HC Deb 18 March 1981 vol 1 cc279-81
39. Mr. Squire

asked the Lord Privy Seal what progress has been made in negotiating the accession of Spain and Portugal to the European Economic Community.

Sir Ian Gilmour

Community Foreign Ministers met the Spanish Foreign Minister in Brussels on 16 March. A number of new papers were tabled by both sides. The meeting reviewed the progress of the negotiations so far and the Community reaffirmed its commitment to Spanish membership. There will be a ministerial meeting with Portugal in April. The Community is keeping to its working programme of three meetings a year at ministerial level with each applicant.

Mr. Squire

In the light of recent events, will my right hon. Friend confirm the increased importance of enabling these two democracies to gain accession at the earliest opportunity and to be strengthened by that membership? Will he also undertake to discuss with his ministerial equivalents in the rest of the EEC possible interim assistance, either financial or political, that may have the effect of strengthening these democracies?

Sir Ian Gilmour

I agree thoroughly with what my hon. Friend says. Recent events have stressed the importance of these negotiations being successful. In answer to the second part of my hon. Friend's question, Spain has applied for a pre-accession loan from the European Investment Bank. We are in favour of this in principle although the details remain to be decided. We are also ready to help Spain in other ways.

Mr. Russell Johnston

Since economic convergence remains a Community objective, does the Minister believe that it will be possible to make any significant contribution to the economies of Portugal or Spain through the regional and social funds without an increase in the total EEC budget?

Sir Ian Gilmour

As the hon. Gentleman knows, we, like a number of member States, if not all, are in favour of maintaining the 1 per cent. VAT limit. The answer to the hon. Gentleman's question will become clearer during the restructuring negotiations and also during the negotiations on enlargement.

Mr. McQuarrie

When my right hon. Friend has further discussions with the Spanish Foreign Minister on the accession of Spain to the EEC, will he endeavour to get a firm commitment on the date of the implementation of the Lisbon agreement? This was drawn up on 8 April 1980, but still the border remains closed between the Spanish mainland and Gibraltar.

Sir Ian Gilmour

What my hon. Friend says is regrettably true. We are approaching the first anniversary of that agreement and it has not yet been implemented. As my hon. Friend knows, we have been ready to implement it from the word "Go". We very much hope that the Spanish Government will agree to do so before long.

Mr. Healey

Will the right hon. Gentleman agree that the consolidation of democracy in Spain is an essential condition for Spain's integration into Europe and the rest of the world and that a military takeover, such as was fortunately avoided some weeks ago, could lead only to the isolation of Spain, not only in Europe, but in the world as a whole?

Sir Ian Gilmour

I agree entirely with the right hon. Gentleman. A military takeover in Spain when there has been such a successful return to democracy would be even more unjustified than similar military takeovers. It would be a historic leap backwards. It would plainly be vastly unpopular with almost the whole population of Spain. It would, indeed, ensure the isolation of Spain from the rest of Europe, because adherence to democracy is a fundamental requirement for all members of the European Community.