EU: Member States’ Budgets

Lord Lea of Crondall Excerpts

Tuesday 29th November 2011 Lords Chamber

[Lord Sassoon]

My Lords, this country has always been party to the stability and growth pact, but as I am sure the noble Lord knows, under Protocol 15 the UK has an opt-out, which means that we have to endeavour to avoid excessive deficits but are not subject to any sanctions such as members of the euro area are. Furthermore, the UK secured particular treatment that ensures—has ensured and will ensure—that Parliament will always be allowed to scrutinise the UK’s budget ahead of the European Commission.

[Lord Lea of Crondall]

Is it not remarkable that the very same people in all parties who are always criticising the European Union for failing—lamentably, they would say—to ensure that people such as the Greeks, Portuguese, Irish and anybody you would like to mention are not meeting their commitments should now complain when we are tightening up the very scrutiny that they have been demanding? As the noble Lord, Lord Sassoon, has said, this is not just the 17 but the 27.

[Lord Sassoon]

My Lords, I am not going to say who should be complaining about what. All I would say is that the eurozone has got itself into a position where it really needs to get on and strengthen its own governance arrangements. We will do everything to encourage it to do that but we, as the UK, have a particular position that we will also protect to make sure that Parliament is able to scrutinise our budget first.