European Union Referendum (Date of Referendum etc.) Regulations 2016 Debate
Full Debate: Read Full DebateLord Forsyth of Drumlean
Main Page: Lord Forsyth of Drumlean (Conservative - Life peer)Department Debates - View all Lord Forsyth of Drumlean's debates with the Ministry of Justice
(8 years, 5 months ago)
Lords ChamberI am grateful to the noble Lord, who was helpful yesterday in one of the all-Peers briefing meetings that I have held to raise these matters. May I put on the record the answer I gave yesterday and respond immediately to his question? I have seen reports in the press, including in the Times. They have not been substantiated to me. Having been Chief Whip over a period of years, I am certainly aware of the fact that it would be highly unusual for any announcement of the Queen’s Speech date to be made as early as this. There is clearly no decision on that matter. However, the noble Lord raises an important fact about the Queen’s Speech and its interaction with the referendum. There is, I am assured, no inhibition on having the Queen’s Speech during the period of a referendum. That, I hope, underlines the initial answer that I gave yesterday. I am sure there is no let or inhibition on that going ahead.
It is important that people have enough time properly to inform themselves of all the options and to understand the consequences of their vote. Campaigners on both sides of the argument must have enough time to set out their case and have a full and robust debate. We believe that 23 June gives that balance. It also meets the practical requirements of the Electoral Commission. Its assessment of readiness, which was published last week, notes that the date,
“does not pose a significant risk to a well-run referendum”.
As well as setting the date, the statutory instrument also establishes the timing for three key stages of the referendum: the designation process, the regulated referendum period itself and the pre-poll reporting requirements. The House examined all those matters very closely indeed when the referendum Act made its passage through the House. The Electoral Commission’s assessment of readiness endorses the Government’s approach on each of these areas and notes that the arrangements for a well-run referendum are well advanced. This has been echoed by the Joint Committee on Statutory Instruments and by your Lordships’ Secondary Legislation Scrutiny Committee. Both have given the instrument their usual rigorous scrutiny and both were content with the approach proposed. I am grateful to the members of those committees.
The designation process is the means by which the Electoral Commission appoints lead campaigners on one or both sides. We have followed the Political Parties, Elections and Referendums Act in allowing a total of six weeks. The application window for campaigners will be open for four weeks from 4 March, were the House to agree later today that the statutory instrument be approved. The Commission then has two weeks, from 1 to 14 April, to decide which, if any, applicants to designate. Many noble Lords here today took an active part in the passage of the Act and will remember that designated lead campaigners receive a number of benefits, including: a higher spending limit, of £7 million; a free delivery of mailings to every household or every elector; and, assuming campaigners are designated on both sides, access to a grant of up to £600,000 and a campaign broadcast. The regulated referendum period follows the designation process, with no overlap of dates. It will run for 10 weeks from 15 April. During this period, full financial and campaigning controls will apply—in particular, spending limits for campaigners. I stress this point because this timetable specifically meets the requests made by Members of this House during the passage of the referendum Act. At that stage, I wrote to the noble Lord, Lord Willoughby de Broke, who will speak today on this very point.
Finally, the statutory instrument sets deadlines for registered campaigners to report any donations or loans to the Electoral Commission. It is the first time in a UK-wide referendum that sources of significant campaign finance will be visible and public before the poll, ensuring real transparency. This process was refined during the passage through this House of the European Union Referendum Act. I must thank in particular the noble Lord, Lord Jay, for leading that debate with his customary eloquence.
At the end of this opening speech, I shall move that the statutory instrument should be agreed to. However, the formal view of the House on that matter will be taken at the very end of proceedings tonight.
I turn now to the EU renegotiation. The British public made it clear that they were not content with the UK’s relationship with Europe. The Prime Minister sought to address that. In November last year, he wrote to Donald Tusk, President of the European Council, setting out in detail the four areas in which he was seeking reform. These were economic governance, competitiveness, sovereignty and welfare, which has been allied with migration in the press. At the February European Council the Prime Minister negotiated a deal covering each of these areas. This deal gives the UK a special status within the EU that no arrangement outside the EU could match. It is a good deal for Britain—as the Prime Minister has said, it is a deal that gives us the best of both worlds.
