European Union Bill

James Clappison Excerpts

Monday 24th January 2011 Commons Chamber

[Chris Heaton-Harris]

That is not what is contained in the hon. Gentleman’s amendment. Perhaps we can have this conversation elsewhere at a later date, because I do not wish to take up the Committee’s time, but the Labour amendments would confuse the situation. Rather than open up the chance of our having referendums, they would close it down. I would like to think that we will not have to vote on amendment 85, but I fear that we probably will.

I wish to talk about the significance condition in the Bill, and about amendment 11, tabled by my hon. Friend the Member for Hertsmere (Mr Clappison)—an important amendment on which we should divide. The British people have given up on politicians and political parties a bit when it comes to Europe. They elect representatives to this place on party platforms that do not necessarily reflect their views on Europe, because matters European do not stack up in their priorities at a general election. People make decisions based on reforms to the health service, education, defence and a bunch of other matters, and when we ask them how significant Europe is in deciding how to vote, we find that it falls way down the list. They are therefore trusting us, in a way, to do a job for them when we discuss the matter in the House. We, the political classes of this country, and I as a former MEP, have let the people of this country down.

The hon. Member for Caerphilly might say that the Lisbon treaty was not the constitution, but the fact is that the British people do not trust anybody on these matters now. They think that we are all the same, and that whatever we say will simply not happen. As the hon. Member for Birmingham, Edgbaston (Ms Stuart) put it, we are all in favour of referendums when we are in opposition, but we are certainly not when we are in government. I welcome the Bill, because we can say to the British people that that has stopped.

There are matters in the Bill on which a Minister must judge whether something is “significant”. I understand the fact that it sets out 44 vetoes, 12 decisions and eight ways of increasing EU competences on which a referendum will be mandatory and there will be no significance test. I hope that the Minister will say in what situations the significance test will be used, because I should like clarification of that point.

I believe that the significance test will apply when there is a possibility of conferring on an EU body or agency new powers or the ability to raise sanctions against the UK. There is a whole list of exciting and interesting EU agencies, and I understand that the European Agency for the Management of Operational Cooperation at the External Borders having an extra competence might not seem a huge issue for the Committee. However, I should like the decision to be taken by the House, not by a Minister. Such decisions are best taken by the Members of this place and those of somewhere else a bit further away. I should like the Minister to state why he believes such minor matters, as it were, do not warrant debate in the House.

[Mr James Clappison (Hertsmere) (Con)]

My hon. Friend is making a compelling case. He is talking about minor matters, but does he agree that the Government concede that they could be significant enough to warrant a referendum? The question is not whether they are significant enough, but who decides whether they are significant enough. Would a Minister alone or the House make that decision?

[Chris Heaton-Harris]

I concur with my hon. Friend. Although I completely trust the Minister, I am slightly concerned that, in future, the role might be played by a Minister who was not so interested in those matters.

--- Later in debate ---

[Ms Stuart]

There are plenty of inherent inconsistencies both in the original Bill and in the amendments. I was involved in the tabling of amendment 11, which makes it clear that if there is any doubt, it should be resolved by this House.

As a final observation, in our Parliament, the Executive always has a permanent majority. We can rely on the strength of this House only if there are sufficient Back-Bench Members who defy their Front-Bench Members. I see the Conservative Benches full of Members, so let me point out frankly that tonight provides them with a chance to show whether they have the guts and the courage of their convictions. They said all sorts of things in the process of their election and now they have an opportunity to defy their Front-Bench team, support an amendment tabled by a majority of Members of their own side and restore faith to this place.

[Mr Clappison]

What a great pleasure it is to follow the hon. Member for Birmingham, Edgbaston (Ms Stuart). As to the generality of her comments, I found nothing in what she expressed to the Committee to contradict my experience over five years of the European Scrutiny Committee. I intend to be as brief as possible, because I know that other Members wish to speak and that important amendments on other issues are due for debate later. I am sure that my hon. Friends share my wish to debate those important issues, particularly accession.

Let me say a few words in support of amendment 11, on which I shall seek a separate vote and hope I am lucky enough to achieve it. By way of introduction I should say that, in seeking to establish that a referendum is required before certain steps are taken, the Bill is a great improvement on the existing position. The Bill is also a significant improvement in requiring other steps, such as an Act of Parliament or a vote of this House where a referendum is not required.

