Select Committee on European Union Twenty-Third Report


CHAPTER 8: The Annual Policy Strategy as a consultation document

Our recommendations on the Annual Policy Strategy for 2008

66.  In our report on the Annual Policy Strategy for 2008, we made a number of recommendations for improving the Annual Policy Strategy as a consultation document.[70] The Commission responded to our points in a letter from Commissioner Wallström of 28 September 2007.[71]

BOX 1

Recommendations on the Annual Policy Strategy for 2008, with Commission comments
Annual Policy Strategies should be more strategic. They should:
  • Focus on only a few strategic goals, and provide the clear overarching strategy of the Commission's vision for the coming year;
  • Be constructed from the top down, rather than succumbing to a Christmas tree tendency (having unnecessary material added to it in an unstrategic way);
  • Provoke a constructive debate within and between the European institutions and national parliaments about the Union's priorities, by presenting the Commission's strategic thinking to the other institutions;
  • Have the degree of clarity needed to form part of the Commission's efforts to increase public engagement.
    • The Commission told us that it "agrees with the principle that the APS should as far as possible be focused on strategic priorities and provide a vision for the coming year", and defended the process currently in place to prepare the document.

Annual Policy Strategies should give more explanation. They should:

  • Be clearer about the specific status of each of the priorities or proposals listed;
  • Include more background to the proposals so that the reader can more easily understand whether, in including a particular point, the Commission is prioritising a long-standing objective, re-affirming or updating such an objective, or tabling an entirely new initiative;
  • Explain which policy areas have moved up the agenda in the past year (as well as which have moved down) and how the Commission's thinking has developed;
  • Provide a clear justification for the key proposals, explaining the case for Union action and the limits on such action;
  • Explain the added value of proposals, how they fit into the Commission's strategy and financial framework and how the Commission will ensure delivery of them.
    • The Commission thought that "[g]iving a justification, explaining the added value and discussing financial implications of each individual policy proposal in the APS would … make the document rather difficult to read and would most likely change the character from a vision document to a rather detailed list of policy initiatives".
    • The Commission disagreed that the APS could be more strategic and also give more detail on the Commission's proposals, saying that "Being more specific or detailed on individual policy proposals at such an early stage is difficult, not least since the Commission is fully committed to respect our better regulation agenda including proper consultation and impact assessment on all initiatives … A choice, therefore, has to be made and the Commission is clearly in favour of the more strategic approach".

Annual Policy Strategies should provide more financial detail. They should:

  • Explain clearly the financial constraints around the priorities, and the ways in which the Commission can (and cannot) change its spending priorities;
  • Match political priorities in budgetary terms, including by explaining which areas of funding are receiving less funding to allow the prioritisation of others;
  • Not include better regulation proposals, which should be published separately.
    • The Commission told us it "appreciates the need to explain more pedagogically in the APS the link between the APS and resources".

And Annual Policy Strategies should:

  • Discuss the EU's role in cross-cutting priorities where competence is shared with Member States, and how it interacts with Member States' action; and
  • Collect proposals under policy fields so that those looking at the Annual Policy Strategy can quickly find their areas of interest.
    • The Commission said that this "might facilitate a sectoral policy dialogue with other institutions", but "could lead the debate away from a more strategic vision", and it defended the inclusion of cross-cutting issues.

2009: a better Annual Policy Strategy

67.  In a number of ways the 2009 Annual Policy Strategy is a more readable document than that for 2008. The introduction is halved in length, and more focussed. While this partially reflects the nature of the coming year for the Commission, text looking back at the Commission's achievements has been cut out, which is welcome. The section outlining the Commission's priorities is much shorter. The lengthy listing of various disparate cross-cutting priorities is gone, which is an improvement. It is also helpful that the highlighting of (in the case of the 2008 Annual Policy Strategy) 39 sub-priorities has not been duplicated, which makes the Annual Policy Strategy at least appear more focussed.

