Tag Archives: UKIP

United Kingdom

What to make of Cameron’s night of the long knives

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It wasn’t a surprise that British prime minister David Cameron sacked Kenneth Clarke, the one-time self-proclaimed ‘big beast’ of the Conservative Party from government. United Kingdom Flag Icon

At age 74, the pro-Europe former chancellor, who began his ministerial career in Edward Heath’s government of the early 1970s, had already been demoted once from justice secretary, his progressive ideas for penal reform and lighter sentencing guidelines  thwarted by the Tory right two years ago.

But it was something of a surprise that Cameron sacked so many other high-profile members of his cabinet last night.

Foreign secretary William Hague (pictured above with Queen Elizabeth II), one of the most high-profile Tories inside or outside government will now become the Commons leader. Hague, once a strident eurosceptic, was elected leader of the Conservative Party in the aftermath of Tony Blair’s massive victory in 1997. He stepped down in 2001 after his failed campaign to return the Tories to power. Though just 53 years old, Hague also announced he would also leave office at the 2015 elections, cutting short what’s been a solid career, if not one that might have elevated Hague to the premiership under different conditions.

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His replacement is defence secretary Philip Hammond, another Conservative firebrand, who has ably worked with chancellor George Osborne to reign in spending while the United Kingdom has reduced its role in the US-led occupation in Afghanistan. Hammond, who served as Osborne’s deputy in opposition, comes from the right wing of the party, however, having opposed Cameron’s push to legalize same-sex marriage last year. He’s not known as a particularly charismatic figure, and he’ll have a hard time shaking the notion that he’s No. 11’s man at the foreign office. 

Having argued that the United Kingdom should leave the European Union without significant, additional British carve-outs, Hammond will now be tasked with salvaging the UK-EU relationship.

But the knives went longer and deeper still — David Willetts, the minister for universities and science, nicknamed ‘Two Brains’ and deemed one of the cabinet’s most thoughtful members; David Gove, the combatively conservative and stridently eurosceptic education minister; Dominic Grieve, the attorney general; Owen Patterson, the environmental secretary.

The semi-official word is that Cameron’s reshuffle represents an effort to put his cabinet and his government on footing to wage next May’s general elections, with a particular focus on elevating the number of women and younger Tories to higher positions.

To borrow a phrase from former US president Bill Clinton, a ‘cabinet that looks like Britain.’

Continue reading What to make of Cameron’s night of the long knives →

European Union

It won’t necessarily take much to block Juncker in Council vote

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David Cameron and Angela Merkel

One fact that’s becoming increasingly clear in the current tussle over electing a new president of the European Commission is that the eventual candidate must win a qualified majority on the European Council, as well as an absolute majority in the European Parliament. European_Union

Though the rules for qualified majority voting on the Council are greatly simplified under the Treaty of Lisbon, it’s worth noting that those rules don’t take effect until November 2014.

That means that the old rules, under the Treaty of Nice, will be in effect during the current fight this summer over whether former Luxembourg prime minister Jean-Claude Juncker, the candidate of the European People’s Party (EPP), can become the next Commission president.

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RELATED: Here come the Spitzenkandidaten! But does anybody care?

RELATED: The mother-of-all-battles over
European integration has begun

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With the current president of the Council, Herman Van Rompuy, currently taking the lead on the process, the Council will submit a formal proposal for Commission president during its next official summit on June 26 and 27.

That explains why the focus of the fight over Juncker has moved from the Parliament to a fight between German chancellor Angela Merkel and British prime minister David Cameron (pictured above, last week, left, with Swedish prime minister Frederik Reinfeldt and Dutch prime minister Mark Rutte).

Under the Lisbon rules, qualified majority voting means that a proposal under consideration by the Council must meet three requirements:

  • a majority of countries within the European Union (15 out of 28 countries);
  • a supermajority (74%) of countries according to a formula of voting weights; and
  • a supermajority of countries representing  at least 62% of the EU-wide population.

The trickiest hurdle is meeting the 74% hurdle. The system assigns weights, roughly corresponding to population, to each country, with a maximum of 29 for each of Germany, France, the United Kingdom and Italy, and a minimum of three for the smallest member, Malta. With a total of 352 weighted votes after Croatia’s July 2013 EU accession, that means Juncker must win at least 260 weighted votes. Conversely, it means that a minority consisting of 93 weighted votes can block Juncker.

Cameron is committed to opposing Juncker.

Hungarian prime minister Viktor Orbán, who belongs to the EPP, has also opposed Juncker in retribution for Luxembourg’s outspoken role on the Commission in the past five years attacking Orbán’s questionable respect for democratic norms and press freedom in Hungary.

Reinfeldt, the Swedish prime minister, has also voiced doubts about Juncker’s candidacy, even though he also belongs to the EPP. If Juncker fails to pass muster in the Council, Reinfeldt himself has been mentioned as a compromise candidate, given the likelihood that his center-right Moderata samlingspartiet (Moderate Party) is expected to lose national elections in September.

