European Council

Oliver Heald Excerpts

Monday 1st November 2010 Commons Chamber

[The Prime Minister]

The hon. Lady asks a reasonable question. The Bill that we will be looking at will say that there should be a referendum on any transfer of power—a proper transfer of competence. As a general principle, the House should not give away powers it has without asking the people who put us here first. That is the principle that we should adopt. I do not want us to give any further powers from Britain to Brussels, so I am not proposing that we should. Further to answer the hon. Member for Vauxhall (Kate Hoey), I am not anticipating us having a referendum, because I do not want to see that transfer of powers. What is being proposed by the Germans and will be finally agreed at the December Council, yes, is a transfer of powers for countries in the eurozone. It definitely means that as well as having the euro, they will have more co-ordination of their economic policy, and punishments if they do not do certain things. That, to me, is perfectly logical if they are in the euro. It was one of the reasons why I did not want to join the euro in the first place and why, as long as I am Prime Minister, we will not do so.

[Mr Oliver Heald (North East Hertfordshire) (Con)]

Does the Prime Minister accept that it is welcome, if unusual, to see so many Heads of State supporting a British Prime Minister on an issue on which the European Parliament takes a different view? Does he agree that perhaps there is a role for national Parliaments, which, right across Europe, are facing difficult economic decisions, to support these Heads of State, including, of course, the Prime Minister, because it is right—

[Chris Bryant (Rhondda) (Lab)]

He is not a Head of State.

[Mr Heald]

—the Head of Government, I said. It is right that the EU’s budget should reflect the means of the countries that are in the EU.

[The Prime Minister]

I hope the former Europe Minister, the hon. Member for Rhondda (Chris Bryant), will stay calm. My hon. Friend the Member for North East Hertfordshire (Mr Heald) makes a good point. Part of the problem in the past has been that other member states have not been as focused on the budget and the impact on their own publics as they are now. They are focused on it now because they all have to make difficult decisions. When we sit round the European Council table, we are often discussing what we are having to do with public sector pay, pensions or other difficult decisions, so there is a common interest which the Parliaments of Europe can help remind their Governments about.