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Future EU Finances and Own Resources

The hon. Lady confuses questions about fraud with those about reliability. Our consideration of accounts at ECOFIN will depend on those in the future. The hon. Member for Twickenham (Dr. Cable), who spoke for the Liberal Democrats but is no longer present, conceded that enlargement had been successful in southern Europe and was increasingly perceived as a success in eastern European. He and the hon. Member for Chipping Barnet were critical of the CAP. However, let me stress to them both that the CAP is being reformed. Under the UK presidency, we were able to put in place the historic liberalising reform of the UK sugar regime. The total value of the CAP will decrease over the new financial perspective, falling to €51 billion a year by 2013. The fundamental review—part of the December agreement and the inter-institutional agreement—will give us the chance to press further towards long-term reform and a vision for the CAP, which sees European farming as capable of being competitive without the need for subsidy or protectionism. My hon. Friend the Member for Leicester, East (Keith Vaz) was in something of a minority. However, he put the case clearly and cogently for a forward-looking Europe. He reminded hon. Members that commitment to enlargement has been fundamental to the UK Government’s approach, not only under the current Administration but under the previous one. He also reminded hon. Members that the UK Government have been one of the strongest supporters of EU enlargement and one of its most forceful advocates. He also stressed the importance of the EU’s responsibility in helping the new member states undertake the economic development that they require. My hon. Friend the Member for Caerphilly(Mr. David) spoke about the responsibility of our mature democracies to help what he called the fragile democracies in eastern Europe. He is right to say that the Government should do that, and we are doing it. We are proud of that commitment.