The European Council has published it’s communique for meeting of the 9th of December where David Cameron said “no” to a revision of the Treaty of Lisbon. It can be read here.
I will hope to debunk some common myths about the proposed revisions:
That signatories would concede sovereignty to the EU because of the following:
- a) The UK’s national budget would be checked by the European Commission to ensure their compatibility with a technocratic and undemocratic set of rules
This simply isn’t true. The communique clearly states that:
The rules governing the Excessive Deficit Procedure (Article 126 of the TFEU) will be reinforced for euro area Member States.
The requirements of the fiscal compact would only apply to the euro zone. It would only apply to Britain if we chose to join the Euro.
- b) That Britain would lose control of its ability to fiscally expand because of the Treaty.
The document states that:
General government budgets shall be balanced or in surplus; this principle shall be deemed respected if, as a rule, the annual structural deficit does not exceed 0.5% of nominal GDP.
This would ensure that Britain could expand in period of growth, with increase tax receipts.
The document also clearly states that the Excessive Deficit Procedure (Art. 126 TFEU) only applies to Eurozone members.
- c) Britain’s budgets would be undemocratically rubber stamped by unelected bureaucrats.
Again, simply incorrect. The document clearly states that:
We recognise the jurisdiction of the Court of Justice to verify the transposition of this rule (the fiscal compact) at national level.
The Court of Justice would examine whether the compact was transposed into national law, not adjudicate as to its implementation.