European Council

Ian Davidson Excerpts

Monday 21st June 2010 Commons Chamber

[The Prime Minister]

Absolutely the opposite. What is interesting is that, since what has happened in Greece and the problems of sovereign debt, European Union members are pretty much unanimous that one has to take action on budget deficits, and one has to do it now. The risk is falling confidence; that people will not lend us money; and going the same way as Greece. The one group of people who now seem to be completely outside that consensus are those in the British Labour party. They, for reasons of political advantage—or pretend political advantage—are the last people who think that one does not need to deal with the budget deficit. That is very short-sighted and very wrong, and I think that they will come to regret it.

[Mr Ian Davidson (Glasgow South West) (Lab/Co-op)]

If the Prime Minister is telling us that there is widespread agreement across Europe that deficits need to be cut, can he tell us exactly what progress was made in getting his European partners to agree that the money with which we subsidise the European Union will be cut? I am talking about not just the costs of the bureaucracy, but the subsidy that we give every year to the EU.

[The Prime Minister]

I know that the hon. Gentleman takes quite a robust view on this, but I have to say that, from where I stand, the previous Government gave away £7 billion of the British rebate and got nothing in return, in terms of a proper review of the common agricultural policy. As I said, when it comes to financial perspectives for the EU, we have to constrain the spending of the organisation, particularly as we will be constraining the spending of pretty much everything else.