European Union (Referendum) Bill

Debate between Gareth Thomas and Helen Goodman

Friday 22nd November 2013 Commons Chamber

[Mr Thomas]

I am grateful to the hon. Gentleman for intervening on me to tell the Minister for Europe what he wants, but the Minister shows no signs of getting up to intervene and tell the House what powers and competences the Prime Minister wants to get back and whether they will meet the hon. Gentleman’s ambitions.

Thirdly, I suspect that the hon. Member for Windsor can make common cause with other Members who have tabled similar amendments to change the date of any referendum. My right hon. Friend the Member for Neath and my hon. Friends the Members for Ilford South, for Glasgow North East and for Derby North have suggested in amendment 77 that the period from July to December 2017, when Britain holds the presidency of the European Union, should be avoided. Surely that will be this country’s moment of maximum influence in Europe, when the Prime Minister of the day chairs the European Council and can set the agenda and force the rest of the European Union to consider Britain’s priorities. At that moment the Conservative party would have all the machinery and influence of Government focused not on fighting Britain’s corner but on fighting Tory Eurosceptics. It is diplomatic nonsense. It is not worthy of a Foreign Secretary supposedly serious about fighting for our national interest.

As the amendments tabled by my hon. Friend the Member for Ilford South, amendments 21 to 27, and his speech underlined, the complete lack of flexibility in the Bill over dates for a referendum is surprising. In Committee the hon. Member for Cheltenham set out the perfectly plausible possibility that negotiations on treaty change might be ongoing as the Bill’s arbitrary deadline approached. Indeed, in Committee the Minister half accepted that such negotiations, involving many countries and considerable complexity, could still be taking place, but he was not prepared to allow any flexibility in the legislation. Ministers could be in the middle of crucial negotiations, but rather than concentrating on completing them just when they are in their most sensitive stage, they would have to switch all their attention from fighting Britain’s corner to fighting a referendum campaign. How on earth could such a situation be in the national interest? Is not the truth that the fruitcakes are not in UKIP; they have just been gobbled up by Ministers.

Despite my sympathy for what I think are the motivations of the hon. Member for Windsor, I cannot recommend support for his amendment. Given that for 40 of the past 41 months since the Conservative party took power prices have risen faster than wages, as a country we should be spending the next year concentrating on improving living standards, increasing the number of well paid jobs and tackling energy bills. A referendum next year, or indeed in four years’ time, would make that task harder as a result of all the uncertainty it would bring.

Consultation with a wider field of national bodies and local government, as amendment 68, tabled by my hon. Friend the Member for Glasgow North East, suggests, might have enabled the Prime Minister to withstand the pressure from the Tory right over timing. Why was a referendum later in the next Parliament ruled out? There does not appear to have been any input in that decision by any recognised national or local grouping, yet the Bill rules out such flexibility. Is not the truth that too many Conservative Members, because they do not trust the Prime Minister on matters European, are unwilling to trust him on the issue of a referendum beyond the halfway point of the next Parliament?

Let us consider the merits of amendment 68. When the Prime Minister decided to take the risk of allowing Britain to leave the European Union, at a potential average cost of £3,000 to the living standards of the British people, there was probably no one in the room who was not a member of the Conservative party, apart from Lynton Crosby. There was no one else to give the Prime Minister a view on whether a referendum might be in the national interest, or indeed, if a referendum were in the national interest, how it should be conducted and what information should be available when it took place.

[Helen Goodman]

On the amendment tabled by our hon. Friend the Member for Glasgow North East (Mr Bain), does my hon. Friend not agree that this consultation is extremely important and necessary, given that the Bill has not been treated, as it should have been, as a constitutional Bill, with pre-legislative scrutiny and an opportunity for evidence-taking? We must have the amendment; otherwise, we will never know what enormously important stakeholders in this country believe.

[Mr Thomas]

My hon. Friend makes an extremely important point, as indeed has our hon. Friend the Member for Glasgow North East. She points to the consultation deficit that is implicit in the way the referendum has been brought forward.