This agreement is legally binding. It is also irreversible, because it can be amended or revoked only if every single member state of the EU, including the UK, were to agree unanimously to do so. It commits member states to future treaty change. Last week, it was registered with the United Nations as an international treaty.
Taking each of the four issues that the Prime Minister addressed in turn, let me set out briefly what the deal gives us. I appreciate that noble Lords will have had the opportunity to look at the White Paper last week and to have considered other documents published since. On economic governance, the renegotiation secures the UK’s position inside the single market but outside the single currency. It means that we have new commitments from the EU to complete the single market and sign new trade deals. The responsibility for supervising the financial stability of the UK remains in the hands of the Bank of England and other UK authorities. We have made sure that we will never join the euro; British taxpayers will never be required to bail out the eurozone; British businesses cannot be discriminated against for not being in the eurozone. And all discussions on matters that affect all EU member states will involve all EU member states, including the United Kingdom, not just members of the eurozone.
On competitiveness, the renegotiation delivers a new commitment from the European Commission to review annually the burden of regulation on business. If there is too much red tape, we will demand that it is cut. There is a specific focus on relieving the burden on small businesses, and for key sectors. The agreement also makes it clear that the EU will pursue,
“an active and ambitious trade policy”,
and that it must boost its international competitiveness in key areas such as energy and the digital single market.
On sovereignty, we are out of ever-closer union. We will never be part of a European superstate. The text of the renegotiation includes a commitment to change the treaties to exclude the UK from ever-closer union,
“at the time of their next revision”.
We will not be compelled to aim for “a common destination”.
We have obtained new powers to block unwanted European laws: a legally binding agreement that our Parliament can, acting with some others in Europe— 55% of national Parliaments—block unwanted new EU laws with a “red card”. A new mechanism will be created to review existing EU laws to ensure compliance with the principles of subsidiarity and proportionality, so that powers can be brought back to member states wherever possible. National Parliaments will be involved in this mechanism, and the European Commission will also be required to report every year to the Council on its compliance with these principles.
On welfare and migration, an emergency brake will mean that people coming to the UK from within the EU will have to wait four years until they have full access to our in-work benefits. This brake will take effect once the necessary legislation is passed. The European Commission has made it clear that Britain already qualifies to deploy that brake. Migrants from the EU working in this country will not be able to receive child benefit at UK rates if their children live in another EU country.
Let us be clear that much has been said elsewhere about the legal status of the deal. Let me elucidate. This deal is legally binding for EU member states. They all signed up to it in a decision under international law. The February European Council conclusions and the texts of the deal agreed at the Council set this out clearly. They are supported by the legal opinions of both the Council Legal Service and Sir Alan Dashwood QC. The deal is also irreversible because, as mentioned earlier, it can be amended or revoked only if every single member state, including the UK, were to agree unanimously.
The European Court of Justice has held that decisions of this sort must be taken into consideration as being an instrument for the interpretation of the EU treaties. The Council president has confirmed this. He said:
“The 28 Heads of State or Government unanimously agreed and adopted a legally binding and irreversible settlement for the United Kingdom in the EU. The decision concerning a new settlement is in conformity with the Treaties and cannot be annulled by the European Court of Justice”.
This new settlement builds on a number of existing protections and opt-outs which apply to the UK’s membership of the EU. This means that the UK now has a special status within the EU: inside those areas of activity where it is in the UK’s interest, but outside those where it is not. I have already mentioned that we are not under the standard obligation for member states to join the euro. We will always keep the pound. The UK has remained outside the Schengen border-free area, which means that we maintain control over our own borders. The UK has opted out of many measures in the justice and home affairs fields while opting in to those which are essential to protect the security of this country.
Noble Lords will be aware that today we laid before Parliament the latest document intended to inform the public ahead of the referendum. This is the most recent in a series of papers fulfilling those commitments that I made to this House during the passage of the European Union Referendum Bill before it became the Act. There were calls from across the House to ensure that the voters went into this debate with all the information they needed. The Government listened carefully and brought forward amendments to the Bill in response to all the positions put forward by Peers from every Bench around the House.