Rutte, the Dutch prime minister, has joined Reinfeldt in his hesitation over Juncker. Rutte, like Cameron and Reinfeldt, is generally a Merkel ally on European economic policy and the need for trimming national budgets, but he belongs to the Alliance of Liberals and Democrats in Europe (ALDE), the third-largest European parliamentary bloc.

If Sweden (10 weighted votes) and The Netherlands (13 votes) join Hungary (12 votes) and the United Kingdom (29 votes), Cameron will have 64 votes to block Juncker — and he’ll need just 29 more votes to do so.

Those votes could come from Italy, where prime minister Matteo Renzi has demanded a more flexible interpretation of EU budget rules and a greater emphasis on economic growth stimulation (instead of austerity) in exchange for backing Juncker. A deal seemed imminent earlier this week, though Renzi hasn’t yet declared either support or opposition for Juncker.

Right now, the momentum seems to be with Merkel and Juncker, and flowing away from Cameron. Either Rutte or Reinfeldt could back down from their criticisms. Furthermore, Renzi might be wary of alienating Merkel just four months into his premiership and days before Italy assumes the six-month rotating Council presidency. But Cameron, who has suggested Denmark’s social democratic prime minister Helle Thorning-Schmidt as an alternative Commission president, might yet persuade Renzi to join him for at least one shot at obtaining a more reformist Commission president than Juncker.

It’s worth noting that French president François Hollande, like Renzi, would like to see a greater emphasis on growth at the European level, and he hasn’t firmly indicated that he’ll support Juncker, either.

Continue reading It won’t necessarily take much to block Juncker in Council vote →

United Kingdom

Why Clegg should step down as LibDem leader

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Though he may well survive his party’s horrendous defeat in Sunday’s European elections, Nick Clegg’s decision to cling to the leadership of the Liberal Democrat will almost certainly doom it to equally damaging losses in the May 2015 British general election. United Kingdom Flag Icon

Appearing weary in a television interview after his party lost 10 of its previous 11 seats in the European Parliament, Clegg (pictured above) defied calls yesterday from both inside and outside his party to step down as leader.

It’s axiomatic that junior coalition partners tend to suffer in elections. The Freie Demokratische Partei (FDP, Free Democratic Party), which joined German chancellor Angela Merkel in government between 2009 and 2013, lost all of its seats in the Bundestag, the lower house of the German parliament, for the first time since World War II in last September’s federal elections. It, too, suffered on Sunday, losing all but three of its previous 12 MEPs in Sunday’s election as well. 

In Ireland, the center-left Labour Party, the junior partner in a government led by center-right Fine Gael, lost all three of its MEPs and won just 5.3% of the vote. Its seven-year leader, Eamon Gilmore, who has served as Ireland’s Tánaiste, its deputy prime minister, and foreign affairs minister, since 2011, resigned on Monday, taking responsibility for Labour’s horrendous showing. 

Gilmore’s example makes Clegg’s position even more awkward.

Paddy Ashdown, a member of the House of Lords, and the party’s leader between 1988 and 1999, defended Clegg, as did former leader Sir Menzies Campbell. But private polls, leaked to the press, show that Clegg’s Liberal Democrats are headed for an equally jarring defeat in 12 months, and that Clegg himself could even lose his seat.

Clegg is widely viewed as having lost a series of debates with the leader of the United Kingdom Independence Party, Nigel Farage, who led UKIP to a stunning victory on Sunday, winning 27.5% of the vote and 24 seats in the European Parliament:

UK

Farage credited his victory, in part, to the debates with Clegg, though he crowed on Monday that Clegg’s position as leader is untenable, and that he would be ‘surprised’ if Clegg leads the LibDems into the next election.

To Clegg’s credit, neither Conservative prime minister David Cameron nor Labour leader Ed Miliband were willing to debate Farage by strongly defending European integration and the continued British role in the European Union. Former Labour prime minister Tony Blair noted Clegg’s integrity yesterday for doing so, while accurately highlighting the more fundamental problem for the LibDems heading into election season:

Blair praised the way in which Nick Clegg had shown leadership in confronting the anti-EU mood in the country. “To be fair to Nick Clegg – I don’t want to damage him by saying this – over the past few years he has shown a quite a lot of leadership and courage as a leader.

“The problem for the Lib Dems is nothing to do with Europe. The problem they have is very simple: they fought the 2010 election on a platform quite significantly to the left of the Labour party and ended up in a Conservative government with a platform that is significantly to the right of Labour.

Partly in response to UKIP’s rise, David Cameron agreed last year that, if reelected, he will hold a referendum on British EU membership in 2017. Continue reading Why Clegg should step down as LibDem leader →

European Union, United States

The US perspective on the European parliamentary elections

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I sat down with Brian Beary from Europolitics late Sunday night to discuss the results of the European parliamentary elections, with a particular focus on the US perspective. USflagEuropean_Union

The link is here (unfortunately, subscription only), but here’s one excerpt:

Is there a US equivalent to the Eurosceptics that did so well in the European elections?