I am genuinely concerned, however, that there remain some very significant gaps in the scheme of the Bill, and I believe that it is at this point in our detailed scrutiny that we should try to fill those gaps. It will be very disillusioning for all those whom we have promised and have led to expect that there will be a referendum on great transfers of power or great decisions in the European Union if that referendum does not take place. We want to do all that we can to avoid that sense of disillusionment. It is against that background that I seek to deal with the problem of the significance condition, to which hon. Members have referred.

Simply, amendment 11 would give Parliament a vote on whether certain transfers of power to the European Union are significant enough to warrant a referendum. As the Bill stands, the decision on whether matters are significant enough is in the hands of the Minister alone, subject to a challenge in the courts. Parliament does not get a say, however, at least on the question of whether there should be referendum.

[Mr Bernard Jenkin (Harwich and North Essex) (Con)]

I am listening carefully to my hon. Friend, not least because I put my name to his amendment. If the significance condition was not met, and therefore the Government were not proposing a referendum, do I understand correctly that legislation would still have to be brought to the House? If so, would the House not get an opportunity to give an opinion on whether the significance condition was met in any case? Will he clarify that?

[Mr Clappison]

I am grateful to my hon. Friend for putting his name to my amendment, and it is indeed the case that, whether or not the significance condition is met, there will have to be an Act of Parliament to give approval to what is proposed. However, there would be no requirement for a vote in the House on whether to hold a referendum, and there should be such a requirement in the Bill. I will endeavour to explain how relying on an Act of Parliament would be very inferior. If hon. Members want an illustration, they will see none better than all the vicissitudes of parliamentary process that we are experiencing this afternoon in trying to amend the Bill. For example, if this evening we do not reach the question of whether to hold a referendum on an accession treaty, the matter will fall, and unless it is chosen for debate on Report, again subject to all the vicissitudes of the parliamentary process, it will simply not get considered, even though it is very important. That might also happen in future, and that is why relying simply on amending parliamentary legislation is very inferior to putting a requirement on the face of the Bill.

[Mr Dorrell]

Is there not an important difference, however, between the circumstances today and those that would prevail in the context of future legislation that the Government concluded was not sufficiently significant? Putting such a killer amendment to the Bill would mean that no Member who would have supported that amendment if it had been called should have any reasonable basis to support the Bill on Third Reading.

[Mr Clappison]

The point could also be made that we have a very friendly Government who have given us five days—we would have liked a bit more time—for debate in a proper way. Those of us who can remember the treaty of Lisbon being taken through the House will remember how guillotines can be applied and how very important issues can go without being debated at all. I seem to remember that we debated the entire foreign and security policy and the question of common defence in about 45 minutes.

[Mr Dorrell]

I do not think my hon. Friend will remember a Bill going through the House without going through Third Reading.

[Mr Clappison]

There is that point, but I think that my right hon. Friend would find that it is all subject to the vicissitudes of parliamentary process, and such a reliance is inferior to placing a requirement in the Bill. In future, if the argument were advanced for a referendum, he and I might see a Minister stepping forward to the Dispatch Box and saying, “It is all very well hon. Gentlemen arguing for a referendum. When we had the European Union Bill, it was decided not to make it a requirement for Parliament to have a vote, and to leave it to the Minister alone to decide whether the matter was significant.” To coin a phrase, that would be a killer argument.

[Mr Jenkin]

May I put it to my hon. Friend that if we accept the premise of my right hon. Friend the Member for Charnwood (Mr Dorrell) that there is no point putting the amendment in the Bill because the Act will have to come before Parliament in any case, we might as well ask, “Why are we bothering with the Bill at all?” The whole basis of the Bill is to ensure that the Government’s feet are held to the fire over the definition of the treaty. The whole business of significance is totally malleable. If my right hon. Friend the Member for Charnwood does not understand that we need to treat such matters differently from how we treated them in the past, I honestly expect to see him in the Opposition Lobby on Third Reading.

