General Affairs Council

David Lidington Excerpts

Thursday 12th July 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

I attended the General Affairs Council (GAC) in Luxembourg on 26 June.

The GAC was chaired by the Danish EU presidency, Mr Nicolai Wammen, Minister for European Affairs. A provisional report of the meeting can be found at:

http://www.consilium.europa.eu/ueDocs/cms_Data/docs/pressData/EN/genaff/131236.pdf

Montenegro

The first item discussed at the GAC was whether to open accession negotiations with Montenegro. Some member states had argued that this decision should be postponed pending further progress on improving rule of law issues, including the fight against corruption and organised crime. I agreed that these were valid concerns but argued that Montenegro had met the criteria set at the December 2011 European Council and that opening negotiations now was the best way to increase the EU’s leverage on the issues where further progress was needed. The GAC was able to agree to the opening of Montenegro’s accession negotiations and the European Council endorsed this decision on 29 June 2012, and negotiations were opened at an intergovernmental conference later that day.

Multiannual Financial Framework

The General Affairs Council had its final discussion, under the Danish presidency, on the multi-annual financial framework (MFF) for the period between 2014 and 2020. The discussion focused on the latest version of the “negotiating box”, of which I have placed a copy in the Library of the House. This discussion gave member states the last opportunity to address specific issues in the text before it went to the June European Council. There, leaders took stock of progress before the negotiations were taken over by the Cypriot presidency, which officially commenced on 1 July 2012.

The negotiating box text contains positive language on the need to focus EU spending on areas that promote growth and explicitly states that

“it is essential that the future MFF reflects the consolidation efforts being made by Member States to bring deficit and debt onto a more sustainable path.”

Less helpful parts of the text are the possible reform to own resources, including the rebate, and the possibility of a financial transaction tax.

The UK Permanent Representative to the EU Sir Jon Cunliffe represented the UK on my behalf for this part of the discussion. He argued that the negotiating box still did not go far enough in reflecting the need for budgetary restraint. This sentiment was echoed by Ministers from the “likeminded group” on the budget. Sir Jon also argued that the UK would not agree to any changes to the UK rebate or any new own resources such as a financial transaction tax.

Other Ministers, led by Polish Secretary of State for the EU, Piotr Serafin, argued that the negotiating box was unacceptable in its current form, in particular because of their objection to the inclusion of the proposed reverse safety net which could serve to cap structural and cohesion fund (SCF) receipts received by the newer member states to a percentage of their previous allocations.

Although there are still elements to the negotiating box text that we are not satisfied with, overall we are content that it leans in the right direction. It has therefore been important to continue to be robust in what action needs to be taken going forwards, but also to consolidate the progress made so far. We have done this at both the GAC and the European Council, where my right hon. Friend the Prime Minister argued that despite the opposition from some member states, the European Council should welcome the progress achieved under the Danish presidency.

Cohesion Policy

The presidency sought a partial general approach on elements of the package of cohesion regulations. These were: on the rules for financial instruments; on the performance framework; and on proposals on revenue generating projects. There was some discussion on the technical elements of this package but the presidency was successful in getting broad agreement on all of the four blocks presented at the meeting: thematic concentration, financial instruments, revenue generating projects and performance framework.

The agreement included an amendment tabled by the presidency to add a footnote to the European rural development fund (ERDF) article 4, in the thematic concentration block. This would make it clear that the issue of the percentages for concentration in the transition regions would be reviewed once further decisions were made in the context of the MFF.

We also proposed a declaration on the need for better harmonisation between the rules of the funds of the common strategic framework for 2014 to 2020. In addition to France, Italy, Poland, Spain, the Netherlands and the Czech Republic who formally signed up to the declaration, Austria and the Commission also expressed their support during their interventions.

European Semester

The General Affairs Council agreed the set of country-specific recommendations that had been endorsed by Employment, Social Policy, Health and Consumer Affairs Council (EPSCO) and Economic and Financial Affairs Council (ECOFIN) the previous week. Malta, Bulgaria, Hungary and the Czech Republic all took to the floor to reiterate their particular concerns. The presidency was clear however that a qualified majority existed and so the recommendations were sent to the European Council without an in-depth discussion. The UK, however, maintains its parliamentary scrutiny reserve on this issue.

June European Council

There was also preparation for the June European Council, which had an extensive agenda covering growth, trade, the MFF, energy, enlargement, justice and home affairs issues and foreign policy. This took place on 28 and 29 June.

Economic and Monetary Union

Finally, there was a discussion with European Council President Herman van Rompuy which provided the first opportunity to comment on the Economic and Monetary Union report of the “4 Presidents”, released in the early hours of the morning prior to the meeting and available at:

http://ue.eu.int/uedocs/cms_data/docs/pressdata/en/ec/131201.pdf

I underlined that while we were still studying the detail, the focus of our work should be on the more immediate next steps to help resolve the problems in the eurozone. I stressed the delicate challenge of reconciling the eurozone’s need for fiscal integration with protecting the integrity of the single market. In this vein, I made clear that while we support a banking union for the eurozone with a single eurozone banking supervisor, the UK will not be part of such supervision.

Scrutiny Committee on Cypriot Presidency Priorities

David Lidington Excerpts

Friday 6th July 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

I am keen to keep Members fully informed on developments in the European Union and their implications for the United Kingdom and our priorities. I would, therefore, like to draw Members’ attention to a paper on the priorities of the Cypriot presidency of the Council of the European Union, which has been placed in the Library of the House.

I have also deposited a copy of the Cypriot’s own presidency priorities paper, the official calendar of events and a list of key Cypriot personnel for the presidency.

European Union Act 2011 (Section 5)

David Lidington Excerpts

Thursday 5th July 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

A statement has been laid before the House today, 5 July. This has been made pursuant to section 5 of the European Union Act 2011 as to whether the protocol on the concerns of the Irish people on the treaty of Lisbon falls within section 4 of the Act.

Copies of the section 5 statement are available from the Vote Office and Printed Paper Office.

UK-Turkey Relations

David Lidington Excerpts

Wednesday 4th July 2012 Commons Chamber

[The Minister for Europe (Mr David Lidington)]

I first pay tribute to the Foreign Affairs Committee for a report that, even by its ordinarily high standards, is exceptional in its breadth and significance. It ranges across many aspects of both the UK’s bilateral relationship with Turkey and Turkey’s growing self-confidence and influence in her region and the world. I congratulate my hon. Friend the Member for Croydon South (Richard Ottaway) and the other members of the Committee on the report and on securing the debate.

I welcome, too, the Committee’s recognition of the Government’ efforts to deepen our already strong bilateral relationship, building on the strategic partnership that the two Prime Ministers signed in 2010. President Gul’s state visit last November was a great success, and eight months on, when we look at the scale of co-operation between the United Kingdom and Turkey across the board—from trade and investment to justice and home affairs to our approach to the conflict in Syria—it is clear that our relationship has never been stronger.

In the time allotted to me, I wish to try to respond to the various points that Members have raised. I start with foreign policy, because the report and the debate have highlighted the truth that, today, Turkey matters on the world stage to an increasing extent. She is a vital foreign policy partner for the UK, increasingly driving forward international co-operation in regions that are critical to this country’s interests, notably the middle east. As a prosperous, modern democracy with a largely but not entirely Muslim population, Turkey continues to act as an inspiration to countries affected by the Arab spring.

In Syria, Turkey is playing a vital role within the international community to exert pressure on the Assad regime to end its violence. The support of the Turkish Government for opposition groups based in that country can play an important part in the transition to a peaceful and fully democratic Government in Syria. We support the active role that Turkey is playing, including its decision to host a ministerial meeting of the core group last month in Istanbul. Although it was not mentioned in the debate, it is right to commend the care that Turkey is providing to more than 35,000 refugees from Syria who have fled the violence in their own country.

As my hon. Friend the Chairman of the Foreign Affairs Committee pointed out, the shooting down of a Turkish aircraft on 22 June highlights the risks posed to all Syria’s neighbours by the continuing crisis there. In her response to the incident, Turkey has shown considerable restraint. My right hon. Friend the Foreign Secretary has condemned the Syrian regime’s actions in the strongest terms, as has NATO, and all NATO allies stand together with Turkey in solidarity and will continue to work closely with her in the months ahead. To answer the question asked by my hon. Friend the Member for St Austell and Newquay (Stephen Gilbert), there has been no discussion of invoking article 5.

