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Oral question asked in the House of Commons, by Nicholas Winterton (Conservative). It was answered on Thursday, 30 March 2006 on behalf of the Treasury.


European Single Market

Question
I congratulate the United Kingdom on the way in which it has liberalised its market. We believe in fair and free competition, and the problem lies with a number of countries within the European Union, not least Italy and France. When will the system allow immediate action to be taken against those countries that are not liberalising and that are protecting their industries, particularly in energy, to our disadvantage?
Answer

I agree with the hon. Gentleman, who has spoken about those issues in the past. It is completely unacceptable that British industries should play by the rules while industries in other countries do not play by the rules of the single market. It is essential that we send out a message that beggar-my-neighbour policies, protectionist policies and the restriction of competition are damaging both to the consumer and to industrial growth right across the European Union. Indeed, if we fail to get a world trade agreement, such practices will damage industrial growth right across the world, which is why we are proposing a different course of action. In the past, we have had meetings to set timetables on liberalising the energy sectors by this date, the utilities sector by that date, the telecommunications sector by another date and the services sector by a further date. Instead of simply relying on people honouring promises that have been made at such meetings, a mechanism should be implemented so that the European Union itself, perhaps through an independent competition authority separate from the European Commission, investigates sector by sector what is going on and who is restricting competition. Such an authority should have enforcement powers to deal with restrictions on competition, so that we can open up trade across the single market and influence world trade talks, where the damage that will be done by a return to protectionist policies for both developed and developing countries is something that we cannot accept.


Secondary information

Type
Oral question
Reference
444 c1036-7 
Session
2005-06
Oral question type
Supplementary
Chamber / Committee
House of Commons chamber
Subjects
EU internal trade Competition Competition law Energy Protectionism
Link
View this Oral question on www.publications.parliament.uk