[Mr Clappison]

My hon. Friend makes a very fair point. Why are we making all the other requirements for a referendum clear on the face of the Bill if we can simply tack something on to Report or Third Reading? Why are we bothering to go through the whole process? To leave out this question, when we are making all those other requirements, would leave a significant gap, and in times to come we might contemplate with some regret our failure to fill in that gap. I cannot see the great problem with requiring a vote of the House to approve a Minister’s opinion. On these Benches, and probably in other parts of the House, Members stood on a manifesto that promised greater parliamentary scrutiny, and this is an opportunity to fulfil that promise. I can see no great obstacle to doing that.

[Mr Cash]

In supporting amendment 11, may I ask my hon. Friend whether he is aware, as I became recently when the Finnish delegation came over, that Ministers in Finland—and certain other member states—have established a very good practice whereby they must appear before the Finnish Parliament’s equivalent of the European Scrutiny Committee to ensure that there is compatibility between what goes on in Parliament and what the Minister decides on such important matters?

[Mr Clappison]

With his great experience, my hon. Friend makes an important point, and there are similar arrangements in the Danish Parliament. The House should seek to have the best arrangements possible. I welcome right hon. and hon. Friends’ movement in the right direction, but if they do not move on this point, they leave a significant gap in future. Briefly, I will try to explain how big a gap that could be.

There are only two clauses that cover a statement of significance by a Minister and to which the significance test applies. The others all concern competences or changes in the voting procedure. However, these two clauses are very important, as they cover the transfers of power that are apt to be made under the simplified revision procedure of article 48(6) referred to in clause 4. I will give way to the Minister for Europe, who is looking very interested in these points, if he disagrees with me. The powers that Ministers decide are significant enough to warrant a referendum, if they are transferred to the European Union, are those that will come to the House as a result of the simplified revision treaty. That important procedure was introduced specially by the treaty of Lisbon. I will give way to any Member, including my right hon. Friend the Member for Charnwood (Mr Dorrell), who wants to disagree. That procedure made it easier and quicker to make constitutional change, and to bring about a transfer of power from nation states to the European Union.

We have spent some time debating whether we should have had a referendum on the treaty of Lisbon, the treaty of Maastricht, the treaty of Amsterdam or the treaty of Nice. However, under the simplified revision treaty, a treaty in those forms is not required. There is no requirement for a convention and all the other lengthy procedural steps that preceded the treaty of Lisbon. It is simply a matter that can be agreed between the member states at a Council meeting, and then approved by the individual Parliaments. The whole point of the simplified revision treaty was to make it quicker and easier to integrate powers in the European Union. It is a sort of “speeding up of European integration” provision. The provisions that are subject to a ministerial test of significance are the ones that will ensure that these matters are brought before the House. They embody the procedure of simplified treaty revision. There are only two of them, but they are very important. All the other provisions—or at least the preceding ones, which deal with competence—would require a full constitutional process under the ordinary treaty revision procedure with which we are all so familiar.

--- Later in debate ---

[Charlie Elphicke]

rose—

[Mr Clappison]

I shall give way first to the hon. Member for Cheltenham (Martin Horwood) and then to my hon. Friend the Member for Dover (Charlie Elphicke), who has been waiting very patiently.

[Martin Horwood]

Surely the whole point of the simplified revision procedure is that it relates to changes that are relatively uncontentious and therefore insignificant. That is quite an important factor. Moreover, as even those changes will require an Act of Parliament, they will be subject to a vote in the House of Commons.

[Mr Clappison]

We have just been debating the hon. Gentleman’s second point, but I shall say more about it shortly. However, I think that if he studies the Bill he will find that if he votes in favour of the clause, he will be voting in favour of the possibility of a referendum if the Government consider the effect of the provision concerned to be significant enough. It is not a question of whether it might be significant enough, otherwise the clause would not be in the Bill. If a Minister says that it is significant enough there will be a referendum, and I welcome that. It is a question of how we decide whether it is significant enough for a referendum. Should we leave that decision to a Minister, or should it be made by means of a vote in the House of Commons and the other place?

[Charlie Elphicke]

I find amendment 11 very attractive, because it would ensure that the Minister was subjected to a vote in both Houses. But what would happen if sweeping powers were passed to the European Union which anyone would describe, objectively, as significant, if both Houses were whipped to ram the legislation through, and if they did so? Where is the backstop to ensure that the British people are not cheated out of a referendum in such a case?