68.  The priorities themselves (such as "Making a Reality of the Common Immigration Policy") are more selective and specific. "Key actions" are relegated to an annex, rather than scattered amongst the priorities and sub-priorities, which again makes the Annual Policy Strategy look more strategic; this distinction between priorities and delivery plans works better and foreshadows the Annual Legislative and Work Programme to come. Overall, the Annual Policy Strategy for 2009 is more strategic, better organised, and looks less like a shopping-list than the Annual Policy Strategy for 2008.

69.  We also recognise that the Commission has "a delicate balance to strike" between "the right level of detail" and allowing for "a proper political discussion on the priorities", especially given the breadth of the Union's activities (Q 60).

Scope for improvement: detail

70.  However, we would encourage the Commission to go further in its improvement of the Annual Policy Strategy as a consultation document. We believe that, in the context of a focussed strategy, the Commission should include more explanation and justification of its priorities, describing their added value and how they fit into the bigger picture of the EU's role. The Commission should clearly describe which priorities or proposals are new and which are not, and what is moving up (or down) the Commission's agenda. The Commission needs to be clear about limitations as regards Union competence on some of its priorities (such as immigration).[72]

71.  The Commission's description of "Changes in the Allocation of Financial Resources", while a crucial part of the Annual Policy Strategy, is not readily comprehensible. The Commission gives none of the context of the Annual Policy Strategy's financial allocation, and only those familiar with the intricacies of the EU budget process would understand this context and the Commission's references to budgetary headings and sub-headings. The Commission's language is too specialised, and there is no explanation of the meaning of "Initial programming", "APS changes" and "Revised programming" in the Commission's summary table.[73]

72.  It is all but impossible, without reference to budget tables, to relate changes in financial allocations to the Commission's priorities. The reader does not know which increases were long-scheduled and which relate to the Commission's decision to prioritise a particular policy area, and how these increases relate to the budgetary ceilings is also largely unclear. As a result, it is difficult to decipher whether the Commission's financial allocations closely match their policy priorities, as well as to see where such a comparison is not relevant. For example, it is not clear why the Electronic Communications Market Authority and the Agency for the Cooperation of Energy Regulators seem to be prioritised in the financial allocation but do not appear in the Commission's text. The reader should also be able to see clearly where funding for a particular policy will come from when it relates to a number of different budgetary headings, for example in the case of climate change work. We would like to see greater correlation between the Annual Policy Strategy headings and the Preliminary Draft Budget, or more explanation of how they relate.

73.  We asked the Minister whether the Annual Policy Strategy should be costed in more detail. He replied: "It is essential that there is … increasing attention paid to costings, of course … it is essential the European Commission properly identifies a monetarised value of its proposals … There is an improvement in the discipline of that but we are not where we should be." However, he added: "I am far from convinced that the APS is a way of doing that on the basis that the APS does not in itself contain the specific proposals, so I am not sure a monetarised assessment of the potential cost of general intention is the right way to go. The best way to capture that is when it gets to the status of specific legislative proposals and a monetarised value of a specific proposal" (Q 4).

74.  We questioned the Minister on whether the Annual Policy Strategy matched the financial commitment made in the multi-annual Financial Perspective. The Minister said that the Annual Policy Strategy was important in terms of European Commission financing because it set a framework for the preliminary draft budget and could be seen as a guide towards the budget. But "the APS really does not claim to be, nor should it be seen as, a commitment of financial investment" (Q 5).

Scope for improvement: clarity of purpose

75.  In our report on the 2008 Annual Policy Strategy, we concluded that "future Annual Policy Strategies need to be clearer about the purpose of the document".[74]

76.  It was not clear to us whether the Annual Policy Strategy is written for the experts in the European institutions, or directed at European citizens. The Commissioner told us that it was meant for both, and that it was impossible to disconnect the institutional dialogue from "what we want to signal to the citizens" (QQ 35, 61). While we understand that the breadth of the Commission's work makes it difficult to narrow the Annual Policy Strategy down, and while we understand the temptation to advertise to the public its work on many diverse fronts, this will undermine the Strategy's communication function. If the Commission wants the Annual Policy Strategy to provide citizens with a clear statement of the Commission's top priorities for the coming year, it will have to keep working on making the Annual Policy Strategy as focussed as possible and understandable to those without a detailed knowledge of the Union and its various programmes and policy dossiers. This would include the Commission further concentrating its priorities on a few issues that would be at the top of the public agenda, and easily understood by and communicated to the citizens.