As my hon. Friend the Member for North Dorset (Mr Walter) pointed out, Turkey has increasing regional influence, and an alliance with Turkey can therefore provide extra diplomatic reach to the United Kingdom and Europe as a whole. Although Syria has been our immediate focus, we continue to build our foreign policy co-operation with Turkey on areas such as Afghanistan—my hon. Friend the Member for St Austell and Newquay rightly paid tribute to Turkey’s role in ISAF—Iran, the western Balkans, as the hon. Member for Wolverhampton North East (Emma Reynolds) said, and Somalia. We will look for all opportunities to deepen such co-operation over the coming months, both bilaterally and within the EU, where we welcomed Foreign Minister Davutoglu’s attendance at the March Foreign Affairs Council.

The hon. Member for Ilford South (Mike Gapes) asked me about Turkey’s rather fraught relationship with Israel. We must acknowledge that this is a sensitive issue for both countries, but the UK believes strongly that both should take steps towards reconciliation, because it is in both their interests and would be an important contribution to greater regional stability and the broader middle east peace process.

The general point about the need for an effort to improve relations also applies to Turkey’s relationship with Armenia. As my hon. Friend the Member for Peterborough (Mr Jackson), pointed out, there is a history of grief and appalling human rights abuses in the early part of the 20th century. Modern Turkey and Armenia need to find a way to live together as neighbours and friends as soon as possible.

Commercially, Turkey has a great story to tell—a growing economy, good demographics, a strong entrepreneurial spirit and an increasing openness to international partnership and investment—and there are growing opportunities for British businesses, which we will look to exploit. The Prime Minister has committed the Government to doubling trade with Turkey by 2015. To this end, we have set up a joint economic and trade committee that meets annually and serves as an official forum for Ministers and officials from both countries to explore how to enhance that commercial relationship.

At the same time, we have established with the Turks a chief executive officer forum to bring together business leaders to discuss how to increase trade and investment flows. Finally, we have set up a knowledge partnership, launched by my right hon. Friend the Business Secretary when he visited Turkey last September, the purpose of which is to promote science, innovation, entrepreneurship and investment between the UK and Turkey. All three forums will meet later this year.

The trade statistics so far demonstrate that we are on target to reach our goal. Bilateral trade with Turkey exceeded £9 billion in 2011—up nearly 40% from 2009—and last year our exports to Turkey increased by 20%, reaching £3.7 billion. My hon. Friend the Member for Penrith and The Border (Rory Stewart) was interested in some examples. Invensys has succeeded in its bid for an £800 million rail upgrading project in Turkey. Diageo is, I believe, one of the leading raki manufacturers in Turkey, and Rolls-Royce, Thales and Ultra Electronics have been successful in the field of defence contracts.

Recent visits to Turkey by the lord mayor of London, by my right hon. Friend the Business Secretary, the Minister for Universities and Science and my noble Friend the Minister of State for Trade and Investment, Lord Green, are all helping to intensify our economic ties. The first joint UK Trade and Investment-CBI mission to Turkey, specifically aimed at medium-sized businesses, was led by Lord Green and John Cridland in April. We chose Turkey as the first global destination for this type of trade mission because of the opportunities Turkey can offer to UK business.

Energy brings together both political and economic interests. Turkey can be an important energy transit route, bringing non-Russian gas from the Caspian to Europe—something that is in Europe and the UK’s strategic interest and of direct benefit to British Petroleum, its being the major energy investor in Azerbaijan. We also welcome the agreement between Turkey and Azerbaijan, dated 26 June, on a trans-Anatolian pipeline. The opportunities that Turkey provides in the field of energy make it even more frustrating that the energy chapter in Turkey’s EU accession negotiations remains blocked, given that our deepening bilateral relationship is underpinned by continuing firm support for full Turkish membership of the European Union.

The Turkish-EU accession process and her relations with the EU were rightly a major theme of the Committee’s inquiry. We firmly believe that a stronger and closer relationship between the European Union and Turkey will support the security and prosperity of the United Kingdom and the EU. At the same time, we believe that the process of accession negotiations can be the most important driver towards economic, democratic, judicial and political reform within Turkey—reforms whose acceleration many Members on both sides of the House have been calling for in this debate.

My hon. Friend the Member for Peterborough, quite fairly, raised questions about migration and organised crime. Migration would have to be tackled during the accession negotiations and in the context of the stage of administrative, political and economic development that Turkey had reached at that time. On looking at other EU candidates or new EU members, the track record is that progress against organised crime is most likely to be accelerated when those countries are engaged in the detail of the accession process, with the requirement that that brings for serious action against corruption and organised crime.

We acknowledge that recent progress in the formal accession negotiations has been disappointing, and we have therefore strongly supported Commissioner Fule’s positive agenda for EU-Turkey relations. There is some sign of encouragement from the comments made by President Hollande in France, but we are right to remain cautious. This remains a very sensitive political issue within France.

I am not going to dwell at length on the issue of Cyprus, which the House will have other opportunities to debate. However, I say in direct response to my hon. Friend the Member for Croydon South, the Chairman of the Foreign Affairs Committee, that we welcome President Christofias saying that the gas reserves should benefit all the people living in Cyprus. We hope that the Government of the Republic of Cyprus will take further steps to demonstrate to Turkish Cypriots that they have a clear interest in the development of these reserves. There has never been any doubt about the United Kingdom’s support for the right of the Republic of Cyprus to develop the reserves that lie within its exclusive economic zone.

The only other thing I would say about Cyprus is that we remain committed to a settlement based on a bi-zonal, bi-communal federation of Cyprus, with equal rights for all communities and citizens, and in compliance with the relevant United Nations organisation. We continue to support the Cypriot-led process, facilitated by the United Nations, to bring that about. A comprehensive, permanent political settlement in Cyprus is in the interest of Cyprus, Turkey, Greece, Europe and the United Kingdom, and would add hugely to the stability and prosperity of the whole eastern Mediterranean region.

I have very little time left, so I will write to those Members who made points about human rights if I do not have time to deal with them now. I do want to respond.

One of the most important aspects of the accession process is the role it has played in supporting Turkey’s reforms in areas such as civilian control of the military and the independence of the judiciary. There is, as many Members have said, a long way still to travel, but at the same time it is right that we acknowledge the transformation that has taken place in Turkish life since the military ran that country. Even as recently as last month, laws were passed to establish an independent human rights institute and an independent human rights ombudsman. This week, the Turkish Parliament voted through measures to speed up court procedures and institute other judicial reforms, and a draft law on trade union rights is now before the Turkish Parliament.

Those achievements over the past decade have been compelling, but as Turkey recognises, further improvements are needed in areas such as freedom of expression, freedom of religion and women’s rights. We urge Turkey to accelerate the pace of reform in those areas, including through the introduction of further reform packages and an inclusive constitutional reform process. As the United Kingdom Government, we have offered, and continue to offer, technical assistance on a range of issues, including freedom of expression, women’s rights and judicial reform—

Foreign Affairs Council

David Lidington Excerpts

Tuesday 3rd July 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

My right hon. Friend the Secretary of State for Foreign and Commonwealth Affairs attended the Foreign Affairs Council (FAC) in Luxembourg on 25 June.

Foreign Affairs Council (FAC)

The FAC was chaired by the High Representative of the European Union for Foreign Affairs and Security Policy, Baroness Ashton of Upholland. A provisional report of the meeting and all conclusions adopted can be found at:

http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/EN/foraff/131188.pdf.

The agenda items covered were as follows:

European Neighbourhood Policy

Ministers discussed the situation in the EU’s southern neighbourhood, focusing on Syria and Egypt. This Council marked the anniversary of the revision of the EU’s neighbourhood policy. The conclusions summarised the progress to date on the EU’s southern neighbourhood policy. Ministers agreed on the Council’s approach to EU funding in the neighbourhood from 2014, incorporating clear conditionality, with the capacity to reduce funding in the event of democratic regression.