In a formal sense, it is a peculiarly European thing. There are no parties in the US that are saying ‘we need to pull out of the United States’. The one thing they do share is that politicians in the US, for at least two generations now, in every election run against Washington. And in Europe, whether it is the hard Euroscepticism of groups like UKIP or Front National, or the soft Euroscepticism of certain members of the British Labour Party, or Silvio Berlusconi, there is an anti-Brussels-ness that reminds me of the way US politicians campaign against Washington.

Though many commentators and academics like to refer to the European Union today as a kind of ‘United States of Europe,’ especially during the EU’s ill-fated constitutional debate in 2004 and 2005, I argued that the European Union today more closely resembles the confederation of US states that existed under the 1781 Articles of Confederation.

Most US headlines in the lead-up to the European elections have concerned Ukraine and the ongoing security crisis and showdown with Russia that’s caused a regeneration of interest in transatlantic security, NATO’s role and additional follow-on issues,  such as the potential US export of liquified natural gas to Europe. In the aftermath of the European elections, US headlines are focusing on the rise of eurosceptic parties like Nigel Farage’s UK Independence Party and Marine Le Pen’s Front national in France.

In both cases, that’s understandable — and both topics are incredibly important. The real issues where the European Parliament will have the most impact in the next fiver years, however, are somewhat less sexy, but they should be on the radar of US policymakers and investors in the years ahead: Continue reading The US perspective on the European parliamentary elections →

European Union, France, Germany, Italy, Spain, United Kingdom

A detailed look at the European parliamentary election results (part 1)

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We now have most of the results from across Europe in the 28-state elections to elect all 751 members of the European Parliament.European_Union

At the European level,  the center-right, Christian democratic European People’s Party (EPP) emerged with about 25 more seats than the center-left, social democratic Party of European Socialists (PES).

That immediately gives former the EPP’s candidate for the presidency of the European Commission, former Luxembourgish prime minister Jean-Claude Juncker, a boost in his efforts to actually become the Commission president. But it’s still far from automatic, despite Juncker’s aggressive posture at a press conference Sunday evening:

“I feel fully entitled to become the next president of the European Commission,” Juncker, a former Luxembourg prime minister, told supporters late yesterday in Brussels after the release of preliminary results. Premier for 18 years until he was voted out of office in December, Juncker also gained recognition in his dual role as head of the group of euro-area finance ministers during the debt crisis.

Juncker (pictured above) still must to convince the European Council to propose him as Commission president, and he’ll still need to win over enough right-wing or center-left allies to win a majority vote in the European Parliament.

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RELATED: Here come the Spitzenkandidaten! But does anybody care?

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That process, which could feature a major battle between the European Council and the European Parliament, will unfold in the days, weeks and possibly months ahead.

But what do the results mean across Europe in each country? Here’s a look at how the European elections are reverberating across the continent.  Continue reading A detailed look at the European parliamentary election results (part 1) →

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A rogues’ gallery of the EU’s top 13 eurosceptic parties

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skepticismAs voters in 28 European countries prepare to head to the polls, beginning on May 22 and running through May 25, no one knows whether Europe’s center-left or center-right will win more seats, and no one knows who will ultimately become the next president of the European Commission.European_Union

But the one thing upon which almost everyone agrees is that Europe’s various eurosceptic parties are set for a huge victory — not enough seats to determine the outcomes of EU legislation and policymaker, perhaps, but enough to form a strong, if disunited, bloc of relatively anti-federalist voices. Voters, chiefly in the United Kingdom, France and Italy, are set to cast strong protest votes that could elect more than 100 eurosceptic MEPs.

In some countries, such as Spain, euroscepticism is still a limited force — the center-left opposition Partido Socialista Obrero Español (PSOE, Spanish Socialist Workers’ Party) is tied for the lead with the governing center-right Partido Popular (the PP, or the People’s Party) of prime minister Mariano Rajoy. But Spain is quickly becoming an outlier as eurosceptic parties are springing up in places where unionist sentiment once ran strong.

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RELATED: In Depth: European parliamentary elections
RELATED: The European parliamentary elections are really four contests

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Of course, not all eurosceptics are created equally. Some anti-Europe parties have been around for decades, while others weren’t even in existence at the time of the last elections in 2009. Some are virulently xenophobic, far-right or even neo-Nazi in their outlooks, while others are cognizably on the more mainstream conservative / leftist ideological spectrum. Some seek nothing short of their country’s withdrawal from the European Union altogether, while others seek greater controls on immigration. Some are even pro-Europe in the abstract, but oppose eurozone membership. That’s one of the reasons why eurosceptics have had so much trouble uniting across national lines — the mildest eurosceptic parties abhor the xenophobes, for example.

If everyone acknowledges that eurosceptic parties will do well when the votes are all counted on Sunday, no one knows whether that represents a peak of anti-Europe support, given the still tepid economy and high unemployment across the eurozone, or whether it’s part of a trend that will continue to grow in 2019 and 2024.

With 100 seats or so in the European Parliament, eurosceptics can’t cause very many problems. They can make noise, and they stage protests, but they won’t hold up the EU parliamentary agenda. With 200 or even 250 seats, though, they could cause real damage. There’s no rule that says that eurosceptics can’t one day win the largest block of EP seats, especially so long as most European voters ignore Europe-wide elections or treat them as an opportunity to protest unpopular national government.

