European Communities (Finance) Bill

The hon. Gentleman makes his point well, as ever. We are debating a small, defined Bill that will implement an agreement that was made in December 2005. The House last had an opportunity to debate the deal on 8 May 2006. It does little credit to the way in which we deal with EU business in the House and in this country that the Bill simply gives legal force to an arrangement that has been in effect since 1 January. Now, 11 months later, the House has the chance to debate a Bill that will implement the deal that was made by the former Prime Minister, Mr. Blair, nearly two years ago. The Bill and the deal that it will implement are bad measures, but they are also bad because of what they say about the state of the EU and of Britain's ability to negotiate a better arrangement and a better deal within the EU. The Bill is bad not least because this is a time of tightening public finances, when the Treasury and the Government face more difficult decisions about funding and public services in this country. The situation could become considerably more difficult in the year ahead, and even worse in the year after that. The Bill represents a change in our financing commitments to the EU that, according to the excellent Library note produced for the debate, will contribute to a net increase in the UK's contribution of £2.3 billion every year. That is a cause of considerable concern. The Chief Secretary seemed to try to justify it on the grounds that although it might cost us more, that was okay because it would also cost France more. I am not sure that that explanation would cut much ice with my constituents or with his. The Chief Secretary went on to say that the rebate had not been cut, but rather that parts of it had been disapplied—as far as I can see, that amounts to the same thing. The rebate applies to fewer aspects of EU funding than it used to. Even though the absolute amount of the rebate may rise in line with our rising contribution—that point was made earlier—we will effectively see a cut in the scope of the rebate, which will contribute to an overall substantial increase in the net contribution from this country to an unreformed EU. A number of Members have already well made the point that the Prime Minister at the time, Mr. Blair, went to Brussels with an absolute commitment that he would achieve radical reform of the CAP and that only in those circumstances would it be acceptable to negotiate away part of our rebate. Instead, he returned with nothing. My good friend the right hon. Member for Rotherham (Mr. MacShane), a former Europe Minister, is no longer in the Chamber. One of the pleasures of participating in European business—although you are looking a little sceptical, Mr. Deputy Speaker, if I may say so—