The first paper is named specifically in the Motion on the Order Paper today—The Best of Both Worlds: The United Kingdom’s Special Status in a Reformed European Union. This fulfils the obligation under Section 6 of the European Union Referendum Act which required the Secretary of State to set out the results of the renegotiations and the Government’s view of them. The second paper details the process of withdrawing from the European Union. Though not specifically mandated in legislation, this paper, published on Monday, about Article 50 meets a commitment I made to the House on Report on 23 November at column 475 of Hansard.
Today, a third paper was published. It sets out the alternatives to membership of the European Union, and sets out unequivocally the Government’s view that none of the alternative models of association with the EU offers anything like such a good balance of advantages, obligations and influence as we get from our current special status within the EU. This paper is the first part of the report that the Government will publish to meet the requirement of Section 7(1) of the European Union Referendum Act 2015. The second part of that report, which will provide information about the rights and obligations that arise as a result of the UK’s membership of the EU, will be laid at a later date—I hope not too much later. Work is ahead. Both parts of the report will be available eventually on the GOV.UK website. Today’s part is on the website and a copy is in the Printed Paper Office. As soon as the second part of the report is available it will immediately go on the website and, again, I commit that it will go into the Printed Paper Office.
The Prime Minister set out last week the Government’s clear recommendation that the United Kingdom should remain a member—
I am most grateful to my noble friend for giving way. We all appreciated the careful way in which she shepherded the Referendum Bill through this House. Indeed, there was a request for information, but does she not recognise that there is a difference between information and propaganda?
My Lords, of course, the Government are leaving propaganda to those who will be the lead designators of the campaigns. They are fulfilling their full requirements under the Act, as they should do.
This will be a once-in-a-generation moment to shape the future of our country. Ultimately, it will be for the British public to decide, and that includes Members of this House, as a result of the drafting of the Act itself. However, the Government have made clear their view. This Government came in with a clear mandate to renegotiate Britain’s place in Europe and to put those changes to the people. The Prime Minister has successfully completed the former. The instrument in front of the House today will set the date for the latter.
This is the last piece of legislation that will be debated in this Chamber to establish the referendum itself. As such, it represents Parliament taking the final steps towards a truly historic moment—giving the people of the United Kingdom and Gibraltar their say on membership of the European Union. The case for holding the poll on 23 June is a simple one. It gives time for proper debate without delaying and trying the electorate’s patience. There is little point in waiting further. We have a deal. The UK’s relationship with the EU has been changed and improved by that. It is time for the campaigners to make their case and for the British people then to decide, settling the issue for a generation.
At this stage, I refer back to a comment I made earlier—I will now formally move, with regard to the statutory instrument before the House, that the decision will be made later. I make that formal recommendation, which launches us on an historic journey towards a referendum in which every single Member of this House will be able to make their own, individual decision. I beg to move that the House do approve the European Union Referendum (Date of Referendum etc.) Regulations 2016.
My Lords, we on the Liberal Democrat Benches welcome the fact that the Prime Minister completed his renegotiation with a settlement on the UK’s membership of the European Union that enables him to campaign passionately, heart and soul, to keep the UK in the EU. We welcome that this is the position of Her Majesty’s Government, even if not of all thier Ministers—or of the former Ministers sitting in serried ranks directly opposite me.
I start by thanking the noble Baroness, Lady Anelay, for accepting amendments during the passage of the European Union Referendum Act to bring forward reports on the renegotiation such as the one under consideration today, The Best of Both Worlds. I believe this was the result of an amendment moved by the noble Lord, Lord Forsyth of Drumlean. I am very sorry that he appears to feel that it is propaganda and not the factual document he was looking for. Nevertheless, we are grateful that this document has come forward and, indeed, that the other reports that have come out, and are promised, on the consequences of withdrawal, the process of withdrawal under Article 50, and alternatives to membership in the possible event that the UK leaves the European Union.
The present report and the European Council conclusions of 19 February make clear that the United Kingdom already has a unique position within the European Union. We have a permanent opt-out from the euro and have remained outside the Schengen acquis. We are not part of the Schengen border controls and have flexibility on aspects of freedom, security and justice and of police and judicial co-operation. We are not signed up to every aspect of the European Union, even in the current circumstances.
