Cameron
closes in on EU reform deal
Diplomats
thrashing out the details on controversial benefits ban proposal.
By TARA PALMERI
1/27/16, 10:30 PM CET
David Cameron’s
plan for reforming the U.K.’s relationship with the EU is close to
completion, with political consensus among the bloc’s countries on
three of his four demands, EU diplomats told POLITICO. But the fourth
demand — a controversial plan to curb benefits for EU migrants —
remains a sticking point.
Breaking the
deadlock on that final piece prompted Cameron to cancel meetings with
the leaders of Denmark and Sweden on Friday and schedule talks with
European Commission President Jean-Claude Juncker.
A blanket four-year
ban on in-work benefits for EU migrants has been deemed incompatible
with the EU treaties and the concept of freedom of movement within
the single market, according to an EU diplomat involved in the
negotiations.
In an effort to find
a solution without changing the treaties, legal teams from the
European Council, Commission and Whitehall in London have been
discussing the use of an “emergency brake” mechanism that would
activate the four-year ban if the U.K. could prove its public
services were under strain because of an influx of migrants.
“The four-year
[ban] remains on the table, but the prime minister has said that he’s
open to alternative options that would be equally effective,” said
a spokesperson for the British government.
However, the
threshold at which the emergency brake mechanism would be activated
is still being negotiated, with time running out before Monday, when
European Council President Donald Tusk is due to distribute a draft
of the British demands to the other 27 member countries ahead of a
European Council summit on February 18.
The emergency brake
— dubbed an “indirect measure,” as it wouldn’t ban migrants
but seek to remove the incentives for them moving to the U.K. —
would technically be available to all member countries but would be
crafted for the British, according to an EU diplomat close to the
negotiations.
Another suggestion —
put forward by Germany but less popular elsewhere — is to redefine
workers’ rights.
Using European Court
of Justice rulings that allowed states to withhold benefits from
people without jobs, negotiators are looking into ways to expand such
bans to those who work for only a few hours. The debate on the number
of hours involved continues, but the goal is to present an option on
Monday so that the talks can move along quickly.
Cameron is keen to
hold the In/Out referendum on the U.K.’s membership of the EU in
June. In order to do that he would need an agreement on EU reforms by
February or March.
“What we got from
the December Council is that Cameron wants us to go as fast as
possible and it’s in the interest of the Union to do that,” said
the EU diplomat. “If they want to meet a February deadline it’s
important to have a strong text.” The diplomat added that the plan
was to remove as many brackets as possible from the text, as they are
seen as weakening the demands.
The devil is in the
details
As the deadline for
Tusk to distribute the text draws near, the focus has been on the
migration issue and filling in some of the details of the other three
areas of reform, according to the source who is close to the
negotiations.
To appease Cameron
on national sovereignty, the text will call for votes in national
parliaments to be strengthened using a flag system. National capitals
could wave a green flag to propose an initiative, a yellow flag to
ask for an amendment, or a red flag to stop a discussion. The fine
print is still being worked on.
Another Cameron
demand, clarifying the meaning of the phrase “ever closer union”
in the Lisbon Treaty, has been dubbed merely “a drafting matter”
by officials involved in the negotiations, to make it clear that the
phrase does not have to apply to all member countries and is not a
legal formula for further integration.
To address Cameron’s
concern about the rights of EU countries that are not members of the
eurozone, various principles spelling out their rights will be
drafted, according to two sources close to the negotiations.
These include:
non-euro members will not be discriminated against in decision
making; the single market will be preserved even if there is further
eurozone integration; national competence will be ensured;
non-eurozone countries will not pay for operations involving the
common currency; banking union rules will not apply to non-eurozone
countries.
“We would need to
have a solution which clarifies and concerns the roles of the
eurozone ‘Ins’ making decisions on behalf of the others,” said
another EU diplomat.
Spokespeople for the
Commission did not respond to a request for comment.
Brexit crunch time
After Tusk presents
the draft early next week, sherpas from each member country will
finesse the draft over two meetings in the next two weeks in
preparation for the Council meeting.
Ivan Rogers, the
U.K.’s ambassador to the EU, will on Tuesday brief MEPs from the
largest political grouping, the European People’s Party, on the
British reform proposals.
Cameron’s sherpa,
Tom Scholar, will continue shuttling back and forth between London
and Brussels in the run up to the Council, the source said.
Authors:
Tara Palmeri
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