Euro(w)s… Democracy versus Sovereignty

Croesus Pyre urn – if only his money were available to the Government in Athens right now and not burned up…

A few thoughts from watching Greece…

If one sixtieth of the population turns out on the street (e.g. marching against the Iraq war), our recent experience in the UK is that this is not sufficient for our government to change its policy.

There are riots, anti-cuts camps etc. in the streets of Athens.  The Greek Prime Minister has sacrificed his Finance Minister for someone that the Daily Mail tells me is “a populist” whose biggest achievement to date was delivery of the 2000 Olympic Games along with the crippling expense and squandered legacy that when with them.
But will the Greek government change its policy requiring more austerity measures?

I very much doubt it.
For much the same reasons.

There is understandably a lot of news coverage of the unpopular measures that the Greek government is going to need to take in order not to default and thereby avoid a financial crisis worse than 2008.

Much of the coverage has chosen to put the street protests in Athens in the context of the “Greece as cradle of democracy” story.

The question is whether the Greek government can or should decide that they don’t need to make the cuts being talked about (including 20% cuts to services and jobs in the public sector).  Given there is already 16% unemployment, this scares an enormous number of people there. According to Professor Peter Morici, writing in UPI:

Greece is slipping from a liquidity crisis into downright insolvency. Bond investors are demanding yields 20 percentage points higher on Greek debt than on comparable German debt. Rolling over existing bonds, as those come due, will be prohibitively expensive and the collapse of Athens’ finances seems inevitable.

But even if not inevitable, could Greece just be allowed to declare itself bankrupt? Could it default, if it were the will of its people?

This is where the difference between democracy and sovereignty comes into play.

Wikipedia defines democracy as:

a form of government in which all citizens have an equal say in the decisions that affect their lives. Ideally, this includes equal (and more or less direct) participation in the proposal, development and passage of legislation into law. It can also encompass social, economic and cultural conditions that enable the free and equal practice of political self-determination.

There are concepts that sit alongside democracy, such as the rule of law and moral behaviour codes which require the honouring of commitments undertaken.

Wikipedia defines sovereignty as:

the quality of having supreme, independent authority over a geographic area, such as a territory. It can be found in a power to rule and make law that rests on a political fact for which no purely legal explanation can be provided. In theoretical terms, the idea of “sovereignty”, historically, from Socrates to Thomas Hobbes, has always necessitated a moral imperative on the entity exercising it.

While ancient Athenian democracy was direct democracy (open to all men who had done their military service, but not to women, slaves, freed slaves, resident aliens etc.), modern democracy is generally representative democracy, with decision-making passed to elected representatives of the people on the basis of the greatest number of votes gained at democratic elections.

While the United Nations requires only that a State is sovereign by having effective and independent government within a defined territory, modern states are – needless to say – a bit more complicated than that.

Money is behind much of the complexity.  The money required for a state to operate is equally international, with each country’s balance sheet containing in addition to its citizens taxes loans from the private sector and other purchasers of gilts and bonds.

In a democracy, sovereignty is granted to the government by the people and actions are carried out by the government in their name.
But countries can be seen to give over some of their ability to act independently (sovereignty) to their financial creditors – the added finance available to the country being for the general benefit of the people of the nation.

Greece’s position as a sovereign nation is also in the twenty first century inter-connected world context.  In addition to the national we also have supranational (e.g. EU and euro) and international (e.g. UN, IMF) layers of governance, providing us with both responsibilities (defence, finance, market access, honouring of commitments) but also support (financial, market access, political and military).  This is made contractual through Treaties – pooling of sovereignty granted by the people to the government shared with others at supra- or international levels for the general benefit of the people of the nation.

The question is that old point of “no taxation without representation”.  In a bailout situation between states, it is not only the taxpayers of Greece who have a legitimate interest in how Greece handles its debts but the taxpayers of the countries providing the help via the IMF and the Eurozone… welcome to the complicated world we live in.

So who can legitimately tell a country what to do is indeed a bit more complicated.

There is talk of just “letting Greece default” and cutting Greece loose from the Euro.
This is not something to be flippant about.  While a Greece-with-Drachma could devalue its currency against others in a way that Greece-with-Euro cannot, Greek default could cause a shockwave across the economy in the way that Lehman Brothers collapsing did.

If the Greek government were to default, it would not only be Greece that was affected – in taking money from others, Greece is part of an inter-related global political and financial system.

Nor would it only be Eurozone countries affected – French, German and American banks in Greece’s market and with Greek government gilts and bonds would be hit directly. This would affect the network connections between banks (that’s the way in which banks hold national debts, lend to each other and buy and sell loans).

And while Eurozone countries would be hit because of the common currency they have with Greece and the money they have put up to keep it afloat, it would also because of the inter-relatedness of their economies.
If Greece has its debt restructured (i.e. it pays out on its debts at less than 100 cents to the euro), Eurogroup leader (and Luxembourg Prime Minister) Jean-Claude Juncker has already warned of the contagion effect and potentially bleak prospects for Portugal, Spain, Ireland, Italy and Belgium. Greek debt restructured would be the mark-to-market of other European countries’ national debts.  And as Norman Lamont pointed out a couple of days ago on Radio 4 – it would beg the question whether a Euro in Ireland, Portugal etc. was worth the same as one in Germany – and when that happens the Euro itself fails. No sensible person could want that.

While the UK is not part of the Euro, we are also bound into this.  The UK has loaned money to the Greek government – we’ve already done so as part of our IMF responsibilities and would have to do so again.  It’s part of the deal in our pooled sovereignty at  international level.  And in case we are telling ourselves we should just think national, we ourselves have had an IMF loan within my lifetime, so it is part of our international role and responsibility.  The wider interconnectedness of international finance means our banks and our pockets would be badly hit by a destablised Euro.

That said, it seems the £95bn loan last year didn’t help because the cuts hit any prospect of financial growth and the markets don’t want to loan money to Greece.  Evidence of this is that Greek government bonds are already at 30% return rates (compared with 3% for the UK and 5% for Spain).
It remains to be seen whether throwing more money (another £196bn?) is enough to tip the balance or simply good money after bad.

But is there anything else that can be done?
In May 2011 at a conference in Lisbon hosted by Left Block and GUE/NGL, Unitarian Left at the European Parliament, French researcher Benjamin Coriat proposed an alternative to IMF bailouts:

  • the European economy should “break with financial markets”, imposing “conducting audits on public debts so that can be identified who owes and what owes and so we would see that after all creditors have to pay more than borrowers“;
  • The “European Central Bank must buy government bonds on the primary market in order to lower interest rates and leave the rating agencies out of the game”;
  • This would be accompanied by establishing a fair and balanced tax base in order to “reverse the counter-revolution” in which the rich get tax breaks;
  • there should be changes to macro-economic coordination in Europe towards achieving a balance between the centre and the periphery because “Germany can not only take the benefits of Europe and leave the disadvantages to the others”.

