Tuesday 18th March 2014

(10 years, 9 months ago)

Commons Chamber
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Douglas Alexander Portrait Mr Douglas Alexander (Paisley and Renfrewshire South) (Lab)
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I welcome the motion and this debate on the ongoing crisis in Ukraine and the British Government’s response. At the outset, let me make it clear that the Government have our support in seeking an urgent de-escalation of the crisis and in their efforts to date to secure a sustainable diplomatic resolution that respects and upholds the international law of which the Foreign Secretary has just spoken.

The crisis in Crimea represents perhaps the most significant security threat on the European continent in decades, and it poses a real threat to Ukrainian sovereignty and territorial integrity. Russia’s recent actions have also reaffirmed the existence of a geopolitical fault line that the west ignores at its peril. Given the events still unfolding on the ground and the speech made by President Putin in the past couple of hours, few would claim that the international community’s response to date has been effective in securing a change of approach from Russia. Since the issue was last debated in the House, an illegal referendum has taken place in Crimea in the shadow of Russian guns, President Putin has signed an order recognising Crimean independence and approved a draft Bill on its accession, and Ukraine’s Parliament in Kiev only yesterday authorised a partial mobilisation of volunteers for the armed forces’ new reserve. The potential for further escalation of the crisis, therefore, remains real and deeply troubling. The international community must do more to encourage Russia to engage in constructive dialogue, while simultaneously applying greater pressure if President Putin refuses to change course.

I want to focus on three key issues. First, I will assess the international community’s response to date and why it is has so far not achieved the desired outcome. Secondly, I will outline the possible mechanisms by which the west can now engage Russia more effectively. Finally, I will look at a series of proposed steps that should be considered for raising the costs and consequences for Russia if the crisis is not swiftly resolved.

Bernard Jenkin Portrait Mr Bernard Jenkin (Harwich and North Essex) (Con)
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What, in the right hon. Gentleman’s view, does Russia need to do to bring about a de-escalation of the situation?

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Douglas Alexander Portrait Mr Alexander
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First and foremost, we must avoid a situation in which escalation continues as a result of the arrival of Russian troops in eastern Ukraine. Secondly, there must be a meaningful dialogue between the Ukrainian authorities and the Russian authorities, and I will explain what I mean by that in the course of my remarks. Thirdly, there must be a recognition that the international community remains unyielding in its opposition to the illegal referendum that took place in Crimea last weekend. Alas, the Kremlin has not yet recognised or acted on any of those steps, but I hope that it will do so in the coming days. Why do I make that point? Ukraine’s future still hangs in the balance, so today’s debate is welcome and takes place at a crucial time.

The recent trajectory of Ukrainian politics hinges on the events of 21 November when Yanukovych’s Cabinet abandoned an agreement on closer trade ties with the EU, and instead sought closer co-operation with the Russian Federation. Days later, hundreds of thousands of Ukrainians descended on Maidan square, and for months the various protests endured and grew on the streets of Kiev. On 20 February, in a vibrant European capital, Government snipers turned their fire on protesters and the day ended with makeshift morgues lining the pavements of that historic city. On 27 February, just four days after the end of the Sochi winter Olympics, Russian troops effectively occupied Crimea under the false pretence of protecting its Russian-speaking population.

Ukraine faces a generational choice: in the decades ahead, can it face both east and west? Russia, too, is faced with two alternative futures: greater integration or greater isolation within the existing international order. It is right that the international community’s approach to date has been characterised by engagement with Russia where possible but by appropriate diplomatic pressures where required, which is why I welcome the draft UN resolution criticising the referendum in Ukraine’s Crimea region. Recent events in Ukraine are a key test of resolve for the European Union in particular. This clear and flagrant breach of international law has happened on Europe’s doorstep, and the burden of responding to the crisis rests heavily on European Union leaders.

It is worth acknowledging from the outset that getting agreement among the EU 28 is always difficult, particularly when a number of member states are vulnerable to Russian action on issues such as energy supply. I therefore welcome the steps that have already been agreed by the EU, including the suspension of negotiations with Russia on visa liberalisation and targeted asset freezes and visa bans against those responsible for threatening Ukraine’s territorial integrity and independence.

Despite those important steps, I regret that, to date, the EU’s unity in condemning Russia’s military aggression has not been matched by a shared resolve to act more decisively in extracting costs and consequences for Russia’s actions. Only four days before this week’s Foreign Affairs Council, Chancellor Merkel made it clear that if Russia continued on its current course, it would cause

“massive damage to Russia, both economically and politically.”

Following her comments, and ahead of the EU Foreign Affairs Council meeting, the press quoted reports that more than 100 names were being considered for targeted measures by the EU. At that Foreign Affairs Council meeting, a list of 21 individuals was agreed, and only 13 of them were Russian. Given that the objective of the sanctions is to alter the calculus of risk in the minds of the Russian leadership, it would be unfortunate if confused messages were sent to Moscow, however inadvertently, at this critical time.