For now, though, they’re all bound to cause plenty of trouble for their more mainstream rivals at the national level, and in at least five countries, they could wind up with the largest share of the vote. So it’s still worth paying attention to them.

Without further ado, here are the top 13 eurosceptic parties to keep an eye on as the results are announced on Sunday:

Continue reading A rogues’ gallery of the EU’s top 13 eurosceptic parties →

European Union, United Kingdom

UKIP’s Farage is winning the British debate on Europe

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It’s not hard, watching the two debates over future British membership in the European Union, to see why Nigel Farage, the leader of the euroskeptic United Kingdom Independence Party (UKIP), is such a successful politician.United Kingdom Flag IconEuropean_Union

In the last of two debates with deputy prime minister Nick Clegg, the leader of the Liberal Democrats, Farage asked voters in his closing remarks to ‘join the people’s army and topple the establishment that got us into this mess.’

British viewers apparently agree — in an instant Guardian poll following the debate, they believed that Farage won the debate by a margin of 69% to 31%. The debate precedes the May 22 elections to determine the United Kingdom’s 73 members in the European Parliament.

If former prime minister Margaret Thatcher was the British answer to US president Ronald Reagan, Farage (pictured above) is its answer to Newt Gingrich in his ability to lead an anti-establishment political revolution. In the same way that Thatcher reshaped the Conservative Party in the anti-government, pro-market mould of the US-style conservatism, Farage is reshaping the way that Britons conceive the debate over EU membership, just as Gingrich rewired the nature of political debate in the United States — by attacking the consensus of a longstanding political elite through a simple, compelling message that scrambles the traditional lines between left and right.

Farage is doing to ‘Brussels’ exactly what Gingrich did to ‘Washington.’

Farage’s performance has been so smooth, it’s tantalizing to wonder just how well he might do in a four-way televised debate in the campaign for the May 2015 parliamentary elections alongside not only Clegg, but also Conservative prime minister David Cameron, and Labour Party leader Ed Miliband — or how effective Farage might be leading the ‘no’ campaign in the pending 2017 EU membership referendum, a vote that Cameron was forced to promise to hold (if reelected next year) largely as a result of UKIP’s rise in popularity over the past two years.

Here are just three examples from Wednesday’s debate that show just how effective Farage can be — he manages to argue against EU membership as a champion of greater globalization, of protecting minorities and the working class, and of greater world peace.

You don’t have to buy what Farage is peddling in order to acknowledge that he’s devastatingly effective in framing the UK-EU debate in uniquely new and powerful ways.

It’s no longer an academic point.

A March 26-27 YouGov poll for The Sun shows a three-way race in the European elections: Labour wins 28%, UKIP wins 26% and the Tories win 24%, leaving the LibDems far behind at 11%. Nearly one in two Conservative voters from 2010, and nearly one in five Labour voters, plans to back UKIP. Among the most likely to vote, UKIP leads with 30%.

Continue reading UKIP’s Farage is winning the British debate on Europe →

European Union, France, The Netherlands

Le Pen v. Wilders: a tale of two far-right European movements

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The big story from Sunday’s municipal elections in France is the success of Marine Le Pen’s far-right Front national (FN, National Front), overshadowing the marquee Paris mayoral election.France Flag IconNetherlands Flag IconEuropean_Union

The far-right won the mayoral race in Hénin-Beaumont, a former mining town in the north, in a rare first-round victory, the FN came in second in Marseille, France’s second-largest city, and it led in at least six other locations as France prepares for second-round runoffs on March 30.

The result should certainly boost Le Pen in her efforts to win  support in European parliamentary elections in May — and to unite the populist hard right across the continent.

According to preliminary results, the Front national won just 4.65% of the national vote. That’s a big deal because the party was running in just 597 of around 37,000 jurisdictions — it’s a massive increase from the 2008 municipal results, when the FN won around 1% and ran in just 119 constituencies. 

The other narrative from Sunday’s vote is the collapse of France’s center-left — president François Hollande’s Parti socialiste (PS, Socialist Party) won 37.74% nationally, while the center-right Union pour un mouvement populaire (UMP, Union for a popular movement) of former president Nicolas Sarkozy won 46.54% nationally. The bright spot for the Socialists remains Paris, where first deputy mayor Anne Hidalgo is the slight favorite to win a runoff against former Sarkozy campaign spokesperson and ecology minister Nathalie Kosciusko-Morizet — but don’t rule out an upset next Sunday there, either.

The success in the 2014 municipal elections is just the latest chapter for Le Pen’s rebranding of the Front national in France as a slightly more moderate alternative than the party her father, Jean-Marie Le Pen, led for decades. It’s harder today to target the Front national as a xenophobic, anti-Semitic fringe, because Le Pen has focused on an agenda much heavier on euroskepticism and economic nationalism. While the Front national isn’t exactly immigrant-friendly, its position has largely converged with the UMP’s position since the Sarkozy presidency, which embraced hard-right positions on immigration and law-and-order issues. By shifting rightward, Sarkozy may have sidelined Le Pen during his presidency and co-opted her supporters, but today, Sarkozy is almost as responsible as Le Pen for bringing the Front national within the political mainstream.