But this is in the realms of fantasy – and I can only assume that there were neither Germans (who are pretty annoyed with bailing everyone else out) nor anyone with a grasp of the sums of money involved in actually doing any of that in the audience?
Realpolitik also suggests that if the Euro is not seen to be functioning brilliantly, politicians are unlikely to want to grant more powers to the ECB.

Are there any other ideas out there?  Well, if Greece were a company, others would be sniffing round to buy it up at a bargain price rather than bail it out with the current management.  But happily for democracy, the crossover between capitalism and politics has happily not gone this far yet!

Anything else? American (and some German) economists propose a strong-economy Euro (e.g. Austria, Finland, Germany and the Netherlands), cutting loose weaker economies (e.g. Belgium, France, Greece, Italy, Portugal and Spain) for the good of all.  I can’t help thinking that one would go down particularly bad with the French…

But one thing is clear – the Greek government cannot give in to the street protesters.
Well, of course they can – but they’d need to think through the global consequences of doing so.
But if the street protesters want to change the government for another, democratically via the ballot box, that is of course their right.  Storming the parliament is not the way to do it.
But in a democracy, sometimes what is for the best for the people overall is not what is going to be popular.
Sometimes we have to elect people to do what we individually could not.
And honouring our international obligations matters, whether we’re debtor or creditor on the ask.

 

 

Banking on a better system?

As DG Markt Director General Jonathan Faull writes to the FT about the lobbying of Basel III and European Commission, and politicians and protesters with their “Banker Wanker” posters (and worse) blame the banks alone for the recent crisis and current financial climate…
the more windows get smashed or buildings occupied… I just wonder whether any of us really know what banks are for?

Put in really basic terms, banks basically do two things: they take in short term deposits and give out long term loans.  This is known as a “maturity transformation”.
But it seems that the major issues that caused banks to collapse were inability to properly manage this basic maturity transformation:

1)  running out of funding (like Northern Rock)
2) running out of cash (like Lehman Brothers)
3) inadequate risk management regarding quality of loans (primarily a problem in the USA).

We’ve heard a lot about the last bit, complex packages of bad debt and whatever.  Gordon Brown as PM blamed this third issue for the whole of the banking crisis.  But it is really quite simple: loans are things like mortgages, car loans, student loans, the sorts of everyday loan we can get our heads around.
Everything else is just a different way of packaging these up – e.g. as bonds to flog on the market.  That gives a different product which attracts a different sort of investor and therefore more money to be paid as interest, borrowed by those needing it etc.  Is this an inherently risky business?  Or is it the lack of transparency and understanding about what’s in the packages that’s risky?
I can’t help thinking it’s both the quality of the original loan and also management of the maturity transformation that are crucial here.

So banks borrow short and lend long.
Northern Rock basically seems to have run out of funding for its 25-year mortgages – for which it was borrowing a month at a time.  D’oh.
Lehmans, meanwhile, ran out of cash – a liquidity problem. As a bank you need to be able to pay up at all times.  Many deposits are repayable on demand, and banks have to assume they will be asked to do and if they can’t, the bank goes bust.
You can imagine Lord Sugar on The Apprentice shaking his head in disbelief that these simple concepts cannot be grasped by the self-proclaimed business experts standing before him.

While in the EU we were affected by the US sub-prime loans, unlike the US where these things were not really regulated, in the EU it was.  It’s not that banks don’t have capital standards – the existing Basel standards have been around for about 20 years.
So the Basel Convention and the European Commission are trying to design two metrics for the other two crisis causes to stop all this happening again.
There’s going to be a Lehmans Ratio – so that payments out can always be made for a month – and a Northern Rock Ratio (known as a Net Stable Funding Ratio) for a year’s funding.  And these new standards are being drawn up in just a couple of years.

Real care needs to be taken that the standards set are not so demanding that they will have a negative effect on the economy.
For example, one impact of the Northern Rock Ratio is that it reduces the amount of maturity transformation i.e. there’s more matching of assets against liabilities.  That means it is more difficult to fund long term.
Good, we might think – that means the wrong people won’t get loans.
But what about large scale infrastructure projects?  If we can’t fund them through banks, other sources of funding will need to be sought, such as the market.  And that brings a whole load of other insecurity…

While banker bashing is fun, it is not going to fix the system.  Nor will breaking up the banks fundamentally tackle this, merely making banking more expensive for consumers.  All these things really do is make it look as though the failure is distanced from the political decision making process – which of course it never can be.  Choosing not to act, failure to regulate or supervise effectively is a political decision just as much as choosing to do so.

The key question is whether our primary aim is to have processes for handling banks when they fail, or whether we should be focusing on building an economic system that doesn’t presuppose this.
As for the idea that if taxpayers don’t have to bail out the banks, we don’t have to pay, that’s to fundamentally misunderstand the nature of our economy.  If a bank fails and we pay for nationalising it through our taxes, it’s a visible cost.

But the overall increase in costs from politically attractive but economically risky metrics also affect us all – as shareholders, as mortgage borrowers facing increased interest rates or higher entry hurdles, as entrepreneurs with start-up needs or business owners looking to expand through loans, and crucially through our pensions.  Yes, you did read that right, reduced bank profits means reduced dividends which directly affect our pensions pots.
Ah, but not every one is affected, right? Mortgages, shares, workplace pensions… not everyone has them and this way the poorest don’t have to pay for the greedy bankers?  But given the lowest paid have been lifted out of tax, they wouldn’t have been hit that way anyway, so that’s just disingenuous.   We all pay.

And we shouldn’t, you may say.  Let the bankers pay!
Bankers get million pound bonuses!  Yep, some do.  In the UK, according to former City minister Paul Myners,  last year it was 5000 bankers out of a million people working in financial services.  Well, if we want to debate the inherent unfairness in pay and reward structures in our capitalist economist, and the value to the economy of farmers,  call centre workers, teachers -v- say, premiership footballers who merely kick a ball around a field for 90 minutes, that’s a whole other blog post.I think we need to differentiate between our sense of social injustice and convenient scapegoating of the bankers.

If we are to think about an economy that is about economic growth and not on bank failure,  then we need to move away from the assumption that nothing can be done and these things just happen – somehow bubbles that burst bringing down the economy are an inevitability.
Alan Greenspan had a mantra that it is cheaper and easier to mop up after an economic bubble bursts.   He’s been proved wrong.
What we really need is a more mature way of thinking about bubbles.
Bubbles are very rarely economy-wide.  So if it’s a property bubble, we need to have targeted measures aimed at deflating that sector.  How do we tell if there’s a bubble?  Loads of economic analysts argue over this, but essentially it’s a bit like pornography – almost impossible to pin down but you know it when you see it…

Is there a bubble at the moment?  Well, not easily seen.
But some food for thought – LinkedIn was recently valued at what equates to $100 a user.  I don’t know about you, but I’ve not put $100 into my LinkedIn use and would withdraw my details before seeing them sold – so unless some people are putting in thousands of dollars, I can’t see how that worth is derived.  Is this a new 1990s style internet bubble?   Who knows?

