Whilst the main focus this week has rightly been on the Scottish independence referendum, Jean-Claude Juncker’s announcement today of the make-up of the new European Commission is potentially of great significance.
As Ed Miliband set out in his speech on Europe earlier this year, it is clear that there is a growing tide of scepticism facing the European Union, driven partly by a feeling that the EU is unable to adequately tackle the key challenges facing people throughout Europe, including low economic growth and high unemployment.
The creation of the post of Vice-President for Jobs, Growth, Investment and Competitiveness, filled by Jyrki Katainen, the former Prime Minister of Finland, is therefore an encouraging step forward.
Labour has been calling for the creation of a Commissioner with responsibility for coordinating the Commission’s work on all economic policy areas to ensure that every proposal is focussed on boosting economic growth and creating jobs.
In his speech at Chatham House in January 2013, the Shadow Foreign Secretary Douglas Alexander said:
“Labour have also called for a new growth commissioner – and a new mechanism embedded within the EU and tasked with assessing the impact of every new piece of legislation on the potential to promote growth across the EU. This will improve accountability and help sharpen the EU’s focus on this vital agenda.”
On a first look it appears this new role is intended to do just that – and could help to focus the EU on some of the key issues and challenges we face today.
The UK’s Commissioner, Lord Hill, will work under the Vice-President for Jobs, Growth, Investment and Competitiveness as part of the ‘A New Boost for Jobs, Growth and Investment’ project team. It is vital that Lord Hill uses this position to help deliver the reforms that Europe needs, and that the British people want to see.
Crucially, we need to see progress on a deepening of the single market, particularly in the digital and service industries, and reforms to help manage the impact of freedom of movement, including extending the transitional arrangements dictating the time that individuals from new countries joining the EU have to wait before being able to travel to the UK to work. We also need to see further efforts to reduce unnecessary regulation, tighter control of EU spending, including a shift to support research and innovation, and greater powers for national Parliaments.
The key test for David Cameron is now to ensure that Britain plays a leading role in pushing for reform to the European Commission, and Lord Hill will need to help repair some of the alliances that the Prime Minister damaged with the way he handled the process that led to Juncker’s appointment.
The UK has only recently returned to the same level of output as before the global financial crisis, and the ongoing difficulties in the Eurozone and crisis of living standards seen in many European countries will require coordinated action to address this. The European Commission needs to be a vital partner for Britain in seeking to establish the most robust and effective mechanisms of dealing with the economic uncertainty yet to come.
It is high time the government published its own detailed reform agenda for the EU. Lord Hill’s confirmation hearings could provide some clarity on what reforms David Cameron really wants. If they don’t, questions will continue to be asked about this government’s approach to Europe and their commitment and ability to deliver real reform.
Gareth Thomas is Shadow Minister for Europe
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