With the line blurring between the UMP and the Front national, Le Pen could become the chief voice of the French right in 2017, especially if the UMP succumbs to more infighting between its right-wing leader Jean-François Copé and the more moderate former prime minister François Fillon. The next presidential election is still a long way off, but if Sarkozy doesn’t run for the presidency in 2017, Le Pen stands just as much chance as Copé, Fillon or any other UMP figure of representing the French right in the second round.

More immediately troubling for France’s political elite are the European parliamentary elections in May. Despite its breakthrough performance on Sunday, the Front national isn’t about to overrun the city halls of France. Its victory is more symbolic than substantive. But if it’s one thing to turn over your local government to Marine Le Pen, it’s a far different thing to support the Front national as a protest vote with respect to European Union policy.

Polls show that the Front national and the UMP are competing for first place in the European elections within France — the most recent Opinion Way poll from early March shows the UMP winning  22%, the FN winning 21% and the Socialists just 17%. It wouldn’t be surprising to see a wave of undecided voters support the Front national at the last moment, nor would it be a surprise to learn that polling surveys currently underestimate FN support.

Extremists on both the far left and the far right are gaining strength throughout the entire European Union. That’s perhaps understandable, given the harsh economic conditions that have plagued Europe since the last EU-wide elections in 2009. But the euroskeptic right, in particular, seems poised for a breakthrough. Nigel Farage hopes to lead the anti-EU United Kingdom Independence Party to a breakthrough performance in May, and the Freiheitliche Partei Österreichs (FPÖ, the Freedom Party of Austria) is tied for first place in polls in Austria.

But just as Le Pen hits her stride, another standard-bearer of the hard right, Geert Wilders, found himself in free fall last week after pledging to allow fewer Moroccans into the Netherlands, remarks that have launched a cascade of criticism and a handful of defections from his party: Continue reading Le Pen v. Wilders: a tale of two far-right European movements →

United Kingdom

Miliband’s EU hedge makes a disastrous referendum more likely

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edmiliLabour leader Ed Miliband announced yesterday that, if elected prime minister after next year’s general election, he would not hold a referendum on the United Kingdom’s continued (now 41-year) membership on the European Union.United Kingdom Flag Icon

At first glance, it sounds like exactly the type of pledge that plenty of pro-European British constituencies, including much of the business community, would applaud — eliminating the uncertainty of the United Kingdom’s future within the European Union that features prominently in the current government’s referendum promise.

It’s hard to see what Miliband has to gain politically or strategically with his new pronouncement on a future EU referendum, a essentially in reaction to Cameron’s position from last year.  It will satisfy neither pro-European nor anti-European voices, allows Cameron to bill himself as a champion of democratic choice, adds additional uncertainty (especially with the likelihood of a new Berlin-led EU treaty effort in the years ahead), and locks Miliband into what could be incredibly short-sighted  policy.

Most of all, it shows why so many Brits, including plenty of Labour supporters, fear that Miliband doesn’t have the skills to make it to 10 Downing Street. Continue reading Miliband’s EU hedge makes a disastrous referendum more likely →

Switzerland

Swiss immigration vote threatens access to EU single market

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2007SVPAn infamous campaign poster from the 2007 Swiss election that depicts a flock of white sheep inside Switzerland, with one kicking a black sheep outside — the implication being that the right-wing Swiss People’s Party (SVP, Schweizerische Volkspartei in German; UDC, Union démocratique du centre in French) would tighten immigration policies to keep out migrants and perhaps reverse the trend of greater immigration to Switzerland in recent years.  Critics pointed out the nastier racist undertones of the poster.swiss

It’s that advertisement that I had in mind today as Swiss voters elected by a narrow 50.3%-to-49.7% margin to adopt an initiative ‘against mass immigration’ that would introduce quotas to Swiss immigration, despite the wishes of the Swiss government and Swiss business interests and the warnings of top EU officials.  The result threatens the existing treaties between Switzerland and the European Union that guarantee the free movement of persons, one of the four ‘core’ EU freedoms.

It’s a significant victory for the SVP, which has emerged as a major force in Swiss politics through its forceful advocacy of a nationalist, conservative agenda to restrict immigration and oppose greater EU integration.

The result means that the Swiss government now has three years either to renegotiate or revoke the bilateral agreement finalized in 2002 with the European Union over free movement of persons.  That treaty is part of a larger package that provided Switzerland access to the EU single market in exchange for enacting certain aspects of EU policy, and it’s part of a wider process that has more closely integrated Switzerland with the European Union over the past decade.  The country’s historic independence means that it’s never seriously pursued EU membership — Switzerland joined the United Nations only in 2002, after all.   Continue reading Swiss immigration vote threatens access to EU single market →

14 in 14, European Union

14 in 2014: European Union parliamentary elections

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9. European Union parliamentary elections, May 22-25.European_Union

If for no other reason, the upcoming elections for the European Parliament will be the most important since direct EP elections began in 1979 because under the new Lisbon Treaty, it will be the European Parliament that decides who will become the next chair of the European Commission, the chief executive organ of the European Union (though German chancellor Angela Merkel has argued that the treaty’s language indicates that the Commission appointment need only ‘take into account’ the EP elections).  In any event, it still means that early in 2014, each of the major cross-national party groupings within the European Parliament will designate their nominees to succeed José Manuel Barroso, the former center-right Portuguese prime minister who will step down in November 2014 after a decade heading the Commission.