But will all this activity make the banking system less likely to fail in future? Don’t bank on it.

True Finns- what just happened?


Finnish tshirt from www.zazzle.com – election of the true Finns risks a changed position for women in Finnish society

Eek.  Just listened to the BBC world service programme “World Have Your Say” on which friend and fellow Euroblogger Jon Worth just appeared.

The immediate EU concern is that – given the Finnish parliament has to vote on any agreed bailouts (or as Jon rightly points out, long term loans to stricken countries underwhich the lenders actually make a profit on monies loaned) – the Portuguese bailout may be delayed, or need to be changed.
The learning point from this – and the Netherlands, France, and elsewhere where the populist right is on the rise – must surely be that it is no longer acceptable to regard the EU as an inevitable grand projet, pushed forward by an elite with a common mindset, which the public will unquestioningly accept.  There needs to be more open and honest explanation of what is going on, what the proposed solutions are an the consequences of doing them and not doing them.  And while this is no doubt the economic big picture, it goes for wider policy making too.

However, there ought to be concern too because this party that just got 20% of the vote and may end up forming part of the next Finnish government apparently said that Finnish women should study less and stay at home producing more True Finnish children.
I’m appalled on so many levels at that statement.
This can’t be real, can it?  A progressive, Nordic country really just had an election in which True Finns was the only party to increase its share of the vote?
If you want to read a female Finnish bloggers perspective, I’ve just found this one.

In the meantime, welcome to the twenty first century.
We may be seeing democracy as a rallying point outside Europe, but we need to take greater care to remember that being elected is about representation, not just leadership.
And we also need to think about who is being represented.
If ever we needed proof that women’s rights have been hard won and are not inviolable, this is a wake up call.

So where are all the EU women?

Five inter-related thoughts on the theme of where are all the women:

1) I’ve been following an interesting debate over on Twitter.  Life’s a bit complicated technologically at the moment so my joining in Tweets haven’t all got there, but the gist of the discussion is this: why, when there is an EU-related panel discussion, is it so hard to find a panel with gender balance?  Or more than just one woman?  Where are all the women? (@europasionaria, @EuropeanAgenda @maitea6 @euonymblog)

2) Meanwhile, the European Women’s Lobby has drawn attention to the issue of where all the women are in the European External Action Service (just 36% at present – the petition calling for more can be found here)?  Just over one third?  Seriously, where are all the women?

3) At the same time (and there is a link here too, I promise), my care arrangements have suddenly got more complicated: it now offers half an hour less time in the evenings with no good reason offered for the change, meaning a much bigger risk of being late…
Then, for reasons best known to themselves, the public transport system in London has decided that I should have to have a minimum extra half hour journey a day…
And Eurostar has changed the timing of the Brussels train meaning it is now impossible to catch our care at the end of a day at meetings in Belgium…
Argh!  Logistics nightmare!  But I know I’m not alone in this.
Thousands of families have complications. Many sort it out quietly, anecdotally often by having another baby or someone downgrading or giving up work.  Does it have to be like this?

4) Are the EU women working part-time and thus unavailable, or not highly enough ranked to take part in the more public roles?
Short answer is no – not all women are mothers, not all women work part-time. But a big group do.
A quick look at the UK: is it possible to be both successful in your career and work part-time? In the UK public sector, broadly yes.
What about the private and voluntary sectors? Well, the right to request flexible working is out there, for parents and carers at present and with a good take up rate.  It’s less clear how many do not request for fear of career implications or pessimism about being turned down.
Also there is a prevailing view that somehow part-time and full-time labour markets are and should be separate.  Well, this makes no sense given the quality of individuals looking to work part-time whose skills and experience should not be confined to lower level roles (particularly now that the retirement age is gone and older workers might want to reduce their hours without actually leaving work altogether). It also makes no sense given the news that the huge majority of jobs created recently have been part-time (let’s just hope it doesn’t also mean that they’ve been low-paid ones).
Recently there’s been quite a lot of resentment in newspaper letters pages towards demanding parents who have made a “lifestyle choice” to have kids and should not expect any special treatment as a result.
Let’s leave aside for now the “who pays your pension” argument, though it should be made.
More immediately, is there actually anything wrong with parents wanting both to play a major role in bringing up their own children and also using the skills and talents that they’ve spent their lives building up for the profit of all?
And there also seems to be fear about employing women as it is just “more difficult” than employing men (a view openly expressed by working mother Katy Hopkins on BBC Question Time).
So can it be done?  Well obviously yes.
Are there any non-superwoman role models?
The Evening Standard ran a brilliant piece (not available online) on a London mother working a very senior design job at a well-known designer store part-time three days a week – but noted that her father had given her the role with some resistance from other decision-takers. Dammit, why does it take a father to demonstrate that it can work?

What about the EU institutions and related organisations?  Given that the institutions staff are not covered directly by EU legislation on part-time working etc., how exemplary are the institutions as flexible employers?
And what about the lobbying industry?
Or the voluntary sector in Brussels?
Do they expect the Belgian childcare system to step in so parents can work full-time? Is there any scope to work part-time?
And, given the likelihood that family are not close by, what happens when meetings run on past the 6pm childcare cut-off point? Or the essential networking sessions are all held in the evenings?

5)  Final thought: the gender pay gap (notional average wage difference figure) and indeed everything affecting where the women are job-wise, are complex and interconnected.
Not least because it all matters for men too.
Measures taken now might not have immediate effect, but it does not mean no action is necessary.  Governments across the EU, and the institutions themselves, are realising this and trying to do something about it.
Gender balanced panels would be one small step, but a visible one.

Asking for the impossible

I’ve just read the Spectator magazine’s comment on David Cameron’s trip to Brussels on Thursday.

For obvious reasons, the article focuses up front on what eurosceptic right wingers in the UK might want the Prime Minister to do and say there.  And rightly dismisses them.
Without a written constitution the UK seems to have less protection than, say, Germany on issues that affect us at a constitutional level.
But -as Foreign Secretary William Hague made clear in his party conference speech- actually we already have most of the protection we would want.  The 1973 European Communities Act can always be repealed, most people would expect a referendum were there to be another treaty (I think this is A Bad Thing due to the complete lack of understanding about the EU in the UK, and probably the worst mistake of Blair’s premiership after Iraq but that pass has been sold now).
What we cannot have is a law that says that the UK parliament can introduce law that conflicts with EU law and expect it to stand – the point about a single market is that we agree to the same rules for a level playing field for business, consumers and workers.
That would be asking for the impossible.

But the European Commission and European Parliament are also asking for the impossible.
Asking for a 5.9% budget increase (plus extras if you are the EP) is simply not credible when everyone else is cutting back.  And as for direct taxation, how much do the institutions want the public to hate the EU?
Seriously, I’m already hurting enough due to the austerity measures my own national government is introducing, and that’s including things like taking the cap off rail fare increases meaning my season ticket could cost £8000 a year by the end of this parliament (2015).
What on earth is the EU going to do with that sort of increase in funding that actually going to help me in my day to day life? And I say this as someone who starts from a EU-positive position!