77.  However, it is important that the Annual Policy Strategy can perform its core function of sparking a useful dialogue between the institutions, Member States and national parliaments to shape the Annual Legislative and Work Programme. The Commissioner said that the Commission "attach great importance to this early dialogue on priorities for the upcoming year" (p 15). If the Annual Policy Strategy cannot include enough detail to spark a useful dialogue between the institutions while remaining readable for the public, we suggest that the Commission focus the Annual Policy Strategy on this dialogue, and accompany it with a question-and-answer document or "citizens' summary" describing the Commission's top priorities (Q 62). This might be more profitable than focussing the Annual Policy Strategy on communication to citizens; as the Commissioner said, concrete actions are "what citizens will see, and very few … will remember that as part of a five-point agenda" (Q 61).

78.  After communication and consultation, the third effect of the Annual Policy Strategy is committing the Commission to action, which has a disciplinary function. The Minister told us that the Annual Policy Strategy is useful because it prevents people "decorating" the Commission with wish lists and "gives us a decent degree of guidance and a degree of predictability about the energy that is going to be invested over the subsequent twelve months" (QQ 2, 6). He said: "I would assume that, if an annual statement of this nature did not exist, then the conversation we would be having today is 'Why isn't there one?' It is important for all organisations to have a forward statement of their plan over the next 52 weeks" (Q 6).

The Government's treatment of the Annual Policy Strategy

79.  When we asked the Minister whether there was a proper dialogue on the Annual Policy Strategy between the Commission and the national governments and parliaments, he said, "I think there is" (Q 11). He told us that a response to the Annual Policy Strategy "impacts on the Commission's legislative work programme potentially … the document in and of itself can be improved as Member States offer their reflections on it and as the European Parliament offers its reflections on it" (Q 18). He said that the Annual Policy Strategy itself is largely sourced indirectly from Council conclusions and commitments, so "the work in itself at its inception has taken account of the wishes of Member States and to a large extent often can reflect the concerns of national parliaments" (Q 12). The Commission explained the process of responding to national government concerns: "The Commission receives a response from Member States assembled in the Council of Ministers (comments from the 'Antici Group' composed of representatives of all Member States). The Commission systematically examines these contributions in the run-up to its Legislative and Work Programme which is presented in October each year and takes them into consideration when designing this Work Programme" (p 16).[75] The Government should be making the most of this opportunity to influence the Commission's plans.

80.  While the Minister said that the Annual Policy Strategy was "important", he was keen to emphasise that it was "useful in the context that it is a relatively internal document", and that we should not "overstate its significance, because in and of itself it does not create a single legislative vehicle" (Q 2). In its Explanatory Memorandum (EM) on the Annual Policy Strategy, the Government made only a few comments.[76] The Government stated that it welcomed the Annual Policy Strategy's publication; that it believed the Annual Policy Strategy should be "more readable and more focussed, with greater explanation of prioritisation of policy areas"; that it agreed with the Commission "that it is important that the EU focuses on delivering recognisable benefits and tangible policies that matter to its citizens"; that it "broadly" welcomed the Commission's policy priorities; that it believed "development should be recognised as an increasingly important part of Europe's role as a world partner"; and that it agreed that implementing the Global Approach to Migration remained a priority. The Government's Explanatory Memorandum on the Annual Policy Strategy gives us the impression that the Annual Policy Strategy is not taken very seriously in Whitehall.

81.  As we stated in our report on the 2008 Annual Policy Strategy, "our scrutiny and analysis of the APS needs to be assisted by a comprehensive Explanatory Memorandum from the Government." [77]

82.  Firstly, the Government needs to consult properly on its EM. The Minister told us how the Annual Policy Strategy is handled within Whitehall: "Cabinet Office ensures the distribution of the relevant material to Whitehall departments" (QQ 11, 18). We recommend that the Government should ensure that the Annual Policy Strategy's financial allocations are seen and scrutinised by the Treasury, to inform both the EM and the Government's response to the Commission.

