European Union Bill

Chris Heaton-Harris Excerpts

Monday 24th January 2011 Commons Chamber

[Mr David]

The ultimate decision-making body in the European Union is the Council of Ministers, where, broadly speaking, votes are exercised according to the size of a country relative to other countries. I am suggesting that if a large country such as Turkey joins the European Union, the influence of the United Kingdom will inevitably diminish—that is absolutely simple and straightforward. Given the logic of the Government’s argument for this Bill, I find it incredible that that circumstance is painfully excluded.

[Chris Heaton-Harris (Daventry) (Con)]

I thank the hon. Gentleman for his wholehearted support for the amendment that I tabled on this issue, which, alas, we are not going to get to later this evening. Are we not assuming that Turkey would want to join the European Union? Given the direction in which its economy is going and given that it is already a member of the customs union, it would perhaps be very wise of Turkey to take a step back and have a look at where it is going. I was wondering whether this approach is a complete change in Labour party policy on this area, and it would be fascinating to know whether the party is for or against Turkish accession. Has the diminution of powers at the Council, whereby the previous Government gave away so many powers in different qualified majority voting circumstances that it sends shudders down the spine, led to Labour Members beginning to tighten up and see that we really should not have given away some of these powers?

[Mr David]

Perhaps I should not have given way on that point. I want to go on to make it absolutely clear that the Opposition would like to see Turkey join the European Union. There are a host of positive reasons for that to happen. Our position on the European Union and Turkey’s membership has not changed, but I cannot understand how the Government can say on the one hand that they believe in holding referendums on EU changes that affect the UK and on the other that they are against holding a referendum on such a huge issue of great importance to this country. The Government cannot have their cake and eat it.

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[Mr David]

No, because other Members want to contribute to the debate.

In conclusion, this tortuous Bill is problematic in the extreme. This part of the Bill in particular undermines the centrality of Parliament in Britain’s democracy. The convoluted clauses setting out when a referendum will be held are not only complex but contradictory; the significance and exemption clauses place a question mark over the Government’s true intentions; and the false impression given in the explanatory notes about judicial reviews is truly reprehensible.

We have tabled amendments that would significantly alter and, we believe, improve this ham-fisted Bill. Central to our main amendment is a belief that Parliament should be at the very heart of our democracy, and such an approach would ensure that the long-standing principles of representative parliamentary democracy were truly upheld. Without the amendment, this part of the Bill is at best a ragbag of half-baked inconsistencies and at worst a recipe for constitutional chaos.

[Chris Heaton-Harris]

Before I make the couple of points that I want to make, I suggest to the hon. Member for Caerphilly (Mr David), as a Welsh Member, that referendums are quite important to people, that people understand simple and basic details and that they can understand, within the questions set, technical and important points. Democracy evolves, it always has done and it always will do, and through the Bill we suggest that referendums are a solid and sensible way forward. We trust the people who elected us in the first place to take a view, if asked, on the issues that the legislation raises.

[Christopher Pincher (Tamworth) (Con)]

Does my hon. Friend know that the most recent referendum in Switzerland, a country renowned for holding referendums on technical and specific issues, had a turnout of 58%—a very high turnout, and probably somewhat higher than the vote many Labour MPs representing Welsh seats received—demonstrating that people will vote when they have to?

[Chris Heaton-Harris]

I thank my hon. Friend, because every time he stands up, he educates me with a fact that I do not know.

The Labour proposals, in particular amendment 92, seek to redefine the referendum condition for UK ratification of amending treaties. As I will spell out in a couple of minutes, the proposed referendum committee would have to ask both Houses for agreement. As my hon. Friend the Member for St Austell and Newquay (Stephen Gilbert) said, there must be agreement by both Houses before there is a referendum. The amendments are anti-referendum, anti-people and anti-common sense.

Currently, the referendum condition is that an Act approving an amending treaty must provide that its approval will not be effective until the ratification of the treaty has been supported in a referendum. Under amendment 92, the referendum condition would require an Act approving a treaty to provide that its approval will not come into force until the whole procedure has been completed. If the hon. Member for Caerphilly is to be believed, that procedure would involve the European Union referendum committee delivering a recommendation on whether a referendum should be held, both Houses of Parliament opposing or agreeing to the holding of a referendum, and a majority being in favour of ratification in a referendum on the treaty. The Bill’s main alternative, which is the exemption condition for UK ratification of amending treaties, would remain intact. That means that an Act approving an amending treaty could state simply that the treaty did not fall within clause 4—the definition of a transfer of competence or power—and a referendum would not be held.