Syria

The discussion centred on concerns about the deteriorating situation in Syria, and the significant consequences for the region. Ministers agreed conclusions (see link above) condemning the shooting down of the Turkish military plane on 22 June and the recent atrocities. They reiterated the EU’s support to the Annan plan, and called for more robust and effective pressure through a UNSC resolution, using chapter VII measures. They also confirmed additions to EU sanctions listing a further six banking and state entities and one individual and a strengthening of the EU arms embargo on Syria. The Foreign Secretary encouraged further engagement with Russia.

Egypt

The Council welcomed the peaceful conduct of elections in Egypt. The conclusions (see link above) congratulated Mohammed Mursi on his election as Egypt’s President; welcomed his commitment to inclusivity; reiterated the EU’s full support to Egypt’s democratic transition and renewed the offer of EU assistance. The conclusions reflected broad agreement on Egypt.

Iran

The Council confirmed its position on Iran oil sanctions, allowing the embargo to come into force on 1 July. High Representative Catherine Ashton gave a factual account of the E3 plus 3 and the 18-19 June Moscow meeting, noting that the next stage would be technical talks.

EU Human Rights Strategy

Ministers adopted conclusions on a strategic framework on human rights and democracy with an action plan implementing it. The Government took the difficult decision to override the House’s scrutiny reserve resolution on the action plan. This decision was not taken lightly, as the Government consider that parliamentary scrutiny is as an essential ingredient to the democratic process and oversight of EU decision-making. The two texts are the culmination of a two-year review of the EU’s external human rights policy, and the EAS hopes also to agree a third element: an EU special representative for human rights. The Foreign Secretary set out our strong support for EU action on human rights globally, while stressing that the agreed elements do not affect in any way the balance of competences between the EU and member states. He added that Parliament would want to debate the issue before the UK could give approval to the mandate for the proposed EUSR on human rights. Ministers also stressed the importance of freedom of religion, and of women’s rights.

Bosnia and Herzegovina

Ministers agreed conclusions welcoming political progress since the start of 2012. They discussed further the steps which Bosnia and Herzegovina would need to take to make progress along its EU path. Ministers noted the European Commission’s high-level dialogue on accession on 27 June, which would be an opportunity to deliver key EU messages to Bosnian leaders.

Pakistan

High Representative Ashton briefed Ministers about her recent visit to Pakistan, during which the EU-Pakistan strategic dialogue had been launched. The Foreign Secretary argued that Pakistan should remain a strategic priority for the EU, and led calls for stronger engagement over the next five years, under the EU-Pakistan engagement plan agreed earlier this year. Ministers agreed wide-ranging conclusions (see link above) offering EU support for Pakistan’s forthcoming elections, reaffirming commitment to trade concessions, and pointing to a third EU-Pakistan summit to deepen the relationship further.

Other Business

Ministers exchanged views on how visa policy could be used to encourage political change in Belarus. The situation in Mali was also discussed, and this item will be on the agenda of the FAC in July. Ministers also approved:

An EU position for the 14th meeting of the EU-Moldova Cooperation Council;

A Council decision authorising the opening of negotiations of a framework participation agreement in crisis management with the Republic of Moldova;

A partial general approach on the EU’s external financing instruments for the next multi-annual financial framework, as the basis for negotiations with the European Parliament;

Conclusions on central Asia, a progress report on the implementation of the EU strategy for the region, and the appointment of Patricia Flor as EU special representative for central Asia;

Conclusions on the Democratic Republic of the Congo.

I will continue to update Parliament on future Foreign Affairs Councils.

European Court of Justice (Appointment of New Judges and Advocates-General)

David Lidington Excerpts

Thursday 21st June 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

I would like to update the House on progress made with regards to the partial renewal of the European Court of Justice’s judiciary this October.

I am pleased to announce that Mr Christopher Vajda QC was appointed as the new UK judge to the European Court of Justice. Mr Vajda will take up his new position in October this year, for an initial term of six years.

Mr Vajda was nominated by the UK following an open domestic recruitment process in which an expert selection and interview panel comprising of lay, judicial and legal members recommended his candidacy to Ministers. Mr Vajda has extensive knowledge of both European and domestic law, and the corresponding European and domestic legal systems, having practised as a barrister for the past 30 years, appearing before both UK and European Courts on numerous occasions. He has been a QC since 1997. Mr Vajda has also sat as a recorder within the Crown Court for the past eight years. I am sure hon. Members will join me in congratulating Mr Vajda on his appointment. We are confident that he will make a significant contribution to the workings of the Court during his term.

The nominations put forward by a number of other member states have also been approved by the UK, all of which have been scrutinised by the independent panel established under article 255 of the treaty on the functioning of the European Union:

Eleven renewals of sitting judges at the European Court of Justice:

Alexander Arabadjiev (Bulgaria)

Jiri Malenovský (Czech Republic)

Thomas Von Danwitz (Germany)

Jean-Claude Bonichot (France)

George Arestis (Cyprus)

Egils Levits (Latvia)

Egidijus Jarašiunas (Lithuania)

Alexandra Prechal (Netherlands)

Maria Berger (Austria)

Gustav Fernlund (Sweden)

Paolo Mengozzi (Italy)

One nomination for a new judge:

José Luís Da Cruz Vilaça (Portugal)

Two nominations for the renewal of an Advocate-General:

Antonio Tizzano (Italy)

Yves Bot (France)

Two nominations for new Advocates-General:

Melchior Wathelet (Belgium)

Nils Wahl (Sweden)

Oral Answers to Questions

David Lidington Excerpts

Tuesday 19th June 2012 Commons Chamber

[Tristram Hunt (Stoke-on-Trent Central) (Lab)]

7. What recent assessment he has made of his Department’s procurement policies.

[The Minister for Europe (Mr David Lidington)]

We are always looking for opportunities to improve efficiency and to support cross-Government policies such as open procurement to small and medium-sized enterprises.

[Tristram Hunt]

I thank the Minister for his answer. Given the Government’s mercantilist foreign policy, should we not be using our embassies to show off the best of British? Ceramics businesses in my constituency complain that our consulates are undermining exports by not using British-made ware. Will the Minister confirm that, in future, when dinner is served and when tea is poured in UK embassies across the world, the words “Made in Stoke-on-Trent” will be in evidence?

[Mr Lidington]

The hon. Gentleman is a good champion of the interests of his city and his constituents in this regard. The Government are well aware of the fine quality of the porcelain from Stoke-on-Trent and, indeed, from other places in the United Kingdom, but in taking procurement decisions we have to balance the wish to showcase the best of British with the need to provide value for money, so that we can continue to protect front-line services.

[Mark Menzies (Fylde) (Con)]

8. What recent assessment he has made of the political situation in Syria.

--- Later in debate ---

[Teresa Pearce (Erith and Thamesmead) (Lab)]

15. Whether his Department has issued guidance to Ministers on attending the European football championships in Ukraine.

[The Minister for Europe (Mr David Lidington)]

I am sure the entire House will wish the England players every success in their match later today. On the question of attendance by Ministers, however, we took the decision that no Ministers should attend group games at Euro 2012. We are keeping the question of attendance at later stages under review.

[Teresa Pearce]

I am pleased to hear that Ministers have been asked not to attend group games, but why are the Government not also making it clear now that they rule out any official ministerial attendance at England matches at all stages, even the final?

[Mr Lidington]

We have consistently said to the Ukrainian Government that the selective use of justice in Ukraine is unacceptable and we want their policy to change. There is still time for improvement, but unless that happens I do not want to hold out much hope that our policy will shift.

[Bob Blackman (Harrow East) (Con)]

Does my right hon. Friend welcome the fact that the England team went to Auschwitz-Birkenau ahead of the tournament to bring home to people, in eastern Europe in particular, the horrors of the Nazi atrocities? What a welcome respite that is from some of the terrible things we have heard about in Ukraine.

[Mr Lidington]

I entirely endorse what my hon. Friend says. It is particularly important that sporting champions—who can, perhaps, cut through to parts of society that will not listen to speeches by politicians—set an example in the way the England players did.

