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European Union

7. Mr. James Plaskitt (Warwick and Leamington): What proposals he has for the reform of the governance of the European Union. [83506]

The Minister of State, Foreign and Commonwealth Office (Ms Joyce Quin): The Government are pressing for radical and specific reforms in the way in which the Commission works. We believe that the Commission should be governed by the principles of efficiency, transparency and accountability. Achieving this will require changes in financial control systems, personnel management and structures. We have proposed a number of detailed measures and are discussing these with our partners and the new President of the Commission.

The Cologne European Council will examine how to take forward the institutional issues which were not resolved by the conclusion of the Amsterdam treaty.

Mr. Plaskitt: I welcome my right hon. Friend's commitment to radical reform, which is clearly necessary. The European Union has evolved substantially in the past 40 years, but its governance has yet to catch up. Does my hon. Friend agree that the chances of securing that reform, and of Britain leading it, are all the greater now that we are in a position of engagement and leadership in the European Union and no longer carping from the sidelines, as was the case before?

Ms Quin: Absolutely. That was clearly seen in the positive outcome for this country of the negotiations in Berlin in March and the successes that we secured in structural policy and a variety of other policies, as well as in working out ways to make proper progress with a reformed European Commission.

Mr. Michael Trend (Windsor): Why is the disgraced Commissioner Edith Cresson still in post and drawing a salary?

Ms Quin: As the hon. Gentleman knows, although we have agreed the appointment of the new Commission president to take forward the reforms that we want to see, the new Commission is not yet in place. Once it is, we expect it to proceed on the basis of the reforms that we and others have put forward. Those reforms will include terms and conditions for Commissioners and future appointments to the Commission. It is important that the hon. Gentleman and his colleagues should be constructive on the issues. Their manifesto for the European elections would lead to a massive loss of influence for Britain, whereas, at the moment, we are leading the debate--and I welcome that.

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Falkland Islands

9. Mr. David Borrow (South Ribble): If he will make a statement on discussions with Argentina over the Falkland Islands. [R] [83508]

The Minister of State, Foreign and Commonwealth Office (Mr. Tony Lloyd): British and Argentine delegations will meet in the UK next week to discuss issues of common interest in the south Atlantic. The UK delegation will include members of the Falkland Islands Legislative Council.

Mr. Borrow: When taking part in those discussions next week, will my hon. Friend emphasise the importance to the Falkland Islands of the fishing industry and the sale of fishing licences? The islanders are concerned that the Argentine Government on occasion use the sale of their fishing licences in a predatory way to seek to undermine the economy of the Falkland Islands. Is it possible to raise with the Argentine Government the issue of co-operation on the problem of illegal fishing in the south Atlantic?

Mr. Lloyd: Although the agenda is open, I would be surprised if the issue of fish stocks was not a major part of the bilateral discussions. In particular, it is already a matter of record that the Argentine Government and the Falkland Islands Government have agreed on mechanisms whereby the catch, especially of important stocks such as the whiting and the illex squid, will be kept this year to similar levels as last year. That spirit of co-operation is important because it makes sense to adopt conservation measures for migratory stocks only if they are agreed by all parties.

We look for co-operation from the Argentine Government on illegal fishing. Indeed, over the weekend, the Falkland Islands fisheries protection vessels were in action against Taiwanese illegal fishing, and a clear message was sent to those who poach in those waters when one of the vessels used its 20 mm cannon to fire warning shots, in accordance with the rules of engagement, and subsequently fired on the poaching vessel, again in accordance with the rules of engagement. That gave an important signal to that vessel, which immediately left Falklands waters, and to other poachers, that we will take tough action.

Mrs. Cheryl Gillan (Chesham and Amersham): It is difficult to see how the Falkland Islanders can trust this Government when they have not looked after their interests well during their time in office. For example, it took 21 days from the Chilean Government saying that they would order the cessation of flights between Chile and the islands before the Foreign Secretary even bothered to raise the issue with the Chilean Foreign Minister.

Let us be clear: the discussions with the Argentineans are on the initiative of the Falkland Islanders who are coming here next week. I would like the Minister to give assurances to the House, and to the Falkland Islanders, that the position on flights is non-negotiable. What will the Minister tell the Argentineans about flights to the Falkland Islands?

Mr. Lloyd: One of the less endearing features of an Opposition who flounder in their foreign policy is their decision always to attack the innocent bystanders.

