European Common Market (Hansard, 26 February 1957)

§ 39. Major Legge-Bourke
asked the Chancellor of the Exchequer, in view of the decision by the six Messina Powers to include their overseas territories in their proposed common market whether Her Majesty's Government now intend that British overseas territories should be included in the proposed wider area of partially free trade.

§ Mr. P. Thorneycroft
The terms of the agreement reached by the Six Powers have only just become available. It is too early for me to assess the significance of this particular aspect of the agreement, about which the Governments of the Colonies will of course need to be consulted.

§ Major Legge-Bourke
Would my right hon. Friend give an assurance that he will take the necessary steps to ensure that produce from the British Empire will not be completely undermined in its market by an enormous preference being given to the products of, say, the French Union?

§ Mr. Thorneycroft
What arrangements countries in Europe may come to between themselves and their colonies are not entirely within the control of the British Government. At the same time I can give this assurance, that we do not regard these matters as things which can be settled simply in London, or even in Europe. They are matters for consultation with the Colonies concerned, and that we would propose to undertake.

§ Mr. J. Edwards
May I ask the Chancellor if he does not appreciate that the decision to include the French and other overseas territories raises serious issues for the Commonwealth countries, and whether he would not take the earliest opportunity to make a statement on this important matter?

§ Mr. Thorneycroft
Before I made any statement, I think I would like to investigate the facts of the position rather further, and also to undertake certain consultations with the Colonies who, after all, 1035 are the people likely to be affected. That would be the next stage in these discussions.

Mr. H. Wilson
Yes, but is it not a fact that last October the right hon. Gentleman, in answer to Press queries, said that a very serious position would arise, or very different considerations would apply, if the colonies of West European Powers were brought into the scheme? In view of that, and in view of the widespread anxieties about some of the things that have happened, both in his own negotiations and in the Messina negotiations, does not the right hon. Gentleman agree that the sooner we can have a full statement, and a debate in this House, before further action is taken, the better for all concerned?

§ Mr. Thorneycroft
The question of a debate is not for me. What I think I have always said is that what arrangements the countries of continental Europe reach amongst themselves is, after all, their affair. We cannot prevent them coming to arrangements. This arrangement would appear to contravene the international obligations under the General Agreement on Tariffs and Trade, and it would be necessary to put it before that body in any event. There will, therefore, at that time at any rate, be a full opportunity for the views of other countries to be brought to bear upon it. For our part, however, our next course, having investigated the arrangements in detail, would be to discuss it with the Colonies affected.