Essentially, the hon. Member for Caerphilly is selling us a sop. There would be a whole procedure to go through, but a clause that says that there might not be a referendum would not be amended. Amendment 92 is not clear. It is probable that the redefined referendum condition would be met if an approving Act required a referendum to be held on the amending treaty, and if that produced a supportive result, without the EU referendum committee having made a recommendation on whether a referendum should be held. By seeking to amend some parts of the Bill and to leave other parts standing, the hon. Gentleman is confusing the point. I suspect that that is a deliberate ploy, because I am not convinced that the Labour party is willing to trust the people with decisions about significant moves in Europe. I am not convinced that many hon. Members understand the significance of the amendments.

Amendment 88 suggests that the intention behind amendment 92—both were tabled by Labour Front Benchers—is that no referendum should be held unless the European Union referendum committee has delivered an opinion on whether there should be a free public vote. Amendment 88 makes it clear that all amending treaties or article 48(6) decisions, which simplify provisions, that fall under clause 4 must be referred to the procedure involving the EU referendum committee and both Houses to determine whether a referendum is required. In other words, even treaties or article 48(6) decisions that are deemed to fall under clause 4, which require a referendum under the Bill, would be exempted from a referendum under the Opposition proposals. Again, that would take away the British people’s chance to have a say in these important areas.

New clause 9 would establish the referendum committee and the procedure for deciding on referendums on treaties and certain decisions, including article 48(6) decisions. It would report to Parliament in all cases on whether an amending treaty or relevant EU decision

“involves a significant transfer of power or competence, and if so…whether it requires a referendum to be held.”

In other words, only if the Committee judged there to be a significant transfer of competence or power would it provide an opinion to Parliament on whether the referendum should be held. For all other decisions, it would not have to report to Parliament. That is a recipe for keeping decisions on which the British people might want a say behind closed doors in this place, rather than for adding more transparency.

[Mr David]

Why does the hon. Gentleman assume that the meetings would be in camera? They would not; they would be open and public.

[Chris Heaton-Harris]

That is not what is contained in the hon. Gentleman’s amendment. Perhaps we can have this conversation elsewhere at a later date, because I do not wish to take up the Committee’s time, but the Labour amendments would confuse the situation. Rather than open up the chance of our having referendums, they would close it down. I would like to think that we will not have to vote on amendment 85, but I fear that we probably will.

I wish to talk about the significance condition in the Bill, and about amendment 11, tabled by my hon. Friend the Member for Hertsmere (Mr Clappison)—an important amendment on which we should divide. The British people have given up on politicians and political parties a bit when it comes to Europe. They elect representatives to this place on party platforms that do not necessarily reflect their views on Europe, because matters European do not stack up in their priorities at a general election. People make decisions based on reforms to the health service, education, defence and a bunch of other matters, and when we ask them how significant Europe is in deciding how to vote, we find that it falls way down the list. They are therefore trusting us, in a way, to do a job for them when we discuss the matter in the House. We, the political classes of this country, and I as a former MEP, have let the people of this country down.

The hon. Member for Caerphilly might say that the Lisbon treaty was not the constitution, but the fact is that the British people do not trust anybody on these matters now. They think that we are all the same, and that whatever we say will simply not happen. As the hon. Member for Birmingham, Edgbaston (Ms Stuart) put it, we are all in favour of referendums when we are in opposition, but we are certainly not when we are in government. I welcome the Bill, because we can say to the British people that that has stopped.

There are matters in the Bill on which a Minister must judge whether something is “significant”. I understand the fact that it sets out 44 vetoes, 12 decisions and eight ways of increasing EU competences on which a referendum will be mandatory and there will be no significance test. I hope that the Minister will say in what situations the significance test will be used, because I should like clarification of that point.

I believe that the significance test will apply when there is a possibility of conferring on an EU body or agency new powers or the ability to raise sanctions against the UK. There is a whole list of exciting and interesting EU agencies, and I understand that the European Agency for the Management of Operational Cooperation at the External Borders having an extra competence might not seem a huge issue for the Committee. However, I should like the decision to be taken by the House, not by a Minister. Such decisions are best taken by the Members of this place and those of somewhere else a bit further away. I should like the Minister to state why he believes such minor matters, as it were, do not warrant debate in the House.

[Mr James Clappison (Hertsmere) (Con)]

My hon. Friend is making a compelling case. He is talking about minor matters, but does he agree that the Government concede that they could be significant enough to warrant a referendum? The question is not whether they are significant enough, but who decides whether they are significant enough. Would a Minister alone or the House make that decision?

[Chris Heaton-Harris]

I concur with my hon. Friend. Although I completely trust the Minister, I am slightly concerned that, in future, the role might be played by a Minister who was not so interested in those matters.

[Ms Gisela Stuart]

As a former Member of the European Parliament, the hon. Gentleman knows that the decision-making process on those minor amendments is infinitely longer in the European Parliament than in the House. I cannot remember how many Ministers for Europe there were in the 13 years of Labour government, but although I hate to say it, collective memory in this place is vested not in the Minister for Europe, but in the civil service. It is not even a Minister who makes the decision, but the civil service.

