Assess the arguments for and against further European integration

Since the European Economic Community was formed in 1957, it has become more integrated and allowed more people to join. Originally, as suggested in the name, the group was an almost purely economic set-up. Now, with the signing of further treaties, notably the Single European Act (1986) and the Maastricht Treaty (1991), it has extended a long way into Social and Political matters. The UK has so far largely integrated as much as the EU has suggested, despite doubts in all the main parties.
Recently, however, the UK has been more hesitant, delaying the signing of two essential parts of the Maastricht Treaty – the Social Chapter (since signed) and a commitment to join the Euro, a move that, apparently, the British public still oppose. There are many different implications and benefits of further integration, but there is much controversy as to whether it is a good thing for the UK over all.

As European integration progresses further, both physical and economic trade barriers are removed. Since the Single European Act there are very few hold-ups when moving goods across the joined EU countries. This leads directly to more efficient business integration, and increased efficiency is a good way of improving economies. Also, trade tariffs and quotas are removed, allowing for cheaper importing and exporting – this is also arguably good for British business and the economy. However, the tariffs previously brought useful money to the government, and businesses trying to sell products inside the country can suffer from cheaper imports due to the reduced cost.

In European Monetary Union, probably the next big step if the UK does integrate further into Europe, which was planned in the Maastricht Treaty and we had to opt-out of, there would be no change in exchange rates between us and the other countries. A very large proportion of our trade is with the present members of EMU, and exchange rates with them are very important to many UK businesses. These businesses productivity would be largely improved if they could predict costs and revenues more accurately, as would be the case with fixed exchange rates. However, to achieve the same value of currency, it is likely that we would have to take the value of the pound down a long way, which would have mixed effects of the economy – making exporting easier but importing not so cost effective. It is also possible that in EMU, if we needed to adjust fiscal policy – put up interest rates in response to high inflation for example – we would not be allowed to, as it would often be at the expense of other EU economies. We can see this problem arising in The Republic of Ireland at the moment – their economy has been doing especially well due to EU money, but now, as members of EMU, they do not have the power to increase interest rates to stop inflation rising.

Another economic point against further integration is that the UK has lost, and will lose, a great deal of money through supporting poorer members. Countries with weaker economies than most in Europe, the Republic of Ireland and Greece for example, have been ‘net winners’ of money from the EU. To provide this money, relatively rich countries such as our own have been paying more than they get back – ‘net losers’. Some are worried that we will continue giving more and more money if the EU expands – as is planned. The expansion would involve letting in more countries poorer than us, who the EU will have to give funding to at our expense. This expansion also leads to worries about increased illegal immigration and other abuse of weak border controls. Some say that attempting to merge our economies with such poor ones could be compared to the re-union of Germany, which has not been all good for the richer west Germans. The addition of more and more nations to the group, however, will make it a more and more powerful world force.

Further loss of sovereignty to the European Union also has debatable good and bad points. The European Court’s powers to issue warnings and sanctions against us for breaking with EU legislation protects us in two ways. Firstly, and most likely to be of use to us, we are protected against other EU countries behaving unhelpfully towards us, in any respect. Decisions taken by Europe of this kind, overriding the sovereignty of national Governments can, of course, go for and against us. For this reason, Europhiles – pro Europe politicians – often prefer to describe the transfer of power as a ‘Pooling of sovereignty’ rather than a loss. We get some power over other countries, while they get a little power over us. Secondly, the Court’s power over our Parliament Acts, in a way, as a constitution, protecting the people by limiting governments with too much power. It would act against any government that was unacceptable, for example the far right Freedom Party, which on joining a coalition government in Austria caused the EU to take serious sanctions against the country.

Another strong argument against the giving of sovereignty to European institutions, which is involved in further integration, is that the people behind the decisions are un-elected, and therefore unrepresentative and not accountable to the people. It could be argued that the governing bodies are just as democratic as those involved in national government. There is the European parliament, consisting of elected representatives from all around Europe; the Commission that has members appointed by democratic Governments from each member state; the Council of Ministers consisting of representatives from all the members, who have all been democratically elected by their home nations and made government Ministers and finally the European Court, who’s judges are just as accountable as any at home – that is, not at all. More to the point, perhaps, is that unlike politician’s actions back in Britain, the public usually have little knowledge of what their ‘representatives’ are getting up to in Europe. This is particularly important for the Council of Ministers, which holds almost all of the important legislative power in Europe, and for the Commission, which has had large problems with corruption. It is also often said that Germany and France have more influence on EU decisions than other countries. In theory this should be false, as member’s representation depends only on population size, but in reality the Eurosceptic’s suspicions could well be true.

The Social Chapter section of the Maastricht Treaty, opted-out of by John Major when the treaty was first passed but signed by Tony Blair almost as soon as he came to power, has clearly brought better protection for workers in the United Kingdom. The most important things it brought us were the minimum wage and maximum working hours. This legislation is seen by some as only fair, but as very bad for business by others. It was argued that the minimum wage would lead to high unemployment, but this has so far not been the case at all, with our unemployment rates dropping very low. This record of legislating in favour of workers could be taken as an indication that the EU will go even further with this as we integrate further, but it is true to say this could not be right at all.

The EU’s many directives and laws encourage (or force) countries to share many things in different ways. In all the areas, this will continue if we integrate further. We are sharing asylum seekers – although some would argue that we are taking more than our fair share, and some view us having to take any as unjust. We are sharing responsibility for pollution and our section of the environment. We are also, on the more controversial side, sharing French UHT and our fish. Most importantly, as discussed above, we are sharing money. The EU is, very indirectly, an international distribution of wealth, although the UK government would never admit to it. Socialists and anyone to the left may well see this as a good thing, whilst many others are opposed to high income tax – let alone giving to people tens of thousands of miles (or, more appropriately, kilometres) away. Whether we should be putting money into other countries whilst we have large problems of our own is very debatable, but we do so in many ways all the time – e.g. foreign aid money to Africa and military intervention costs in Serbia – and at least with the EU we are more likely to get something back in the future.

Other good points of the Union are that international policing is easier, although this doesn’t apply too much between the UK and mainland Europe and war in Europe is much more unlikely – a major reason the EEC, as it was, began. A favourite argument for the Against is loss of ‘National Identity’. Some worry that European standards will be forced upon us, and British traditions will be forgotten. This is not usually a particularly persuasive point, as there is little available supporting evidence. One example could be the United States though – few people around the world know much about the culture of separate American states, rather they see the USA as a whole. It is understandable that the prospect irritates some patriots, but this also is not a well-supported point, and many would rather the world forget our rather dubious history.

An overall example of how a similar coming together can work well is the USA, which today is by far the most powerful nation in the world, economically and politically.

At the moment, a majority of people in the UK are sceptical about the good Europe has done. Perhaps this is because any benefits it has brought us so far are not easy to spot, and while the Opposition is fiercely campaigning as a quite anti-Europe party, few other major politicians risk promoting them. Unless the public understand what effects European integration has, and will have on us, they will tend to doubt it is worth while going further.

By Me 2000