Eu

Don’t expect repatriation in this Parliament

When David Cameron wielded his veto at the European Council in December many Tories thought this was the beginning of a process of repatriation of powers from the EU. Myself, I thought it would be the high water mark of the government’s Euro-scepticism — and so it has proven. But things are about to get even worse for the Bill Cashes of this Parliament. In the short-term, at least.   Why so? Well, the government appears to be concluding that it will not get a receptive ear from its European partners on any repatriation bid. The other European leaders are simply too busy fixing the euro to even read any

Cameron cheered by the Lib Dems, spared by the Tories, mocked by Labour

If you wanted proof that Cameron has softened his stance towards Europe since the hard chill of December, then just look to the Lib Dems. Nick Clegg, unlike then, was sat next to the Prime Minister as he gave his statement to the Commons this afternoon. And the questions that followed from the likes of Menzies Campbell and Simon Hughes were generally warm and approving. Campbell started by, in his words, ‘praising the pragmatism of the PM’. Hughes celebrated a ‘more successful and satisfactory summit than the one in December’. That praise, while friendly enough, creates obvious problems for Cameron — and it was those problems that Ed Miliband sought

Miliband the eurosceptic? Not yet

Ed Miliband is not naturally a eurospectic, but he certainly sounded like one during his appearance on ITV’s Daybreak show earlier. ‘I’m very concerned about what David Cameron has done,’ he said in reference to the PM’s equivocation over Europe yesterday. ‘He’s sold us down the river.’ Whether this is Miliband committing towards the sort of euroscepticism that is being urged on him by some of his colleagues, it’s too early to say. It’s only words, after all. But my guess is that — just as when Miliband attacked Cameron for not signing up to the latest treaty, but couldn’t say whether he’d have signed it himself — this is

Cameron softens his stance on Europe — but who benefits?

‘We will insist that the EU institutions — the court, the commission — that they work for all 27 nations of the EU.’ So said David Cameron, back in December, suggesting that he’d block Europe’s ‘fiscal compact’ countries from using EU-wide institutions to enforce their, er, fiscal compact. But now this component of his ‘veto’ appears to have come to naught, and that veto is looking all the thinner for it. On the Today Programme this morning, William Hague confirmed that Britain wouldn’t block the use of EU institutions, such as the court, for the fiscal union. ‘We’re not intending to take action about that now,’ is how he put

Greece is still the word ahead of today’s eurosummit

How about this for a claim by Nicolas Sarkozy, made in a TV appearance yesterday? ‘Europe is no longer at the edge of the cliff.’ It’s quite some statement, so let’s hear it again: ‘Europe is no longer at the edge of the cliff.’ Of course, Sarkozy has reasons for saying it beyond mere pre-electoral braggadocio: the rates paid on Italian and Spanish 10-year bonds have generally been falling since the the beginning of the year; the euro has been making some tentative progress against other currencies; and so on. But it still constrasts heavily with much else that is being said around the eurozone. Only last week, Angela Merkel

Dave in Davos

Reading Cameron’s speech to the suits in Davos, one thing stands out: he’s in no mood to stop ‘lecturing’ the eurozone, as Nicolas Sarkozy would put it. The whole thing is saturated with firm advice for our European brethren, from generalities such as ‘Tinkering here and there and hoping we’ll drift to a solution simply won’t cut it any more,’ to specific policies that the Continent should introduce so that it can ‘recover its dynamism’. He even found space to attack the ‘madness’ of a Tobin tax, as well as to hawk the coalition’s deficit-reduction plan. It’s the sort of advice that could, of course, put Cameron further at odds

Would Iran block the Strait of Hormuz?

With the EU agreeing a new round of sanctions on Iran – outlawing European oil and gas purchases from Iran in six months, freezing Iran’s Central Bank and banning trade in gold and other precious metals with any state-related bodies – tensions between Iran and the West are increasing. An Iranian MP has – again – warned that Iran will close the Strait of Hormuz and the US administration has – again – said that such an action will be countered. But what would happen if Iran carried out its threat? Iran has noteworthy littoral warfare capabilities, including mines, anti-ship cruise missiles, and land-based air defence. If Iran uses these

A Chris Huhne prediction that didn’t come true

Chris Huhne attacked David Cameron for the EU veto in Cabinet back in December. At the time, one Cabinet minister told me that part of Huhne’s critique was that Cameron had scuppered the chances of a Liberal Democrat MEP, Sharon Bowles, being reelected as chair of the European Parliament’s Economic and Monetary Affairs Committee, which deals with financial services.   But Bowles has been reelected. In a Lib Dem press release welcoming this, Nick Clegg declares that: ‘As party leader, I am proud that we have a leading Liberal Democrat in such a prominent and powerful position on the international scene. As UK Deputy Prime Minister, I am delighted and

Welcome, Croatia

Croatia’s EU referendum was overwhelming — more than two-thirds of voters favoured the young state’s accession to the European Union. This is an important moment. For it shows that another part of Yugoslavia is intent on leaving its violent past behind and move into the European mainstream. Croatia and its newly-elected government still faces many problems — corruption, judicial favouritism and xenophobia among them — but the journey to a milder and more moderate society can now continue.   When Croatia accedes to the EU, probably next year, it will be an example to those states in the Balkans, like Bosnia, Albania and Serbia, that wish to join the EU

Would Spain stop Scotland from joining the EU?

