EU: UK Membership

Lord Pearson of Rannoch Excerpts

Monday 11th February 2013 Lords Chamber

[Viscount Younger of Leckie]

The noble Lord is right in saying that we were right to stay within the European Union. The reason that decisions have been made to get rid of the uncertainty is because questions are being asked, not only within the UK but within Europe, about our future, and it is right to settle that now. I stress that the noble Lord is right in saying that it is very important that we stay in the EU. The single market provides UK businesses with access to a market of 500 million customers worth around £11 trillion in 2011. Between 1992 and 2008, the single market is estimated to have raised EU GDP by 2.13% and to have created 2.77 million new jobs. It is estimated that those benefits could be doubled with the removal of the remaining trade barriers.

[Lord Pearson of Rannoch]

My Lords, given that only 9% of our GDP exports to the European Union, declining and in deficit, that 11% of our GDP exports to the markets of the future, rising and in surplus, and that 80% stays in our domestic economy, is it not obvious that that 91% of our GDP, which is made up of our non-EU exports and our domestic economy, would generate several million new jobs if they were freed from the stifling overregulation from Brussels?

[Viscount Younger of Leckie]

It may not surprise the noble Lord that I do not agree with his approach. It is estimated that around 3.5 million jobs in the UK are dependent on trade with the EU. The UK exports a wide range of goods and services to other European member states, everything from cars, worth more than £13 billion in 2011, through music, which represents £1 billion and even more once related services, royalties and licences are included, to a wide variety of food and drink products, worth close to £10.5 billion. There is much to be lost if we leave the EU.