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Why attack the Falkland Islands Government when it is they who asked the British Government to play the suspension of Lan Chile flights in a low-key way in order not to politicise it? We agreed to that, but of course the Opposition did not.

The issue was raised at official level, in accordance with the wishes of the Falkland Islands council, long before my right hon. Friend the Foreign Secretary raised it. That is a legitimate and sensible way forward. My right hon. Friend has now raised the matter with Foreign Minister Insulza and I raised it with Deputy Foreign Minister Mariano Fernandez last week. We will continue to raise it, because the Chilean Government are profoundly mistaken in their decision to suspend the flights, which is bad both for the islanders and for the Chilean economy. It is not, however, a matter of narrow party politics.

Dr. Norman A. Godman (Greenock and Inverclyde): My hon. Friend the Member for South Ribble (Mr. Borrow) is right: illegal fishing is a serious problem for both the Argentinians and the Falkland Islanders. My hon. Friend the Minister spoke about equipping a fisheries protection vessel with a 20 mm cannon, which is useful, but why are his officials so hostile to the idea of using gear-cutting equipment of the kind that was used so effectively by Icelandic coastguard vessels against our fishermen in the so-called cod war? Why cannot the Falklanders be supplied with that very effective equipment?

Mr. Lloyd: We have tried to make progress in devising ways of deterring illegal fishing. We will consider technical means of deterrence as well as diplomatic pressure. Taiwan is one of the principal offenders and we regularly raise the matter with the Taiwanese Government. As well as the effectiveness of the deterrence, we must consider the risks, not only to the fishermen on the poaching vessels but to the sailors on the fisheries protection vessels. We have a duty to ensure that the regime, while being effective, guarantees minimum acceptable safety levels.

Gibraltar

13. Rev. Martin Smyth (Belfast, South): What representations he has received from the Spanish Foreign Minister concerning alleged irregularities in the financial sector in Gibraltar. [83512]

The Minister of State, Foreign and Commonwealth Office (Ms Joyce Quin): The Spanish Foreign Minister made a number of allegations that companies registered in Gibraltar are involved in money laundering, and some material in support of the allegations was handed over. The material has been investigated, but the allegations are either too vague for us to be able to act on them or they refer to cases already going through the courts. Gibraltar has money laundering legislation that conforms to United Kingdom and European Union standards. Both the British and the Gibraltar Government are strongly committed to the fight against crime.

Rev. Martin Smyth: Does the Minister agree that the general allegations are not specific enough to merit consideration? What court will deal with them, and are

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the Spaniards prepared to recognise the courts in Gibraltar? Is it not time we stopped playing with the Spanish as they seek continually to intimidate the Gibraltarians?

Ms Quin: As the Spaniards are members of the European Union, they have to accept that Gibraltar has introduced legislation to conform to European Union standards, and we have made that point very strongly. The allegations are indeed too vague to act on, and we have made it clear that unhelpful, vague and sweeping allegations do not help and are unfair to Gibraltar.

Mr. Andrew Mackinlay (Thurrock): The allegations are unfair to Gibraltar, but do they not also traduce the Foreign Secretary? Is it not time we were much more robust in complaining to Spain that its widespread and ill-founded allegations are a slur not only against the Gibraltar home Government but against the Foreign Secretary, who has ultimate responsibility for the police, courts and financial regulatory process in Gibraltar? Is it not time for a more robust seeing-off of the Spanish Government over Gibraltar than we have experienced of late?

Ms Quin: My right hon. Friend the Foreign Secretary, like all members of the Government, takes his responsibilities extremely seriously. We have protested strongly about those issues, and we shall continue to do so. There has been no lack of robustness on our part.

Mr. John Wilkinson (Ruislip-Northwood): Is the right hon. Lady not entirely right to fight the unhelpful, vague and sweeping allegations of the Spanish authorities? Does not that vagueness contrast with clearly orchestrated delays on the frontier with Gibraltar perpetrated by the Spanish, which continue, notwithstanding the Anglo- Spanish summit attended by the Prime Minister on 10 April? Is not the Spanish legal jurisdiction one in which no fair-minded person can have confidence?

Ms Quin: I certainly agree with the hon. Gentleman's first few words. The border delays were sometimes as long as six hours in February, but are down to an hour or 45 minutes--

Mr. Mackinlay: That's all right then.

Ms Quin: I not saying that it is all right, but the line that we have taken and our robust protests have made a real difference.


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