EU Council

Edward Miliband Excerpts

Monday 28th October 2013 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

I thank the Prime Minister for his statement. May I start by joining him in sending my deepest condolences to the families of the four people who have died during the storm conditions of the last 24 hours? Let me also join him in thanking the emergency services for the work they have done overnight to protect people and the work they are now doing to clear the debris. Will he take this opportunity to update the House on the hundreds of thousands of homes without power in south-west England, East Anglia and the midlands, and on how long it is expected to take for it to be restored?

On the European statement, I join the Prime Minister in his support for the work of our intelligence services. It is vital, it keeps us safe, and, as he said, by its very nature it goes unrecognised. I join him in applauding the men and women who work for our intelligence services. I also support the summit’s statement on this issue. We can all understand the deep concerns that recent reports have caused in some European countries, especially Germany, so as well as providing that support for intelligence services, it is right that every country ensures proper oversight of those activities.

Turning to the formal agenda of the summit, first, on trade, we welcome and support the conclusion of the Canada-EU trade deal and agree with the focus on the US-EU trade agreement. At the start of this year, a timetable for December 2014 was set to complete negotiations. Will the Prime Minister set out any further developments on that challenging timetable and its feasibility? Does he agree that the possibility of this agreement is an important reminder, including perhaps to his Cabinet, that a prosperous future for Britain lies inside, not outside, the European Union?

Secondly, completion of the digital single market could have a significant impact on our prosperity. On numerous occasions, the Prime Minister has come to this House stating his commitment to expand the single market in digital services. What has been achieved at this summit that was not achieved at previous summits? Can he reassure us that the delay to the data protection directive is a delay and not simply a pushing of this into the long grass for it never to be completed?

On regulation, we will look at the proposals of the Prime Minister’s taskforce. We agree with the need to restrain unnecessary regulation and welcome any progress on this, but we do need to distinguish between good and bad regulation. That takes me to a couple of questions about his taskforce’s report. In the light of the horsemeat scandal earlier this year, does it really make sense, as the taskforce seems to be suggesting, to scrap new rules providing transparency about where slaughtered meat has come from? What about rules on agency work? Those rules play an important role in deterring employers from using low-wage migrant labour to undercut local workers, but his taskforce says they should be watered down. What reassurance can he provide that this will not simply mean cuts in wages and conditions, and a race to the bottom?

On broader economic policy, I note that the Prime Minister said at the end of his European summit press conference that his priority was now to

“make sure...it is a recovery for all”.

Does this represent an acknowledgement that despite the welcome news on growth, millions of people still feel worse off because of the cost of living crisis? Talking of that crisis, did he share with other European countries the fact that the UK has the highest inflation in Europe and in the last quarter we saw the lowest wage growth in Britain on record?

The Prime Minister also said after the summit that he wanted to help people “excluded from our economy”. This includes youth unemployment, which is mentioned in the communiqué. [Interruption.] I know that Government Members do not want to hear about youth unemployment, but it is a very important issue. The shameful truth is that nearly one in five unemployed young people in Europe lives in Britain, and the Prime Minister’s youth contract has recently been branded a failure by his own advisers, so what did he say at the summit about the changes needed here in Britain when it comes to youth unemployment?

For people who are struggling with their energy bills and whose wages are falling, and for young people looking for work, is it not the truth that nothing is different after this summit from what it was before? To be fair, in his heart of hearts, I think even the Prime Minister realises that, because he began his press conference after the summit with the stirring words: “Another European Council concluded.” Is not that the best that can be said for this summit?

[The Prime Minister]

I make no apology for coming to this House and repeating the policy prescriptions we need to achieve in Europe. We have a very consistent record of going after completing energy, completing digital and completing services. That is what will make a difference. It is hard work in Europe—it is hard going —but we are making progress.

The Leader of the Opposition asked a number of questions; let me answer all of them. On electricity disconnections, more than 200,000 people are currently disconnected and work is under way to reconnect them. Obviously, circumstances will differ in each case, so it may take longer for some than others.

I very much welcome the fact that there is cross-party agreement on the intelligence services. Over recent years, we have put in place—under Governments of both parties—very good arrangements for governing our intelligence services and we should be proud of the work they do.

On the EU-Canada trade deal, the right hon. Gentleman is right that there is still more to do. I think that the most difficult decisions in principle have been made, particularly on key areas such as beef and dairy, so I do not expect this to take a long time. The pressure is on, because everybody knows that the EU now wants to turn to the bigger deal with America, so the Canada deal needs to be wrapped up.

On digital and the single market, there is quite a lot of detail in paragraphs 5 to 9 of the communiqué about the specific progress on individual items. Whether they are telecoms, data or rules for e-commerce, a huge number of detailed changes have to be made.

I reassure the right hon. Gentleman that we have looked very closely at the data protection directive. The effect of the current draft would be to add more than £300 million to the costs of UK business. It would mean that quite small businesses that do market research, for example, would have to employ one extra person simply to comply with the directive. We need a directive in order to make the digital single market work properly, but the current draft is wrong and we should hold it up so that we get it right.

On deregulation more generally, I hope the right hon. Gentleman will read the report, which is excellent because it comes up with good principles that should be adopted in Europe, such as the one-in, one-out principle that we have adopted in the UK. It also makes 30 recommendations for directives to be scrapped, amended or in some cases completed. It is a good report.

On unemployment, let me answer the right hon. Gentleman specifically. The UK youth unemployment rate is below that of France, Italy and the EU average. It is down over the quarter. The youth claimant count is down 79,000 since the last election. There is much more to do, but the fact is that just this morning we announced 100,000 extra training opportunities for young people and there are record numbers of apprenticeships—they are now running at twice the rate they were under the previous Labour Government.

The right hon. Gentleman made a number of economic predictions that rather reminded me of other predictions he has made over the years. He told us in 2010 that our policies would lead to a loss of 1 million jobs. That was completely wrong: we have added 1.4 million private sector jobs. In 2012 he was still saying, amazingly, that the loss of public sector jobs would not be made up for by the growth of private sector jobs. Again, he was wrong: we got 1 million more people in work.

As late as June this year, the shadow Chancellor, who is not in his place—presumably he is sorting out Labour’s HS2 policy—said that we would choke off growth, and yet the truth is that this year we are forecast to grow more than twice as fast as Germany. Those are the results we are getting both here and in Europe.