Then there’s France.
As one website puts it “France on general strike while Britain watches the X Factor and Wayne Rooney”.
We’ve had our pension age put up to 66, they’re striking over an increase to 62.  We’ve had our universal child benefit removed, public sector pension contributions increased plus a pay freeze (that’s something like a 12% pay cut in real terms), pension tax relief  on private sector pensions capped etc.etc.  They have a strike with a slogan “the right to benefits”.
I love France.  I’ve mentioned before the dream of a little coastal B&B and a slower pace of life. Rioting is not civilised but you can’t help admire the determination to keep the way of life to which they have become accustomed. Are the Brits lazy, apathetic or just more pragmatic?

When Jose Manuel Barroso gave his state of the Union speech earlier this year, he said that we needed an “open debate without taboos“.
So far this seems to have been code for attacking the UK budget rebate.  As I said previously the Budget Commissioner has already screwed any prospect of sensible debate on this issue in the UK press, as Sunday’s Sunday Express front page amply demonstrated (oh and this one earlier in the week).

I need to spend more time reading www.capreform.eu before I full understand the issues, but Sarkozy is quoted as sayingI say clearly, I would be ready to have a crisis in Europe before I accept the dismantling of the common agricultural policy. I will not let our agricultural sector die“.

Really?

This, surely is the chance then, for everyone else in the CAP reforming group to put Strasbourg on the table.
Ok, Sarkozy, we saw you’d rather have an EU crisis than dismantle CAP.
If we are to accept this archaic and expensive drain on our resources, you should accept that we will not tolerate the Strasbourg circus every month.
This would be a genuine issue of EU interest, and would be one of the most positive things that the EU could do for the public – ending something which is a visible waste of their money, showing that they care about what we are going through.
There will of course be a range of other vested interests that are likely to get in the way of this happening.  There always are.
But surely this is a chance to push for one seat for the European Parliament (Brussels) – which is a coalition agreement commitment for the UK government.
Under any other circumstances going in with this would be asking the impossible…

My Fellow Europeans: The State of the EUnion…

Today, the Commission President, Jose Manuel Barroso, made his first state of the union address to the European Parliament in Strasbourg (watch it here).  As Ralf Grahn has already pointed out, whether he should is a point of constitutional uncertainty. Executive power in the EU does not really rest with Barroso – perhaps he should have been accompanied by Buzek, Van Rompuy and, for the rotating Presidency held by the Member States, the Prime Minister of Belgium… hold on, not certain who that is at present…

And the BBC said that the meeting of EU finance ministers today may well overshadow Barroso’s speech in any case covering issues of real importance – the economic crisis and regulation of the banking sector…

So leaving aside the issue of who should have been doing the speech, what did they say and what does it mean for EU citizens?
Firstly we should note that this speech is being given to the European Parliament, and that will affect some of the things that are said in comparison with – say- a speech given to the European Council.  You’ll see what I mean later.
Second, there’s no underlying coherence to the speech – as Mary Honeyball (who was presumably there) points out, it’s a shopping list.  but that’s inevitable as the EU itself is a messy sort of compromise between a lot of ideas.

We’re promised “a Europe of opportunity where those that aspire are elevated and those in need are not neglected“.
A Europe that is open to the world and open to its people. A Europe that delivers economic, social and territorial cohesion“.  I’m not entirely sure what economic, social and territorial cohesion means in practice – presumably it means that we all help each other out, spirit level style.  But let’s look at what that has meant in reality.

Our interdependence was highlighted and our solidarity was tested like never before.  We have provided many of the answers needed – on financial assistance to Member States facing exceptional circumstances, on economic governance, on financial regulation, on growth and jobs“. Hmm.  If I was in Germany, I’m not totally sure I’d see bailing out the Greek economy where public servants can retire in their mid-40s as solidarity – solidarity needs to work both ways and the reform needed to equalise the exceptional circumstances needs to be in place.

Did anyone bar the most ardent, foaming-mouthed Europhobe really predict “the demise of the European Union” in the financial crisis?  I thought it was the Euro which was the target of most scepticism?
The European institutions and the Member States have demonstrated leadership. My message to each and every European is that you can trust the European Union to do what it takes to secure your future“.  I feel very reassured, don’t you? :)
He also cited various bits of legislation that were coming forward, prompting one MEP to say it felt more like a forward work plan than a state of the union.

Barroso then turned to the economic outlook in the European Union – better than it was, with higher growth than forecast, and high unemployment sustained rather than growing.   I’m guessing that “budgetary expansion played its role to counter the decline in economic activity. But it is now time to exit. Without structural reforms, we will not create sustainable growth” is essentially the idea that once we’ve used tax payers money to bail out the bits of the economy that are collapsing, we need to cut back until its sustainable.
We then got a couple of sentences referring back to the Europe 2020 agenda – “accelerate our reform agenda. Now is the time to modernise our social market economy so that it can compete globally and respond to the challenge of demography. Now is the time to make the right investments for our future“.

The demographic challenge mentioned is falling birthrates and rising retired populations.  Basically, to sort this out we need to refocus our idea of work – that it’s not just about full-time, visible in the workplace jobs.  If we need as many people as possible to work, then we need to be taking seriously the role that women play – in the workplace, and at home.
First of all, we can’t just assume that everyone should be in full-time paid employment, effectively farming out our childcare and other caring responsibilities to paid carers in some big societal experiment.

We can’t assume that everyone will be fit enough to work into old age.
We can’t just continue to assume that women will fill the gaps – if we’re going for real social cohesion, we need to normalise the idea that men will do some caring – for their children, their partners, their parents – just as women do.  That should meant that quality jobs can be done in part-time hours rather than the assumption that working part-time means a lower level of ability.  We do need to think about how we identify talent and allow demonstration of leadership so that we really can use everyone’s talents – after all if there are more female graduates than men from European universities, what’s happening to them all that’s preventing them being the majority in leadership roles too?
If Europe takes a lead in this, then I agree with Barroso that “this is Europe’s moment of truth“.
But I’m not totally convinced that this is the angle he’s coming from here…

Barroso also lists 5 key challenges for the EU in the next year:

1) dealing with the economic crisis and governance:
the proposed solution is effectively more monitoring and “true economic union” – I’ll post separately on this another day but I’m a bit concerned that punishing the banks is politically popular but not economically sensible, and a Europe-wide tax on financial transactions on top of national levies is – interesting, when banks are threatening to move out of Europe.
Don’t get me started on the “own resources” debate.  Seems the European Parliament took this to mean that EU direct tax is on the cards – I predict right now that this is unlikely to go anywhere.

