Tuesday 18th June 2013

(11 years ago)

Commons Chamber
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David Lidington Portrait Mr Lidington
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I am speaking about this because it is very relevant to the communication which the European Scrutiny Committee has referred to the Floor of the House—indeed, it relates to one of the integral parts of that communication. While I am the first to argue that the European Union ought to slim down its bureaucracy, and I would probably agree with the hon. Gentleman that there are some European institutions whose absence we would not mourn because they do not contribute much to the well-being of European citizens, I believe that the arrangements for the election of a successor to President Barroso are quite important, because the holder of that office will be in a position to exercise a significant influence on policies that affect this country. It is therefore important that we are clear about the rules under which his successor will be selected. It is also important that the UK Government make it clear that we will resist any attempt to interpret the treaties as limiting the choice available to the European Council in a way that is not justified by the text of the treaties, but which some in other parts of Europe are keen to see.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg (North East Somerset) (Con)
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On that point, how does my right hon. Friend interpret the start of article 17(7) of the treaty on European union:

“Taking into account the elections to the European Parliament and after having held the appropriate consultations”?

Surely the only way to take into account the elections to the European Parliament is to consider the results by political party. If the Commission brought forward specific proposals in this regard, what legal response would the Government have, or how might the European Court of Justice interpret it?

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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Order. Minister, you are stretching the debate very widely, as the document is not legally binding and therefore that is not to do with why this matter has been referred to the Floor of the House. This is not a blue-sky thinking exercise. Of course refer to the article to which the hon. Gentleman refers, which lays out the process, but please stick to what is on the Order Paper and what is before us now, not in future.

Baroness Primarolo Portrait Madam Deputy Speaker
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Mr Jacob Rees-Mogg, I am speaking to the Minister, not you. I was not ruling what you said out of order.

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David Lidington Portrait Mr Lidington
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In answer to my hon. Friend the Member for North East Somerset (Jacob Rees-Mogg), let me explain our view on article 17(7). The European Council retains complete freedom to nominate whom it wishes. It is required to take into account the elections to the European Parliament, but there is nothing in article 17(7) or elsewhere in the treaty on European union that suggests the European Council is in any way mandated to limit its election to a particular pool of candidates. Indeed, it may be that no one political family commands a majority in the European Parliament, or it may be that different combinations of European political parties within the European Parliament prefer one candidate rather than another, and it may not be possible, simply by looking at which of the larger European groupings ends up in the lead after the elections next year, to determine what the preference even of the Parliament itself might be as to the preferred candidate.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg
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On page 14 of the package before us of the Commission’s communications, it specifically quotes article 17(7) in support of its point about political parties and the European presidency. I therefore wonder if it is reading more into article 17(7) than the Minister believes is there.

David Lidington Portrait Mr Lidington
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I believe it is, and I think it is fair to say that there are plenty of people in and around the European Commission, and indeed the European Parliament, who believe—perfectly honourably—that the way forward is to move towards a system in which it is the European Parliament, rather than the Heads of Government assembled in the European Council, that has the key role in nominating the President of the Commission and thereafter holding the Commission to account. These are people who believe that it is right and possible to create a European demos, and see that step as a way so to do. What I am saying to my hon. Friend is that I see, and the Government see, nothing in the treaty that requires the European Council to limit its freedom of action in the way that some are suggesting.

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Martin Horwood Portrait Martin Horwood
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I think that we are trying to raise the tone of the debate and not to refer to things that were said in the heat of the moment. I think that the Thatcherite idea that we should not give more democratic legitimacy is quite a destructive way to approach the European level of government. I am in favour of more democracy, more openness and more accountability.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg
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It is always too tempting to fail to intervene on my hon. Friend’s speeches, but the point that Margaret Thatcher was making was that there was no demos and that therefore there could be no democratic legitimacy. The first principle of democratic legitimacy is to have a people who care about each other.

Martin Horwood Portrait Martin Horwood
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Yes, and I think the European people do actually care about each other. When I take part in the councils of the Alliance of Liberals and Democrats for Europe—I am looking forward to this over the next few months as we move towards our London congress, which I am proud to have taking place in this very city—I care about the welfare of people outside the United Kingdom, and I think that other Europeans care about the welfare of this country as well.

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Jacob Rees-Mogg Portrait Jacob Rees-Mogg (North East Somerset) (Con)
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I am usually very nervous when there is an outbreak of complete consensus across the House. It is usually a sign that we are all getting things wrong together, but I think that this occasion is the exception that proves the rule. We have heard from my right hon. Friend the Minister, the hon. Member for Wolverhampton North East (Emma Reynolds) and, amazingly enough, the Lord High Almoner of pro-Europeanism, my hon. Friend the Member for Cheltenham (Martin Horwood).

