4.3 European Union (EU) on the UK government

• The aims of the EU, including the ‘four freedoms’ of the single market, political and economic union, and the extent to which these have been achieved.

  • The European Coal and Steel Community was created in 1952, and has slowly grown into a much larger political organisation (the EU) over the last sixty years.

  • There are now 27 member states. Of this, 19 states are part of the Eurozone, using the Euro currency.

  • Acts as a greater pool of sovereignty through deeper interconnectedness. Encourages peace, prosperity and liberal democracy across Europe.

Four freedoms:

Free Movement of Goods

Member states cannot impose tariffs or duties on other members states, or discriminate against them. Border-checks and customs restrictions have been removed, allowing for the free trade of goods which meet “minimum standards”.

Free Movement of Services

Professionals, businesses, and self-employed people can move and work freely across the EU.

Qualifications from one EU member state are recognised by the others.

Free Movement of People

Citizens of member states have the right to move and seek employment in other member states with no discrimination based on their nationality. They have the same rights as native workers in recruitment, pay, social security, and housing.

Free Movement of Capital

EU member states, their citizens, and private firms registered in these countries can freely move money and invest across the EU.

Development

Impact

1991, Maastricht Treaty

Essentially created the EU, increasing intergovernmental cooperation on security,

foreign affairs, and justice. Also set in motion a timetable for the Economic and

Monetary Union (EMU, or the Eurozone, to be created in 1999).

2001, Nice Treaty

Created a European security and defence policy, further binding intergovernmental

cooperation.

2004, Enlargement

Ten states joined the EU… Cyprus, Czech Republic, Estonia, Latvia, Lithuania, Hungary, Malta, Poland, Slovakia, and Slovenia.

They were followed by Bulgaria and Romania in 2007, and Croatia in 2013.

2007, Lisbon Treaty

Reformed the EU institutions after backlashes in France and the Netherlands over the EU Constitutional Treaty. It gave more power to the European Parliament, it expanded the use of QMV, and also allowed provisions for states to leave the EU.

Unanimity:

A proposal will fail if one member rejects it, therefore giving every member state a veto.

This only applies to major or sensitive issues: Membership, Security, Rights, Finances.

Qualified Majority Voting:

A voting practice where 55% of the member states (essentially 15 states) need to support the idea, and they account for at least 65% of the EU’s population.

Therefore a minority block can occur if at least four states who represent 35% of the population reject the idea. It aims to give all states decision-making power, but allows for bigger states to have more sway.

Has the EU achieved its objectives?

Yes

No

  • By 2018, the EU had expanded from 6 members to 28. The expansion of the EU has encouraged democracy in former communist states in Eastern Europe.

  • The European Charter of Fundamental Freedoms has entrenched core civil liberties in European law.

  • Interconnectedness through the implementation of the four freedoms as the EU is now the biggest single market in the world, provides EU citizens with the right to live, work or study in any member state.

  • The EU has provided a global lead on issues such as combating climate change and has been responsible for most environmentally friendly legislation in the world.

  • The EU has diluted its purpose, making it more difficult to achieve a united European response to contentious issues such as the Russian annexation of Crimea and the Syrian civil war.

  • The commitment of member states such as Poland and Hungary to the democratic principles of the EU is disputed, undermining the EU’s sense of common purpose.

  • The removal of barriers to the free flow of workers due to the four freedoms, has encouraged the rise of populist parties across Europe which are committed to protecting their workforce from ‘foreign’ competition.

  • The migrant crisis has exposed significant tensions between the liberal approach of the German and French compared to the more defensive approach of states such as Italy.

• The impact of leaving the EU on UK Parliamentary sovereignty in relation to policy making.

EU impact on the UK

UK as an ‘Awkward Partner’

The Common Agricultural Policy (CAP) is a

system of agricultural subsidies and price

interventions… It uses around 38% of the EU’s budget, and despite its controversial nature it enjoys support from powerful nations like France, and big farming industries. In the small and efficient UK agricultural industry, the CAP is seen as wasteful and too bureaucratic.


The Common Fisheries Policy (FCP) set quotas for catching and rules for selling. The UK fisheries dislike it, as they argue EU fishermen in UK waters have stolen business.


The UK is a net contributor to the EU, and

second largest spender. In 2015 the UK paid £18.5bn to the EU, receiving a £5bn rebate and £4.4bn public sector pay.


