European Union (Referendum) Bill

Baroness Falkner of Margravine Excerpts

Friday 10th January 2014 Lords Chamber

[Baroness Falkner of Margravine (LD)]

My Lords, I thank the noble Lord, Lord Dobbs, for his bravery in sponsoring the Bill in your Lordships’ House. It was also wonderful to hear the noble Lord, Lord Strathclyde, break his vow of silence to engage us on the Bill today. It is always a pleasure to hear from the noble Lord.

We welcome the opportunity to debate this brief Bill, which makes provision for a referendum on the United Kingdom remaining in, or leaving, the European Union by 2017. Its brevity is not to be confused with modesty, for its ambitions are too important to be expressed in a 700-word, six-clause piece of legislation debated at the end of a parliamentary Session. This is too important for a Bill to be rushed though the House with 16 weeks to go before a European election and 16 months before the British public give their verdict on this Government’s performance—a Government who have a good record of meeting the challenges that our country has faced in the past three years.

The implications for our country’s future trajectory in the EU should not be consigned to a Private Member’s Bill and the ability to call on the House on a Friday, against a ticking clock, when the other place needs to receive it. Indeed, we know from Mr Cameron’s Bloomberg speech that his passion for an “in or out” referendum for the UK was set out only a year ago, last January, and was to be implemented after a Conservative victory in 2015, not today.

The Bill before us has not had the benefit of being subject to public consultation, pre-legislative scrutiny or the taking of evidence from interested parties, and has arrived here unamended. It has been left to this House to do its duty as a revising Chamber. I have no doubt that noble Lords here are up to the task—indeed it is our duty, as our country’s future is at stake—but this is not the manner in which to pass legislation of constitutional import.

Noble Lords will want to hear the Lib Dem position on the Bill. I will put my hands up at the outset: I was one of the Liberal Democrat policy researchers who first put it to my noble friend Lord Ashdown— the then leader of the Liberal Democrats—as long ago as 1995 that the Liberal Democrats should consult the British people through a referendum on any constitutional changes that might arise out of the 1996 Intergovernmental Conference. I know it is not the tradition of the House to brandish documents around, but if noble Lords on the Conservative Benches wish to peruse that pledge, I have the document here and they can leave the Chamber and do so.

It was from that consistent position that I stood here in this very spot, three years ago, and supported the referendum Bill that become the European Union Act 2011, when many noble Lords across the Chamber were opposed to it. We stood by the democratic principle that the people should be consulted when significant change is proposed and we do so today. We are proud to have enshrined in law the European Union Act 2011. So the Liberal Democrat position is clear: we say yes to reform of the EU and yes to a referendum if there is any further change.

I come to the Bill we are looking at today. The noble Lord, Lord Dobbs, has set out a general case for why the Conservatives believe that we need an “in or out” referendum by the end of 2017. A date for a decision is arbitrarily plucked out of the air as the end of 2017, and the period for the preparation of that decision is randomly established as December 2016, without an indication of what substantive change will have occurred in the United Kingdom’s position vis-à-vis the EU in the interim. The general election is to be held in May 2015.

The question the noble Lord has not addressed is what change will take place in our relationship with the EU between May 2015 and December 2016 for which the European Union Act will not be sufficient safeguard. If he believes that we will have a transfer of competences in that 19-month period, then surely the Act will apply. If there is treaty change from today on, the Act will apply. The answer to the question must be that noble Lords on the Conservative Benches have come to the view that the Act only guarantees a say for the people on future change, whereas they now—only two years after voting for that Bill—feel the need for a repatriation of powers referendum, which is what this should be called. That is the message behind this Bill.

However, even on that reasoning, they are contradicting themselves. Indeed, the Prime Minister himself said in his Bloomberg speech that the next Conservative manifesto will ask for a mandate to negotiate a new settlement with EU partners and that the British people would be asked after that negotiation. Yet now this House is asked to approve a fixed date for a referendum before we even know whether that mandate is to be granted or, indeed, what is to be negotiated. Should the detail of a new settlement not be outlined to the people before they are asked for their view on remaining in or leaving? If it is a matter of trust, then the Conservatives are saying, “Trust us to negotiate before we tell you what we will negotiate and trust us to have a referendum on it irrespective of success”. It will be interesting to see what the House makes of that. I look forward to learning more of their thinking on the Bill as we delve deeper in Committee. I will try to keep an open mind on their responses.

