Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Pat McFadden

Tuesday 3rd March 2015 Commons Chamber

[Mr Philip Hammond]

I reiterate the commitment that the Prime Minister has already made that there will be a referendum by the end of 2017 if there is a Conservative Government. There is virtually no movement in polling evidence in the demand for a referendum. I will say something else to my hon. Friend: by creating the referendum we have—I will use the phrase again—lit a fire under our partners in Europe. They now know that they have to deliver change that is substantive and meaningful; not some backroom political deal, but something that will satisfy the British people in a referendum. That is what is driving the debate.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

It is clear that the European Union needs to reform to create more growth, more jobs and more competitiveness, so what is the Minister’s reaction to the warning issued this morning from the executive vice-president of Ford, Mr Jim Farley, who said, on the prospects of “Brexit”,

“We really hope that doesn’t happen and we believe that the UK being part of the EU is critical for business”?

Why does the Conservative party call for the march of the makers in one breath, yet pursue a policy that poses a direct threat to manufacturing jobs, manufacturing investment and trade? Is it that the Foreign Secretary does not see the contradiction, or is it instead a complete and utter absence of leadership when it comes to the European Union?

[Mr Philip Hammond]

It is that we need to resolve this issue. Of course, most people in this country recognise the value of the single market to Britain’s economy, but that comes at a price and it is a price we pay in loss of sovereignty and loss of control over many of our own affairs, including some that we do not need to lose control of. The debate will be on the correct balance between what is done at national level and what is done at European level, on the accountability of the European Union institutions to the people of the European Union, and on the European Union’s ability to drive economic growth across all our economies. That is what people in this country want resolved, and by resolving it we will create a more certain climate for business in the future.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Pat McFadden

Tuesday 20th January 2015 Commons Chamber

[Mr Hammond]

I do. I think European politicians are beginning to get the message after successive elections to the European Parliament in which the percentage of participation has fallen and fallen again. Politicians across the European Union understand that something has to be done to reconnect the EU with the people who pay for it and the people whom it is meant to represent. In our case, we believe that the best way of doing that would be to give a greater role to our national Parliament in overseeing the operation of the European Union.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

What progress has the Secretary of State made in his discussions on furthering the single market so that Britain can have greater access to trade and export opportunities for businesses based here? While he has been in those discussions, has he also made any assessment of the effect on the UK economy of being outside the single market, which is where we would be if we withdrew from the EU—an option that he has said he might favour?

[Mr Hammond]

Clearly, being inside the single market is of great and significant benefit to the UK economy. We want reform of the European Union that satisfies the requirements of the British people so that Britain can remain inside the single market and inside the EU. We want a European Union that is fit for the 21st century, rather than one that looks as though it was designed for the last one. And yes, we have made significant progress in our discussions on completing the single market, including the digital single market, the energy single market and, most importantly for Britain, the single market for services.

Oral Answers to Questions

Debate between Lord Hammond of Runnymede and Pat McFadden

Tuesday 28th October 2014 Commons Chamber

[Mr Hammond]

Sunday’s elections were a clear demonstration of Ukraine’s commitment to democracy. We have made it clear, and the European Union again last week endorsed a collective position, that we will not recognise illegal elections organised by separatists. The only elections we will recognise are those organised by and operating under Ukrainian law.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

It is good to be back on the Front Bench after a short absence. I thank hon. Members for their messages of good will, especially those from some Government Members who are somewhat fearful of their own party’s direction at the present time.

In our current debates about the European Union, we should not forget that its expansion to include former Warsaw pact countries was a victory for peace and democracy. It was a foreign policy victory for the west, championed by the Conservative Government at the time, and it means that war between member states is almost inconceivable. However, for countries outside the EU, such as Ukraine, it can be a very different story. Following the elections, what more can we do with our European partners to stop the further undermining of Ukrainian sovereignty and ensure that a newly elected Government there is free to choose its own path for the country’s future?

[Mr Hammond]

First, I welcome the right hon. Gentleman’s return to his place on the Front Bench. We look forward to debating all these issues with him.

Of course the election on Sunday was important in underscoring the legitimacy of the Ukrainian Government. I have already set out our demands that the Russians comply with their obligations under the Minsk agreement—withdrawing their troops from Ukrainian territory, allowing proper monitoring of the border and ending their support to the separatists—but it goes further than that. It is about the more subtle forms of Russian control and influence over the Ukrainian economy and political system. We are working closely with President Poroshenko and his Government to ensure that Ukraine has a robust position in response to those forms of pressure. Although the European Union does not agree on all issues in relation to the Russia-Ukraine dispute, it is pretty much clear and unified in its view that Ukraine must be allowed to choose its own future free of external pressure.