§ Mr. HoodTo ask the Chancellor of the Exchequer what was the outcome of the ECOFIN Council held in Brussels on 28 February; and if he will make a statement. [111885]
§ Miss Melanie JohnsonThe Chancellor of the Exchequer attended the Economic and Finance Council of Ministers.
The Council agreed to publish the Code of Conduct Group (Business Taxation) Report of 23 November.
The UK and Danish Convergence programmes and the Stability programmes of Italy, Germany, Belgium and Spain were agreed. The UK Convergence programme was commended. The Council thought it appropriate that the programme stresses the securing of macro-economic stability supported by a sound budgetary position and 345W continued structural reform. The Council noted that the monetary framework of inflation targeting has been an important condition for securing low inflation expectations. The Council further noted that the UK convergence programme was fully in line with the Broad Economic Guidelines.
Discussion on the Broad Economic Guidelines and the Lisbon European Council showed general agreement on the need to push ahead with structural reforms, particularly in the labour market. The Chancellor's proposal to include timetables and benchmarking in Lisbon conclusions received wide support.
The Commission presented their report on the Functioning of Product and Capital Markets (the Cardiff Process). The Presidency concluded that this report was an important contribution to the Lisbon European Council.