HC Deb 12 March 2002 vol 381 cc965-6W
Mr. Hood

To ask the Chancellor of the Exchequer what the outcome was of the ECOFIN Council held in Brussels on 5 March; what the Government's stance was on the issues discussed, including its voting record; and if he will make a statement. [42705]

Mr. Gordon Brown

The Paymaster General and I attended the ECOFIN Council.

ECOFIN agreed a Key Issues Paper on the 2002 Broad Economic Policy Guidelines, which will be submitted to the Barcelona European Council. Ministers also agreed reports on structural reform, increasing labour market participation and promoting active aging and healthcare and care for the elderly. They also adopted an ECOFIN report on the integration of environmental and sustainable development into economic policy making.

ECOFIN discussed the mid-term review of the Financial Services Action Plan and agreed that progress should be accelerated to meet the deadlines agreed at the Lisbon European Council.

ECOFIN endorsed the European Commission's study on globalisation and development and agreed a statement on it. Ministers also considered a Commission report on the preparation of the International Conference on Financing for Development in Monterrey. I called for European Union member states to lead the way on global social justice, to set out a strong EU position in support of the aims of the conference, and specifically to make a new commitment to increasing overseas development assistance as a proportion of Gross National Product. This issue was discussed further at the General Affairs Council on 11 March.

An opinion on the Danish Convergence Programme was agreed and the Commission's oral update on the transition to the euro was noted.

ECOFIN agreed Council priorities for the 2003 budget. Ministers also noted the implementation of initiatives to improve management and accounting in order to combat fraud and irregularity, and consequently agreed a recommendation that the European Parliament grant discharge of the 2000 budget. The Commission outlined its Green Paper on the European Public Prosecutor. There was widespread agreement to see how the new Eurojust fared before considering alternatives.

Ministers discussed a number of proposals for strengthening EU development assistance to the Mediterranean region. No agreement was reached at this stage on the potential role of a new financing institution, and ECOFIN will consider the matter further at its meeting on 14 March ahead of the Barcelona European Council.

The Presidency presented a paper on administrative cooperation on tax matters. The paper will be considered further by the Fiscal Questions Group and ECOFIN will then be asked to adopt a report to the Seville European Council in June. The Paymaster General, in her role as Chair of the Code of Conduct Group, delivered an oral report on the Group's progress and its work programme under the Spanish Presidency. There will be a further update on the Group's work at the ECOFIN in June. No votes were taken at the meeting.

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