2) restoring growth for jobs by accelerating the Europe 2020 reform agenda:
This is where getting more women and older people into jobs is mentioned – although again policy on this neglects the wider role of people as people and not just as workers.  We do this at our peril.
The numbers are interesting – 6 million people have lost their jobs across the EU this year.  There are apparently 4 million job vacancies.
To put this in perspective, there are currently about 2.5 million unemployed people just in the UK (about 7.8% unemployment rate) compared with 4.6 million unemployed in Spain (unemployment rate of nearly 20%) – there are over 22% unemployed in Latvia and an Eurozone average of 10%.
So that’s a lot of jobs needed. Barroso’s solution will sensibly “be centred on skills and jobs and investment in life-long learning” – again just hope that the needs of women, who are, post-children, often working below their skills level are addressed via this approach.
I like the idea of an EU-wide vacancy list, but I’m filled with dread at the idea of an EU skills passport.  Many of the things that make you good at a job are hard to quantify – as anyone who has ever tried to move between sectors will know- and we risk lowest common denominator-ing the descriptions of ourselves to fit.
I’m fascinated to know how the EU will cut SME red tape by 38 million euro, and if they succeed, whether the UK press would ever report it as it goes against the EU= bureaucracy message…
There’s a lot too about securing energy supplies and renewables.  I guess I’m less worried about how it’s done (although I don’t really want to live any closer to a nuclear power station than I already do) as long as the lights stay on and the heating works in winter.

3) building an area of freedom, justice and security:
This was always going to be hard to read when France is expelling Roma and I noticed the stress on “legal migration”, but the section was remarkably short on detail.

4) launching negotiations for a modern EU budget:
Then we come to the budget, and the Budget Commissioner has already screwed any prospect of sensible debate on this issue in the UK press.
An “open debate without taboos” says Barroso?
This is the issue of European policy where all Member States are mostly about protecting their national interest.  Most remeber to wrap it up as in the EU’s interest.  The UK, for reasons of historic handbagging never manages to.  So I really hope they unpack all the taboos, including location of the EU institutions (goodbye Strasbourg) and that more than 40% of the EU budget is still agriculture, and cuts through the l’Europe, c’est moi waffle of some others.

Yes, it should be about getting most value for our money – as long as that is in line with the priorities we most want to achieve!
And check out the warning that the budget will inevitably go up in future: “Europe offers real added value. That is why I will be pushing for an ambitious post-2013 budget for Europe” – you can call it “spending more intelligently, by looking at European and national budgets together” but that word ambitious will put the frighteners on people who see the EU as a malevolent force trying to take over national budgets rather than as a partner.  Barroso even mentioned some areas where a Euro spent at European level brings more than one spent at national level: “energy interconnections, research, and development aid” – essentially cutting costs, avoiding overlap and better retrun on investment.  But convincing some that even economies of scale are a good thing is sometimes a bit of an uphill struggle.

And is there a hint at job cuts in the institutions?
Of course, part of a credible European budget is the rigorous pursuit of savings. I am looking at the administrative costs within the Commission and other Community bodies like Agencies. We need to eliminate all pockets of inefficiency“.

5) pulling our weight on the global stage:
This is the tricky one. Not that the others aren’t, but Europe still has such a way to go in this area.
I have to admit that while I like being British and feeling like people know where I’m from as I travel the world, being British is not universally popular out there.  Nor is it that powerful any more.  Possibly except when seeking to trade.

But the “Who do I call?” question is still not really answered.  Should Clinton be calling Ashton?  Von Rompuy?  Barroso?  Hague?

Something similar to the “Suez moment” that showed to the government of the day in the UK that it could no longer act alone internationally was felt at EU level at the Climate Change talks in Copenhagen last year.
Barroso acknowledges that “we did not help ourselves by not speaking with one voice” but that was not the whole issue.
Barroso may well be “impatient to see the Union play the role in global affairs that matches its economic weight” but ultimately the deal at Copenhagen was done without the EU.  It was also done without the UK, Germany, Italy, France, Spain and in fact without any of the member states that consider themselves big hitters.
In the end, the EU simply did not matter enough, because any deal was better than no deal at all.  that said, the future belongs to the BRICs, not even to the USA in the long run.  The EU is our best hope of still having some relevance.

If Barroso is serious about the EU acting internationally, then its staff need to be the very best diplomats and subject expert negotiators the Member States have to offer, especially in the Member States, possibly as seconded national experts, in the European External Action Service.

And if it is a cards-on-table discussion on how best to act internationally, then the interests of Member States, which vary, will need to be taken into account.  It’s hard to tell a proud shipping nation like Greece that, say, an Austrian with only theoretical policy experience of shipping is going to lead the delegation representing them in the relevant international forum.  That’s why Commission relations with Member States really matter.  The EU is just not going to be able to act with authority internationally if Commission staff attempt to bludgeon Member States into certain positions that don’t necessarily reflect what they would want.  Though I doubt anyone is attempting that sort of thing these days?
And if “size matters“, the issue of numbers of votes and seats are particularly important.  The rush to be represented as the EU should not be at the price of every Member State’s seat and voting weight – the measure should be what we have now, not what the USA has.

As for helping other parts of the world, while all Member States have “spheres of influence” where they are more likely to focus aid, I want to see that the pan-European effort adds to this rather than muddling efforts.
I’m not clear whether Barroso’s intended extra money for the Millennium Development Goals is on top of national budgets for the MDGs or whether the EU contribution includes the member states’ contributions?
Where’s the clear, coordinated campaign of strong voices against the stoning-for-adultery in Iran?
And yes, it’s crazy that different Member States have different equipment to help with the crisis in Pakistan, but are not necessarily coordinated to get it there helpfully.
As for a Common Defence Policy: don’t we need a common outlook on world affairs first?  Wasn’t that the lesson of Iraq?

I’m glad he pointed out that “Europe is not only Brussels or Strasbourg“.
However I encourage you to think on the statement “the Union will not achieve its objectives in Europe without the Member States. And the Member States will not achieve their objectives in the world without the European Union“.
While I obviously agree with the latter part of the sentence, I can’t help wondering:

- Should the EU have many objectives that are separate to those of the Member States?
- If so, where do they come from?
- How legitimate are they?
- To whom are they accountable?
- Do the EU population understand it?

Barroso rounded up with several of the www.bloggingportal.eu Barroso buzzword bingo ideas:  bedding down the new institutional set-up of Europe created by the Lisbon Treaty;  delivery is what counts; the Community Method (usually codecision- sorry, the Ordinary Legislative Process) is the secret of Europe’s success.

Barroso concluded his speech by saying to the European Parliament that “for Europe to succeed, the Commission needs your support“.
I slightly resent his further call for a “special relationship between the Commission and Parliament, the two Community institutions par excellence“.
If the EU is to work properly, even if the Council does do some things intergovernmentally rather than via the community method, it seems childish to pretend that it is inferior or frankly that the Commission and Parliament are more European.  The EU is a combination of these methods and the Commission atempting to sideline or alienate the Council where Member State governments are represented is hardly going to endear it to already sceptical peoples.