[Chris Heaton-Harris]

I concur with the hon. Lady. Several manoeuvres have taken place under previous Governments to determine who is Minister for Europe. The incumbents do not often stay in the role for long. Either they are, like the current incumbent, sufficiently ambitious to move up the ministerial pay scale, or they could easily be a journeyman on the way out. There is a historical context to some decisions about conferring a competence on an EU agency, and one needs to know what the agency was formed to do in the first place. I perceive such conferral as part of the mission creep in Europe. The European Commission, in establishing so many new agencies on such a regular basis, creates its own quangocracy.

When I was a Member of the European Parliament, it was difficult to police the spending and powers of an agency that the European Commission set up. Indeed, it was more difficult than policing some of the agencies and quangos that Governments of different complexions established in this country. If those agencies grab power and take more competences—even for a valid reason at the time—it is important that the Minister of the day understands the historical reasons for setting up the agencies and the intended limits on the powers. I was present when Eurojust and Euro-magistrate were set up—all part of the European public prosecutor, which I look forward to debating tomorrow, and all part of a significant salami-slicing approach of taking powers away from individual member states, and building something that nobody particularly wanted.

I understand that any ministerial decision on the significance test has a kind of double lock. It has been drawn as narrowly as possible, and I would therefore like the Minister to answer a couple of questions. First, I want to check whether any treaty change will require an Act of Parliament. I should like to think that Parliament will have every opportunity to vote for a referendum on such a change. That is why I support amendment 11. Secondly, the decision on significance is subject to judicial review to ensure that decisions not to hold a referendum only on genuinely insignificant matters are backed.

Those matters are important because, as I said, they are about getting the British people to trust the decisions that we make on Europe again. No member of the public wants decisions to be made behind closed doors, without reasonable explanation. I emphasise strongly to the Minister that the amendments are not about trust in him, his ability to undertake the role or his decisions. I would like clarification that Parliament will have a say because that is what we were sent here to do.

My hon. Friend the Member for Stone (Mr Cash) has tabled some tempting amendments to which the Minister and the hon. Member for Birmingham, Edgbaston alluded. In amendment 1, my hon. Friend manages to do a fantastic decapitation job on the Bill that would basically put all changes up for referendum. Although there is validity in my hon. Friend’s reasoning—he has seen through the years a lot more of what goes on in this place than I have—I do not want everything to be decided by a referendum. The British people will not take that. They want Parliament to say, “These are important decisions and there will be a referendum, a debate in both Houses, or an Act and a vote,” and the Bill makes such provisions. We can then choose whether to amend a measure so that it is subject to a referendum because we believe it to be so important. If we think that a subject is insufficiently important, we can decide not to have one. I am tempted by amendment 1, but I am simply unable to support it for those reasons.

I was tempted by amendment 1 because of the accession exemption, which the hon. Member for Caerphilly and a number of hon. Members mentioned. I tabled an amendment on accession to the EU that we will not decide on today, just as we will not decide on many amendments that have been tabled. Amendment 21 is exactly as the hon. Gentleman described it. It would mean that a 3.5% dilution of our voting powers on the European Council triggered a referendum. That is a catch-all—it is completely designed as such—so that we would have a referendum on the accession of big countries.

Given that, amendment 1 all of a sudden comes back into play and I am once again tempted. I would much rather have had a comprehensive and sensible debate on clauses 4 and 5 today or tomorrow or in extra time.

[Mr Cash]

I understand where my hon. Friend is coming from, but there is a difference between significance and the opinion of the Minister on the one hand, and the question of exemption on the other. Clause 4(3) says that certain matters are forbidden territory. I am tempting my hon. Friend by saying that that whole category of exemption should clearly be removed, even if there will be a debate on what is or is not significant.

[Chris Heaton-Harris]

I understand what my hon. Friend says and I am quite sorely tempted, but my problem, as I described earlier, is the minutiae that might be sucked in under amendment 1.

[Mr Cash]

I understand my hon. Friend’s reasoning, but the specific exemptions are set out in clause 4(4)(a), (b) and (c). I understand that he would not want my proposal to go too far. The British people expect these things, which after all include matters such as Turkey and treaties of the type proposed by the French only the other day, not to be exempted. The British people would be left out and not taken into account on such decisions and treaties, yet they would have the most incredible impact on them. I shall explain that later.

[Chris Heaton-Harris]

I always appreciate the lessons that my hon. Friend can teach a humble new Back Bencher and member of the European Scrutiny Committee, and I very much look forward to receiving them, but he makes a salient point. This is about what the people who put us here expect. That is why I ask the Minister please to listen to what hon. Members say about the significance clause and amendment 11. The proposal is not against him; it is about enhancing Parliament and its transparency.