However, the renegotiation goes further, creating a special relationship for the United Kingdom within the European Union which ensures that the UK will not be bound by the concept of ever-closer union—not something that I believe Liberal Democrats were too hung up on but an issue that seems to have affected many people concerned that European integration would go too far. That is now stopped. The renegotiation provides guarantees for the City of London thanks to a commitment to non-discrimination for non-eurozone members of the European Union and an emergency brake. Those who wish to leave the European Union would do well to consider whether it is realistic to imagine that the 27 would give us such a privileged position if we were on the outside—certainly, if we had simply decided that we no longer wanted to be part of the club and withdrew. The evidence suggests that they would not.
Of course, Her Majesty’s Government would seek to negotiate a new arrangement in the event of a vote to leave on 23 June, possibly running parallel with the Article 50 mechanism—I will not say “negotiation” because we do not get to negotiate, should the UK leave. However, it is hard to know what future negotiations might achieve. Seeking to exit is an unknown direction; nobody has tried it to date, and it is hard to see how any changes would benefit the United Kingdom. I do not wish to engage in Project Fear but it is unclear, for example, what would happen to EU nationals resident in the United Kingdom, or UK nationals such as the noble Lord, Lord Lawson, who we understand lives in France, should we vote to leave the European Union. I do not imagine that there would be an immediate move to repatriate UK nationals resident abroad, but perhaps we do not want to take that risk.
More seriously, a huge number of unknowns surround the sort of access that British citizens would have to employment and residency in the event of a vote to leave. It might be possible to negotiate rights for those already resident and/or working elsewhere in the European Union, or who have retired elsewhere in the European Union, but such access, if it is to be similar to the rights we enjoy today, would undoubtedly come with reciprocal rights. We would not simply be able to say that British nationals resident in other EU member states could remain but that, if we decided that we did not want EU nationals to be resident in the UK, we could somehow send them home, so we need to think about reciprocity.
Those who wish to leave are almost certainly correct that our erstwhile EU partners would not want to sever all ties. I do not believe for a moment that a vote to leave would simply mean that we were on the outside, completely separated. That is in the realms of fantasy on the negative side. However, it would be extraordinarily arrogant to assume that the UK is so important to the European Union that we would be accorded all the rights of full members once we decided to leave, but without any of the responsibilities. To suggest otherwise would be in the realms of deluded fantasy. After all, those states which have full access to the internal market via the European Economic Area are required to contribute to the EU budget, abide by the rules and yet do not have a seat at the table—“Pay, obey, no say”, as it was put in Brussels recently. So any attempt to keep the benefits of membership of the internal market would undoubtedly come at a price.
We would have less say than we have now but we would still be expected to contribute financially and we would still be bound by the four freedoms, including the freedoms we seem to like—the free movement of goods, capital and services—as well as the freedom we are a little ambivalent about: the free movement of people. The Prime Minister’s renegotiation has secured some limits on free movement, which will be triggered in the event of a vote to remain. A vote to leave would ensure that the European Union remained unreformed and it would surely be unwilling to make new, alternative special arrangements for the United Kingdom after any vote to walk away. By staying in the European Union we can exert influence; by leaving, we lose influence.
Of course, some Members of your Lordships’ House suggest that the European Union is not democratic—a point alluded to by the noble Baroness, Lady Morgan of Ely—and that somehow the European Parliament is lacking. I always find this a somewhat strange argument to make in your Lordships’ House, where most Members, with the exception of 90 hereditary Peers, are not here on a democratic mandate. But the European Union does have democratic processes and the United Kingdom, as a member, has a seat at the table. Indeed, we have many seats at the table—in the European Parliament, the Council of Ministers and the European Council—not to mention a European Commissioner, currently drawn, as was his predecessor, from your Lordships’ House. We play a full part in decision-making as a member of the Union.
There is no conceivable alternative arrangement to membership that would give us such influence—the Norwegians will tell you that. Yes, by leaving we could formally regain sovereignty but at the expense of power and influence—an “illusion of sovereignty”, as the Prime Minister has put it. Likewise, the idea of regaining control of our borders is nothing but a siren call. The UK is not currently part of the Schengen border regime; we still monitor our own borders. A vote to leave would not alter that. What it would do is make us less secure as we would be walking away from effective cross-border co-operation on policing, the European arrest warrant and the Schengen information system—areas of co-operation which show how the United Kingdom does indeed have the best of both worlds: access to EU structures where we want them, exemptions where we do not.