Under Labour, the UK signed up to EU’s

“Social Chapter”, but has since deviated,

especially in the areas of employment. The UK prefers the Anglo-Saxon free-market model, rather than EU regulation.

The UK is not a continental nation, with

the British Channel providing a

geographical separation from other

members.


The UK is far more global (due to British

Empire and subsequent

Commonwealth), with a special

relationship with the USA.


The UK did not go through the same

upheavals as Europe during WW2 and

the Cold War.


The UK was late to join the EEC, after

French rejections in the 1960s. By this

point, key alliances and key policies

(CAP) has been created.


The UK has often been more hesitant

about ceding more power to Europe,

negotiating several ‘opt-outs’ from EU

policies and treaties.


Scepticism among politicians and the

media has fuelled a negative image of

the EU for decades.

  • The UK passed the European Communities Act (1972) to join the European Community in 1973.

  • The UK then underwent a referendum under Labour in 1975, in which 67.2% of the electorate voted to remain. In EU Ref 2016, 51.9% voted to leave the EU.

European Communities Act (1972):

This allowed the UK to join three institutions – European Economic Community (EEC), the European Coal and Steel Community (ECSC), and the European Atomic Energy Community.

The act also meant that EEC law immediately became UK law, and it took priority over UK statute law.

This meant that UK statute law could be struck down if it was incompatible with EEC/EU law (as shown in the Factortame case of 1991).

Sovereignty:

In joining the EU, the UK has given up some legal sovereignty, as EU law has priority over UK law. However, it could be argued that the UK has gained some political sovereignty, by pooling its sovereignty with other nations it is able to influence decisions on a much larger scale.

Joining the EU though has meant a loss of parliamentary sovereignty, as Westminster legislation can now be overturned and scrapped if it conflicts with EU law. This does not mean that there is no Parliamentary Sovereignty left though, as the UK can always choose to repeal the European Communities Act… A process that has been started by Brexit and triggering Article 50.

Positives of EU

Negatives of EU

The UK has duty free access to the world’s

second biggest economy. The lack of internal tariffs means that the UK can trade freely with 27 other European nations. In

2016 43% of British trade was with the EU,

worth around £241bn.


Most economists argue that the UK has

benefitted from European immigration. In

the 2013-14 tax year, non-British EU citizens paid £14.7bn in tax, but only

claimed £2.6bn in welfare.


Over 3m British jobs rely on the EU. The CBI estimates that the benefit of membership is around 4-5% of the British GDP.


Free movement allows British citizens to

work and live freely across Europe. In 2017

there were 1.3m Britons living in EU

nations.


Since 1987, the EU’s ‘Erasmus’ programme

has helped around 200,000 British students

study degrees abroad.


The ‘Social Chapter’ of the Maastricht

Treaty, accepted by the Blair government,

safeguards workers’ rights (such as a

maximum 48hr work-week, and at least 4

weeks paid holiday).


The British government has to abide by the

ECHR which has helped the rights and

freedoms of UK citizens.


In a world of superpowers like USA, Russia,

and China, the EU has acted as its own

super-state to help its members stake a

claim in international diplomacy.


The EEC/EU has kept peace in Europe since 1957.

British membership to the EU undermines

parliamentary sovereignty, and with

pooled sovereignty the Houses of

Parliament has lost some of its power.


The EU has a democratic deficit, as the

European Commission is not elected the

elected European Parliament has less

influence.


EU law is applied to all members, despite

whether it applies or not. The think-tank

Open Europe estimates that these

unnecessary laws cost the UK £33bn every

year.


The Common Agricultural Policy (CAP) is

about 38% of the EU’s budget between

2014-2020. The UK does not receive much

benefit of this programme as only 1.1% of the UK’s population works in agriculture.


Critics of CAP argue that the UK is

subsidising a protectionist scheme in

Europe, which goes against the principles

of free and fair markets.


The EU has been a declining member of

British trade in the 21st C. In 2006 it

represented 54% of our trade, but by 2016

it was only 43%.


The UK makes a net-contribution to the EU,

despite the fact that the EU helps support

poorer communities in Cornwall and

Wales. In 2017, the UK made a

net-contribution of £8.9bn.


Further attempts of integration by the EU

has led to a backlash in several member

states. Most notably the UK which has had

cases of racism and xenophobia increase in

recent years.