The eight European Parliament will have 751 members, over 56% of whom will come from just six member-states: Germany (96), France (74), the United Kingdom (73), Italy (73), Spain (54) and Poland (51).  Four states, Estonia, Malta, Luxembourg and Cyprus, will elect the minimum number of representatives (six).

Between 1979 and 1999, the Party of European Socialists (PES) and its predecessor was the largest group in the European Parliament.  Its members include the major center-left socialist/social democratic parties of Austria, the Czech Republic, Denmark, France, Germany, Portugal, Spain and Sweden, and the labour parties of Ireland, Malta, The Netherlands and the United Kingdom.

Since 1999, however, the European People’s Party (EPP), a group of center-right and Christian democratic parties, have held the largest number of seats.  In the most recent 2009 elections, the EPP won 265 seats to just 183 for the PES.  The EPP’s members include the major Christian democratic parties in Benelux, the Austrian People’s Party, the French UMP, Germany’s Christian Democratic Union Greece’s New Democracy, Hungary’s Fidesz, Ireland’s centrist Fine Gael, Italy’s Forza Italia, Portugal’s Social Democratic Party, Poland’s Civic Platform, Spain’s People’s Party and Sweden’s Moderate Party.

The third-largest group, the Alliance of Liberals and Democrats for Europe Party (ALDE), contains includes most of Europe’s liberal parties, notably Belgium’s Open VLD, the Danish Venestre, Luxembourg’s newly elected Liberals, the Dutch VVD, the British Liberal Democrats, and Ireland’s Fianna Fáil.

Other groups include:

  • the European Green Party (which includes essentially all of Europe’s green and ecological parties),
  • the Party of the European Left (whose members include the German Die Linke and Greece’s SYRIZA),
  • the slightly eurosceptic Alliance of European Conservatives and Reformists (whose members include the Czech Civic Democrats, the UK Conservatives and Poland’s Law and Justice Party),
  • the Movement for a Europe of Liberties and Democracy, formed in 2009 as another slightly euroskeptic group (whose members includes Italy’s Northern League, the Danish People’s Party and the Finns Party), and
  • the European Alliance for Freedom, formed in 2010 as a staunchly euroskeptic, far-right group (whose members include the French National Front, the Dutch Party of Freedom, the Flemish Vlaams Belang and Austria’s Freedom Party).

Although the EPP won’t determine its candidate for Commission president until a convention on March 6-7 and ALDE won’t determine its candidate until February 1, the PES has already nominated Martin Schulz, a member of Germany’s Social Democratic Party and president of the European Parliament since 2012. Polish prime minister Donald Tusk, Luxembourg’s Viviane Reding, the Commission’s vice president and current commissioner for justice, former Luxembourgish prime minister and Eurogroup chair Jean-Claude Juncker, former Latvian prime minister Valdis Dombrovskis, Lithuanian president Dalia Grybauskaitė, Swedish prime minister Frederik Reinfeldt and IMF managing director Christine Lagarde of France have all been touted as possible EPP candidates.  ALDE will choose between former Belgian prime minister Guy Verhofstadt and Finland’s Olli Rehn, currently commissioner for economic and monetary affairs.

Herman Van Rompuy, former Belgian prime minister and the first president of the European Council, the council of European heads of state/government, will also step down at the end of 2014 after two 2.5-year terms in that position.   The first EU high representative for foreign affairs and security policy, Catherine Ashton of the United Kingdom, is also likely to step down.

Given the tumult of the eurozone sovereign debt crisis, almost everyone expects that European voters may use the elections as an opportunity to register dissatisfaction with the direction of European governance.  In particular, that could bode well for the stridently leftist MEP candidates — most notably in Greece, where SYRIZA (the Coalition of the Radical Left — Συνασπισμός Ριζοσπαστικής Αριστεράς) of Alexis Tsipras leads EP polls.  It could also bode well for euroskeptic candidates — most notably in the United Kingdom, where Nigel Farage (pictured above) and his anti-EU United Kingdom Independence Party (UKIP) is competing for first place with the Conservative Party and the Labour Party in EP polls, and in France, where Marine Le Pen’s nationalist Front National (FN, National Front) leads EP polls.

Photo credit to Lucas Schifes.

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Scotland, United Kingdom

A tale of two referenda: How the EU debate could poison the Scotland debate

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In a static world, it’s easy to believe that UK prime minister David Cameron’s call in January 2013 for a referendum on the United Kingdom’s continued membership in the European Union will never come to pass — it depends upon the reelection of a Conservative-led in the 2015 general election, Cameron’s continued Tory leadership and a lengthy process of negotiation thereafter with EU leaders. United Kingdom Flag Iconscotland

So when Cameron agreed with Scottish first minister Alex Salmond two months later to hold a referendum on Scottish independence in September 2014, he had every reason to believe that he had bought enough time to keep the European issue relatively calm.  After all, poll after poll shows the pro-independence vote lagging far behind the anti-independence vote and, despite a relatively large number of undecided Scottish voters, many polls throughout 2012 and early 2013 showed the ‘no’ vote with over 50% support.  One Ipsos poll earlier this month showed that 59% support union and just 31% support independence.

