EU Draft Budget 2017 Debate

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Department: HM Treasury
Monday 31st October 2016

(8 years ago)

General Committees
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David Gauke Portrait Mr Gauke
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I thank the hon. Gentleman for his questions. The EU budget as a whole is a matter for the United Kingdom and, as I say, there is regular communication. This time last week, I was in discussions with the Finance Ministers of Scotland, Wales and Northern Ireland, and issues relating to EU funding were relevant to those discussions. The position of the United Kingdom in respect of the EU budget is determined by the United Kingdom Government.

On our position on this year’s proposal, let me make it clear that what the Commission proposed is consistent with the seven-year multiannual financial framework, which was agreed in 2013. That was a significant achievement, because it reduced the EU budget for the first time. Some felt that the previous Prime Minister, David Cameron, would not be able to achieve that, but he did. That was consistent with this proposal.

The negotiations are live, so it would not be appropriate for me to give away our position prematurely, because that might reduce our chances of achieving the outcome that we want. The Government’s approach will be the one we have always taken in such circumstances: we will continue to push for maximum budget restraint and value for money to minimise costs for taxpayers. I hope that will have the support of all Committee members.

Scrutiny of the annual budget takes place on the Commission’s proposals. The proposals move very quickly and frequently, so timescales do not allow for a further round of scrutiny. The motion sets out the Government’s overall approach of seeking the best possible value for money, and I hope it has the support of all members of the Committee.

Wes Streeting Portrait Wes Streeting (Ilford North) (Lab)
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It is a pleasure to serve under your chairmanship, Ms Buck.

I want to follow up on consultation. The Minister outlined the way that the Government are interacting with the Scottish and Welsh Governments, but will he outline what the formal mechanisms are for consultation with the Mayor of London? Clearly, a range of issues relating to our impending departure from the European Union will have a huge consequence for London and, as a direct result of that, will reach right across the United Kingdom. It is only right and proper that the Mayor of London or a suitable representative has a seat at the table.

David Gauke Portrait Mr Gauke
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I suspect that the hon. Gentleman is touching on issues wider than this debate. I suspect that he is not specifically asking about consultations with the Mayor of London on the EU budget proposal for 2017, about which, as far as I am aware, the Mayor of London has not expressed an opinion, but I may be wrong—perhaps I should check that.

On the wider issue of the EU, Brexit and the position of London and its Mayor, all I can say today is that there are regular conversations between the Treasury and the Mayor. Without revealing too much about the diaries of the individuals concerned without their permission, meetings occur, and there is one in the not-too-distant future.

Wes Streeting Portrait Wes Streeting
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I am grateful for the reply. To bring us back firmly within the scope of the budget, my hon. Friend the Member for Stalybridge and Hyde talked about analysis of the EU budget’s regional impact. Obviously, there are longer-term questions about replacing expenditure that currently benefits the regions and nations of the UK. What plans do the Government have to publish their analysis of the regional benefits and risks presented by Britain’s membership of the European Union, and of the risks presented by leaving the European Union, so that we can have an informed debate? A seemingly endless number of Government debates have been scheduled, but we will have those debates in the dark, as the Government seem reticent about publishing any relevant information about the benefits or risks of the negotiations.

David Gauke Portrait Mr Gauke
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I point out that the Government published a lot of information during the referendum debate. That information was made available to the British people, and I do not want a repeat of that debate. The British people made a decision, though it might not have been the decision that the hon. Gentleman or I campaigned for, and we have to respect that. The Government are looking at various options, so that we can make a success of the decision that the British people have made. There will be different regional implications, one assumes, of the United Kingdom leaving the European Union, but the Government are determined to ensure that this is a success for every part of the United Kingdom, and I am sure that the hon. Gentleman and every member of this Committee supports that.

Wes Streeting Portrait Wes Streeting
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This is my final question, I promise. I suspect that like me, the Chief Secretary campaigned to remain in the European Union, but accepts the result and now wants to get the best possible deal. As parliamentarians and the general public determine the best possible deal, can we take it that all Treasury documents published prior to the referendum—including all their figures and assumptions—are ones that we should stand by and use to inform the debate?

David Gauke Portrait Mr Gauke
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I fear that the hon. Gentleman wants to take me down a path that is a little way away from the motion in front of us. We are in new circumstances. The determination of the Government is to ensure that we deliver the best possible outcome for the British people in the negotiations with the European Union and in our relationship with the EU and other parts of the world, post-Brexit. That is our focus.