European Union (Amendment) Bill

This has been a very interesting, though brief, debate. The noble Lord, Lord Willoughby de Broke, by moving this amendment, gives me the chance to address some of the concerns that have been raised, notwithstanding the rather clever way in which the noble Lord, Lord Tebbit, sought to make this a clearer proposition. There is no question that it is very important to make sure that where there are concerns about personal terms and conditions and expenses arrangements for members of any parliament, but in this context the European Parliament, those are addressed. The Government expect taxpayers’ money to be spent correctly and support the maximum transparency on this. That does not in any way deflect from the fact that the European Parliament plays a vital role in the European Union. Its Members are directly elected and they perform an important role of scrutiny, holding the Commission to account. MEPs are effective both at raising issues of great concern—for example, climate change in recent times—and at scrutinising and improving legislation. The REACH chemicals regulation, key financial service dossiers and the mediation directive—which I was involved in in liaison with the European Parliament and which covers mediation and civil justice issues across borders—are all good recent examples of where the European Parliament has added value, scrutinised and held to account. Strengthening the Parliament’s role strengthens transparency and democratic accountability. I listened with great care to the noble Lord and I agree that it is important to make sure that any organisation looks at what it can do to strengthen its transparency and accountability and to deal with issues, whether of perceived fraud or of propriety, for which transparency is often the answer. Noble Lords will know that the European Parliament has already strengthened requirements on MEPs to provide documentation on, for example, the use of office allowances and employing staff. Noble Lords will know also that, after the elections next year, the MEP Statute will be introduced, which will see the reform of MEPs’ pay to provide a standard base salary across Europe. It will reform the expenses and allowances system for MEPs. We in the UK have long supported the statute as a fair, transparent and substantive way forward. However, the amendment raises a specific question: is the European Parliament a fit organisation to have the power to censure the Commission? We support this parliamentary power. Being able to hold the Commission to account in this way is an important aspect of the Parliament’s power, because it is a democratically and directly elected institution. Noble Lords know, too, that the power of censure is not new; it goes back to the treaty of Rome. They will remember, for example, the tough stance of Parliament on the perceived mismanagement of funds by the Santer Commission, which led ultimately to the resignation of the whole Commission. It marked an important step in supporting improvements in the management of EC funds and generated the political impetus that was necessary for the Reforming the Commission White Paper in 2000. So the Parliament plays an important role in holding the Commission to account. Its ultimate sanction is the power of censure. It is important that the citizens who elect the European Parliament know that, ultimately, their direct representatives in Strasbourg can dismiss the Commission. I hope that the noble Lord will withdraw the amendment on that basis.