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European and External Relations Committee EUROPEAN AND EXTERNAL RELATIONS COMMITTEE Tuesday 23 September 2003 (Afternoon) Session 2 £5.00 Parliamentary copyright. Scottish Parliamentary Corporate Body 2003. Applications for reproduction should be made in writing to the Licensing Division, Her Majesty‟s Stationery Office, St Clements House, 2-16 Colegate, Norwich NR3 1BQ Fax 01603 723000, which is administering the copyright on behalf of the Scottish Parliamentary Corporate Body. Produced and published in Scotland on behalf of the Scottish Parliamentary Corporate Body by The Stationery Office Ltd. Her Majesty‟s Stationery Office is independent of and separate from the company now trading as The Stationery Office Ltd, which is responsible for printing and publishing Scottish Parliamentary Corporate Body publications. CONTENTS Tuesday 23 September 2003 Col. REGIONAL DEVELOPMENT FUNDING ...........................................................................................................97 DRAFT EUROPEAN UNION CONSTITUTIONAL TREATY .................................................................................. 105 SCOTTISH EXECUTIVE (SCRUTINY) ........................................................................................................... 117 CONVENER’S REPORT ............................................................................................................................ 121 SIFT .................................................................................................................................................... 128 EUROPEAN AND EXTERNAL RELATIONS COMMITTEE 4th Meeting 2003, Session 2 CONVENER *Richard Lochhead (North East Scotland) (SNP) DEPU TY CONVENER *Irene Oldfather (Cunninghame South) (Lab) COMMI TTEE MEMBERS *Dennis Canavan (Falkirk West) *Mrs Margaret Ewing (Moray) (SNP) *Phil Gallie (South of Scotland) (Con) *Mr John Home Robertson (East Lothian) (Lab) Gordon Jackson (Glasgow Govan) (Lab) *Mr Alasdair Morrison (Western Isles) (Lab) *Mr Keith Raffan (Mid Scotland and Fife) (LD) COMMI TTEE SUBSTITU TES Ms Wendy Alexander (Paisley North) (Lab) Murdo Fraser (Mid Scotland and Fife) (Con) Nora Radcliffe (Gordon) (LD) Nicola Sturgeon (Glasgow) (SNP) *attended CLERK TO THE COMMITTE E Stephen Imrie ASSISTANT CLERKS Nick Haw thorne Dav id Simpson LOC ATION Committee Room 3 97 23 SEPTEMBER 2003 98 Scottish Parliament forum is looking at the issue. Members will remember that the Executive submitted its views to the UK Government through that forum. European and External Relations However, the forum is not an open forum like the Committee committee; it is a closed shop. I hope that we can take the issues on board. Tuesday 23 September 2003 One of the options that are set out in the paper is that we conduct a brief inquiry into the subject. (Afternoon) Given how things have moved on, such a brief inquiry would allow us to put out a call for [THE CONVENER opened the meeting at 14:07] evidence on some of the basic questions and take evidence from the relevant ministers. I invite members to comment on the paper. Regional Development Funding Mr Keith Raffan (Mid Scotland and Fife) (LD): As it says in the paper, the debate has a long way The Convener (Richard Lochhead): Good to run. I would be surprised if, in the end, other afternoon, colleagues, and welcome to our fourth Scottish Parliament committees or those at meeting in the second session. I have received no Westminster do not look at the issue. I am in apologies for today‟s meeting. I hope that the favour of the option that the convener members who have not arrived yet will do so recommended of holding a short, focused inquiry. before the end of the meeting. That would enable us to put forward our views at an early stage. We move straight to item 1 on the agenda, which is our proposed action on structural funding. Ultimately, the committee‟s responsibility for the We discussed the issue at our last meeting and issue will cross over with that of the Enterprise and decided to wait until the United Kingdom Culture Committee. If the whole issue of the funds Government had made a statement on its that are to be repatriated or renationalised is to be intentions, as we knew that such a statement was considered, it is almost inevitable that that imminent. committee will want to look at the issue at some stage. As I said, we should hold a new, focused As members will see from their papers, Patricia and brief inquiry. We are in the early stages of Hewitt made a statement to the House of what will be a lengthy debate. Commons on behalf of the UK Government, in which she indicated that the Government had Mrs Margaret Ewing (Moray) (SNP): I have consulted on the future of regional funding and read the paper very carefully and my first had listened to consultees. Generally speaking, comment is that I do not like the word the Government is to continue with its original “renationalisation”; “repatriation” is more proposals. However, it will make further acceptable for all of us. information available to everyone, which was