Oral Answers to Questions

Shabana Mahmood Excerpts

Tuesday 16th June 2015 Commons Chamber

[Mr Osborne]

As was made clear by the Foreign Secretary in debate and by the Prime Minister from this Dispatch Box, there are serious issues to address about the current law on referendums, because we believe that it would make the debate on the European Union unworkable and inappropriate. We understand the concerns in all parts of the House about that, and we will come forward with reassurances that enable the proper business of government to continue and allow the Government to make the case for the outcome that is achieved and the vote that we recommend, but that ensure that there is not an unfair referendum and that the Government do not, for example, engage in mass communication with the electorate. Those matters will be discussed later today.

[Shabana Mahmood (Birmingham, Ladywood) (Lab)]

The debate and conduct during the referendum campaign must be, and must be seen to be, legitimate and well informed. He has failed to do so thus far this morning, but will the Chancellor make it clear that he agrees that, in the interests of transparency, the Bank of England should publish full details of its risk assessment, which is codenamed Project Bookend, its terms of reference, its personnel and its timetable? Will he add his voice to our call that any publication of the report must happen well in advance of the vote?

[Mr Osborne]

I welcome the hon. Lady to her new position as shadow Chief Secretary—long may she continue in it. It is not for me or even, dare I say it, her to tell an independent Bank of England what to do. I have no doubt that it will engage in the debate. Indeed, the Governor of the Bank of England has made it perfectly clear that it will do so. I have no doubt that the Treasury Committee, when it is formed, will want to ask the Bank of England questions about the European Union, because it is central to many of the Bank’s responsibilities. However, as I have said, we have an independent central Bank and I propose to keep it that way.

[Shabana Mahmood]

There is still no clear answer from the Chancellor and he has given no commitment to push for the transparency that the debate demands. He has a clear responsibility to ensure that the economic impacts are debated and fully understood. I know that he has his mind on other things these days, like moving next door to No. 10, but if he will do nothing further on Project Bookend, will he at least step up and lead the debate by agreeing to commission and publish reports by the Treasury and the Office for Budget Responsibility on the economic impact of the UK leaving the EU?

[Mr Osborne]

As I have said repeatedly, we are certainly going to take part in the debate. I am sure that the Treasury will publish assessments of the merits of membership and the risks of a lack of reform in the European Union, including the damage that that could do to Britain’s interests. For example, in my Mansion House speech, I talked about the risks for Britain as a non-euro member as the eurozone continues to integrate and about how that needs to be addressed as part of the negotiations. We will take part in the debate. The more that we get on to the big issues that are at stake, rather than focusing on the process details, the better informed the public will be.