[Emma Reynolds (Wolverhampton North East) (Lab)]

The trial and ongoing detention of Yulia Tymoshenko has widely been denounced as politically motivated. Further to the question asked by my hon. Friend the Member for Erith and Thamesmead (Teresa Pearce), why do the Government appear still to take the position that human rights do not matter at the knockout stages of the European championships? Is it because they do not have confidence in their own policy, or because they do not have confidence in our team?

[Mr Lidington]

I am afraid the hon. Lady must have written her question before she listened to my answer to her hon. Friend the Member for Erith and Thamesmead (Teresa Pearce). We have made it clear in every conversation at official and ministerial level with our Ukrainian counterparts that if they want to have the democratic future and the closer links with Europe that the Ukrainian Government say they want—and that we believe need to happen—they have to show they are serious about democratic, as well as economic, reform.

[Valerie Vaz (Walsall South) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

--- Later in debate ---

[Teresa Pearce (Erith and Thamesmead) (Lab)]

T4. One of my constituents, a UK resident for 40 years, and 16 members of her family have inherited land in southern Cyprus. In order to dispose of the land, the Greek high commission has insisted that she prove UK residence for the past 38 years. She has provided passports and medical records and has now been asked to produce utility bills from 1974, a nigh on impossible task. Will the Minister or his officials communicate with the Greek high commission to find a way forward for that family?

[The Minister for Europe (Mr David Lidington)]

If the hon. Lady speaks to me later, I will see whether there is anything further we can do to assist.

[Duncan Hames (Chippenham) (LD)]

As Daw Aung San Suu Kyi reminded us in her speech from Oslo last week, while we celebrate her freedom there remain many prisoners of conscience in Burma. Will the Foreign Secretary urge the Government there to establish a review of the cases of all prisoners so that it is possible to determine the actual reason for their arrest?

--- Later in debate ---

[Mr John Redwood (Wokingham) (Con)]

Will the Government seek a new and less intrusive arrangement with the European Union as many member states press on to a political union and centralised government that we could not conceivably join?

[Mr Lidington]

We want to see the eurozone restore economic stability. That is in the interests of the United Kingdom as much as any other European country. The Prime Minister is demonstrating, through his leadership on the agenda to do with growth, deregulation and trade, that the UK continues to shape the direction of the European Union in a way that serves the prosperity and security of the people of this nation.

[Julie Hilling (Bolton West) (Lab)]

T7. Further to the Minister’s answer to my hon. Friend the Member for Halifax (Mrs Riordan), is he aware that the Israelis allowed only three lorry loads of exports through the Kerem Shalom crossing in the weekend of 5 June, compared with an average of 240 truck loads a week before the blockade? That is why factories are standing idle and why a third of the population is unemployed. Will the Minister tell the Israeli Government that the blockade is not only inhumane but totally counter-productive?

[Mr James Clappison (Hertsmere) (Con)]

The Prime Minister has rightly set his face against the EU’s proposal for an unjustified 6% increase in its budget. Will the Minister take this opportunity to express his opposition to the External Action Service’s claim for a 5.7% increase in its budget and qualify the motion that appears on the Order Paper today?

[Mr Lidington]

When that motion was debated and agreed without a Division at yesterday’s European Committee, I made it very clear that we were opposed to an increase in the External Action Service’s budget, and that we expected the EAS to live up to the terms of the decision establishing it, which said that it had a responsibility to secure value for money and to return to budget neutrality.

[Paul Flynn (Newport West) (Lab)]

T8. As a greater number of American veterans of the Afghan war commit suicide than die in combat, and as uncounted thousands of our own troops return, broken in body and mind, should we not follow the example of Canada, Holland, France and Australia and bring our troops home at an earlier date than planned?

European Councils

David Lidington Excerpts

Tuesday 19th June 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

My right hon. Friend the Secretary of State for Foreign and Commonwealth Affairs will attend the Foreign Affairs Council (FAC) on 25 June. I will attend the General Affairs Council (GAC) on 26 June. Both meetings will be held in Luxembourg.

Foreign Affairs Council (FAC)

The FAC will be chaired by the High Representative of the European Union for Foreign Affairs and Security Policy, Baroness Ashton of Upholland.

Southern Neighbourhood

Ministers are expected to discuss the Commission’s report on activities in 2011, and the road map for future action. We welcome the communication and recognise the broad range of activity the EU supports in the region. We particularly welcome the increased focus on developing the political relationship through task forces held in Tunisia and Jordan, and the promotion of civil society through the new civil society fund.

Ministers will take stock of the latest situation on the ground in Syria, following the G20 summit in Los Cabos (18-19 June), and before a possible contact group meeting on Syria. The Council is an opportunity to outline our policy, along the lines of the Foreign Secretary’s statement to Parliament on 11 June. We need to support the Annan plan, increase the pressure on the Assad regime, and keep up a push for humanitarian assistance and on accountability. Ministers are likely to adopt conclusions reinforcing our messages.

On Egypt, Ministers will take stock of recent events, including the 14 June decisions by the Supreme Constitutional Court and the 16-17 June presidential elections. The Council conclusions are likely to reaffirm EU support for the political transition, and keep pressure on the authorities to maintain the momentum of tackling the pressing economic and human rights concerns.

Pakistan

High Representative Ashton is expected to report back from her recent visit to Pakistan. The subsequent discussion will be an opportunity for the Foreign Affairs Council to set out the EU’s support for Pakistan’s forthcoming elections and the EU’s commitment to improve market access for Pakistan.

Bosnia and Herzegovina

We expect Council conclusions to welcome the political progress achieved so far in 2012, and reaffirm the EU’s strong support for Bosnia and Herzegovina’s EU perspective. The conclusions are likely to reinforce the message that Bosnian leaders must urgently make a credible effort towards bringing their constitution into compliance with the European convention on human rights, thereby enabling their stabilisation and association agreement to be brought into force as soon as possible. We also expect there to be a reference to key priorities that local leaders should aim to address before making a credible membership application. We expect the Council to call for a swift and sustainable resolution to the current political uncertainty in Bosnia and Herzegovina.

EU Human Rights Strategy

We expect a discussion on the proposed EU human rights strategy, which consists of a strategic framework (a political declaration by the Council on the EU’s direction on human rights) and an action plan. There may also be discussion of an EU special representative on human rights, on which a draft mandate has been circulated amongst member states. There may be Council conclusions.

Freedom of Religion

Ministers may discuss freedom of religion or belief, following an increase in violence directed towards religious communities in Nigeria. We are active in working to defend this fundamental freedom and encourage the EU to continue to give full attention to promoting freedom of religion or belief in its bilateral and multilateral relations.

Iran

Following the limited progress in three rounds of talks between the E3+3 and Iran, there will be an opportunity for Ministers to ensure the EU maximises pressure on Iran, including reviewing the oil embargo and protection and indemnity insurance ban, ahead of implementation on 1 July.

General Affairs Council (GAC)

The meeting will be the last under the Danish presidency, and will be chaired by Denmark’s Minister for European Affairs Nicolai Wammen. There are three main items on the agenda: the multiannual financial framework (MFF), cohesion policy and preparation for the 28 June European Council. There will also be a discussion on whether to open accession negotiations with Montenegro.

Multiannual Financial Framework

As with previous meetings of the GAC, my main focus for these discussions will be for the negotiating box to reflect the UK’s objective of delivering a restrained EU budget, limited to a real-terms freeze. Within a restrained budget, a greater share should be directed to priority areas such as external action, research and climate change. I will also defend the rebate and argue against any new EU taxes. The presidency intends the negotiating box to establish parameters for the discussions after their presidency and for MFF discussion at the June European Council.

Cohesion Policy

The presidency will seek agreement of a partial general approach on several issues: on concentrating future programmes on fewer objectives; on the rules for financial instruments; on the performance framework; and on proposals on revenue generating projects. We will need to look horizontally at the specific regulations for the funds covered by the common provisions regulations, including those for the European agricultural fund for rural development and the European maritime and fisheries fund to ensure consistency between them and to maximise the opportunities for harmonising the rules to reduce burdens for final recipients and authorities.