I’m trying to take a balanced view, but actually, this part of this speech has made me a bit cross.
Look at the Twitter summaries posted by the

European Parliament Europarl_EN twitter thread:
#Barroso
: Majority in this House wants more Europe #SoEU (yes that is a different hashtag from the one being used for the buzzword bingo #SOTEU)
#Barroso
: in a period of change: some want intergovernmental EU: I want community method #SoEU
#Barroso: People want more Europe/ support policies I have put forward #SoEU
#Barroso:On EU budget must win over public opinion about what EU budget should be used #SoEU

And this response by @Nosemonkey:
Note “win over” not “consult” RT @Europarl_EN: #Barroso:On EU budget must win over public opinion about what EU budget should be used #SoEU
Not all MEPs were uncritical of Barroso – Schultz wanted to know more about the haves and have-nots (of course, he’s the socialist group leader). Others were frankly a bit embarrassing – I mention no names.

But if most people in the European Parliament want “more Europe” then there’s a bit of a sales job to be done on why this is a good thing to the wider public.  Even in economically good times, the Constitutional Treaty’s referendums way back in 2005 were not all universally and enthusiastically greeted, and few people have had a chance to have their say since then.
There’s a series of posts in the EUblogosphere at the present on eurobarometer that might give some clues as to how the EU is seen at present.
If they want “more Europe”, I’d love to know how they communicated with their constituents on that point: in the UK, Euroelection leaflets are usually about local schools and hospitals and where Europe does get a mention it tends to be from those hostile to the EU about how it will be held back or withdrawn from.  I freely acknowledge that this is not the case everywhere, so what does a Europhile MEPs constituency surgery sound like?
And if this is a sign of the Parliamentary Europe that Vihar Georgiev talks about over on his blog, I think there’s a bit more discussion needed. And they certainly need a higher turnout across the EU to legitimise it.

It’s not that Barroso actually said anything so wrong in the rest of the speech.  It was just a bit – predictable.

Right at the moment, it feels a bit as if there’s a State of the EU for Brussels/ Strasbourg audience and a whole other speech needed for the wider public with a bit more clear language about exactly how the EU adds value.   Barroso was getting there in parts, but this appeal to the European Parliament’s ego at the end just wasn’t- right.

So the state of the EUnion is that the economy’s a bit messy but getting better, unemployment’s high but things are being done about it.  While finances are in a parlous state at present, working together saves money, more money is needed in the long run, more aid is needed for the rest of the world.  There’s a whole lot of debates still to be had about how things need to be done, but generally we’re all just getting on with it.
Not exactly inspiring, but then what politics is at the moment?  Even Obama’s halo seems a little tarnished these days.

And what a missed opportunity to kick off the whole “My Fellow Europeans” expression for starting speeches…

Eurobleugh

image from www.nicetomeeteu.com


What’s wrong with you, you may well ask?

I’ve had a summer broadly off Euroblogging, in the main part because so little happens in Brussels in August.
I’ve also for work purposes avoided blogging on a number of EU-related issues which interest me.  A necessary sacrifice.
So EU-wise my blog’s been a bit quiet recently.

The thing is, I’ve also used the time to work out a bit what I care about, what motivates me to blog.   Yep, it’s my navel gazing post only a month after the majority of EU blogs went through this …

Over the last couple of years, my euroblogging has evolved to be focused on the UK’s relationship with the EU, and looking at the EU through a gender focus and faith focus.  I blog irregularly as I’ve other commitments, but I hope my slightly different take is interesting for my readers.  And I think overall I’m pretty happy with these things as my euroblogging USP.

I mean, I could critique the current common transport policy, the Tax Payers’ Alliance’s problems with the Trans European Networks Executive Agency, or seafarers and the ILO, but I’m not sure that would be very interesting.  I’ve tried to cover my interest in transport via practical posts on HS1 instead…
I’ve never cared a lot about agriculture beyond what I can see in the fields or arrives on my plate, and much as I care about climate change I’m just not sure enough on my numbers to do in-depth critiques of these sort of things.  So when I do do something in-depth, I probably do care about it, and I do know what I’m talking about.  I hope.
And have put off playing with my toddler to write it.

At the moment, with the “new school term” coming, I’m getting a bit of  a sinking back to school feeling.
I’m not quite sure why, but I suspect there’s an element of  not feeling very inspired by politics overall at the moment.

In the UK there’s a big and actually quite exciting political experiment going on – the first coalition government in a very long time and a referendum coming on a change to a voting system that none of the political parties specifically wants.
But while the big picture is exciting, day to day life is currently a question of which public service is going to change next and what does that mean for daily life for my friends and family.  And the attitude to the EU is – complicated.

And in the EU, there’s a weird sort of situation.
While the Lisbon Treaty is implemented (but hardly to public acclaim), and European External Action Service is established (and as male-dominated as we feared and expected), and the Council President is up and running (with an eye on consolidating a more wide ranging role during the Belgian Presidency of the EU), and all the little changes are put in place, I just don’t feel that there’s anything in particular to be enthusiastic about.
The euro is hanging in there, but I’m not finding discussions about greater economic governance inspiring – may be I would if the UK had been part of it and my daily life were being affected, but we’re not in “prepare and decide” mode any more, nor even “wait and see”.
And how long did it take the EU to get its act together for the people in Pakistan?

On top of that, I’m slowly realising that there’s no easy way back to Brussels in the near future.  To work there again any time soon, I’d need to make some pretty serious life changes.  I may not even work on EU issues soon.  But that gives me more scope to blog :)

I’m never going to be a daily blogger, or a several-times-a-day one.
I’m fed up with feeling that unless you can give all hours of the day to something, you are ancillary to it.  How on earth can any parent give 100% to anything, including their kids, and still make a difference in their other spheres of interest?  Why can’t the quality of contribution count as well as quantity?
And when it’s something I do for the fun of it, to test ideas and provoke conversations, I’m certainly not buying into a set of rules of the how and when.  I’m definitely a cat to herd rather than a sheep and so I guess I know I’m in good company in the euroblogging world :)

So I’m feeling a bit Eurobleugh.
I’m not in the mood for flannel, or theory over experience and applied example.
I want to know that it’s all worthwhile, that there really is an added value to me as a citizen in what’s going on – at all levels of decision-making.
I guess it’d be lovely to be seeing something happening that actually makes a difference for the good, rather than being the least worst option available.

So now I’ve got all that off my chest, let’s start September euroblogging with a positive attitude and see if there’s some good, persuasive arguments for what’s going on out there…

Burka bans, Brussels and bended knees


…the niqab is a feminist dilemma… and a European one…

Eurogoblin today reported that the three Presidents of the EU – Council President Van Rompuy, Commission President Barroso and Parliament President Buzek met with religious leaders from across Europe to discuss poverty and social inclusion.


Image of leaders family photo from Flickr under Creative Commons licence

What’s faith got to do with poverty and social exclusion?
While it is possible to argue that it should be the duty of all to mitigate against poverty and social exclusion, we have a choice.
Either, we say that the state should provide and by means of “fairer” or “progressive” taxation that can be spent for the good of all.
Or we say that the Big Society will provide, because as responsible citizens we should rail against and commit ourselves to the fight against poverty and social exclusion.
In most Member States the reality is somewhere between the two – the state takes some tax from us in the name of that purpose, but as it is not hypothecated we’ve no idea what percentage actually goes on these projects locally, regionally, nationally.  All we do know is that a huge number of people are homeless or do not feel themselves to be part of the wider community.
And the reality is that it is often faith groups that step into the breech.

