European Council

Michael Ellis Excerpts

Monday 22nd October 2012 Commons Chamber

[The Prime Minister]

My hon. Friend makes an important point. We obviously need an agreement over time about the future funding of the European Union, and it makes sense to have a discussion about that. I am very clear about where that discussion needs to lead, and my view on that is not going to change. If we can come to an agreement in November, so be it, and if we cannot, so be it—happy to talk, but not happy to spend a lot of money.

[Michael Ellis (Northampton North) (Con)]

The French press are today criticising their own Government, and talking about a financial exile because of punitive tax rates. Does the Prime Minister agree that it would be a good idea for Labour Front Benchers to take out a subscription for some of the French press, so that they understand how significantly poor punitive tax rates are for the economy?

[The Prime Minister]

That is an absolutely excellent suggestion. Labour Front Benchers also ought to consider the effect of a financial transactions tax, because that will be pushed ahead by some EU members. It would be a great mistake to start piling on extra taxes—[Interruption.] “Is that our policy?” I have no idea what the policy is of the right hon. Member for Morley and Outwood (Ed Balls). The real problem is that neither does he.