European Union (Referendum) Bill

Chi Onwurah Excerpts
Friday 29th November 2013

(10 years, 5 months ago)

Commons Chamber
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Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
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It is a pleasure to be here today discussing the weaknesses and divisions within the Conservative party. Instead of dealing with the record-breaking cost of living crisis from which our constituents are suffering, we are here, on private Members’ business, discussing how best to create four years of uncertainty for British jobs and investment. For families in Newcastle and across the country, the daily worry is how to make ends meet after 40 months of prices rising faster than wages. That is what should be occupying the Conservative party and the hon. Member for Stockton South (James Wharton). It is to be hoped that after the next election the constituents of Stockton South will have a Member who represents their economic interests and understands the crises they are facing.

Madam Deputy Speaker, it will not have escaped your attention that the House has not been especially overwhelmed with business lately. This Government Bill, masquerading as a private Member’s Bill, is being pushed through like this to try to support a weak Prime Minister. It is therefore not surprising that the Minister without Portfolio, the right hon. and learned Member for Rushcliffe (Mr Clarke), is not in his place to do that.

Democracy is about more than just voting and a referendum every 30 years or so; it is about debate and engagement too. Members will recall the most recent referendum we had—Liberal Democrats might wish to forget it—which was on the electoral system of the UK. I suspect that many people used that referendum to give the Liberal Democrats a good kicking—a noble enough reason perhaps, but it certainly did not create much of a debate around our complex constitutional arrangements, especially among those who had taken no previous interest. My fear, therefore, is that any debate preceding a referendum, at a time when European economies are in so much trouble, will not be based on a sober reading and reporting of the facts.

The north-east, in particular, cannot afford to put yet another obstacle in the way of this spluttering recovery. The north-east benefits hugely from our membership of the EU. It is the only net exporting region in the UK, so it needs to know for certain that we will have access to this market, but the Bill jeopardises that certainty. The North East chamber of commerce recently forecast that in our region 1,800 firms would close and 40,000 jobs be destroyed as a result of an EU exit. We cannot afford that.

The Chancellor has given up on his supposed export-led, manufacturing-driven recovery, and instead has gone for a housing bubble. We cannot afford to lose any more markets for our exports. Nissan has made it clear that its significant investment and presence in the north-east was built upon the assumption that it would serve as a platform for entry into European markets. Great manufacturing companies such as Nissan are working to long-term time scales. It takes time to build a manufacturing line, and even more time to recoup the investments. These companies will be making decisions now about 2017 and 2020, and if they see a huge policy uncertainty on the horizon, that will put off investment and put jobs at risk. The CBI reported last week:

“No alternative to EU membership offers a better balance of advantages and disadvantages or greater influence for the UK”.

I do not say that the EU is perfect; far from it. It needs to be more democratic and accountable, and like many hon. Members, I would like to see a reformed EU that works in the interests of all its citizens, but the UK needs to be at its heart, leading those reforms: a strong voice at the heart of a strong union. The Bill does nothing to bring that about, however, and I will be voting against it.