Let me give you a small and very parochial example.
I’ve spent today at the Rare Breeds Centre – a kind of farm zoo and current home of the Tamworth Two.
This was the Ashford Baptist Church toddler group outing.  Some anonymous donations via the church and lift-sharing arranged by the ladies from the church who run the toddler group made it possible for a big group of us to go out for the day, with our packed lunches and have fun playing at the farm without having to pay for anything.
Now this may not sound like much, but the majority of people there don’t have holidays, don’t go for days out because incomes are low and costs when several children are involved just aren’t compatible.

In fact, most of the toddler groups in Ashford town centre are run by faith groups – not religious, in that we don’t require membership of a church to attend and we don’t “spout religion” at people who come.
But we do use the church hall, the organisers tend to be from one church or another and the children’s holiday club which is based around bible stories is advertised.  There’s no obligation to attend that either.  I don’t actually attend the church that runs this toddler group but I do approve of its open, inclusive approach and that it genuinely welcomes everyone, of all faiths and none.
There is a non-religious Sure Start centre, and a toddler group was started that declared that it was “an alternative to all the church-based play groups” but I can no longer find any details about it online.  The situation is a little different for play schools for pre-schoolers, not least because 12-15 hours worth of state funding is available.

That’s not to mention the soup kitchens, the event organisation, the small but helpful charitable efforts  that almost go unnoticed generally but help to keep heads above water.
So in these ways, we try to help with the physical needs of those around us.  Jesus commands us to this  - give him that asks of us our coats our shirts also.  There’s no sin in being poor – although the comments about workhouses etc. on the government’s spending cuts website suggests that some people today feel there should be.
Jesus also spends a lot of the sermon on the mount talking about the poor being blessed, the meek inheriting the Earth, everybody selling their possessions, and rich men having less than a camel-through-a-needle’s chance of entering Heaven…  Oh and for more on “the poor will always be with you”, see this link.

But surely it’s not just Christians that do this?
Of course not.  It is just noticably Christian-dominated around here – one of the things we noticed on moving here was the huge number of churches.  I’m sure in other areas of the country there are thriving synagogue toddler groups, muslim women’s get-togethers and more.

I know that charitable works are a requirement of some faiths, and that performing them is not only good for the individual but also good for the community.

But please don’t think that Christians do these things in some kind of effort to earn their place in heaven.  If you read the Bible, we don’t have seven things we have to do to (nor do we have to follow the rules of the old covenant in Leviticus), that just not the Christian position.
While some parts of the church have attempted to create structures and rules to make it easier to understand actually reading the New Testament shows how hard Jesus and the early Christians worked to say – no, that’s not ever going to be enough, God forgives you, accept it and that’s it.
And so when it comes to charity, we do these things because God himself has paid the price for the sins we have commited and we want to praise him and make his world a bit better.  going to church reminds us of this, because just like everyone else we find it hard to find time and hard to feel motivated all the time.

But you don’t have to be a person of faith to do this?
Of course not.  Humanism is after all placing the human at the centre where others place God.  But it is humankind and not the self that needs to be the centre.
And if it is hard to feel motivated without external help as a person of faith, imagine the sheer bloody self-motivation required to do it without and keep it on track and not self-serving.  It would take a stronger person than me to do that.

Is there a place for faith in the EU?
But I digress.
Does religion have a place in the EU?  Indubitably.

Look at the fuss about the Constitutional Treaty and whether there should be a reference to religion within it.

One religion?  It is indisputable that the present Europe was shaped by the Christian faith, Catholic and Protestant, and also by the enlightenment and the freedom to question (itself part of the true nature of protestantism) from which modern atheism takes its roots.

But even as a practicing Christian I’m still not sure that the Constitutional Treaty should have had a reference to this (and at the end, the Lisbon Treaty doesn’t).

I don’t think that we can always claim that all decisions taken in a state can truly reflect the ethos on which the state evolved.  To claim that we do everything in the EU on the basis of our faith/ faiths is to deny the nature of compromise by which decision-making to cover many conflicting and competing interests take place.  While it’d be great to think that all the politicians and policymakers were doing as Mark Greene suggests and remembering in their work that they are a “might policymaker for God”, I’m pretty clear that the UK expenses scandal shows that it is all too easy to forget how to do the right thing.

But the future of Europe looks multifaith rather than secular.
For all that we might try to draft rules of public engagement that exclude religion, that we might ban people in public office from actually mentioning the thing that shapes, inspires and drives them, most people across the EU have some sort of belief.
This may be in something ranging from “spirituality” and the supernatural, through humanism to the deification of science or money, to agnosticism, deism, right through to following an established faith.
Human beings bend at the knee.  This is not a design flaw.
How on earth can we expect decent policymaking if asking people to deny their fundamental belief systems?

And that brings me to the burka question…

Should women in the EU wear the niqab or the burka?

This is a European question in the sense that it is currently being asked all over Europe.

As Eurogoblin pointed out, the recent burqa ban overwhelmingly passed by the French parliament last week (335 votes to 1).
The Belgian lower house voted on a ban in April 2010 (note the handy BBC guide to different veils.
The Dutch were debating this as far back as 2006.
The Spanish parliament is also likely to start debating their own burqa ban this week.

And the UK? Immigration Minister Damian Green has said that any ban on religious clothing would be awfully “un-British”.  And he’s right.
Freedom of the individual is a very British concept and the idea that a woman might be fined as in the Netherlands for wearing something expressing their religion is distasteful.
I’m not sure I’d want to live in a UK that imposed on me whether or not I could wear a sign of my faith outwardly, and if this is a move away from the mealy mouthed illiberalism that clamped down on it through uniform policy, sudden changes to health and safety policy and statements from the NSS.
Besides, have you been to the West End in London?  This particular Nation of Shopkeepers could find itself hit in the profits if rich middle eatern visitors could not dress as the wish to shop.

So there’s no common approach.

Is the burka ban a European issue?  It seems Vivianne Reding thinks not – I hear that when asked about it, she said that this was an issue for national governments and not something that she would touch with a bargepole.

But as the Commissioner for women and equality (and fundamental rights, and justice), Commissioner Reding also needs to think about the burka as a feminist issue.
And that’s a dilemma.
On the one hand, equal rights means the right not to be subjected to men’s control, nor objectified.  Women should be able to work – or not to work – as much as they like, and so should men.  They should be able to dress as they want to dress…
Ah.
Because what if a woman want to celebrate her faith and her devotion to her God by wearing a headscarf, a veil, a chador, burka, hijab, niqab etc. ?
What if she’s not being oppressed into it by bullying male members of her family or her husband but has chosen freely and in full knowledge of the implications of what she is doing both religious and worldly to separate herself from the world?
Surely fighting for a woman’s right to self-determinism extends to her right to cover up if she wishes too?