one There has been a huge element of feet dragging of the requests from all those who made at Westminster. Having served on the European submissions in the consultation. Scrutiny Committee at Westminster for many I hope that members have had a chance to go years, I do not see why additional work cannot be through the paper and to read the UK Government done at this stage. Paragraph 3 of the paper says: statement. Members will recall that a number of “The Committee of the Office of the Deputy Prime concerns were expressed by the organisations Minister w as also not looking specifically at this issue, but that made submissions to the committee. Those was just completing a look at regional disparities in England concerns revolved around the UK Government‟s and Wales.” proposals for the renationalisation of the funds and It seems to me that somehow or another the lack of information about guarantees. The UK Scotland is being squeezed out of the debate. The Government said that if regional funding were to Scottish Parliament —I use the word “Parliament” be renationalised, it would continue to match the advisedly, as we are not an Assembly—should funds that would have come from Europe. take a much firmer stance on the issue. We should Before I take comments on the paper, I want to involve ourselves in a direct exchange of letters bring it to the committee‟s attention that no other with the Trade and Industry Committee, the Select House of Commons or Scottish Parliament Committee on the Office of the Deputy Prime committee intends to undertake an inquiry into the Minister and the Treasury Committee, all of which issue at this point in time. The issue has moved on have responsibilities in the area. since we inquired into it. Members around the No committee in the House of Commons is table have taken a close interest in some of the looking at the issue. Although we might say that it issues. The Scottish European structural funds will be 2005 or 2006 before all of the 99 23 SEPTEMBER 2003 100 rearrangements come about, if we do not start in consideration of the consultation paper. It is not 2003, Scotland could be left behind. Speaking as explicitly mentioned in the key questions in the a member who represents the Highlands, I think committee paper, but I hope that we can build it in, that it is important that we get involved. because it is important. I suggest that we contact the Scottish Executive. I welcome the updated paper and the reference Page 4 of the paper says: to the Scottish European structural funds forum. Margaret Ewing mentioned that the Executive has “The Scottish Executive has not yet produced a definitiv e public statement on the merits of” not produced a definitive statement. As I attended the structural funds forum, I can tell her that the the various proposals. The paper goes on to say: reasoning behind that is that external research is “the DTI hopes to have an initial policy response by early going on and is being reported to the forum. Local September 2003.” authorities, universities and other sectors throughout Scotland are represented on the forum. Is there such a response or have I just missed out People feel that it is important that we get the on one of the papers? academic input before any definitive Scottish view As we are the committee that deals with Europe goes out. and external relations, we should put very firm Also, as the Department of Trade and Industry pressure on the various committees in the House has produced a response to the consultation, we of Commons and on the Scottish Executive to will probably find that Westminster will begin to ensure that Scotland is not left trailing behind. I look into the issue. The United Kingdom know what happens with European delegation at the Committee of the Regions has documentation—it gets lost. discussed it. Obviously, regions throughout Like Keith Raffan, I support option 3. England find themselves in a similar position. They are wondering what will happen and want to know The Convener: Just for clarification, I confirm how the proposal will affect them post 2006. that the impending UK response to which Margaret Ewing referred would have been the A wider debate about the matter is going on, but statement that Patricia Hewitt made to the House many have been waiting for the minister‟s views of Commons last week. before participating. I am sure that further inquiries will come on stream and it is important that we link Phil Gallie (South of Scotland) (Con): I have into them. It is particularly important that we link further questions on the subject. It seems to me into the work of the Scottish European structural that European parliamentarians will determine that funds forum. repatriation is unlikely in any case. That might affect the longer-term activities at Westminster. The committee has a role to play in open and The issue that runs through the debate is that we transparent government by inviting evidence from all feel that we will lose out to a degree to the new interested groups from throughout Scotland on incoming countries.
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