I come to the other significant issue in the Bill: that of the question itself. I should declare that I am a member of your Lordships’ Constitution Committee, which has reported on the Bill. The Electoral Commission has recommended a change to clarify the question, as it appears that a number of voters are not yet aware that we are in the European Union and may not understand the question. We will explore the possibility of improving that aspect and examine the question of the franchise in terms of eligibility to vote in the referendum.

For the moment, let me end on that question of trust—trusting the voters to make the right choice on the EU, which we unequivocally do. William Gladstone 150 years ago defined liberalism as,

“a principle of trust in the people only qualified by prudence”.

It is that combination of trust and prudence that we will put into the scrutiny of this Bill in the coming weeks.

--- Later in debate ---

[Lord Howell of Guildford (Con)]

Apart from the obvious unwisdom of this House trying to throw out or talk out a Bill passed overwhelmingly in the other place, on which my noble friend Lord Strathclyde spoke so eloquently and pleased so many of us, I have just two brief observations to make.

First, I noticed that the other day the very able Treasury Minister Danny Alexander MP was deploring the uncertainty here about the European Union and all the scepticism, argument and talk of actual withdrawal. He believed it was undermining investment in the UK. We have heard the same message here today. My view of Mr Alexander is that much of the time he talks a great deal of sense and is an extremely able Treasury Minister, but on this occasion I believe he and the party of which he is a member have got things completely upside down.

What is the best way to drain the uncertainty and doubts out of the system and end the bickering and difficulties that have gone on? Obviously, it is to have in due course, at the right time, a popular vote which will settle the matter for decades ahead, just as the previous referendum did in 1975. It may not be for ever as things change. The whole of Europe is changing, but it will certainly settle the matter for decades ahead. Anything which assists that outcome, such as this Bill, should be strongly supported, not opposed, by those who see themselves as good Europeans. If Mr Alexander and his colleagues in his party or, indeed, the noble Lord, Lord Mandelson, from whom we have just heard, want less uncertainty and a stronger investor commitment to this nation over the next decade, they should be supporting, not opposing, this Bill. Those who oppose the in/out referendum idea are really saying that they are in favour of more friction and continuing, unending uncertainty, precisely the conditions which turn off investors and weaken confidence. In the end I believe that in reality all the political parties, even our Liberal Democrat friends sitting here, will have to face that and commit themselves to a referendum.

[Baroness Falkner of Margravine (LD)]

Is the noble Lord, Lord Howell of Guildford, whose expertise on this matter is known throughout the House, really saying that the Foreign Secretary, William Hague, who the noble Lord, Lord Mandelson, has just quoted, was wrong when he opposed having a fixed date?

--- Later in debate ---

[Baroness Warsi]

My Lords, my point is that we have heard clearly from neither the Labour Front Bench nor the Liberal Democrats whether, at the next election, the question of a referendum will or will not be in their manifesto.

[Baroness Falkner of Margravine]

Forgive me; my noble friend cannot have heard me correctly. I sketched out the point that, since 1995, we have had a commitment to a referendum in every Liberal Democrat manifesto. At this point, we may not know what will be happening in 2015 and are therefore not going to disclose the content of our manifesto to the noble Baroness. However, we have a consistent record of having done so, which is more than I can say for the noble Baroness’s party.

[Baroness Warsi]

I am delighted to hear my noble friend talk about this commitment being in every single manifesto. I hope that, in that vein, she can persuade her colleagues to support the Bill.

The Bill boils down simply to giving the people of this country a choice. If noble Lords were not to support the Bill, it would be a double blow to democracy: an unelected Chamber preventing the people having their say. The mandate from another place was overwhelming, and it reflected the huge public support for a referendum. The public will see through any attempts to scupper the Bill. They will see it as politicians blocking their right to decide. This is the right question at the right time, and it is right that we should finally let Britain decide.