Parliamentary Sovereignty and EU Renegotiations

Craig Mackinlay Excerpts

Thursday 4th February 2016 Commons Chamber

[Craig Mackinlay (South Thanet) (Con)]

I pay tribute to the Backbench Business Committee for allowing this debate, which is the right debate at the right time. I fear that during the referendum period we will often hear people say, “The EU is just something about free trade and you needn’t worry yourselves that it’s any different from the institution we joined back in 1973”—or thought we were joining. I very much fear that we will not hear much said about sovereignty, so I am very pleased that we are having this debate today.

Much of the debate, as we heard from Opposition Members yesterday, will be about the idea that we would lose trade through Brexit. Rarely cited, though, are the 5.5 million jobs in the EU that are reliant on trade with us, and the £60 billion trade deficit that we have with the other 27 EU countries. We are a premier market for EU nations’ products. We abide by the rule of law; we are a decent country to do business with. Are we really to believe that on the stroke of our leaving the EU, BMW would not want to sell us its cars? Are we really to believe that a Frenchman would look at a Range Rover and say, “Ah, they’re not in the club any more, so I’m not going to buy their product”?

[Peter Grant]

The hon. Gentleman is making some valid points. This is why it is important that the “stay in” campaign is positive rather than negative. Does he realise that the arguments he is rubbishing about what would not happen if Britain left the EU were advanced by his party in almost exactly the same terms in relation to what would happen to Scotland if we left the United Kingdom—that nobody would buy our whisky any more? Does he now accept that the arguments advanced by “project fear” at that time were complete and utter nonsense?

[Craig Mackinlay]

I think the hon. Gentleman would find that 300 years of history makes things rather different. I find the SNP’s arguments really curious, and I really struggle with this one. As for the arguments you make about trade, you are somehow twisting them round to your enthusiasm for the European Union. I tended to agree with you: I did not think that trade would have been at risk if Scotland had left, but you now think that in respect of the European Union.

[Mr Speaker]

Order. The hon. Gentleman keeps using the word “you”. He is a partisan and enthusiastic advocate of the British Parliament, and a key tenet of our debates is that debate goes through the Chair. There is no “you” involved, because I have not expressed any views.

[Craig Mackinlay]

I apologise, Mr Speaker; it is always exciting when there is an intervention from an SNP Member.

We have to recognise that trade has changed—that the world is now a global place and trade barriers have come down. A lot of these trade areas are good, friendly nations—Commonwealth nations. I always find it very strange that our friends—our kith and kin; our family—extract their wallets and purses and find, lo and behold, a note with a very familiar and loved face on it, but we deny them access to our country, and we are not allowed to speak to them on trade terms, because of course that is done by a Swedish Commissioner—Cecilia Malmström, a former university lecturer. You could scarcely make this up. We have enthused about having the Premiers of China and India over to our country—you entertained them, Mr Speaker, in your House and in this place—and yet it was nothing much more than a charade.

Those on the contra side of this debate will say that the EU is moving in our direction and we have to stay in it to be of influence. Well, I am sorry, but we have tried that argument for 40 long years. We have tried to change things; we have tried to reduce its powers. Try arguing that with the small fishermen in Ramsgate or the small businesses across our country, given all the regulations and red tape! What is the recent history of being at that high table and working from within? In the Council of Ministers, Britain is always on the opposing side. Our PM has been outvoted under qualified majority voting rules 42 times since 2010. It is time, I think, that he was honest with himself and with us that the EU is moving in a different direction.

We will also hear much in the referendum debate about what might be—what could be—with regard to security and justice. I am afraid that that will all just be part of “operation fear” to encourage the electorate merely to acquiesce quietly and gently as we continue the destruction of the sovereignty of our Parliament and this place.

I think we need to go back in time a little. We will go back to 1971—to Edward Heath’s White Paper, in which he said:

“There is no question of Britain losing essential…sovereignty.”

In 1973, he said:

“There are some in this country who fear that in going into Europe we shall in some way sacrifice independence and sovereignty. These fears, I need hardly say, are completely unjustified.”

Papers have been written since by the Foreign and Commonwealth Office that, I am afraid, reveal what was really happening.

What has developed since then? Obviously those papers were produced in the very infant days of what the European Union was trying to become. It has since amassed a number of treaties, directives and decisions, and of course the bulk of ECJ law. For brevity, I shall concentrate on a couple of fiscal matters. With regard to VAT, in particular, we are entirely and completely subservient to EU law. Some months ago, we had a rather entertaining debate about the tampon tax. That really did highlight the fact, perhaps accidently, that we in this place are completely unable to enact any changes to a very key stream of national legislation. We merely walk through the Lobbies, supplicant to what Brussels has told us we must do.

When the Chancellor prepares his annual Budget, he has to start with the £20 billion of gross contributions to the EU—some 30% of our current deficit. Across corporate taxes, in dividends and losses, the primary authority is increasingly ECJ cases. When he seeks new rules to enhance Britain’s investment and entrepreneurial spirit—I cite the enterprise investment scheme and, more recently, the seed enterprise investment scheme—he has to seek permission from Brussels in case they flout state aid rules.

The direction of travel of the European Union is very obvious. I merely quote Angela Merkel:

“we need a political union—which means we need to gradually cede powers to Europe and give Europe control.”

We are simply on the wrong bus. If we do not take this opportunity to leave, it is probably just as well that there is a proposal for a major renovation of this palace to be conducted, because dear old museums need care. This referendum gives us the opportunity to restore this place—to restore to the public of the UK that which should never have been taken away from them.