From changing the culture of the financial sector to supporting the Arab Spring and watching out for Tory EU-turns, Labour in the European parliament has had a busy year.
Its recess time for Westminster and the European parliament. We’ll be back to Brussels in August. Looking back to January, here’s a review of the things we’ve taken on since the turn of the year.
Changing the culture of the financial sector
The year began with new European-wide rules on bankers’ bonuses. Labour MEPs called for and secured restrictions on cash bonuses in the financial services sector to curb short-term risk-taking. Beyond bonuses the wider reform of the financial sector progressed, including a call for more transparent pay in the sector and a push for the EU to join the USA, Japan, Hong Kong, Australia and Brazil in banning naked short selling. Labour MEPs also gave their backing to the Robin Hood Tax campaign, calling for the introduction of a very small tax on global financial transactions that could raise a huge amount of money to protect public services and combat poverty by taxing risky short-term speculation. We secured a commitment from the European parliament on an EU financial transactions tax and the Commission is drawing up proposals to be debated later in the year.
Responding to the economic crisis
The economic instability following the global financial crisis has dominated the news agenda in the UK in recent months and has been top of the work pile in Brussels. Labour MEPs have been highly critical of rightwing European governments and their push for austerity-only economic policies that have been failing to work in Greece, Portugal and Ireland. We have also been pushing for EU leaders to focus their efforts on finding budget savings in the EU budget. We voted against proposals to increase the EU budget, arguing that the current economic pressures mean the EU must focus its efforts on those activities that will create jobs.
The Arab Spring and immigration
In the aftermath of the Arab Spring, Labour MEPs have continued to work on improving the provisions for refugees in north Africa. As well as protecting their fundamental human rights, the EU has an obligation to manage the strain of migration from orth Africa into Europe. France and Italy fell out over who would take refugees from Africa, and Denmark has moved to reintroduce its internal European borders.
This coupled with the economic challenges within Europe have placed pressure on support for the principles of the Schengen agreement, the right to move freely within many EU states. Labour MEPs have continued to work to promote the ability of the Single European Market to deliver stability, jobs and growth, striking a clear balance between commercial and social rights in Europe.
Tory EU-turn
In March the British government announced an important U-turn by signing up to EU action to counter human trafficking. The decision came after months of pressure from campaigners and Labour politicians who were furious about the government’s initial decision to opt-out of the new EU directive on the issue. However, because ministers only opted in after a deal was already struck, the UK lost any chance it might have had to make the directive stronger or more effective.
Tories block EU action on greenhouse gases
Plans for reform of the EU’s targets to reduce greenhouse gas emissions have also been under discussion in recent months. It had been hoped that the European parliament would back new higher targets, but campaigners and Labour MEPs were dismayed when rightwing MEPs, including the British Conservatives, voted to block the proposals. The crucial vote was lost by just nine votes with 16 Conservative MEPs failed to endorse a tougher target, directly contradicting the UK Tory-led government’s environment policy.
MEPs return to Brussels at the end of August and on the agenda will be the recent eurozone agreements, measures for a financial transaction tax and the EU budget.
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Claude Moraes MEP is deputy leader of the European parliamentary Labour party and a Labour MEP for London