June European Council

Over lunch Ministers will discuss the priorities for the June European Council with President Herman Van Rompuy. This conversation will continue into the afternoon, following the Council’s approval of the country specific recommendations when the plenary session reconvenes. The June European Council agenda is broad, covering growth, trade, the MFF, energy, enlargement, justice and home affairs and foreign policy. We expect the focus to be largely on economic issues in the eurozone.

Montenegro’s EU Accession

As agreed at the December 2011 European Council, the GAC will also discuss whether to open accession negotiations with Montenegro. The Commission’s May 2012 report on Montenegro’s progress implementing its reforms again concluded that Montenegro continues to make good progress and that accession negotiations should be opened. The UK supports this recommendation.

General Affairs Council

David Lidington Excerpts

Thursday 14th June 2012 Written Statements

[The Minister for Europe (Mr David Lidington)]

I attended the General Affairs Council (GAC) which met in Brussels on 29 May.

The GAC was chaired by the Danish EU presidency, Mr Nicolai Wammen, Minister for European Affairs. A provisional report of the meeting can be found at:

http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/genaff/129266.pdf

Multiannual Financial Framework

The General Affairs Council focused on the proposed multiannual financial framework (MFF) for the period between 2014 and 2020. The meeting was the first discussion of all areas of the MFF and looking at all areas of the latest version of the “negotiating box text”. This text is not binding but will set the tone and the direction of future discussions on the MFF.

The version of the negotiating box text discussed at the General Affairs Council, which I have deposited in the Library of the House, contains positive language on the need to focus EU spending on areas that promote growth. It also explicitly states that,

“it is essential that the future MFF reflects the consolidation efforts being made by Member States to bring deficit and debt onto a more sustainable path”.

This is helpful to us; however there were less helpful parts of the text with options for macro-economic conditionality and reform to own resources, including the rebate and the possibility of a financial transaction tax.

I argued that text relating to the UK rebate should not be in the negotiating box for discussion, as any changes to the own resources decision, including those required to amend the UK rebate, require consensus among member states. The UK would not agree to any changes to the UK rebate or any new own resources such as a financial transaction tax and therefore their inclusion was pointless.

At the meeting I also reiterated points I have made at previous meetings of the GAC: that at least €100 billion of savings had to be made from the proposals made by the Commission and that reste à liquider (RAL or unspent commitments) remained an important issue to be resolved.

June European Council

There was also a presentation of the agenda for the June European Council which will cover the MFF, justice and home affairs, and possible foreign policy issues if the circumstances allow. The main focus of the June European Council however will be on the growth agenda, in particular the completion of the European Semester—which gives macro-economic and fiscal guidance to member states, and the ideas the European Council called for in March.

G20 Summit in Los Cabos

The presidency also discussed the preparations for the G20 summit in Los Cabos. The discussion followed the priorities for the EU set out in the joint letter from EU President Herman Van Rompuy and the President of the European Commission Jose Manuel Barroso to member states. These were: growth and employment; strengthening the international financial architecture; progress on financial sector reform; and tackling food security and promoting development.

Croatia

Finally, I welcomed the Commission’s recent report on Croatia, underlined the importance of continued monitoring of the fulfilment of commitments, and noted that completing the process successfully and credibly was important for both Croatia and the EU.

Falkland Islands Referendum

David Lidington Excerpts

Wednesday 13th June 2012 Commons Chamber

[The Minister for Europe (Mr David Lidington)]

With permission, I wish to inform the House that the Government of the Falkland Islands announced their intention yesterday to hold a referendum on the political status of the islands. This decision, which was taken by the Falkland Islanders themselves through their elected representatives, has the full support of the British Government. The referendum will be organised by the Falkland Islands Government and will take place in the first half of 2013. Independent international observers will be invited to observe the process.

In the past, the Falkland Islanders have made it clear that they wish to remain a self-governing British overseas territory, and to continue living in the same peaceful and neighbourly manner that has characterised their long history on the islands, stretching back some nine generations. They have no interest in becoming a province of Argentina.

Regrettably, however, not everyone has been willing to accept this reality. The Argentine Defence Minister recently accused the UK military of holding the islanders as hostages, while Argentina’s ambassador to this country has claimed that the islanders would be quite happy living under Argentine rule, apparently on the basis that some of them have been on holidays to Argentina.

The islanders regularly rebut these baseless allegations and have recently embarked on an extensive campaign of public diplomacy around Latin America and more widely to ensure that their views are better known. The Foreign Office has offered extensive support to the islanders in doing so. Despite this, the Argentine Government continue either to misrepresent the views of the Falklanders or to dismiss them as irrelevant.

Elsewhere in the region, the islanders have often been surprised by the lack of understanding about their wishes and their outlook on life. It is because of this that the islanders have decided to hold a referendum to eliminate any possible doubt in the eyes of the world as to what future they want. That will provide a legal, fair and decisive means for the people of the Falkland Islands to express their views.

The Minister of State, Foreign and Commonwealth Office, my hon. Friend the Member for Taunton Deane (Mr Browne), who is responsible for the Falklands, is in Port Stanley today and has discussed the matter in detail with the islanders’ elected representatives. They are excited about the prospect of showing the region and, indeed, the whole world what future they want for their islands.

As the House will be aware, tomorrow marks the 30th anniversary of the liberation of the Falkland Islands by British forces. Events will be held both on the islands themselves and here in the UK to commemorate the extraordinary series of events that unfolded 30 years ago. We will remember all those who paid the ultimate price in defence of basic freedoms. For the Falkland Islanders, tomorrow will bring mixed emotions: thankfulness to those who fought and won; sorrow for those whose lives were lost; and anger that an attempt should ever have been made to invade their home and deny their most basic rights.

It is fitting that around the anniversary of their freedoms and rights being restored, the islanders should announce their intention to give these freedoms further expression through a referendum. In a region that advocates democracy and human rights, it is entirely appropriate that the Falkland Islanders should express this fundamental right. The principle of self-determination is a key part of the United Nations charter, as we and the islanders have repeatedly made clear and will continue to make clear.

While the current Argentine Government insist that they will seek to recover the islands only via peaceful means, their behaviour towards the islanders remains aggressive in many other ways. Argentina has placed a ban on charter flights through Argentine airspace to the islands. It has banned Falkland Islands-flagged vessels from its ports and prevented cruise ships that have visited the Falklands from docking in Argentina. It has introduced domestic legislation to penalise companies who wish to do business with the Falkland Islands. It has sent threatening letters to those engaged in the wholly legitimate business of hydrocarbons exploration around the islands, and it has recently attempted to politicise the Olympic games by screening a deeply offensive television advert showing images of an Argentine athlete training on a war memorial on the islands. Those actions, directed by the Argentine Government towards an innocent population of 3,000 people, are not the actions of a responsible power on the world stage.

While the Argentine Government have offered threats and misleading rhetoric, the islanders themselves have responded with dignity and determination. For our part, the British Government will continue to offer unequivocal support to the islanders by maintaining a defensive military posture on the islands, by supporting their growing economy, and by protecting their rights and wishes today just as we did 30 years ago.

I believe that the forthcoming referendum will provide further evidence that the islanders alone will decide their future, and that it will offer a simple but powerful expression of democracy. I hope that Argentina, and indeed all in the international community, will take note of the islanders’ freely expressed democratic views. Further details will be announced by the Falkland Islands Government in due course, and I shall keep the House informed of developments.

I commend the statement to the House.

[Mr John Spellar (Warley) (Lab)]

I thank the Minister for his statement, and also for allowing me early sight of it, which was a clear indication of his natural courtesy. As he said, it has been plain to all but the most obdurate that it is the will of the Falkland Islanders to remain a self-governing British overseas territory, especially as the economic picture for the Falklands is improving, with both fishing and oil exploration prominent. He rightly highlighted the outrageous aggressive actions of the Argentine Government. Will he tell the House what action we are taking in international bodies to overcome them?

As the Minister said, the Argentine Government still quite wrongly claim that the islanders would be happy to live under Argentine rule. A referendum with international observers would put that claim to rest once and for all. Will the Minister reassure us on the clear legal authority under which the referendum will be held, and can he assure us that the conduct and the question will meet appropriate standards so that there is a clear and unequivocal outcome?

