§ Mr. Matthew BanksTo ask the Chancellor of the Exchequer if he will make a statement on the recent Council meeting of the Economic and Finance Ministers of the European Union. [7892]
647W
§ Mr. Kenneth ClarkeI represented the UK at the Economic and Finance Council—ECOFIN—of the European Union in Brussels on 2 December.
The Council considered a report on progress towards economic and monetary union which is to be presented to the European Council meeting taking place in Dublin later this month. I made a statement to the House on the ECOFIN discussions on this report yesterday.
The Council discussed new guarantee arrangements for the European investment bank's lending and new regional lending mandates. Agreement was not reached, so the issue will be discussed again at ECOFIN on 12 December.
Commissioner Gradin presented the report of the high-level group which has been looking at sound and efficient management 2000—the Commission's programme of financial management reforms. The Council agreed conclusions on the report.
The Council took note of a joint ECOFIN and Social Affairs Council report on employment and agreed to present it to the European Council in Dublin.
The Council discussed extending the period during which Denmark, Finland and Sweden can restrict personal imports of alcoholic drinks and tobacco. Agreement was reached on an extension, subject to parliamentary scrutiny reserves put down by myself and France.
The Council agreed to maintain the existing minimum rate of VAT of 15 per cent. throughout the Community, again subject to a UK parliamentary scrutiny reserve.
The Netherlands outlined the priorities for the ECOFIN Council during the first six months of 1997, when it will hold the presidency of the European Union.