European Union (Approval of Treaty Amendment Decision) Bill [HL]

Lord Foulkes of Cumnock Excerpts

Wednesday 4th July 2012 Lords Chamber

[Lord Liddle]

My Lords, I say on behalf of the Opposition that it is very necessary that the Bill should pass. It is more necessary in the light of the deepening of the euro crisis and last week’s European Council meeting, at which the role of the ESM was strengthened in both its ability to recapitalise the banks directly, which is the key to restructuring the banking system, and its ability to buy bonds where countries that are complying with their obligations are under pressure. Therefore, this facilitating measure is very necessary.

My fear about the question of a referendum, which was raised by the noble Lord, Lord Owen, is that when the Bill goes to the other place, many Back-Benchers who do not share his political views may use the opportunity of the Bill to make the case for holding a referendum on British membership of the European Union very soon. From the Opposition’s perspective, at this moment, this is a complete distraction. It is no answer to the economic problems on which this country should be focusing and no substitute for an effective policy on the European Union.

Those who demand a referendum do not even know what they are asking for a referendum on. They say that they joined a Europe that was in favour of free trade, but even on that question they are not clear about whether they want to take Britain out of the EU, so that we would then face protectionist barriers, or whether we would then be in the European Economic Area, where we would be bound by the rules but would still contribute to the budget. This is a complete distraction because of confusion and we should not go down this road. We want effective action from the Government to protect Britain’s interests in the light of the necessary measures to strengthen the eurozone. However, at the moment, we do not see in Brussels a Government who are engaging with and getting inside the discussions; they want to be outside, which is a disaster for the UK national interest.

[Lord Foulkes of Cumnock]

Does the Minister recall the Committee stage of the Bill, when we debated several amendments tabled by a diligent Back-Bencher? If he recalls that, and the time that was taken over very careful and correct scrutiny of the Bill, will he confirm that those amendments and many more could have been tabled on Report and at Third Reading? Will he draw to the attention of the Leader of the House that if he and the Government continue in the way that they are, there might not just be one awkward Back-Bencher on one Bill but many awkward Back-Benchers on many Bills?

[Baroness Falkner of Margravine]

My Lords, this is a vital measure but a very small and technical one. Throughout Second Reading, Committee and Report, the opposition Front Bench supported it, as did most people around the House. It is now important that it goes through to the House of Commons, where it should pass as speedily as possible, because the eurozone and the broader EU need to get on with solving the crisis.