So these are hugely tricky issues.  But we don’t live in the lyrics of “Imagine”, we live in the real world in all its messy, diverse glory.
God inspired, uplifts and makes us more than we can be by ourselves.  Europe needs that to flourish, no matter what flavour that inspiration is.
And I wouldn’t have it any other way.

The new Margaret Thatcher?

Watching the news tonight, this occurred…
One EU leader was nakedly pursuing their national interest at the press conference today.  And that leader is increasingly reminiscent of Margaret Thatcher demanding her money back.

But that leader is not David Cameron.

Cameron’s speech, however unpalatable to his host, was actually very pragmatic and sensible.
Consider an analogy put to me today. 
Say I have some friends who like skydiving.  They invite me to join in, but I decline.   And then one of them breaks her leg having jumped out that aeroplane.  Should I then have to pick up her healthcare bills, and agree to change the terms of everyone’s holiday insurance policies to do so?
 
In any case, Treaty amendment can surely not be the most popular proposal that could be made just at the moment. 
The Lisbon Treaty may not have been perfect.  Like all Treaties, now it has been ratified it needs a bit of bedding down, a bit of implementing to see how that carefully compromised document actually works in practice.
After the Convention on the Future of Europe was first convened in February 2002, it took 7 long painful years to finally get a Treaty that could be ratified by all. 
Surely the last thing anyone is likely to want is to have to reopen that process so soon? 
And you don’t have to be that interested in politics to realise that the leader of a new type of British government, a coalition only weeks in place, with an overall Eurosceptic party behind him is highly unlikely to want to risk the whole thing falling apart over Europe. 
Talking about a veto plays to Cameron’s domestic audience, true, but what he said in essence may well turn out to be what others are thinking too if they’ve been through the Treaty-making process.

As for Merckel taking a role like Thatcher, well, she does seem to be asserting an increasingly nationalistic agenda, acting unilaterally on issues that have repercussions for not just the Eurozone but the whole EU – for example the banning of shortselling yesterday.
(And the consquences of that announcement impacted more widely than that, hitting the US stock markets). 
In times past, to make a big statement like “to save the Euro we need Treaty change”, you used to get the French and German leaders together, speaking as if they were truly the heart of the EU – the Franco-German motor powering the project. 
Not this time.
Merckel was speaking as Germany, as the piggybank of Europe. 
And going it alone is very Thatcher indeed.

Is there any likelihood that Germany might actually get that chance for Treaty change?
Well according to the press, there’s already a miniature IGC planned for June (without a Convention) to sort out the European Parliament which has a bit of a mess over voting. 
If a Treaty amendment were to be opened for ”economic government” arrangements, that would presumably be the window? 
But it’s not that simple.  Change like that would mean prices would be extracted, whether CAP reform, power repatriation, a single seat for the European Parliament at Brussels… and that’s several years of negotiation, let alone vetoes and referendums.   

It may of course be the case that enough can be done without Treaty change. 
But proposals for “economic government” are likely to be contentious even if Treaty change was not a factor.  Even the spring European Council steered clear of that language, instead using “economic governance” to bee clear this is not supranational government that is under discussion. 

PS kudos to Christine LaGuarde for co-opting the phrase “we’re all in this together” in making her point to the BBC this evening.  After the seemingly far more cordiale visit to Paris yesterday, she’s talking to the British government in its own language.  Very neat.

10 random things about #myEurope

9 May is Europe Day.  No one in the UK is really likely to know or care, so (as part of the bloggingportal #myeurope blogging carnival) I want to take a few short minutes to celebrate some of the things that I love in and around Europe…

1) Europe is my continent, the place where no matter what the language spoken in the place I visit, however different it is from home in terms of weather and building style, there a sense of familiarity (working out which bit of Bratislava I’d want to live in, where I’d set up my B&B in France, whether I could take that job in Brussels etc. etc.) and a sense of interconnectedness between my history and those of the people living in the other countries near mine.  And yes I am aware that the common history is largely that of fighting each other in different combinations… so my Europe is partly about preventing future conflicts.

2) Oh wow, European food.  Yummy things.  Including but not exclusively sachertorte, Belgian chocolates, pastichio, bacon, queso de membrillo, French cheese (all of it), feta, beer, goulash, Parma ham, battered courgette flowers, crayfish, clafoutis/financier, asparagus, curries, British Beef with yorkshire pudding… I defy anyone to live in Belgium for 3 years without gaining what British diplomats call “the Brussels stone”.

3)  There’s something beautiful about countries choosing to work together for a common future, not something being imposed by an outside force.  Forgiving what has happened in the past, but not forgetting, and trying not to allow the memories that need to respected become a quest for future vengence. 
For example, Riga has an amazing museum of occupation, heartbreaking when you see the things that you have read about a thousand times that happened all across Europe and witness by those not even two generations before my own.   

4)  My B&B?  It’s a little near-retirement dream.  But I love that if I want to set up business anywhere I want to, I can.

5)  Such amazing diversity.   Not just of peoples, languages, cultural traits, but look at the geography!  From tundra and mountains to reclaimed land, lush green fields and pastures, to biblical dusty paths and scratchy bushes, coastlines, rivers and marshes, annual snow and wrong-sort-of-snow…  Flora, fauna…


 

6)  I gain a whole extra level of identity.  I feel like a kid writing my address on an envelope my house, my road, my town, my county, my country, my continent, my world, my solar system, my universe…  Being European doesn’t detract from me being British, or Kentish, or Ashfordian, it adds to it.  I’m one of nearly half a billion.  And that matters.  In a world where climate change deals are struck by the USA, India, China, South Africa and Brazil, being at the table counts, and you don’t get to be there if you’re not big. 

7)  I hardly dare mention it, but I’m going to.  If I want to buy strawberry jam in the shop down the road that was made in Spain, I know that the contents will be as safe for my child as strawberry jam that was made in East Sussex and will be lovely and fruity rather than filled with sawdust or plums-with-strawberry-flavouring.  It has to be, or they’re not allowed to sell it here.

8)  I love that it’s so easy to travel around Europe, crossing borders without tedious queuing and visas, fulfilling the quote attributed to Ernest Bevin “my policy is to be able to take a ticket at Victoria station and go anywhere I damn well please!

9)  Despite living on an island, I grew up living closer to Calais than to London, and could see France from the beach nearest to my house… and had a friend who lived on the other coast who could see that beach from hers!

 

10)  I have posted 10 random things in a random order, some triggered by the one in front, others completely disjointed.  If I was writing this list in French in the 1960s, this would be known as a stream of consciousness list!  How fantastic would that be? Tres Marguerite Duras. And that itself brings back the memory of reading L’Amant for A-level French. Not my finest hour!


P.S. Write on My Europe Week, or link a post on your own blog, in the language of your choice. Twitter away under #MyEurope and #EuropeDay. Share your Europe.