[Mr Clappison]

It would be a matter for this House and the other place to express their opinion and to vote for a referendum. That is in addition to all the other procedural steps contained in the Bill. It is not a case of either/or. We propose a further process: indeed, a further safeguard against the granting of significant powers to the European Union, as well as the powers for which the Bill already provides. I know that my hon. Friend is concerned about that issue.

[Martin Horwood]

rose—

[Mr Clappison]

No doubt the hon. Gentleman will try to persuade me that the Bill does not say that that is significant enough for the holding of a referendum. I think that, if he reads the Bill carefully, he will find that it is.

[Martin Horwood]

The hon. Gentleman is being very generous with his time.

Surely even provisions that the Minister considers to be insignificant must be subject to a vote in the House of Commons, as an Act of Parliament will still be involved, and surely the backstop referred to by the hon. Member for Dover (Charlie Elphicke) is the ability of Members to vote against the Bill concerned and defeat it if they disagree with it so strongly.

[Mr Clappison]

I do not wish to be unkind to the hon. Gentleman, but I believe that I dealt with that point in my reply to my hon. Friend the Member for Dover. As I have said, this is not an either/or situation; the amendment provides an additional safeguard. I repeat that the powers that are transferred may or may not be significant, and this House and the other place may or may not vote in favour of the transfer. It is a question of whether the decision is made by Parliament or by an individual Minister—a Minister of the Crown, as the Bill puts it.

[Jacob Rees-Mogg]

As my hon. Friend knows, I have considerable sympathy with his amendment, but I wonder whether he may be looking a gift horse in the mouth. Given that an Act of Parliament is superior to a resolution of the House, if a resolution of the House were rushed through with remarkably little time and heavily whipped, it would be a great deal harder to insist on a referendum when the stage of the Act of Parliament was reached. Although, on first reading, I rather like my hon. Friend’s amendment, I am increasingly concerned that if it were passed, those of us who wish to insist on a referendum would have a harder task to fulfil.

[Mr Clappison]

My hon. Friend has clearly given the matter great consideration, but I think that he is wrong, and that if others agree with him, they are wrong as well. The procedure for which my amendment provides is exactly the same as that which the Government propose in other parts of the Bill relating to other transfers of power, including those relating to the title V provisions on justice and home affairs. If my proposed procedure is defective, so is the Government’s proposed procedure, because the terms of the amendment are the same as the Government’s. If the Minister’s opinion was that the effect was not significant enough to warrant a referendum and Parliament did not agree with that opinion, there would have to be a referendum, because the significance test would not have been met. That provision is in the Bill, so I do not think that it could be any stronger.

[Mr Cash]

The opinion of the Minister will in fact be the opinion of the Whips, who will wish to ensure consistency in the Act of Parliament to which reference has been made. For practical purposes, my hon. Friend is right. If Parliament has said that it does not approve of the opinion of the Minister, it will be an awful lot more difficult for the Bill to be whipped; and if the Whips did that, they would be in defiance of the very sovereignty to which I have referred repeatedly during our debates on the Bill.

[Mr Clappison]

My hon. Friend is right. The amendment follows the scheme of the Bill. Unless a Minister says that the transfer of power is insignificant, there will have to be a referendum, because the significance condition will not have been met. The amendment provides that if the significance condition is met because the Minister says that the transfer is sufficiently significant, there must be a vote in the House to prove that what the Minister has said is correct, and if the significance condition is not met, there must be a referendum.

Broadly, the question is this: does Parliament decide, or does a single Minister decide? The Government propose that a single Minister should decide, but, as my hon. Friend knows, there is a fall-back position, namely that the Minister should be challenged not in the House but by means of judicial review. I find that somewhat strange, as did some of the distinguished academic witnesses who gave evidence to the European Scrutiny Committee.

Under the Bill, if one of our constituents is aggrieved by what the Government propose, his recourse will be not to his Member of Parliament but to the courts, through judicial review. I think that that in itself sends a very odd signal. What should I tell a constituent who comes to my surgery and complains about the European Union, as some of my constituents do when it introduces a regulation that has an adverse effect on their jobs or companies, or when they disagree with some transfer of power? Should I say, “I am sorry. You may want a referendum, but you have come to the wrong place: you need to visit the solicitor’s office down the road”? I do not think that that is a very satisfactory state of affairs. We are told that clause 18 entrenches parliamentary sovereignty, but I think that if we adopt the proposal in this clause, we will bypass that.

