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European Council: 23-24 March 2006

My Lords, does the Minister agree that the progress that has been made with regard to the services directive is the broad emergence at the European Council of support for the compromise reached in the European Parliament? While far from perfect, and not going nearly as far as one would wish, it enables a directive to be agreed which achieves considerable liberalisation in this vital sector. The right course is to make sure that the European Parliament and Ministers reach a final agreement which goes no step backwards and a little further forward in that direction. With regard to the protectionist tendencies which have come to the fore in countries such as France, Spain, Italy and Poland, although the subject was not dwelt on at the European Council, does the Minister agree that the right approach is for all Ministers to give the strongest support and encouragement to the European Commission to use to the full its considerable powers in support of competition policy and the single market to defeat such measures, most of which are plainly in contradiction of legal obligations that the countries have entered into?