Martin Horwood Portrait Martin Horwood
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The hon. Gentleman may like to know that when I was a candidate in the Cities of London and Westminster I was once described as the Eurosceptic wing of the Liberal Democrats. I think the implication was that it was not very big.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg
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I am sorry to say that my hon. Friend has been led down the path of temptation towards pro-Europeanism since he stood in the two cities.

We have heard a remarkable outbreak of consensus, which is important and is why the European Scrutiny Committee wanted the document debated. One of the things we learn from the processes of the European Union, particularly those of the Commission, is that things start at an early stage with a little document that has no legal force and is there for a general, genteel discussion. Nobody says very much about it, so the Commission assumes that there cannot be very much opposition to what is being proposed and that it is perfectly reasonable and achieving consensus. Then the document gets hardened up into a proposal and then into a directive or a regulation, and before we know where we are we are opposing a fully fledged, fully formed idea, which is, of course, much harder to do than when things are at an early stage, when the Commission can back down without significant loss of face and there has been no momentum in favour of the proposals.

I would caution us, none the less, against being too complacent about what the Commission may do next, because it has a treaty base—it is set out in the ESC report—for some of its proposals. The Minister has covered this, but article 10(4) of the treaty on European union says:

“Political parties at European level contribute to forming European political awareness and to expressing the will of citizens”.

The importance of a treaty base is that it gives the Commission the ability to bring forward proposals. Once it has the treaty base, although it may appear not to apply on a simple first reading, it can be used, it is justiciable before the European Court of Justice and it fits into the general European approach of centralising powers.

As you know, Madam Deputy Speaker, I am particularly concerned about article 17(7) of the treaty on European Union, which speaks of

“Taking into account the elections to the European Parliament”.

What the European Commission is trying to do—its own paper sets this out more clearly—is to establish the European Parliament as that which gives democratic legitimacy to the European Union. I contest that fundamentally. What gives democratic legitimacy to British involvement in the European Union is the European Communities Act 1972 and the sovereign will of this Parliament—a sovereign will that can be changed. I am therefore strongly opposed to the developing European theory that it is the European Parliament that is the basis of democratic legitimacy.

I would suggest that democratic legitimacy within Europe as it is currently constructed, based on the 1972 Act, lies with the Council of Ministers, because those Ministers are responsible to their sovereign Parliaments and have to report to them on what they have done. The paper from the Commission does not take that into account. Indeed, it tries to establish a new basis for the democratic legitimacy of the European Union.

If that view won widespread acceptance across member states, the question would arise as to whether our initial acceptance of powers for the European Union through the 1972 Act was still the basis of our membership or whether it had devolved to the new democratic structure set up by the European Commission and to the European Parliament. The Commission’s paper points strongly in that direction. Page 11 of the documents that we are discussing states:

“The role of the European Parliament as the representative democratic assembly of the Union has been underscored by the Lisbon Treaty.”

The same page speaks of

“the new definition of members of the European Parliament as ‘representatives of the Union’s citizens’ and not simply as ‘representatives of the peoples of the States brought together in the Community’.”

Even a straight reading of that shows the ambition of the Commission to build political validity through the European Parliament, which of course requires single European parties.

I am strongly opposed to single European parties, partly because if I put myself up in North East Somerset as representing the Conservative and Unionist party, plus a random collection of European parties, it would not help me, but also because it discriminates against parties that are very focused on their national interest. I was thinking about UKIP and what acronyms we might get if it coalesced with other parties across the continent. There would be FIP in France, DIP in Germany, HIP in Holland and GIP in Greece—GIP might be particularly appropriate in Greece. There would be a discrimination against parties that are particularly focused on the interests of their nation if we went down the route of what the European Commission proposes.

I am arguing that there is a fundamental flaw in the European Commission’s paper. That flaw is the idea that the European Parliament can be or is the body of democratic legitimacy for the European Union. By pushing that view, the Commission delegitimises national Parliaments and tries to accrete powers to itself, for example through the proposal on political parties, to promote its own view. It is therefore a matter for rejoicing, once again, on Waterloo day that there is such unanimity across the parties in this House. I hope that in two years’ time, when we have a full celebration of the 200th anniversary of Waterloo, funded by the Treasury, we will be safe and clear from aggressive Commission documents that try to steal powers from the British subject.

David Lidington Portrait Mr Lidington
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I am grateful to all hon. Members who have taken part in the debate. I do not want to detain the House long, so I will try to reply briefly to the various questions raised. My hon. Friend the Member for Daventry (Chris Heaton-Harris) asked how funding from European political parties and other EU sources might influence domestic election campaigns in the United Kingdom. I want to place on the record that participation in elections in this country, including European elections, is regulated by UK electoral law, and that includes the use of funding in campaigns. United Kingdom law prohibits the use of funding from sources outside the UK, including European political party funding. A prohibition on the use of EU funding by national political parties is included in the draft new European political party proposals—those are other EU documents that the House considered in Committee a few days ago.

