Queen’s Speech

Lord Howell of Guildford Excerpts

Thursday 28th May 2015 Lords Chamber

[Lord Howell of Guildford (Con)]

My Lords, I would like to add a brief—and inadequate—tribute to those made yesterday in this House to my old colleague and friend Lord Howe of Aberavon, who has decided to retire from the House. It is inadequate because of shortage of time but is none the less heartfelt. Lord Howe served this country, government and party in all the highest offices—or in most of them anyway. More than that, he was the prime promoter of Conservative social reform in showing how market-driven forces could be harnessed to strong social advance. I for one, and I think many of us, shall miss him here and wish him well. The country owes that man a lot. Indeed, he was one of the reasons why I joined the Conservative Party in the first place.

I also add my congratulations to those expressed to the other Howe, the noble Earl, Lord Howe, who is sitting here. He has done a marvellous job over many years in social policy areas. It is excellent that he is now at defence and our Deputy Leader. I also greatly look forward to the maiden speech of the noble Baroness, Lady Helic.

On Europe, I wish the best of luck to my right honourable friend the Prime Minister in his renegotiations and his search for allies in European reform. He is quite right that the issues are not just bilateral British concerns—this is not just a question of British demands and special requirements. As Günter Verheugen, the former Commissioner, remarked the other day:

“What [Cameron] is saying is what a strong majority of Europeans feel”.

I would have liked to have seen this search for allies begin even earlier than now. In particular, we should have been much friendlier much earlier to Poland instead of siding against her on a whole range of issues, including energy issues, and backing the EU Commission’s now outdated, costly and ineffective energy package—which is long overdue for a complete overhaul, as is our own dismal, inept and indeed dangerous energy and climate policy here in the United Kingdom. That is a less happy legacy from the coalition. It needs total makeover, and let us hope that the promise in the Queen’s Speech of,

“Measures … to increase energy security”,

mean just that. I will believe it when I see it.

My other concern is whether EU negotiations are a strong enough vehicle to achieve the needed EU reform. The reality, which people are reluctant to face, is that the EU model comes from the 20th century, where it had great effect, but we are now in a totally different, 21st-century digital age.

A second track to our European reform policy is needed. Hand in hand with negotiations on specific concessions should go a much deeper drive to reinterpret the principles on which the European project is, or now ought to be, based. The 20th century demanded solidarity and centralisation in Europe—that was understandable—but the 21st century demands flexibility and decentralisation. This is the more profound lead on EU reform which I would like to see the best policy minds here in Britain giving and for which many of our friends across Europe are waiting. I hope that the so-called high priests said to be in charge of our EU policy see this and have enough experience of the whole history of European integration to be really creative. It is not a question of shopping lists, red-line demands and all the talk of wresting concessions. That is not nearly enough. I hope our negotiators will not be swayed by highly misleading advice that nothing too fundamental must be raised in these matters for fear of offending our European neighbours.

In the end, there will have to be treaty changes, however much the old political class across Europe may fear that. Of course, treaty changes cannot be delivered by 2017—no one is suggesting that—but what can be delivered is a clear indication that the old overcentralised, overregulated EU is set in new directions at last, appropriate to the age we now live in and suitable for the totally transformed trade patterns that now exist, which are completely different from anything 20 years ago.

I hope, anyway, that none of this will distract policymakers from the much bigger task of repositioning Britain in a completely transformed world order. The bald fact is that our future living standards and our security will depend as much on the great new powers and exploding consumer markets of Asia, Africa and Latin America as on Europe. That is where most of the growth over the next 30 years will be. In getting alongside these new powers and new markets we will need every conceivable instrument we can find and every advantage we can seize against our competitors. This is where the Commonwealth network, with its own colossal reach, rich markets and capital sources is—or ought to be—immensely valuable to us. I fear that the people who drafted my own party’s manifesto did not quite understand that emerging markets and the Commonwealth network are all woven together and all part of the same thing. If we want what the gracious Speech refers to as,

“an enhanced partnership with India”,

for example, this is where it should begin.

The Commonwealth network is the gateway to China and Japan, the second and third largest economies in the world. China’s opening up of the whole of east Asia to development, with its new silk road linking Chinese, central Asian and eventually western markets, is all part of the same picture. One decision that gave me great pleasure was the British decision to go right in as a founding supporter of China’s new Asian Infrastructure Investment Bank. That was an excellent move which recognises the real future, where our interest lies.

In a highly dangerous world, with the arc of instability that my noble friend Lord Howe referred to, we should certainly settle promptly and constructively with our EU neighbours and clinch that settlement with a referendum approval, which I believe we will get. We should certainly work closely with our American allies around the world—although as partners and not as slavish subordinates. But above all, we should be confident enough to develop our own agenda to work with the emerging powers of Asia and the new Africa. That is where our real future beckons. It is where we have unique advantages of language, experience, shared values and cultural links—real soft power and smart-power levers. It is where our overriding priorities should lie.