Baroness Stuart of Edgbaston Portrait Ms Gisela Stuart
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My right hon. Friend mentioned the importance of the EU speaking with one voice. Does he not think that it was slightly naive of the French, German and Polish Foreign Ministers to take action without bringing the United States into the meeting? That would have shown unity not only within the EU but with our allies in north America.

Douglas Alexander Portrait Mr Alexander
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I have no criticism of the French, German and Polish Foreign Ministers. We saw from the dynamic on the streets of Kiev that that potential agreement was overtaken by events, including the fleeing of the President from Ukraine. I do not believe that any reasonable criticism can be levelled at the European Union for somehow ignoring or being unwilling to work with our friends, colleagues and allies in the United States. Indeed, one of the brighter shafts of light amid the darkness has been the degree of effective co-operation between European leaders and the US Secretary of State John Kerry in the recent days and weeks. This is a big geopolitical moment and, as the Foreign Secretary made clear, all of us in the west—in the European Union and the United States—have a strong interest in upholding the international order that has lasted in Europe since the second world war.

Brooks Newmark Portrait Mr Brooks Newmark (Braintree) (Con)
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Germany is particularly vulnerable to economic sanctions in relation to energy. Does the right hon. Gentleman agree that we should work hard to convince the Americans to lift their restrictions on energy exports to Europe, as that would take pressure off Germany in this regard?

Douglas Alexander Portrait Mr Alexander
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The hon. Gentleman’s point is well taken. My research in recent days has shown me that, notwithstanding the importance of looking again at the capacity for, say, liquid natural gas to be exported to the European Union from the United States, given its developing capabilities in shale gas and shale oil, this is not simply a matter of regarding energy as a strategic asset. We must also take into account the capabilities and facilities at the ports, for example. This is a longer-term endeavour and, critical though it is to be able to strengthen the resilience and diversity of the European Union’s energy supplies, the action that the hon. Gentleman suggests would not provide an immediate resolution to the crisis. It is important that we look at the issue, however.

Paul Flynn Portrait Paul Flynn (Newport West) (Lab)
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Would my right hon. Friend like to correct the wrong impression that the Foreign Secretary gave—possibly inadvertently—when he referred to a Russian member of the Socialist Group of the Council of Europe? There is a tiny and uninfluential group of Russians in the Socialist Group, but the group of which the Conservatives have been members for a long time is dominated by Putin’s representatives and those of a similar character from other countries. Will my right hon. Friend pay tribute to the long record of the Socialist Group in opposing Putin, especially on Chechnya?

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Douglas Alexander Portrait Mr Alexander
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I am certainly happy to echo my hon. Friend’s point about the actions of the Socialist Group in relation to Chechnya, but given the severity of this moment in international affairs, it ill behoves the House to descend into a partisan exchange on which groups our respective representatives belong to in the Council of Europe. I understand that action has been taken by Conservative members of the Council of Europe—I am sure that the Leader of the House will set out the details at the end of the debate today—but it is important to speak with one voice at this critical moment in international affairs.

Charles Walker Portrait Mr Charles Walker
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Does the right hon. Gentleman agree that Russia is not the power that it once was? It is riddled with corruption, and with a population of only 143 million, it has a failing demographic. Male life expectancy there is barely 60. Russia is not the great bear that it pretends to be.

Douglas Alexander Portrait Mr Alexander
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I find myself in agreement with the hon. Gentleman. There has been too much commentary in recent days on the strategic genius of President Putin. In fact, he has been obliged to act out of weakness, rather than strength. Let us remember that this was the Russian President who viewed a Eurasian union as a credible alternative to the European Union. He has been unable to use soft power to secure the support of his potential allies and neighbours; instead, he has had to use hard power as a consequence of his unpopularity and of his sense of a loss of control following the events that we witnessed on the streets of Kiev.

This is not simply a matter of Russia facing demographic challenges, or of its abject failure to diversify its economy beyond the primary extraction of energy to move towards a more advanced form of economy, or of the very real corruption that continues to bedevil Russian society and the Russian economy; this is also about the fact that Putin is unable to secure the willing support of neighbouring countries, and that he is having to secure support through the use of military force. That represents a significant failure, rather than a success. Let us remember that President Putin has just spent $50 billion trying to accumulate soft power with the Sochi Olympics. What a waste of $50 billion, given that the international community is now seeing the Russian leadership’s true character through its action in Ukraine.

Geoffrey Clifton-Brown Portrait Geoffrey Clifton-Brown
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Is it not another important factor that the Russian Federation is now much more dependent on the international community than was the case in the old days of the Soviet Union? In those days, it had no stock exchange, and the rouble is now much more exchangeable than it was. Putin reportedly had to spend £2.5 billion shoring up the rouble in one day when he first went into Crimea.

