending levels proposed by the Commission.

Anne Main Portrait Mrs Anne Main (St Albans) (Con)
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Will my hon. Friend give way?

Mark Hoban Portrait Mr Hoban
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I will not, as I was about to end, bearing in mind Mr Speaker’s strictures.

We are committed to seeking the best deal for the United Kingdom, a deal that curbs EU spending, puts a brake on the Commission’s plans for EU-wide taxes, and seizes some of our rebate. I urge the House to support the motion.

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William Cash Portrait Mr William Cash (Stone) (Con)
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First, I should like to demonstrate the extent of the documents that I will discuss in the next five minutes, just to give some indication of what is going on.

Secondly, as Chairman of the European Scrutiny Committee, I had the opportunity to go, on behalf of our national Parliament, to a conference on the multi-annual financial framework. It was a complete farce. Mr Barroso, our Minister for Europe, Ministers from other countries and their permanent secretaries and so on were all there. I was completely staggered by their inability to have the faintest idea of what was going on. I said to them, “You are living on another planet!” Somewhat unusually, I ended up being congratulated by our UKRep representatives on at least spelling that out. It is devastating how far removed those people are from the realities of life, as my hon. Friend the Member for Northampton South (Mr Binley) said.

On the structural questions, the proposals—the financial transactions tax and the change to greater own resources—are fundamental changes. The chairman of the European parliamentary committee, Mr Alain Lamassoure, who gave us the benefit of his many speeches, and who has written a huge pamphlet on the subject, is living on another planet. In the meantime, a meteor has hit planet Europe and huge chunks are falling off it, but it is still spinning, even when the whole thing is disintegrating in front of our eyes. These people are astonishing.

With respect to the Minister, I look to the future with some concern, if only because we could end up with another increase in spending despite the blandishments of the motion. Delighted as I am that right hon. and hon. Friends have signed the motion, I issue that cautionary note.

Anne Main Portrait Mrs Main
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I would like to test the resilience of the proposal about whether we have to pay more, and say, “No more will we pay,” and see what happens. We for ever capitulate when we are pressed to the point. I would like to say, “This is the will of this sovereign Parliament, and we will not pay any more”. We should test that

William Cash Portrait Mr Cash
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I, too, take that view. My hon. Friend is completely right. I note that the motion states that the House

“supports the Government’s ongoing efforts to reduce the Commission’s proposed budget”.

I would hope to go further, but we shall see.