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European Union (Amendment) Bill

I suggest that the noble Lord looks at Hansard. He will see that the noble Lord, Lord Stoddart—and I was trying not to mention him by name, because I wanted to make my point in general—made that point. He referred very disparagingly to the internal market by comparison with the other markets. As I say, they are not inconsistent; it is perfectly possible to trade worldwide from the United Kingdom within the European Union. My second point is that it is very frequently said that the United Kingdom makes huge budget contributions to the European Union. The implication is that we are paying for most or a very large part of it. This argument is often advanced. I have a long reputation, I think, of being very averse to spending the taxpayer’s money, which is why I feel that it is useful for me to intervene briefly on this point. The budget of the European Union is 2.1 per cent of public expenditure in the European Union member states, which is a very low figure. The division of contributions, as they are called, between the member states, is certainly not in line with the impression that is often given. I have the budget report for 2006; the figures indicate the operating budgetary balances—that is, the difference between the operating expenditure, which goes into a member state, such as the agricultural fund, the regional fund and so on, and the own resources payments, which is what a member state pays in, in the form of a VAT contribution, and so on. That takes account, as it should, of the budget rebate, which is part of the system that was brilliantly negotiated by the noble Baroness, Lady Thatcher. The UK operating budgetary balance on this basis is €2,143 million. We are 10th in the list of countries expressed as a percentage of gross national income. France, for example, contributes €3,017.8 million, which is 0.17 per cent of gross national income. I do not make much of this point. I would much prefer it if the expenditure on the European Union budget was lower and if what we put in was less. That would suit me extremely well. But I do not want the impression to be left that somehow we are bailing out the rest of the European Union and that others are not contributing, because in percentage of gross national income most of them are contributing more than we are.