Today we also need to send a clear message of reassurance to the Falkland Islanders, and a warning to the Argentine authorities that our resolve in support of the Falkland Islands remains as firm as it was 30 years ago. Then, we faced an unprincipled and cowardly attack by the vicious Argentine military junta, an action that ultimately and fortunately led to the end of that regime. Our military responded heroically and successfully, and it is in honour of their memory as well that the House, on behalf of the country, should signal our continuing resolve. We welcome the assistance given by the Ministry of Defence to enabling veterans to attend the ceremonies in the Falklands. However, that resolve must also be backed by capability. The Minister rightly spoke of

“maintaining a defensive military posture on the islands”,

but can he reassure us that the cuts in the armed forces have not undermined our ability to deter any rash and irresponsible action? Aircraft carriers without aircraft do not send the right signal.

We greatly fear that the stepping up of the aggressive rhetoric and actions of the Argentines which the Minister described is part of a wider campaign by an Administration who face considerable domestic problems. That pattern, unfortunately, is not unprecedented in a country blessed with great resources, fine people and, too often, dysfunctional politics.

It will be no consolation to the Falkland Islanders to know that they are not alone in facing this attack. Spain is incensed by the forcible nationalisation of the Spanish stake in the oil company Repsol. We welcome the robust response from not only the Spanish Government but—as the Minister will be well aware form his portfolio—the EU foreign policy representative, Baroness Ashton, who rightly said that this created

“legal insecurity for all European Union and foreign firms in the country.”

She also said that the EU was considering “All possible options”.

Can the Minister tell us what discussions have taken place with Spain and our other EU partners on how they will ensure that the Argentine authorities uphold their international commitments and obligations? What discussions has the Foreign Secretary had with Baroness Ashton about the co-ordination of the European response across international forums? Although Repsol has indicated that it plans to take its case to the World Bank arbitrations court, it is reported that Spain may also raise the issue at the World Trade Organisation, the International Monetary Fund and other international bodies. What support will we be giving it in those bodies? In that context, we welcome the crucial support for Spain’s case from the United States and urge the Foreign Secretary to work closely with Secretary of State Clinton to bring this sorry episode to a successful conclusion. This issue is crucially linked to the Falklands question, because those who show cavalier disregard for the norms of international behaviour in one area will behave badly elsewhere. What will the Foreign Office be doing to make clear the link between these issues?

In conclusion, as I have said, the Minister for Europe is a thoroughly likeable and decent Minister, but the future of the Falklands is of huge concern not only to the Falkland Islanders but to this country and, frankly, this statement should have been made by the Foreign Secretary, or by the Minister with responsibility for south America, who on this important occasion is actually—and properly—in the Falklands, along with the Opposition spokesman on south America. Surely it would have been better to await his return to give a report from the ground, or to have the Foreign Secretary give the strategic overview?

[Mr Lidington]

I thank the right hon. Gentleman for his broad overall support for the statement and the Government’s policy on the Falklands and the Falkland Islanders. Thirty years ago the official position of the Labour party was to support Margaret Thatcher and her Government in standing up to Argentine aggression, and I know that the right hon. Gentleman personally represents the best of the Labour party’s patriotic tradition today. I shall chide him slightly for his final remarks, however. As I said in my statement, the timing of the announcement and the decision to hold a referendum were the responsibility of the Falklands Islands Government. My right hon. Friend the Foreign Secretary is on an important visit concerning vital British security interests abroad. He would have liked to have given this statement in person, but we felt—and he felt—that the correct thing to do was for Parliament to be informed as soon as possible after the Falkland Islands Government had made their announcement about the referendum that they have decided to hold. I make no apology for the fact that I have come to the House today. I fear the Opposition would have criticised the Government had we held off a statement on the referendum.

Let me try to respond to some of the more detailed points the right hon. Gentleman raised. Yes, we are confident in the legal authority of the Falkland Islands Government to carry out the referendum. We want it to be conducted to the highest possible standards, and we will be encouraging the Falkland Islands Government to look at things like our own Political Parties, Elections and Referendums Act 2000 in order to see what best practice can offer. As I said in my statement, the Falklands Government, with our support, intend to invite independent foreign observers to ensure that the world can see that this election is being carried out to those high standards.

In regard to military capability, I reassure the right hon. Gentleman and the House that all our analysis tells us that we have the right mix of military assets in the Falklands and the surrounding area and, critically, that they can if necessary be reinforced rapidly. The state of our military preparedness was reviewed by senior Ministers earlier this year, and their conclusion was that the right things are being done to ensure we can defend the Falklands in the way the House would expect.

The right hon. Gentleman asked about Spain and the Repsol case. We have made our position very clear to Spain; my right hon. Friend the Foreign Secretary did so when he met Spanish Foreign Minister Garcia-Margallo a couple of weeks ago. We support its stance in protesting against Argentina’s action against Repsol, and we will continue to give Spain diplomatic support both bilaterally and in the appropriate international forums.

The right hon. Gentleman asked what representations we have made and what actions we have taken on behalf of the Falkland Islands through international bodies and more generally. We have made, and we will continue to make, all appropriate representations. For example, at the time of the controversy over access to ports in the region, we talked to Governments of other countries, particularly Chile, Brazil and Uruguay, which have all continued to allow into their ports vessels flying the red ensign. Trade is continuing normally, and countries in the region have made it clear to us that they have no wish to take part in any kind of trade boycott or blockade of the Falkland Islands.

[Mr James Gray (North Wiltshire) (Con)]

Both Front Benchers have rightly paid tribute to the magnificent efforts of our armed services 30 years ago. Will my right hon. Friend remember something without which the Falkland Islands would not have been liberated—the steely determination and, at a time when the Conservative party was languishing at 16% in the polls, the sheer political guts of my right hon. Friend Baroness Thatcher?

[Mr Lidington]

I am more than happy to acknowledge the importance of the leadership shown by the then Prime Minister, Margaret Thatcher.

[Angus Robertson (Moray) (SNP)]

I am grateful to the Minister for advance sight of his statement. We pay tribute to all military personnel in the Falklands, including Keith Brown, who served with the Royal Marines and who is currently in the Falklands representing the Scottish Government as the Minister responsible for veterans affairs in the commemorations. We are delighted that the UK Government have recognised the right to self-determination. Will the Minister confirm that the referendum and its timing are a matter for local authorities, and that the UK Government will respect that?

[Mr Lidington]

I thank the hon. Gentleman for his remarks. It is entirely appropriate that Keith Brown, as a Falklands veteran as well as a Minister in the Scottish Government, should be present in the islands at this historic moment. I salute the bravery of Mr Brown and the bravery of his colleagues in all three armed services who fought, 255 of whom made the ultimate sacrifice in that war.

I rather expected from the hon. Gentleman a question that took us slightly wider than the south Atlantic. The Falkland Islands is a British overseas territory that, under the law and constitutional arrangements governing British overseas territories, has the right to decide whether to hold a referendum and the terms of that referendum. The case of Scotland is not comparable: the United Kingdom Government is intent on facilitating a referendum, as the Scottish Government have asked, but it must take place in proper, legal form in accordance with UK law on referendums.

[Mr Speaker]

Nothing further need be added. We are grateful to the Minister for his diligence.

[Sir Bob Russell (Colchester) (LD)]

Tomorrow, there will be commemorations to mark the 30th anniversary of the liberation of the Falklands, including a service in Colchester for the Parachute Regiment, which excelled in that conflict. Yesterday, the Ministry of Defence announced 4,100 redundancies in the Army, Navy and Air Force. I invite Ministers to read the military history of the 20th century to see how the Government of the day performed with the nation’s defence interests.

The Falklands are not the only islands in the south Atlantic. Without Ascension Island, and without 30 years of loyal support from the citizens of St Helena—both islands are overseas territories—the Falklands could not prosper. Put all three islands together economically.

[Mr Lidington]

The arrangements under which the Falklands, Ascension, South Georgia and the Sandwich Islands are separate overseas territories work well. I assure my hon. Friend that when the National Security Council, which includes Ministers from both coalition parties, considered the Falklands’ security and defence earlier in the year, it looked at that not just in the context of the forces stationed on the islands but in the broader context of logistics, supply and reinforcement, and took into account all the points that concern my hon. Friend.