But what’s increasingly clear is that the two referenda are becoming inseparable — Scotland’s future role in the United Kingdom depends on the United Kingdom’s future role in Europe.  With Westminster now increasingly turning to its toxic obsession with its union with Europe, a group of largely English parliamentarians may well be endangering the more longstanding three-century union with Scotland.

It’s easy to follow Cameron’s arithmetic here:  Allow the United Kingdom Independence Party (UKIP) and the more euroskeptic members of his own party their opportunity for an anti-Europe outlet in the May 2014 European Parliament elections.  Then sail through the September 2014 Scottish referendum with both the Labour Party and the Liberal Democratic Party united against Scottish independence, maybe even by promising ‘devomax,’ a form of further devolution of tax and spending powers to the Scottish parliament that came into existence in 1999.  Cameron could therefore put the specter of Scottish independence behind him before looking to the next general election and, if successfully reelected, the EU negotiations that would precede the long-promised EU referendum.

What Cameron didn’t count on was the growing chorus of euroskeptic rage from within his own party, which seems destined to repeat the Tory infighting of the 1990s that so destabilized former prime minister John Major’s government  Education minister Michael Gove’s insisted last week, for example, that he would support leaving the European Union if a vote were held immediately.  Over 100 Tory backbenchers are calling for a law to guarantee a referendum later this decade or even for a referendum before 2015, and one Tory MP is even arguing for a full joint Tory/UKIP electoral coalition in 2015.  Some Tories are even trying to look beyond Cameron to a more Euroskeptic leader, perhaps even Gove.  It comes at a time when UK voters insist in poll after poll that they would overwhelmingly vote to leave the European Union in a referendum.

UKIP’s rise hasn’t helped, and Nigel Farage’s insistence at contesting a Scottish by-election led to the somewhat humorous result of his being chased out of a pub in Edinburgh last week (pictured above).  Though it’s a safe bet that Farage and UKIP won’t make many inroads in Scotland, it’s hard to see how his active presence in Scotland could do anything but make things worse for unionist supporters.  His party is currently polling as much as 20% in national polls, outpacing the Liberal Democrats and, in some cases, pulling to within single digits of the Conservatives (giving Labour a sizable lead).  Even if Labour wins in 2015, if UKIP wins the support of one out of every five UK voters, it will pull not only the Tories, but probably even Labour, further toward euroskepticism and eventual rupture with Europe.  Continue reading A tale of two referenda: How the EU debate could poison the Scotland debate →

Bulgaria, Cyprus, European Union, France, Germany, Greece, Italy, Spain, United Kingdom

What Iceland’s election tells us about post-crisis European politics

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Iceland was supposed to be different.Iceland Flag IconEuropean_Union

In allowing its banks to fail, neo-Keynesian economists have argued, Iceland avoided the fate of Ireland, which nationalized its banks and now faces a future with a very large public debt.  By devaluing its currency, the krónur, Iceland avoided the fate of countries like Estonia and others in southern Europe trapped in the eurozone and a one-size-fits all monetary policy, allowing for a rapid return to economic growth and rapidly falling unemployment.  Neoclassical economists counter that Iceland’s currency controls mean that it’s still essentially shut out from foreign investment, and the accompanying inflation has eroded many of the gains of Iceland’s return to GDP growth and, besides, Iceland’s households are still struggling under mortgage and other debt instruments that are linked to inflation or denominated in foreign currencies.

But Iceland’s weekend parliamentary election shows that both schools of economic thought are right.

Elections are rarely won on the slogan, ‘it could have been worse.’ Just ask U.S. president Barack Obama, whose efforts to implement $800 billion in stimulus programs in his first term in office went barely mentioned in his 2012 reelection campaign.

Iceland, as it turns out, is hardly so different at all — and it’s now virtually a case study in an electoral pattern that’s become increasingly pronounced in Europe that began when the 2008 global financial crisis took hold, through the 2010 sovereign debt crisis in the eurozone and through the current European-wide recession that’s seen unemployment rise to the sharpest levels in decades.

Call it the European three-step.

In the first step, a center-right government, like the one led by Sjálfstæðisflokkurinn (Independence Party) in Iceland in 2008, took the blame for the initial crisis.

In the second step, a center-left government, like the one led by Jóhanna Sigurðardóttir and the Samfylkingin (Social Democratic Alliance) in Iceland, replaced it, only to find that it would be forced to implement harsh austerity measures, including budget cuts, tax increases and, in Iceland’s case, even more extreme measures, such as currency controls and inflation-inducing devaluations.  That leads to further voter disenchantment, now with the center-left.

