European Union (Referendum) Bill

Debate between Mike Gapes and Helen Goodman

Friday 22nd November 2013 Commons Chamber

[Mike Gapes]

I absolutely agree with my hon. Friend, but I would not wish to stray back into the debates on the earlier group of amendments. We are now talking about other matters.

I was commenting on the possibility of holding the referendum by the end of 2014, as suggested in my amendment 22. To meet people’s concerns about that issue and about whether to hold the referendum on the same day as the general election in May 2015, I have tabled an amendment to allow for greater flexibility. My amendment 23 would allow the referendum to be held by the end of 2015. That would mean, of course, that the Government would have to give some thought rapidly to how their renegotiation strategy could be developed prior to the general election. I am sure that the Liberal Democrats would, as usual, be very accommodating and helpful to their Conservative partners, as they always are on all matters.

This amendment would at least reduce the period of uncertainty. One of my big fears is that a referendum held a long way away will lead to potential delays or even cancellations of suggestions for inward investment into this country from countries such as Korea, Japan, China or the United States that have other European Union potential host countries such as the Netherlands, the Irish Republic and elsewhere. They might choose to go there rather than here if they thought that, four years down the line, the UK might be exiting from the single market and the European Union.

[Helen Goodman (Bishop Auckland) (Lab)]

On that very issue, is my hon. Friend aware of what Nissan said a couple of weeks ago? It said that it would reconsider its investment in the UK if Britain leaves the European Union—and there are 6,500 people employed by Nissan in the north-east. Does not my hon. Friend find that to be an extremely worrying scenario?

[Mike Gapes]

Absolutely—and it is not just Nissan; it is any major international company that wishes to locate within the European Union to get access to the single market population of 500 million and wishes to be based in a country with a high level of education where large numbers of people speak the English language. Because there is an excellent education system in the Netherlands, that counts as one such country; the Irish Republic would also provide an easy alternative for location if, because of the uncertainty created by a potential referendum and renegotiation leading up to 2017, they chose not to invest in the United Kingdom.

I was dealing with amendment 23, but amendment 24 would allow a little bit more time for the renegotiation. It is not as good as holding it earlier because of the uncertainty and the issues to which I have just referred. Nevertheless, this would allow less uncertainty—one year less uncertainty—than this private Member’s Bill, supported by elements of the Government, would allow.

Given the questions over whether this issue should be properly considered and some doubts about how long the renegotiation might take, I have also tabled amendments to provide an alternative date after the next general election, going beyond 2017. I have suggested—although I shall not press amendments 26 and 27 to the vote—2018 and 2019 as alternatives to allow more time. With 27 other EU states, this renegotiation, if it were to happen, would be extremely difficult. If, of course, the renegotiation is going to be a modest figleaf-type negotiation, it could be done quite quickly. If, however, it is fundamental and has to meet all the demands of the people who want to leave behind all the aspects of the present European Union and go back to being a free trade area or a common market, it would involve a complete disintegration and disentanglement of the UK relationship, requiring an à la carte approach that the other 27 countries are not likely to—I would say, will not—agree to. That would be a problem, so we would need a long time to persuade those other countries of our case.