European Union (Amendment) Bill

We had an excellent debate on defence issues during our previous Committee day. Amendment No. 25 relates to the provision on permanent structured co-operation. Our discussion last week highlighted that capability development remains at the heart of being able to address effectively the security challenges facing us. As my noble friend Lord Robertson reminded us in his graphic phrase, we cannot send a wiring diagram to a crisis. Permanent structured co-operation is a new mechanism that is designed to address precisely that need, and it is focused solely on military capability development, as set out in the treaty article that has been referred to and the accompanying protocol. I underline that it is not about a smaller inner grouping undertaking operations. There do not have to be nine member states involved in PSC. Improving the military capabilities of EU partners—this is cross-party—is a key UK objective. Improved military capabilities, whether it is having more deployable and flexible forces or new equipment needed for modern operations, will produce more equitable European burden-sharing and make interventions more effective. The mechanism of permanent structured co-operation is designed to take advantage of the ability to generate political leverage in the EU. Member states are more likely to sign up to developing further their capabilities if the alternative is being left out in the cold and left out of an EU grouping. As one of the foremost capability players in the EU, we would expect to see the UK playing a key role in establishing and leading permanent structured co-operation. This provision is a good example of a pragmatic, UK-inspired initiative that is focused on producing practical improvements on the ground. There is danger of confusion between enhanced co-operation and PSC. They are separate mechanisms. The main difference is that PSC is confined to military capability development, and it has nothing whatever to do with some inner group co-operating on defence issues, whether those issue be common defence or anything like it. I think the noble Lord, Lord Lee, was making that point. As has often been said, there is but a single set of forces in Europe. Investments to European military capabilities benefit not only ESDP but NATO. The EU-NATO capability group will provide a mechanism to ensure that capability improvements leveraged through permanent structured co-operation are compatible with capability development in NATO. Permanent structured co-operation involves some QMV decision-making: to establish permanent structured co-operation; to confirm participation of a member state that subsequently wishes to participate; and to suspend participation of a member state. This is in line with our objective to make PSC easier to set up and easier for member states to join—and to make it easier, frankly, to suspend member states that do not perform and do what they have signed up to do. All other decisions will be taken by participating members by unanimity. The noble Lord, Lord Astor, asked what discussions we had had with other countries. Until the treaty is ratified, we will not engage with partners in detailed discussions on how to implement the provision, but we expect to do so once the treaty is ratified. The European Union Select Committee considered carefully the PSC provisions in the treaty in its deliberations and in its unanimous report. It is worth quoting—not at too great a length—the conclusions on page 202 of its much praised report. The committee said: "““Permanent Structured Cooperation is a form of enabling framework allowing the Member States who so wish to co-operate more closely in the area of defence capabilities development””." The committee went on: "““Permanent Structured Cooperation is not a major departure from current practice. Rather, it represents a continuation and deepening of current forms of co-operation. Its objective is to create a political dynamic among Member States towards the improvement of European defence capabilities. Most of these new capabilities should be available to both NATO and the EU and could therefore serve to strengthen both organisations””." The committee concluded that, "““the new Treaties will provide that ‘national security remains the sole responsibility of each Member State’””." That, I know, is one of the great concerns of the House. In putting forward the case for PSC, I can justifiably claim the almost complete support of our EU Committee.