In conclusion, it is the view of the Liberal Democrat Benches that the UK is better off and more secure remaining in the European Union. It is good for the United Kingdom and good for peace and security in the European Union. We look forward to campaigning with the Prime Minister for a vote to remain.
On the issue of influence in the EU—and I know the noble Baroness is very expert on European matters—could she confirm that in the past 20 years the UK has sought an amendment in the Council of Ministers on 72 occasions and been defeated on 72 occasions?
My Lords, there are all sorts of statistics one can use. My understanding is, yes, where there have been formal votes the UK has been defeated. There are also many cases where there is a process of negotiation and votes are not held, where the UK is able to have influence. Working with our partners, we are able to stop legislation that we do not want. On the outside, a country such as Norway simply accepts anything that is put—or walks away from that part of the internal market. We have the opportunity to influence on the inside. On the outside, we lose even that.
My Lords, it is a pleasure to follow the noble Lord, Lord Hunt. I was struck by his comments thanking the European Union for its support for science and research. I will make a deal with him. I will give him £20 and then he can give me £10 back and I will try to understand the logic of his position. We are net contributors to the EU and the money we get back is our money. The difference is that we are told how to spend it by people who are not accountable to anyone.
Perhaps the noble Lord is not familiar with the research that has been done by Universities UK. It states that moneys which come through the programmes of the European Union are worth 1.4 times moneys that come from simple research in the UK without collaboration with others. Before he starts with “It’s our money” he should think of that.
If the noble Lord had been listening to me, the point that I was making—I am sure he understood it—is that we are net contributors to the EU and therefore what comes back is money that we have already contributed. If we did not have to join the EU we would have that money and be able to spend it on our priorities in science and research.
The noble Lord, Lord Judd—I am not sure whether he is in his place—talked about how Ministers were wrong in the way they operated within the EU. They would come back and announce that something had been a great triumph when it had been a disaster. I confess that I have been in that position. The person who turned disaster into triumph was the noble Lord, Lord Kerr. He is brilliant at taking a disaster and making it look like a triumph—as we saw from his speech when he explained how the Prime Minister’s negotiation was a great triumph. I am delighted to see that he has lost none of skills.
However, the problem still remains. The fact that the Prime Minister, with all his energy and enthusiasm, spent six months going round the European capitals, flying here, there and everywhere, staying up half the night and coming back with a mouse of a negotiation, indicates just how impotent we have become in the European Union, and what is the central issue of this referendum campaign: how can we get back to a position where our Prime Minister can make minor changes to welfare without the permission of the European Union?
I have to say to my noble friend on the Front Bench, Lady Anelay, that during the debates on the referendum Bill, she assured us that the Government would not abuse their position and use taxpayers’ money for a particular position. The documents that have been produced to date are a travesty of these promises. My noble friend Lord Ridley did an excellent job in highlighting some of these points.
I look at the stuff that is coming out from the Government in arguing for remaining in the EU. We are told that 3 million jobs will be lost and that cheap flights and holidays will be at risk. The Chancellor of the Exchequer is abroad saying that our economy will be subject to a great shock, and he is getting some of his chums in the G20 to join in the clamour. How that helps to strengthen the pound, I do not know. Special advisers are getting on to business leaders, cajoling them into signing letters, and generals and others are signing letters. We even have the Governor of the Bank of England—a position that has always been outside politics—saying that our country depends on “the kindness of strangers”—a quote from “A Streetcar Named Desire”, or Emma Thompson running down the country. How any of those things are advancing Britain’s interests, I do not understand.
Of course, there is the big business agenda. Why does big business like Europe? Because it can go to Europe and spend £1.5 billion on lobbying and shut out competition. We had a classic example of that today. Look at the front page of the Times where Europe has suddenly, unexpectedly, decided that vaping should be treated as a tobacco product, so the cost should go up. I wonder who has been lobbying Brussels to achieve that? The tobacco companies and others. Who will suffer disbenefit? The people of this country who, in their hundreds of thousands, have been able to give up smoking tobacco to have vaping.
I remember when I, along with others, tried to introduce anti-smoking legislation in the other place. We were lobbied again and again. The noble Lord, Lord Forsyth, and all his colleagues were the people who acted on behalf of the tobacco companies. I would name some people if I had the time who were paid by the tobacco companies and who either were or went on to become Ministers in the Conservative Government, so he had better be careful.