[Derek Twigg (Halton) (Lab)]

A few weeks ago, the Under-Secretary of State for Defence, the right hon. Member for South Leicestershire (Mr Robathan) and I were guests at the unveiling of the Falklands memorial at the national arboretum, which again brought home to us the sacrifice made by our armed forces personnel.

The Government and Parliament have been robust on the issue of self-determination, and will back it up with military might if necessary. Will the Minister ensure that the Government continue to give those strong messages so that there is no chink of light anywhere for the Argentines?

[Mr Lidington]

I take very seriously the point that the hon. Gentleman makes, and I can give him the assurance that he seeks.

[Geoffrey Clifton-Brown (The Cotswolds) (Con)]

Having visited the Falkland Islands, may I pay sincere tribute to the Falkland Islanders for their stoicism, patience and resilience in the face, as my right hon. Friend said, of bullying and commercial aggression from the Argentines? Will he do all that he can to persuade the Argentines and, indeed, all the countries in the region, to respect the outcome of the freely given wishes of the people of the Falkland Islands?

[Mr Lidington]

We shall certainly do so. It is a cause of sadness that, in an age in which democracy and human rights are part of the standard political culture in south America, the right to self-determination for the Falkland Islanders should be determinedly ignored by the Government of Argentina. We hope that they will listen and take proper account of the democratic wishes of the people of the Falklands.

[Sir Gerald Kaufman (Manchester, Gorton) (Lab)]

Does the right hon. Gentleman accept that the whole House is united in support of the right of the people of the Falkland Islands to remain British as long as they wish to do so, and will he make it clear to the predatory idiots in Buenos Aires that any aggressive act, whether military, diplomatic or trading, will be met by similar measures from this country? He referred to best practice in referendums, and may I remind him that not long ago, the people of Gibraltar held such a referendum? I led the supervisory team to make sure that it was totally valid, which it was. Will he tell the Spaniards to lay off Gibraltar?

--- Later in debate ---

[Mr Lidington]

We have made our views on Gibraltar clear on many occasions, and our support for the right of the people of Gibraltar to stay British remains a matter of record and firm Government policy. I am not sure whether the right hon. Gentleman is putting in a bid to visit Port Stanley as an election observer, but I welcome his support for the statement.

[Tony Baldry (Banbury) (Con)]

It is very sad that 30 years on, the Argentine Government are still sabre-rattling. Hopefully, the referendum will be the final word, demonstrating the intention of the people of the Falkland Islands to continue to be part of the United Kingdom’s overseas territories. To that end, will my right hon. Friend ensure that the Inter-Parliamentary Union provides as many parliamentary observers as possible from different parts of the world so that parliamentarians from every corner of the globe can witness the fact that the referendum is carried out in a full and proper way?

[Mr Lidington]

My hon. Friend makes a helpful suggestion. It is indeed important that observers are present from various different countries.

[Mr David Winnick (Walsall North) (Lab)]

As someone who has always argued for self-determination, like many of my Labour colleagues—not incidentally, a unanimous view in years gone by—may I ask whether the Minister accepts that if one believes in self-determination one should respect the view of those people in the Falklands, which is probably unanimous, who want to retain their links with Britain? That view, which no doubt will be reflected in the referendum, should be respected not just by us but by the international community at large.

[Mr Lidington]

I am glad to say that I agree completely with the hon. Gentleman’s remarks.

[Mr Stewart Jackson (Peterborough) (Con)]

This Government can be commended for their engagement with Latin America, which was marked by the Foreign Secretary’s Canning House speech in November 2010. The Minister will know that the Argentine Government’s and President Kirchner’s diplomatic campaign has been ongoing for many years. With that in mind, will he have a gentle word with his colleagues in the US State Department and remind them that their policy positions and use of language are extremely important to the persuasiveness of the British case?

[Mr Lidington]

As my hon. Friend knows, the position of the United States Government for many years has been that they recognise the de facto British administration of the Falkland Islands but do not take a position on sovereignty. I can assure him that the United States Administration, at the highest levels, are well aware of our position and determination regarding the Falklands, and I believe that the principle that self-determination and democratic consent are required for constitutional change is something that ought to be very appealing to American politicians and the American people.

[Mr Nigel Dodds (Belfast North) (DUP)]

I, too, pay tribute to our armed forces who fought so valiantly to free the Falkland Islands from Argentine occupation 30 years ago. I warmly welcome the referendum because it will send a strong signal to Argentina and the wider world on where the people of the Falkland Islands stand. We need a referendum in the Falklands, we are going to have one in Scotland, and possibly one on the EU, but the good news from Northern Ireland, where legislation requires a referendum on its future status only if it appears that there might be a majority to take it out of the United Kingdom, is that in a poll yesterday only 7% of people there, including those who traditionally describe themselves as nationalist, said that they would vote for a united Ireland, so the Union is strong and enduring as far as Northern Ireland is concerned.

[Mrs Eleanor Laing (Epping Forest) (Con)]

Ten years ago I had the honour of accompanying the right hon. Member for Manchester, Gorton (Sir Gerald Kaufman) as an observer of the referendum that took place in Gibraltar, which has been very important to its subsequent development. May I endorse the request made by my hon. Friend the Member for Banbury (Tony Baldry) that steps should be taken to ensure that observers are available from many countries of the world so that the result of the democratically organised referendum in the Falklands can be spread far and wide and no one can argue with its result?

[Mr Lidington]

My hon. Friend makes her point with great clarity. I support the thrust of what she says.

[Kate Hoey (Vauxhall) (Lab)]

The Minister will know that his statement is warmly welcomed not just across the House, but throughout the United Kingdom, which stands full square behind the right of the Falkland Islands to self-determination. Will he give an assurance that not a single penny of British taxpayers’ money will go to Argentina while it adopts this aggressive position on the Falkland Islands?

[Mr Lidington]

As my right hon. Friend the Prime Minister told the House a short while ago, British taxpayers’ money is not going to Argentina through World Bank loans. Our position is that any bid by any country for a World Bank loan must be considered on a case-by-case basis, and I know that my right hon. Friend the Secretary of State for International Development, who leads on such policy decisions, will have careful regard to the hon. Lady’s comments.

[Rory Stewart (Penrith and The Border) (Con)]

As a number of Members have mentioned, the Government of Argentina will inevitably try to portray the result of the referendum as somehow rigged. May I say, in support of the comments of my hon. Friend the Member for Banbury (Tony Baldry), that in addition to having representatives from Latin America look at the elections, we should focus on observers from Commonwealth countries, a large number of which have not been fully supportive of the position of the Falkland Islands, because that will send a firm, credible message to the world?

[Mr Lidington]

My hon. Friend makes an excellent point. I think that it is important that, if at all possible, the observers include people from countries whose Governments have perhaps been sceptical in the way he describes.

[Chris Bryant (Rhondda) (Lab)]

I, too, fully stand behind the Falkland Islanders’ right to self-determination, and I do so as a former Minister who had responsibility for them, but I have to say that the referendum in Gibraltar changed not one whit the view of the Spanish Government and we would be extremely naive if we were to think that we would change President Kirchner’s view by having the referendum. However, there are Argentine senators and members of Parliament, including Peronists, who simply laugh at their President’s position because they know that it is there for party political advantage and nothing else. Will the Minister confirm that calm and resolute negotiations with Argentina not on the basis of our holding the Falklands, but on other matters, is a better way than sabre-rattling?

[Mr Lidington]

One of the great sadnesses when reflecting on the situation in the south Atlantic over the past 10 years is the change in Argentine politics. Argentina has moved from what had appeared to be a policy of gradual accommodation and reconciliation towards the much more aggressive stance that President Kirchner has taken. I agree with the hon. Gentleman that it is important that the United Kingdom continues to make it clear that we want a mutually beneficial, friendly relationship with Argentina but that that will not come at the price of selling out the democratic rights of the Falkland Islanders. That remains our position.