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[Nia Griffith (Llanelli) (Lab)]

I rise to speak to the amendments standing in the names of my Labour Front-Bench colleagues. People elect their MP to speak up for them in Parliament and that is what they expect us to do. They expect us to speak up, to do business for them and to do certain work for them because they have put us here and they cannot spend every minute of every day looking at every detail that they want us to look at. They expect the party in government to tackle the problems of the day. When I say that the general public do not want numerous referendums on technical matters it is not because I doubt their ability to study the issues and make up their own minds—they could of course spend their time doing that. What people tend to say to me is, “Nia, it is your job. You’ve been elected to do this. We want you to look at these things and tell us the best ways forward.” That is not because they cannot do this themselves. They expect us to do the nitty-gritty work on the legislation.

[Chris Heaton-Harris]

I understand where the hon. Lady is going with this argument, but is what she is describing not exactly what she is asking the people of Wales to do in a certain referendum in March?

[Nia Griffith]

Indeed. I shall be dealing with that point shortly, because it is very important. There is a huge difference between the attitude now in Wales and the one prior to 1999, when people were very excited and enthused about the setting up of a new institution, there was a lot of media coverage and a lot of people were talking about it. With five weeks to go before the vote on 3 March, people are not particularly interested. They are saying, “This is a technical difference. If it is a matter of making the process better and simpler, so that things can be done in the Assembly rather than in Parliament, could you not just get on with that and do it?” That is not because people are not interested, because they do not appreciate what the Assembly is doing or because they do not accept that we have different ideas about how to run the health service and education and about how to protect the education maintenance allowance; it is because referendum fatigue is setting in. People are saying that on the big issue they want to have a vote—they want to say that there is going to be an Assembly—but on the technical issue they are saying, “You are telling us that there are better ways of doing things. We would like you to look at the detail, rather than for us to have to do that all the time.”

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[Chris Heaton-Harris]

I thank the hon. Lady for giving way again; it is very kind of her. Following on from the point made by my hon. Friend the Member for Dover (Charlie Elphicke), the hon. Lady said that the shadow Chancellor had kept us out of the euro. He has ensured that we will never be able to go in, because of our massive level of debt. Would a debate on entering the euro go before the committee before anybody could decide on it in either House?

[Nia Griffith]

I will address my remarks to the question before us. The issue that the hon. Gentleman raises is much wider and would merit full debate in the House before any decisions were made. It may well be outside the remit of the Bill. It is a matter that any Government would want to discuss thoroughly. I can hardly see it being a popular move without proper discussion and consensus.

We need to remain in Europe. We do not want the label that Giscard d’Estaing threw upon us in the Lisbon treaty discussions, when he said that the UK would opt out of this and opt out of that, and that we were for ever opting out. We got a reputation as the country that cried wolf all the time and did not engage with the serious issues. It is important that we do not become the spoilt child of Europe. We must take our part; we must stand up and be counted; and we want a mature and sensible approach to what merits a referendum and what does not.

In conclusion, I fully support the idea of a special referendum committee being set up, which would have as its remit to look into the necessary factors and then make a recommendation to both Houses about whether a referendum were needed.

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[Charlie Elphicke]

I defer to my hon. Friend. His independence of mind and spirit is well known, and his championship of the cause of our nation in the matter of Maastricht is well recognised and on the record of the House. I would be proud if I were half as strong, resolute and bold as he is. I hope the day will come. It is, as everyone knows, a feature of the working of our political process that there will be heavy pressure in both Houses for a Government to get their agenda through.

[Chris Heaton-Harris]

There is history here, is there not? Were we not told as a nation by a former Minister for Europe, the right hon. Member for Leicester East (Keith Vaz), that the charter of fundamental rights had no more significance than The Beano? The charter is now incorporated in the Lisbon treaty and we are all suffering from it. A judgment call by a Minister about what is significant could turn out to be very important indeed.

[Charlie Elphicke]

I entirely agree. I remember in times past the former Prime Minister, Tony Blair, saying that the Scottish Parliament was a parish council, but it has far more sweeping powers than that. He was making a point about sovereignty and saying that it would not change anything, but a considerable amount of devolution has been given to Scotland. In the same way, the movement towards ever-closer union, which we have seen latterly in the Lisbon treaty, has highlighted the fact that although we are told, “It’s okay, it’s a small step, it won’t make any real difference,” it makes a massive difference.

I will be corrected if am wrong, but I think that about seven of every 10 of our laws are now effectively made in Europe. I have costed that and found that the European Union costs each and every household in this country an average of about £2,000 a year in taxes, which is a substantial sum. The hon. Member for Luton North (Kelvin Hopkins) rightly said that our constitution and how we interrelate with Europe are important matters. If he wants to intervene on that point, I will give way.