Commission Work Programme 2013

Wayne David Excerpts

Monday 7th January 2013 Commons Chamber

[Mr Lidington]

I appreciate that my right hon. Friend finds it hard to contain his excitement at the prospect of the Prime Minister’s speech. He will, however, understand if I decline to be drawn into speculating about the contents of that speech today. I am very confident indeed that when my right hon. Friend the Prime Minister makes his promised speech on European policy, it will address the important issues facing both the United Kingdom and Europe as a whole, and will chart a way forward that is in the interests of the people of this country in particular and the peoples of Europe more broadly.

[Wayne David (Caerphilly) (Lab)]

As the Minister is waxing eloquent about the Prime Minister’s forthcoming speech, could he tell me whether the Prime Minister intends to consult the Deputy Prime Minister and his own Back Benchers?

[Mr Lidington]

I do not know whether that was a bid from the hon. Gentleman to be involved in the No. 10 drafting team. The Prime Minister will prepare his speech in the way he normally prepares such speeches within Government. The hon. Gentleman will not have to wait long to see the speech and I am sure that he will be first in the queue to express enthusiasm and a warm welcome for what my right hon. Friend has to say.

--- Later in debate ---

[Wayne David (Caerphilly) (Lab)]

I begin with a general point about the European Commission. I am not a great defender or fan of the Commission, but it is important for us to remember that it is not a legislative body. It does not decide laws; it makes proposals and, usually through a process of co-determination or co-decision, other institutions, such as the Council of Ministers and the European Parliament, are then involved in determining the law. That is when democracy comes into play. It is important to keep that perspective.

[Mark Reckless (Rochester and Strood) (Con)]

The hon. Gentleman says that the European Commission does not make law, but is it not the case that the European Commission has a monopoly on the proposal of law, and is therefore an essential and necessary part of law-making? To that extent, in European structures it does make law.

[Wayne David]

The hon. Gentleman is right. The European Commission has the sole right to initiate legislation. Nevertheless, it does not have the sole right to agree legislation; the initiatives the Commission formulates are the result of discussions in the European Parliament, and increasingly in the Council of Ministers. When we talk about democracy inside the European Union, it is important to recognise that this Parliament has a pivotal role. If anything has clearly come out of the debate, it is the fact that this Parliament does not take European legislation and formulation as seriously as it ought to do.

[Mark Hendrick]

Is it not the case that the European Commission is made up of Commissioners directly appointed by democratically elected Governments and they are interviewed by Members of the European Parliament before their appointment? Members of the European Parliament are directly elected as well.

[Wayne David]

My hon. Friend makes a very good point indeed, and reinforces what I was saying.

I welcome the debate because it occurs at a time when Europe as a whole is experiencing a deep economic malaise. Against the problematic economic climate that we all face, we must assess the relevance and appropriateness of the Commission’s work programme. The situation is most acute in the eurozone, as I am sure Members will agree, although of late, it has stabilised somewhat. The situation is still serious in Spain and Portugal, and in Greece it is extremely serious. However, there are signs of improvement; in Ireland, things are starting to get better. Nevertheless—

[Kelvin Hopkins]

rose—

[Wayne David]

Before my hon. Friend intervenes, I take the point that one of the great weaknesses across the European Union as a whole is the macro-economic policy being pursued by member states. There is too great an emphasis on austerity and nothing else. We need to put a firm emphasis on growth and measures to stimulate our economy so that we can work our way to prosperity once again.

[Kelvin Hopkins]

I want to be persuaded that there are signs of improvement in the European Union. Writing in The Guardian at the weekend, a Greek journalist suggested that the Greek economy will contract by a further 10%.

[Wayne David]

As I indicated, the situation in Greece is still very serious indeed. As we know, deep-seated structural problems afflict the Greek economy but there are signs of improvement elsewhere. Certainly the contagion that many people feared a few months ago does not appear to be materialising. There are signs of stabilisation, at least, across the eurozone. It is therefore important that the European Commission does as much as it can to make sure that we take that a stage further and have a coherent growth strategy. In that respect, the document before us is somewhat lacking, but it does at least recognise the importance of job creation. I cite its opening statement:

“Today’s absolute imperative is to tackle the economic crisis and put the EU back on the road to sustainable growth.”

That is a good starting point. At least there is recognition of the need to put that four-square on the agenda. However, practical measures to realise that goal are somewhat lacking.

One of the positive things about the document is that it recognises the importance of taking forward the completion of the single market. It states:

“A fully integrated and interconnected European Single Market covering telecoms, energy and transport is a prerequisite for competitiveness, jobs and growth. Achieving this requires affordable, accessible, efficient and secure network infrastructure. Accelerating the roll out of the digital economy will bring benefits across all sectors, through enhanced productivity, efficiency and innovation.”

That is particularly true. It is something that the previous Labour Government and this Government have effectively been arguing for.

The importance of the single market, particularly to the United Kingdom, should not be underestimated. In support of that point, I refer Members to the important new-year message from John Cridland, the director general of the CBI, in which, on behalf of British business, he makes it absolutely clear how important the single market and the European Union are to British business. He points out that 50% of Britain’s exports go to other countries in the EU. He argues the case coherently for completing the single market, and says that the EU is vital when it comes to enhancing our international trading relationships. He goes a stage further: he argues that it is vital that we do not just pay lip service to the single market, and that Britain stands four-square behind the European Union and argues the British case consistently inside the decision-making chambers of the EU. He says:

“It’s essential that we stay at the table to bang the drum for businesses and defend our national interest, particularly protecting our world-class financial services industry to maintain our competiveness internationally.”