Nobody seriously doubts that a referendum will inject uncertainty into British economic life, putting at risk our constituents’ jobs and opportunities for higher living standards. The amendment offers the prospect of serious voices from outside the narrow confines of the Conservative party contributing to the debate on whether a referendum might be held and, if so, when and how. They would be calmer voices than those of Conservative Members terrified of losing their seats. When there is increasing talk about the possibility of interest rates rising, it is hard to believe that the Prime Minister is willing to risk such a huge cut in the living standards of the British people—£3,000 a year per household, according to the CBI—simply to try to maintain the fiction of unity over Europe among Conservative Members.

New schedule 2, tabled by my hon. Friend the Member for Glasgow North East, specifically suggests that the CBI should be consulted. I would welcome that, because a dose of realism about the stakes involved in a decision to leave the European Union is sorely needed. Any debate on whether, when and in what circumstances a national referendum should be held should surely be informed by contributions from those recognised as representing some of the major interests and communities in the UK.

Financial Services Bill

Debate between Gareth Thomas and Helen Goodman

Monday 10th December 2012 Commons Chamber

[Mr Gareth Thomas]

I am grateful for this opportunity to take part in the debate tonight. I echo some of the concerns that have been expressed by my hon. Friends the Members for Bishop Auckland (Helen Goodman) and for Nottingham East (Chris Leslie). I hope that the Minister will see his response to the debate as an opportunity to convince the House that Lords amendments 25 and 78 are not part of an attempt to put off action on payday lenders or on lending deserts.

I want to offer the House the example of the community of Thamesmead and Abbey Wood. It is a community of about 55,000 people in south-east London. The houses there were built in the 1960s in response to what was then seen as London’s housing crisis. There is no bank branch in the whole of that community. Not one of the big five banks has a branch there. The nearest branch is 30 to 45 minutes away by public transport. This is not for want of trying by a whole series of people to convince the big five banks to establish themselves in the area. An excellent organisation, the Thamesmead Trust, has tried to persuade the banks to set up there. The former Member of Parliament for Erith and Thamesmead, John Austin, has also tried many times, and the present Member, my hon. Friend the Member for Erith and Thamesmead (Teresa Pearce), has made a number of efforts as well, but there is still no bank in the area.

The community of Thamesmead and Abbey Wood is clearly not the only area without a bank, as my hon. Friend the Member for Bishop Auckland illustrated, but I worry that many of the lending deserts in this country are not yet out of the closet, if I can use that term. We do not have the necessary information to chronicle by postcode the lending that is taking place to businesses and to individual consumers. As my hon. Friend the Member for Nottingham East said, many of the banks in question are established in the United States, where they have to provide those data. As I said in an earlier intervention, President Obama supported calls for business lending to be publicised, on a postcode basis, so that people could see where lending was taking place and where it was not. That provision has now been written into American law.

We have called not only for the publication of lending data by postcode but for an obligation to be placed on banks to lend into every community. If they are not prepared to do that themselves, there should be an expectation that they will do so through community development finance institutions, through charity banks or through credit unions, but the obligation should be on the banks to demonstrate that they were providing lending into communities through those alternative sources if they were not prepared to do so directly themselves.

[Helen Goodman]

My hon. Friend reminds me that I asked HSBC, when it was closing its branch in my constituency, if it would instead put £10,000 into the local credit union. I received a letter from the bank today saying that it would not.

[Mr Thomas]

My hon. Friend gives a good example of the lack of joined-up thinking in our financial services markets. It would be good to see the big beasts of the financial services jungle supporting the newer players that want to address the problem of lending deserts.

Numerous websites offer comparisons between banking products, but the Centre for Responsible Credit has highlighted how, in practice, the banks release very little information about their lending at community level, either for businesses or for personal customers. Data on lending to and deposits from small businesses and third sector organisations, by postcode or at neighbourhood level, are not routinely available in the UK, even though much of that information is held by the banks and could be released.

The last time I spoke to representatives of the British Bankers Association, they told me that they were looking at this issue. It would be good to hear what the Financial Secretary thinks about it. My hon. Friend the Member for Nottingham East clearly thinks that the Minister will be a new broom sweeping through the fusty ways of the Treasury, and I hope that he will use his considerable influence to maintain the pressure on the British Bankers Association to step up the release of those data. I also hope that he will use his meetings with the chief executive and board members of the Financial Conduct Authority to require them to initiate similar pressure, in private before the FCA is properly established, and in public thereafter.