83.  When we asked the Minister whether devolved administrations were consulted on the Annual Policy Strategy, he commented: "there is an opportunity for devolved administrations through the Joint Ministerial Committee on Europe to play a role, but we should continue to find additional ways to make that more effective" (QQ 11, 30-31). He confirmed that the EM had been shared with the devolved administrations in March 2008 (p 10).

84.  Secondly, as we urged in our report on the 2008 Annual Policy Strategy, the EM "should present the Government's initial thoughts on [the Annual Policy Strategy's] proposals and priorities, and provide a preliminary assessment of the policy implications."[78]

85.  The EM stated that no fundamental rights issues applied, that the Annual Policy Strategy had no direct implications for subsidiarity, and that financial implications were not applicable.[79] When we questioned the Minister about the quality of the EM, he told us that it made no comment on fundamental rights issues "because the nature of the document is not a package of specific legislative proposals" (Q 25). The UK was "a primary advocate of the principle of subsidiarity", but "[s]ubsidiarity can only be considered on the basis of an individual proposal for legislation. Concerns cannot be inferred from the APS alone, and it is difficult to predict, ahead of seeing an individual draft proposal, whether or not the UK would have concerns with regards to subsidiarity" (p 10). We consider that the Government should include in its EM its preliminary comments on proposals which may raise fundamental rights issues, which touch areas where subsidiarity may be a concern, and where significant financial implications will clearly arise.

86.  In our view, there is a tension in the Government's attitude to the Annual Policy Strategy. Either the Annual Policy Strategy is an important statement of intent and provides a real opportunity for the European institutions, governments and parliaments to influence the Union's plans, or it is too vague for the Government to comment upon properly and is therefore not very useful or significant. If the former, the Government should be engaging fully with the Annual Policy Strategy and seeking to influence the Commission's priorities. It should be able to provide us with a detailed Explanatory Memorandum allowing us to scrutinise its positions, and in due course with its full response to the Commission. If the latter, the Government should be putting pressure on the Commission to make consultation on the Annual Policy Strategy a worthwhile exercise. Either way, the Annual Policy Strategy is the precursor to the Preliminary Draft Budget, and it would be extraordinary if the Government did not take a view on the allocation of financial resources the Commission proposes.


70   European Union Committee, 23rd Report (2006-07): The Commission's Annual Policy Strategy for 2008 (HL 123). Back

71   Published in Annex 3. Back

72   As the Commissioner's written evidence to us points out, it is important that the Commission's policy initiatives are understood in the context that "they will always be only one part of the picture". "It is essential that all the actors in the EU's system of governance-the institutions, the Member States, public authorities at all levels-work together to convey more effectively the realities of the EU's objectives, actions and results" (p 13). Back

73   Annual Policy Strategy p 13 Back

74   European Union Committee, 23rd Report (2006-07): The Commission's Annual Policy Strategy for 2008 (HL 123), p 9. Back

75   For an example of the Commission changing its policies in response to suggestions from Member States, see Q 54. Back

76   The Government's Explanatory Memorandum on the Annual Policy Strategy for 2009 is available at http://europeanmemorandum.cabinetoffice.gov.uk/memo_details.aspx?memoID=1207. Back

77   European Union Committee, 23rd Report (2006-07): The Commission's Annual Policy Strategy for 2008 (HL 123), para 55. Back

78   European Union Committee, 23rd Report (2006-07): The Commission's Annual Policy Strategy for 2008 (HL 123), para 55. Back

79   See the Government's Explanatory Memorandum on the Annual Policy Strategy for 2009 at http://europeanmemorandum.cabinetoffice.gov.uk/memo_details.aspx?memoID=1207. Back


 
previous page contents next page

House of Lords home page Parliament home page House of Commons home page search page enquiries index

© Parliamentary copyright 2008