The difference is that if the Government do something that is against the interests of the public, the people of Britain can throw them out. There is nothing they can do when Brussels passes a directive. It is almost impossible to reverse directives because you have to have the support of all the other member states—and all the horse trading that goes on.
I would like to tackle one of the arguments which is utterly irresponsible coming from unionists. It is the argument saying that if we vote to leave the European Union it will threaten the integrity of the United Kingdom and the Scots will vote to leave the union. For any unionist to make that argument is grossly irresponsible. First of all, as unionists, we believe in the United Kingdom. This is a United Kingdom decision. We do not accept the idea that there is no mandate for the whole of the United Kingdom. This is what got Labour into trouble because it started saying that the Tories did not have a mandate in Scotland. As a result, it fed the nationalist tiger and now it is reduced to one MP in Scotland. Let us not have any more of this notion that this is not a decision for the whole of the United Kingdom.
I was very struck also by the Times today, which published a letter from that great man Tam Dalyell, who defied the Labour Whip to vote for us to join the European Union and joined Ted Heath in the Lobbies. His letter in the Times pointed out that this is a ridiculous argument. There is no appetite for a further referendum in Scotland and, indeed, the Prime Minister has just stuffed the mouths of the Scottish nationalists with gold to get them to sign up to the new powers in the Scotland Bill. No Scot in their right mind will vote for bankruptcy because that is what independence would mean, with the oil price where it is and the current state of the economy in Scotland.
Of course, there are many positive benefits that could come to Scotland from being out of the European Union. Let us take one export industry—Scotch whisky—and one country. In India, Scotch whisky makes up 1% of the spirits that are drunk but the tariff is 150%. Yet the European Union has just failed again to reach a trade deal with India. We could do a trade deal that could be of huge benefit, and there are enough Indians and enough of a market to keep all the distilleries in Scotland working till the end of time in order to supply it. That is just one example.
The noble Lord has had a go. When they say a trade deal would take 10 years or more, I ask: how long did it take to do the trade deal with Ukraine? It was done in one month. I believe that two issues are at stake here: cost and control. We need to be able to control immigration—not stop it, but decide what happens. How else are we going to meet our manifesto commitments on numbers, and how else are we going to prevent discrimination against people from Commonwealth countries and elsewhere in the world?
If we are honest with ourselves, this is about how we see ourselves as a country. Do we have the Mandelsonian view that it is all over, or do we see ourselves as a country with a great past and a great future, based on the innovation and expertise of its own people?
The noble Lord says that I sound like Alex Salmond. That is another reason why the nationalists should not be taken seriously when they argue that leaving the EU would lead to the break-up of the United Kingdom. The Scottish nationalists must be the first nationalist organisation in the history of the world to think it can get independence by joining a supra-national bureaucracy that is not accountable to the people concerned.
The noble Lord says that I sound like Alex Salmond. Perhaps, then, I shall conclude like Alex Salmond, by quoting Robert Burns:
Be Britain still to Britain true,
Amang oursels united;
For never but by British hands
Maun British wrangs be righted!
I am sure they will be grateful for that suggestion.
The position is that this is a legally binding agreement. Of course all countries have evinced a clear agreement to be bound by the terms. The European Court of Justice cannot be bound by the agreement itself—it is a final court determining the validity of an agreement—but it is not realistic to expect that it will in any way go against what is a clear agreement in international law entered into by all members of the European Union.
Will my noble friend explain why the Lord Chancellor takes a different view from him?
In an interview which I saw, the Lord Chancellor suggested that the European Court of Justice—or the CJEU, as it now prefers to be called—is the supreme court in Europe and is above all European institutions in interpreting the law. That is entirely a correct statement of the position. If he suggested—and I am not sure whether he did or did not because it seemed to me that he and the Prime Minister might have been talking about rather different things—that the treaty was not binding on the European Court of Justice, he was right to the extent that it is open to the European Court of Justice to decide that its jurisdiction is determined by the nature of the treaties only. It is highly unlikely that they would do so—highly unlikely because there is a clear agreement evinced by the 28 countries, the members of the European Union. No self-respecting court that had any say for its own reputation would do violence to that agreement.