Commission Must Build Framework For Growth
Brussels, 23 June 2010
During the sitting of the European Parliament in Brussels today, Timothy said he wanted to see the Commission deliver on its plans following the European Council Summit held on Thursday 17 June. He warned Jose Manuel Barroso that, given the economic situation, it was now vitally important to learn the lessons from the failed Lisbon Strategy and act in a positive manner.
But Timothy began by mentioning the uncertain situation in Iran, which is giving cause for concern. The country is still developing its nuclear programme under a veil of secrecy, even after repeated calls from world leaders to it to operate in a more transparent manner. Timothy suggested that he would support international sanctions, even though he believed they may come too late.
Timothy's speech in full:
Presidents, Colleagues,
The European Council rightly focused on the reform of Europe, something to which my group is dedicated.
But first I want to say something about Iran. Iran ought rightfully to be one of the most respected powers in the Middle East. It has a long history and a talented and innovative people. We would very much like to be able to work with them in tackling some of the issues which are most pressing at this time. Recently I met with Iranian representatives who suggested what some of these issues might be. But sadly Iran is in the hands of those who seem to care little for the aspirations of their own people or the concerns of their neighbours in the Gulf region. It has recklessly pursued a nuclear energy programme that has rightly provoked suspicion and alarm.
If it were to develop nuclear energy in an open and transparent manner, no-one should question its rights to do so. But by trying to develop these nuclear capabilities in secret there can be little doubt that their motives and ambitions are a danger. So we welcome the steps the leaders of the European Union have taken to increase the pressure on them to cooperate with the global community. If not, measures to restrict trade, banking, transport, and the oil and gas industry will have to be taken.
We also welcome the agreement on Europe 2020 which we hope will merit its description as the 'centre-piece initiative' of this Commission. There is still much work to be done in practice and we do not yet agree with every detail but if words can be turned into action, this will be a positive development for the European Union:
- The single market must be re-launched and extended.
- Trade both within the European Union and beyond must be encouraged and facilitated.
- Unnecessary and bureaucratic barriers must be swept away.
- The burdens on our businesses and entrepreneurs must be reduced.
- Heavy-handed regulation must be replaced by 'smart regulation', or simply less regulation.
For the sake of both the euro and the economic future of all members of the European Union, budget deficits in all our countries must be reduced. In the United Kingdom we have now joined others who are taking these painful but necessary steps. Our emergency budget yesterday was dramatic but, as Chancellor Osborne said, "unavoidable". Only by reducing the weight of public debt and securing long-term low interest rates will the private sector be able to invest and expand, creating jobs and generating growth. And it is the private sector which can best restore growth and prosperity.
We welcome the fact the European Council focused on immediate, practical steps to support the euro. My own country is not of course a member of the eurozone and will not join but we have every reason to want it to be successful. But the ECR believes the measures necessary to improve the governance of the euro do not require further centralisation in Europe and we would oppose any measures the shift more power from member states to Brussels. Nor could we support any steps which would force non-eurozone members to support financially the eurozone as it is the responsibility of eurozone members to support the system they designed and control. But we stand ready to support initiatives which respect the respective treaty obligations of our member states.
We live in an increasingly competitive era. The period of the economic pre-eminence of Europe and the United States is clearly drawing to a close. Our system of free market economics, liberal democracy, and social protection for the most vulnerable faces challenges from others who espouse a more authoritarian brand of capitalism. We therefore urgently need reform to ensure we can continue to enjoy and develop our free way of life. Trying to escape this need by blindly clinging to the status quo would end in our ruin.
The European Council made progress but we must never judge the success of a summit on the quality of the written statement of 'Conclusions'. The meeting will only have been successful if the words are translated into action. We must not forget the lessons of the Lisbon Strategy - this time we must deliver.
I urge the Commission to focus on the immediate steps to help member states recover from the recent economic and financial crises, and to prioritise implementing the Europe 2020 strategy. In this way we can build a strong framework for long-term strong, sustainable and balanced economic growth upon which all our hopes and ambitions in an increasingly competitive world depend.