Alex Salmond’s case for independence relies on Scotland joining the European Union. If an independent Scotland was a member of the EU, then Scotland would be part of the single market and free movement of labour across the border could continue (an independent Scotland would also have to join the euro, but that’s something Salmond is less keen to talk about). But, as one Whitehall source points out to me, it is far from certain that Scotland would be able to join the EU.   The Spanish are currently blocking Kosovo’s accession to the EU. Why? Because the Spanish, who don’t even recognise Kosovo as a state, fear the implications

A taxing kind of spin

The story being briefed out of the year’s first Franco-German Summit is that President Nicolas Sarkozy won the backing of Chancellor Angela Merkel for a tax on financial transactions, a levy that the British government objects to and that Ernst and Young say would leave a €116bn hole in Europe’s public finances. But before the City begins building barricades and the PM puts on his bulldog mask, it is worth taking another look at the news from Berlin. For no sooner had the agreement been announced than the tax was rejected by Chancellor Merkel’s junior coalition partner, the pro-business Free Democrats, who say they will only back a Europe-wide tax

European integration that we can get behind

Part of the magic of the New Year’s Day concert from the Vienna Philharmonic is knowing that millions are watching the same event live, right throughout Europe. It’s perhaps the only cultural event that unites the continent in this way (other than Eurovision). Politically and economically, not very much binds us together, as the tensions within the European Union demonstrate. The continent is a model of diversity, which is why homogenisation attempts fail. But when it comes to culture, it’s a different story altogether — with classical music being, perhaps, one of the strongest unifying factors. Turn up to a concert hall in Edinburgh, Leeds or Athens to listen to

How democracy fared in 2011

Even before we were a month in, 2011 was an historic year. Principally because in a region of the world where governments shift through military coup or foreign intervention, dictators fell — and others tottered — thanks to local popular uprisings. Whatever the outcome of those events (and I have expressed my fears elsewhere, here) they remain a landmark worth observing. Whether or not the coming years are any good at all for them, 2011 was a great year for democrats in the Middle East. In the older democracies of the West, however, 2011 was more disconcerting.   If anyone doubts this, consider the following experiment. It is the beginning of

The latest act in Europe’s comic opera

If it was not all so serious, the efforts to save the single currency would be worthy of a comic opera: the Germans could compose the score, the Italians could write the libretto, and the French could take care of the stage directions. The latest IMF-related effort is, perhaps, best described by the website ZeroHedge, which is required reading during these troubled times: “Germany will be responsible for €41.5 bn, France at €31.4 billion, and Italy will need to provide €23.5 billion and Spain another €15 billion. To, you know, bailout Italy and Spain” What is becoming increasingly clear, when you take this news combined with the comments of the

Rudd’s straw man argument about our EU membership

As the isolation hysteria over Cameron’s EU veto starts to fade, attention is now shifting to the more existential question of what kind of relationship the UK should have with Europe. In a piece for today’s Times (£), the chairman of Business for New Europe, Roland Rudd — who, incidentally, used to argue passionately in favour of the UK joining the euro — takes aim at those who want Britain to replicate a Norway-style model of European cooperation. Arguing that Norway endures so-called ‘fax machine diplomacy’ — no influence over EU laws that it must nonetheless accept — Rudd says that ‘the choice now is to do what Norway does,

Another sign of coalition splits over Europe

Coalition tensions over Europe are again threatening to be the story this morning. Nick Clegg has told The Guardian’s Patrick Wintour that Britain has ‘signalled we are happy for them [the Eurozone plus group of countries] to use EU institutions’ to enforce any new treaty they agree between themselves. This is a striking claim given that David Cameron has not publicly said that he would accept this. If the Deputy Prime Minister’s summary of the coalition position is accurate, then Cameron will face criticism from eurosceptics that he is backsliding on his veto. But for all Clegg’s criticism of Cameron handling off the summit, he remains unconvinced by the plans

Clegg tries to rebuild EU bridges

What are the Lib Dems up to? On Tuesday, Clegg, Cable, Alexander, Huhne and Laws met with ‘Business for New Europe’, a group of pro-European business leaders, in what the FT describes as as ‘a very public display of engagement with business over Europe’ and the front page of today’s Mail calls ‘plotting to rally business chiefs against Cameron over Europe’. It is, of course, not surprising to see senior Liberal Democrats talking to pro-EU business people and advocating more engagement with Europe. But it does highlight what will be a key goal of the Lib Dem leadership over the next few months: building bridges with Europe, particularly to reconnect

The veto arguments rumble on

The Times has a very interesting story (£) today on page 17. It claims that David Cameron had agreed to inform Nick Clegg if it appeared that Britain was going to be isolated at last week’s European Council. The significance of this is that it suggests that the Lib Dems believed they would be consulted before the government vetoed anything. This news emerges after senior Liberal Democrats have privately questioned why their leader did not insist that Cameron only use the veto once he had Clegg’s explicit agreement. The Times also reports that this negotiating protocol did not envisage a situation where Britain was left in a minority of only

Was the PM reasonable?

As the effects of last week’s European Council become clear, debate about the rights and wrongs of David Cameron’s diplomacy hinge on one question: were his demands ‘reasonable and modestly expressed’, as a source in No 10 put it to me? Everyone knows that there were chronic failures in the run-up to the meeting itself. I laid a few of them out in an earlier post, but, basically, they amount to a failure of prioritisation: the UK eroded the goodwill it needed by fighting tooth-and-nail on every issue beforehand, thereby blocking things that other EU states care about but which are not important, except symbolically, to the British. International —

Clegg ducks Cameron’s conciliatory speech

The text of David Cameron’s statement on the European Summit was clearly designed as balm for the coalition’s wounds. He devoted a large chunk of it to defending Britain’s membership of the European Union in a clear effort to reassure the Lib Dems about the future direction of European policy. But this effort was rather undermined by the absence of the deputy Prime Minister. This was, predictably,  the story of the session. In response to repeated Labour questions about where Clegg was, Cameron replied ‘I’m not responsible for his whereabouts. I’m sure he is working very hard.’ Nick Clegg has now given a TV interview in which he has escalated