Douglas Alexander Portrait Mr Alexander
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The hon. Gentleman’s point is well taken. Russia is now significantly more integrated in the global economy than it was at the time of the invasion of Georgia in 2008, let alone during the earlier era of Soviet expansionism, to which many people have drawn comparisons recently.

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Douglas Alexander Portrait Mr Alexander
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I want to make a little more progress.

Today, the European Union is Russia’s largest economic partner, with an annual trade of £275 billion. The UK alone handles at least £2 billion of Russian business in financial services a year. Let us also remember that as a result of the corruption that I have mentioned, the Russian economy has witnessed significant levels of capital flight in recent years, as well as rising levels of Russian prosperity as a consequence of energy. In that sense, there is a real and enduring vulnerability among the Russian elites to the travel bans and asset freezes that have been put on the table by other European leaders in recent days. Let us also not forget that a central part of President Putin’s claim to legitimacy in the Russian Federation has been based on a guarantee of rising prosperity. However, we have already seen the effect that the proposed actions by European leaders has had on the rouble and the Russian stock exchange.

In the immediate term, the most powerful means to alter the Kremlin’s course is to target those elites on whom it relies for its support. That is why I hope that at the European Council meeting due to take place later this week, EU leaders will consider further expanding the list of Ukrainian and Russian officials subjected to these targeted measures. I welcome the Foreign Secretary’s indication that that appears to be the British Government’s approach, ahead of the Council meeting on Thursday and Friday. I would also be grateful if the Leader of the House could confirm in his winding up whether, at that Council meeting, the UK Government will be urging the cancellation of the EU-Russia summit, which is still scheduled to take place in Sochi in June.

Labour has also argued that further diplomatic pressure can and should be applied in the short term by seeking agreement among the G7 on suspending Russia from the G8 group of the world’s largest economies unless President Putin changes course. I was intrigued by the Foreign Secretary’s remarks at the Dispatch Box on that subject. I understand that indications have been given by No. 10 since this debate began that the British Government could take further action in relation to the G7, as distinct from the G8. Will the Leader of the House clarify the position, not only on the cancellation of the G8 meeting but on Russia’s suspension from the G8? I think that the Foreign Secretary has indicated the willingness of the G7 countries to meet together as an alternative grouping to the G8, as a result of the Russians’ recent flagrant breach of the law.

Given the precedents that have been set by Russia, the European Union must also be prepared to increase the pressure if the short-term measures are unsuccessful. I certainly welcome the bilateral measures, which we heard about for the first time this afternoon, relating to UK-Russian military co-operation and to the steps that the UK Government are taking in relation to arms exports. In the medium term, the European Union must be prepared to consider stronger sanctions against Russia’s broader economic interests, such as its energy exports or its banking sector. Such decisions should not be taken lightly, and the burden on EU domestic markets must not be ignored, but, if required, those options must remain available to European leaders when they gather in the coming days.

Alongside short and medium-term pressure on Russia, it is also surely vital that the European Union considers the long-term strategic implications of the current crisis. I welcome the fact that at yesterday’s meeting EU Foreign Ministers met the EU Energy Commissioner. I encourage the EU to undertake urgent work on exploring ways of proliferating and diversifying European energy imports in the future.

Let me turn now to my final substantive point. As the Opposition, we do not believe that the crisis can be resolved simply by applying ever more pressure on Russia to change course. Effective engagement with Russia remains key to helping secure the diplomatic de-escalation and resolution of the crisis. In particular, the work done by EU High Representative Cathy Ashton in engaging with President Putin and Foreign Minister Lavrov in recent weeks has been welcome. I also welcome the dialogue that took place last week in London between the US Secretary of State, John Kerry, and the Russian Foreign Minister, Sergei Lavrov. At that meeting, the Secretary of State made it clear that in the view of the United States, Russia has legitimate interests—historical, cultural and strategic—in Ukraine.

Edward Leigh Portrait Sir Edward Leigh (Gainsborough) (Con)
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I am grateful to the right hon. Gentleman for the tone of this part of his speech. Despite everything that has been said over the past hour, we do have a bit of a problem in that a majority of people living in Crimea want to be part of Russia, and they had been part of Russia for 300 years, apart from administrative diktat in recent times. They also have a right to self-determination.

Douglas Alexander Portrait Mr Alexander
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The hon. Gentleman’s point is a moot one given the circumstances in which the referendum took place. No one disputes the fact that there is a significant number of Russian speakers within Crimea, but it is a dangerous path to walk to suggest that the circumstances in which that referendum was conducted—in the shadow of Russian guns—in any way provide a free and fair expression of the will of the people of Crimea. Incidentally, it was also a flagrant breach of the Ukrainian constitution. Although it is important to recognise that Russia has legitimate interests, it is equally important to be clear and categoric in our condemnation of the referendum that took place at the weekend.