[Jacob Rees-Mogg]

A Minister’s decision can be subject to a judicial review, and, under the Bill, the House would have an opportunity to insist on a referendum. If, on the other hand, the House voted against a referendum in a resolution, that would not be subject to judicial review, because procedures in the House cannot be reviewed by any court. I am beginning to think that the Government’s proposal for an Act is a stronger safeguard, because the Minister’s decision could be challenged and then voted on as part of the legislative process, whereas if the House were whipped to oppose a referendum, that would not be subject to any judicial review.

[Mr Clappison]

I fear that I must part company with my hon. Friend if he is suggesting that our democratic safeguard should lie in recourse to the courts rather than to Parliament. I am afraid that I must put Parliament first. In any event, as was demonstrated by evidence given to the European Scrutiny Committee by esteemed legal experts, it is very unlikely that a challenge to a decision by either a Minister or the House of Commons would succeed in a judicial review. I think that we are being led down a blind alley. In my opinion, even if the possibility of a judicial review of a ministerial decision had been contemplated in the explanatory notes or in ministerial statements, judges would be extremely reluctant to challenge a political decision on the significance of a particular transfer of power. I also believe that the fact that we are contemplating such a step as the main challenge to a Minister’s decision risks undermining the House of Commons while not providing any further safeguard.

[Mr Cash]

Although the Committee has rightly said that a judicial review might be considered unlikely in certain circumstances, the key question is what Parliament has said about the circumstances in which a referendum should be required. We should bear in mind above all else the fact that we in Parliament should decide what is in the interests of our own constituents. We are here to give them the opportunity on these matters—that is part of the Government’s overall case which, regrettably, fails on a number of tests as we go through these proceedings. The object of the exercise is to ensure that the people of this country have the right to decide on matters relevant to their daily lives. Regrettably, the fancy franchises being thrown up by these exemption conditions and significance arrangements are invading the central question, which is whether the people of this country should be allowed to decide after we have made our judgment on their behalf.

[Mr Clappison]

I am grateful to my hon. Friend for that point. The long and short of it is that the Bill provides that unless the significance condition is met and it is decided that a transfer of power is not significant enough to warrant a referendum—some transfers of power will not be significant enough, whereas others will be—there will not be a referendum. As the Bill stands, the Minister alone will decide whether that condition has been met and this House of Commons will not have the chance for a separate vote, before an Act of Parliament, on whether a referendum should be held. Even if someone were lucky enough to find the time and all the rest of it to table an amendment on this during the consideration of a Bill, it is unlikely such an amendment will succeed if this is not contemplated in this Bill. The Minister would simply say, “The Government of the day decided that there were certain occasions when a referendum would be required and this was the procedure for dealing with a referendum in these cases. It was decided that a Minister’s opinion was the test of significance or not, so this does not apply.” I do not see such an amendment being a successful avenue or a good defence to which to turn.

My amendment would provide an important safeguard, which is in addition to there being an Act. I welcome the provision for an Act, because that is a good thing. To be fair, an Act of Parliament is not required in these circumstances at the moment, because the transfers of power under the simplified revision procedure are simply subject to the resolution of both Houses. The Bill’s proposals are therefore a step forward, but we could do so much better. If we do not make the change that I am proposing, we will be leaving a big gap.

[Nick de Bois (Enfield North) (Con)]

I am very attracted to amendment 11, but I am struggling to understand one thing. It has been debated, but perhaps my hon. Friend can give me some clarity on it. He rightly says that an Act of Parliament will be required, but a Bill that is whipped will surely get through. Why does he believe that his amendment will be any more successful here?

[Mr Clappison]

For the same reason that placing something in a Bill is a stronger defence—it has stronger legislative authority—than leaving it to chance in the future. My amendment is a safeguard in addition to the Act of Parliament that will be required, and including in the Bill requirements on a referendum would make things legislatively stronger.

