Oral Answers to Questions

Debate between David Lidington and Mark Spencer

Tuesday 17th January 2012 Commons Chamber

[Mr Mark Spencer (Sherwood) (Con)]

16. What assessment he has made of the implications for his Department of economic conditions in the EU.

[The Minister for Europe (Mr David Lidington)]

The crisis in the eurozone is having a chilling effect throughout Europe, which is why this Government are arguing vigorously within the European Union for action to promote growth by deepening the single market, boosting trade and cutting red tape.

[Mr Lidington]

I agree completely with my hon. Friend, which is why the agreement at the December European Council for an exemption from European regulations for micro-business was particularly welcome, especially as that will apply not only to new European legislation but will prompt a review of the existing acquis in respect of micro-businesses.

[Mr Spencer]

Can the Minister assure the House that the principles of the Prime Minister’s veto will be followed through, and that any attempt by the EU to impose a tax on this country’s financial services will be vigorously resisted?

[Mr Lidington]

A financial transfer tax would require unanimous agreement by all 27 member states, which is something that the single market Commissioner, Monsieur Barnier, has confirmed to me. The Prime Minister has made it clear that we would not agree to the imposition of such a tax.