The hon. Member for Wolverhampton North East (Emma Reynolds) asked whether the Commission is aware of the Government’s concerns about its communication, and the answer is a definite yes. Our—I was going to say reservation, but I think it is rather stronger than that— belief that the initiatives are simply misplaced and will not contribute to resolving the acknowledged democratic deficit of the European Union is well known, and United Kingdom officials and Ministers will continue to express their views on that in any future debates.

The hon. Lady asked about the position of the European Parliament, and as my hon. Friend the Member for Cheltenham (Martin Horwood) said, the AFCO committee of the European Parliament has produced a report that covers much the same area of policy as that addressed by the Commission’s communication and recommendations. Like the Commission documents, that report points towards a greater role for European political parties and the European Parliament in determining the successor to President Barroso in the Commission. The plenary Session of the European Parliament is due to debate and vote on the report next month, and I cannot predict how it will vote on that occasion.

The hon. Lady’s final question concerned what future Commission initiatives we expect to follow up the proposals. At the moment, there is no sign that the Commission plans to go further than its published recommendations, and the Government’s view is that the longer that remains the case, the better. We do not think that the recommendations add anything to the democratic problems that Europe faces.

I can give some reassurance to my hon. Friend the Member for North East Somerset (Jacob Rees-Mogg) about articles 10(4) and 17(7) of the treaty on the European union. The full text of those articles contains a number of statements about how the European Union should organise its business, but there is no provision for the Commission to bring forward legislation and put it to the Council or Parliament. I would contrast that with the provisions in article 223(1) of the treaty on the functioning of the European Union, to which I referred earlier. That provides for changes to the law to be initiated by the Commission, and to be subject to the unanimous agreement of all member states. The enabling power for new legislation is not included in the text of articles 10 and 17, and that is why I said that the only way it would be possible to impose a mandate on the European Council to limit its nominations for President of the European Commission to lead candidates nominated by European political parties, or even to the lead candidate of the leading party after a European election, would be through the mechanism of treaty change. As my hon. Friend probably knows as well as anyone else in the House, that would require a process and certainly the unanimous agreement of every member state, and have national ratifications.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg
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My question might be too hypothetical, but if the Council puts forward somebody who has never been associated with a political party, would that be challengeable in the European Court of Justice?

David Lidington Portrait Mr Lidington
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In theory, anything is challengeable, in the same way that almost any Executive decision in this country is challengeable under judicial review. Our view is that the duty on the European Council is no more and no less than that provided in article 17(7), which is to have regard to the outcome of the European Parliament elections and engage in the appropriate consultations. If the intention of the authors of the TEU had been a mandate, it would be spelled out in the wording of the treaty. My hon. Friend is right that there is an ambition on the part of a number of people in the Commission and the European Parliament not to seek treaty change—not at the moment, at least—but to bring about a working assumption that national Governments assembled in the European Council should limit themselves in the way they wish. As I have said, we strongly resist that assumption.

I conclude on this point. We have a set of recommendations that are not legally binding, and there is currently no suggestion of legislative proposals from the Commission to give effect to its recommendations. Any such legislative proposals would need the unanimous agreement of every member state, under whichever treaty article they are brought forward. I believe—this was the view on both sides of the House—that the recommendations are fundamentally misplaced. There is a serious problem across the EU, with public disaffection with the EU and how its decisions are taken rising to record levels. We have seen that reflected in part in the rise of populist parties—some democratic, some undemocratic and neo-fascist—in many different EU countries. For that real problem to be addressed, the EU needs to show in its priorities that it is focused on those things that really matter to the prosperity and security of the peoples of Europe. The arrangements by which the EU takes decisions needs to be reformed in a way that gives greater influence and authority to national Parliaments, to which Heads of Government and Ministers in the Council are ultimately accountable.

Question put and agreed to.

Resolved,

That this House takes note of European Union Document No. 7648/13, a Commission Communication on preparing for the 2014 European elections and enhancing their democratic and efficient conduct, and No. 7650/13, a Commission Recommendation on enhancing the democratic and efficient conduct of the elections to the European Parliament; notes that whilst European political parties are free to support candidates for Commission President, this does not limit the European Council’s selection of a candidate; agrees with the Government that the suggestion for a common voting day across the EU is unhelpful and would achieve the opposite of the stated intention of increasing voter turnout; and further notes that there is currently no indication that these documents are going to be followed up by formal legislative proposals.