Lord Austin of Dudley Portrait Ian Austin (Dudley North) (Lab)
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Is it not also the case that just last year, opinion polls showed that only 23% of people in Crimea wanted to be part of Russia?

Douglas Alexander Portrait Mr Alexander
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As my hon. Friend knows, in circumstances such as this I am often given to say that opinion polls come and go, but I can assure him that he is absolutely right in recognising the fact that the poll that took place this week cannot be taken as a serious reflection of the breadth of opinion across Crimea. As the Foreign Secretary said, the Tatars, who for understandable historical reasons have very deep anxieties about what the future holds, given the past experience of deportation to Siberia, largely boycotted the poll. There are clear instances of intimidation, and anything that would be considered free and fair is very far from what took place in Crimea this weekend.

Robert Buckland Portrait Mr Robert Buckland (South Swindon) (Con)
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I am grateful to the right hon. Gentleman for giving way. As I expected, he is making some measured comments. Is not the more fundamental point here that if we concede a precedent in Crimea, we are saying that it is open house for Russia to annex what ever part of its zone of influence it likes?

Douglas Alexander Portrait Mr Alexander
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The hon. Gentleman eloquently highlights the extent of cross-party agreement on this issue. This is a huge geopolitical moment, and if we take our multilateral obligations seriously—as a permanent member of the Security Council, a member of NATO and a member of the European Union—these moments test us as an international community. In that sense, the signal that would be sent out, however inadvertently, by an isolationist attitude that says that this is a far away country and that there is nothing to worry about has very dangerous historical precedent. The point that the hon. Gentleman makes is a necessary corrective to some of the commentary that we have read in newspapers in recent days.

Simon Danczuk Portrait Simon Danczuk (Rochdale) (Lab)
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What has not been mentioned is that we have a large Ukrainian diaspora in the UK and indeed in Rochdale, some of whom I met on Saturday night. Many of them are extremely worried about their family in Ukraine and the fact that the problem might spread. Is there any reassurance that can be given to those people?

Douglas Alexander Portrait Mr Alexander
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I fully appreciate that this must be a deeply troubling time for all those with friends, relatives and kith and kin in Ukraine. The best mechanism by which they can get the assurances they understandably want on behalf of their families is the diplomatic resolution which I trust the British Government are endeavouring to deliver, and which we need to work in co-operation with our international partners to secure.

Douglas Alexander Portrait Mr Alexander
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Let me try to make a little more progress because I am conscious of the need to wind up, given the enthusiasm of Back Benchers to make their contributions.

There is an important point in relation to the tone of the exchanges with Russia. As the Foreign Secretary acknowledged, it is vital that in those exchanges a clear message is sent that this is not a “zero-sum game” between Russia and the west. I hope that it will be in that spirit that EU leaders agree the political part of the association agreement with Ukraine, which is due to be signed in the coming days. As well as sustaining this dialogue between Russia, the US and the EU, we should not forget the urgency of facilitating direct dialogue between the Russian and Ukrainian authorities.

I note that the EU has previously supported the establishment of a contact group, and note further that only yesterday Russia proposed the establishment of a support group for Ukraine. The Russian Foreign Ministry said in a statement that this group would push for Ukrainian recognition of the Crimean referendum, which is clearly a difficult issue for the international community; urge Ukraine to implement portions of the 21 February peace deal; encourage Ukraine to adopt a new constitution setting out broad powers for the country’s regions; and require Ukraine to uphold military and political neutrality.

When the Leader of the House winds up the debate, I would appreciate it if he could set out the British Government’s thinking on both these proposals—on the contact group that has been advocated by Germany and the European Union and on the contact group that was proposed by the Russian Foreign Minister yesterday.

In conclusion, the Russian invasion of Crimea demands international condemnation. We should uphold the principle of international law and recognise Ukraine as a sovereign state. Its cultural, linguistic, and historical affinities with Russia do not, and never will, justify the recent breaching of the international multilateral legal norms that have guided our actions since world war two. Furthermore, what those who oppose further specific economic and financial measures must understand is that there will be real and lasting consequences for the west of not demonstrating resolve in the days and weeks ahead. I fear that the consequences are already clear. We have a Russia emboldened in its ambitions towards Ukraine; a central Europe ever more fearful of future political destabilisation and military insecurity; and a United States increasingly concerned about Europe's willingness to act, even diplomatically and economically, in the face of such threats. A combination of deft diplomacy, shared resolve and a unified response are the best means by which we can de-escalate this continuous and dangerous crisis, and ultimately re-affirm Ukrainian sovereignty and preserve European security. The British Government will have our support in working to achieve that desired outcome.

None Portrait Several hon. Members
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