We come back to the question outlined by my hon. Friend the Member for Harwich and North Essex (Mr Jenkin), “Why put any of these requirements in the Bill and why provide these 44 situations where a referendum is required, given that each time we have an Act of Parliament for a treaty change, as we would have to have, we could simply do the same thing then?” That argument is being run in certain quarters, but it makes a mockery of the whole Bill. I do not want to be too unkind to those who promote that argument, but I merely say that it was fully ventilated during the European Scrutiny Committee’s deliberations and it was dismissed, and not only in one report. We produced a majority and a minority report, which disagreed on almost everything but agreed that a change needed to be made on the significance test. When one understands the two spectrums of opinion in the European Scrutiny Committee, one can see the measure of achievement in uniting the two.

[Mr Cash]

rose—

[Mr Clappison]

I give way to one of those spectrums.

[Mr Cash]

It seems inconceivable that if parliamentary approval for the Minister’s opinion were denied precisely because of the arguments that have been heard in the House of Commons, the Government would then say, “We are going to enact this anyway. Parliament has said that it disagrees with the Minister’s opinion that such and such applies, but we are going to pass this by way of an Act of Parliament.” That is just not real. The real decision would be taken on the assessment of the opinion of the Minister and that would be properly gone into if my hon. Friend’s excellent amendment were accepted.

[Mr Clappison]

My hon. Friend is absolutely right. Hon. Members will just have to face the fact that although the Bill is a step forward and contains very good provisions, we must not leave gaps. If we leave this gap, we leave a get-out clause to be used in the future. Given the volume of change that could come through the simplified revision procedure, that could prove very important indeed and we may regret our decision in time to come. I cannot see what the enormous problem is with having this requirement in the Bill. I am used to hearing the argument that something could be done in a better way and to hearing technical arguments, but my experience is that when such arguments are put before the House, they usually have little real basis. If we want to have something, we should vote for it. I see no reason of policy or substance that is an obstacle to my proposal. Perhaps the Minister will tell us why. He has been very reasonable and persuasive on many other points in the Bill.

[Mr Cash]

And very charming.

[Mr Clappison]

He has been very charming and dealt with things in a very satisfactory and open way.

[Mr Cash]

And very friendly.

[Mr Clappison]

He has been friendly. He has been a model of charm and ministerial competence, but he has not yet produced any credible reason why we cannot have a vote in Parliament to decide whether something is significant enough to trigger a referendum, as opposed to leaving it simply to a Minister. What is wrong with trusting Parliament?

[Nia Griffith (Llanelli) (Lab)]

I rise to speak to the amendments standing in the names of my Labour Front-Bench colleagues. People elect their MP to speak up for them in Parliament and that is what they expect us to do. They expect us to speak up, to do business for them and to do certain work for them because they have put us here and they cannot spend every minute of every day looking at every detail that they want us to look at. They expect the party in government to tackle the problems of the day. When I say that the general public do not want numerous referendums on technical matters it is not because I doubt their ability to study the issues and make up their own minds—they could of course spend their time doing that. What people tend to say to me is, “Nia, it is your job. You’ve been elected to do this. We want you to look at these things and tell us the best ways forward.” That is not because they cannot do this themselves. They expect us to do the nitty-gritty work on the legislation.

--- Later in debate ---

The hon. Lady and other hon. Members homed in on the question of Turkey’s accession, saying that the size of that country’s population made it a different case. That is not as straightforward an argument as she and others make out, because there have been occasions when a number of different accessions have taken place at the same time. A few years ago, 10 new member states joined the European Union at the same time. I believe that their combined population then was 73 million, which is slightly greater than Turkey’s population is now. I do not believe that anybody in this country argued at that time that a British referendum on those accessions was right. The point of principle here is that a referendum should be required when new competences or powers are given from the United Kingdom to the European Union. If Parliament wants to impose the additional requirement for a referendum to be held on a treaty change, including an accession treaty, Parliament is perfectly entitled to do so when the ratification Bill comes along.

[Mr Clappison]

The Minister is making a persuasive argument in a courteous way, but I must take him up on this point about the accession treaty. I believe that eight members joined at the same time and what took place then was in many respects a shambles, which would have been avoided by better scrutiny and if the question of a referendum had been on the table.

[Mr Lidington]

I am going to stick to my figure of 10. It does not make much difference to the principle of the argument, but I believe my figure is accurate. My hon. Friend rightly made a point about problems after some of those accessions, but that makes the case for member states to insist on the rigorous application of the accession criteria before accession takes place, rather than allowing countries in before they are fully ready and equipped and then arguing about it afterwards.