[Nick de Bois (Enfield North) (Con)]

Will my right hon. Friend join me in condemning outright the Argentine navy’s recent attempts to intervene on, and even on occasion board, European fishing vessels operating under licence from the Falklands, which is exactly the sort of intimidation and bullying that the Falklanders have to face up to on a regular basis?

[Mr Lidington]

Yes.

[Gemma Doyle (West Dunbartonshire) (Lab/Co-op)]

Like many Members, I have visited the Falklands—I went last November—and so particularly welcome the referendum, which will re-establish the will of the islanders. I urge the Minister to ensure that, with regard to expertise, sufficient support is giving to the Falkland Islands regional government and, in particular, the young people, who are so keen to play their part in the future of the islands and their economic development.

[Mr Lidington]

I certainly give the hon. Lady that assurance. We will give all possible help and support to the Falkland Islands Government in their preparations for the referendum. She makes a good point about the young people of the Falkland Islands. Tomorrow the President of Argentina is due to appear before the United Nations special committee on decolonisation. I understand that the Falkland Islands legislators who will represent the views of the islanders at that meeting will bring with them some of the young men and women from the Falklands who can make it clear that they, too, see themselves as British and wish to remain so.

[Mark Reckless (Rochester and Strood) (Con)]

It is enormously welcome that the Falkland Islanders will decide by referendum whether to govern themselves. Does my right hon. Friend agree with the Chancellor that the time is coming for us to follow their example?

--- Later in debate ---

[Mr Lidington]

When Europe is facing an existential economic crisis, this is not the time to talk about a referendum on our membership of the EU.

[Jim Shannon (Strangford) (DUP)]

I thank the Minister for his commitment to a referendum for the people of the Falklands. Oil has recently been discovered off the Falkland Islands. Will he assure the House that full protection will be given to any of the companies exploring for oil, that the benefit of any oil revenue will go to the people of the Falkland Islands and that any aggression from Argentina will be seen off?

[Mr Lidington]

The revenues from any successful oil and gas development will indeed accrue to the Falkland Islands Government. They have voluntarily said that they would want to share some of that revenue with the United Kingdom to offset the cost of our defence expenditure towards the islands. I can assure the hon. Gentleman that we will do everything necessary to protect the legal right of the Falkland Islands to continue with hydrocarbon development.

[Mr Edward Timpson (Crewe and Nantwich) (Con)]

Almost 10 years ago I was fortunate enough to visit the Falkland Islands, somewhat unusually on my honeymoon, so they hold a very special place in my heart—I am still married. I was struck by the dignity and pride of the islanders during my visit. In relation to the referendum, which I welcome, can my right hon. Friend give any more clarity on its terms, particularly who will be eligible to vote, because that might have an impact on its legitimacy across international boundaries?

[Mr Lidington]

It will ultimately be a matter for the Falkland Islands Government to determine. Our working assumption of the most likely arrangement is that those people who are on the current electoral roll of the Falkland Islands, about 1,500 people, will be the ones entitled to vote, but as I say it is a matter for the Falkland Islands Government.

[Mrs Madeleine Moon (Bridgend) (Lab)]

I have been fortunate enough to visit the Falkland Islands twice, most recently with the Defence Committee, and this House should commend the Falkland Islanders on the huge commitment and support that they give on an ongoing basis, generously and freely to veterans who served in the Falklands, whom they continue to welcome back and to host in the most amazing way. But we also met the chamber of commerce, with which I have had ongoing communication, and it is still having difficulties with Latin American countries blocking trade, transport and tourism. Will the Minister continue to look at that and ensure that international monitors from Latin America visit so that they can see that the rhetoric from Argentina is not having any impact and does not represent the view of the Falkland Islanders?

[Mr Lidington]

Having Latin American monitors is a sensible and creative idea, and, if the hon. Lady would like to share with my Department the particular instances that she knows about in terms of the obstruction of trade and so on, we will be happy to look into it further.

[Oliver Colvile (Plymouth, Sutton and Devonport) (Con)]

May I congratulate this House on sending a firm message about how important the Falkland Islands are? May I also suggest that in the future White Paper on the British dependent territories my right hon. Friend considers offering them an opportunity to vote for a Member of the House of Lords, when it is eventually reformed, so that whether to Spain or to Argentina we can send the very clear message, “Hands off the British dependent territories”?

[Mr Lidington]

That is certainly an innovative idea, which I shall draw to the attention of the Deputy Prime Minister.

[David Wright (Telford) (Lab)]

I welcome the fact that there is going to be a referendum, and I am confident that the people of the Falkland Islands will want to remain British—and I am proud of that, too. This country’s reserve forces have played a significant role in providing security on the islands, and we need to pay tribute to them. Has the Minister had any dialogue—I am sure he has—with his colleagues at the Ministry of Defence about ensuring that the reserve forces are kept at a sustainable level on the Falkland Islands?

[Mr Lidington]

I am very happy to join the hon. Gentleman in paying tribute to those members of the reserve forces who have served, and continue to serve, in defence of the Falkland Islanders, and I can assure him that there have been the conversations that he hopes for between the Foreign Office and the Ministry of Defence. He will know that the Under-Secretary of State for Defence, my hon. Friend the Member for Aldershot (Mr Howarth), is sitting beside me on the Government Front Bench, and the reserve forces will certainly continue to play an important role in the defence of the islands.

[David Rutley (Macclesfield) (Con)]

Does my right hon. Friend agree that the President of Argentina should respect the principle of self-determination as a fundamental right, honour the outcome of the referendum and turn her attention to domestic challenges, rather than continuing her aggressive posturing towards the Falkland Islands?

[Mr Lidington]

I hope that President Kirchner, even now, will reflect on the fact that Argentina is a signatory to the United Nations charter, article 1.2 of which talks of members developing

“friendly relations among nations based on respect for the principle of equal rights and self-determination of peoples”.

That right of self-determination applies to the people of the Falkland Islands as much as to people anywhere else.

[Ian Murray (Edinburgh South) (Lab)]

The economy of the Falkland Islands is almost entirely reliant on the fishing of squid, and a lot of exported squid goes to Spain. What discussions is the Minister having with other EU countries and, in particular, with Spain about keeping such trade channels open, despite the pressure from the Argentine Government?

[Mr Lidington]

So far as I am aware, all the evidence is that trade is continuing normally, despite the various pressures exerted by Argentina. Where there is evidence of interference with trade having been, or threatening to become, effective, we are always willing to intervene with the Governments concerned to ensure that we are able to explain and reassert the legal rights of the Falklanders to the resources within their waters, and to ensure that trade patterns resume as normal.

[Several hon. Members]

rose—

[Martin Horwood (Cheltenham) (LD)]

Much as we all love referendums and rightly remain absolutely committed to the principle of self-determination in the case of the Falklands, is it nevertheless part of the Government’s strategy, once these important and emotionally charged anniversaries are over, to rebuild relations with what should be a friendly democracy in Argentina?

[Mr Lidington]

We have never sought to shift away from a friendly and constructive relationship with Argentina, whether political or commercial. It is Argentina, under its current leadership, that has chosen to walk away from the prospect of a fruitful relationship with the United Kingdom. We will be only too willing to have the sort of warm relationship with Argentina which ought to exist, but in order to seek that we are not prepared to sacrifice or to put at risk the self-determination of the people of the Falklands.

[Penny Mordaunt (Portsmouth North) (Con)]

What discussions have the Government had, specifically on the referendum, with Argentina’s neighbouring countries, many of which are becoming increasingly embarrassed by President Kirchner’s actions?

[Mr Lidington]

We are in frequent contact, at both official and ministerial level, with other countries in the region. Although most countries of south America support the Argentine claim to sovereignty, they also make it clear that they do not want to be participants in any trade boycott or effort to bully the people of the Falkland Islands.

[Mr Speaker]

Last but not least, I call Mr Bob Stewart.

[Bob Stewart (Beckenham) (Con)]

Thank you, Mr Speaker.

Recently the Argentine Government have accused us, the British, of militarising the south Atlantic. Does my right hon. Friend agree that the reason why we have strong, effective and deterrent armed forces on the Falkland Islands is that Argentina continues to make threats that might turn to military ones?

[Mr Lidington]

As so often, my hon. Friend has hit the nail on the head.