The third step is the return of the initial center-right party (or parties) to power, as the Independence Party and their traditional allies, the Framsóknarflokkurinn (Progressive Party) will do following Iceland’s latest election, at the expense of the more newly discredited center-left.  In addition, with both the mainstream center-left and center-right now associated with economic pain, there’s increasing support for new parties, some of them merely protest vehicles and others sometimes more radical, on both the left and the right.  In Iceland, that means that two new parties, Björt framtíð (Bright Future) and the Píratar (Pirate Party of Iceland) will now hold one-seventh of the seats in Iceland’s Alþingi.

This is essentially what happened last year in Greece, too.  Greece Flag IconIn the first step, Kostas Karamanlis and the center-right New Democracy (Νέα Δημοκρατία) initially took the blame for the initial financial crisis.  In the second step, George Papandreou and the center-left PASOK (Panhellenic Socialist Movement – Πανελλήνιο Σοσιαλιστικό Κίνημα) overwhelming won the October 2009 elections, only to find itself forced to accept a bailout deal with the European Commission, the European Central Bank and the International Monetary Fund.  In the third step, after two grueling rounds of election, Antonis Samaras and New Democracy returned to power in June 2012.

By that time, however, PASOK was so compromised that it was essentially forced into a minor subsidiary role supporting Samaras’s center-right, pro-bailout government.  A more radical leftist force, SYRIZA (the Coalition of the Radical Left — Συνασπισμός Ριζοσπαστικής Αριστεράς), led by the young, charismatic Alexis Tsipras, now vies for the lead routinely in polls, and on the far right, the noxious neo-nazi Golden Dawn (Χρυσή Αυγή) now attracts a small, but significant enough portion of the Greek electorate to put it in third place.

The process seems well under way in other countries, too.  In France, for examFrance Flag Iconple, center-right president Nicolas Sarkozy lost reelection in May 2012 amid great hopes for the incoming Parti socialiste (PS, Socialist Party) administration of François Hollande, but his popularity is sinking to ever lower levels as France trudges through its own austerity, and polls show Sarkozy would now lead Hollande if another presidential election were held today.

It’s not just right-left-right, though. The European three-step comes in a different flavor, too: left-right-left, and you can spot the trend in country after country across Europe — richer and poorer, western and eastern, northern and southern. Continue reading What Iceland’s election tells us about post-crisis European politics →

Scotland, United Kingdom

Scotland sets a referendum date: September 18, 2014

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Scotland’s first minister, Alex Salmond, has set September 18, 2014 as the date for the referendum on potential Scottish independence.United Kingdom Flag Iconscotland

Polls have been relatively consistent, with support for independence at around 30% to 35% and with support for continued union with England at around 50% to 55%.

But the up-or-down vote will come in 18 months, and a lot can obviously change in 18 months, including the popularity of Salmond (pictured above) and his Scottish National Party, which won in 2011 the first majority government since devolution in the late 1990s.

Three quick things to keep an eye on:

Shetland and Orkney.  Shetland and Orkney, the groups of islands to the northeast of Scotland, could well stay within the United Kingdom if Scotland leaves.  That would complicate the Scottish economic rationale for independence, dependent as it is upon North Sea oil revenues.  It’s no surprise then, to see Liberal Democrats encouraging Shetland and Orkney to think of themselves as a unit within the United Kingdom than as just an appendage of Scotland.

Tory incentives. As Liberal Democratic deputy prime minister Nick Clegg has sharply noted, Conservatives do not have an incredible incentive to fight hard to keep Scotland in the United Kingdom, given that they hold one seat.  It’s fair to worry that Tories actually have an electoral incentive to see an independent Scotland — though, because the Scots are just 8.5% of the UK population, it’s not as much as you might think.  Labour prime minister Tony Blair’s massive 12-point 1997 landslide was still a massive 10-point landslide within England proper.  In the 2010 general election, Labour won 28.1% in England and 29.0% nationwide, while the Tories won 39.6% in England and just 36.1% nationwide.  So it’s a boost, but not a gigantic one.

Europe.  Also, there’s some dicey choreography with the European Union too, because as the United Kingdom approaches prime minister David Cameron’s promised 2017 referendum on potentially leaving the EU, the more it could have a negative effect on the Scotland effort.  In fact, even with sluggish growth in the next 18 months, I think the anti-Europe tone in England is the biggest threat to the anti-independent forces in very much pro-Europe Scotland.  If Nigel Farage’s United Kingdom Independence Party (UKIP) continues to make further gains in advance of the 2015 general election, it could well scare some of the pro-union, pro-European Scots toward the independence camp.

Despite what anyone in Brussels or Berlin or London or Edinburgh says, no one thinks that Scottish independence would leave it outside the EU for long.  Given that the Scots have implemented as much of the acquis communautaire as England has, it’s certain that the Scots would align independence with simultaneous Scottish accession to the EU.  That’s a non-issue.

Czech Republic, European Union

Václav Klaus, fresh from Czech presidency, discusses eurozone in Washington

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Just three days after leaving the Czech presidency, Václav Klaus spoke at the Cato Institute in Washington earlier today — Klaus is joining Cato as a senior distinguished fellow this spring.czechEuropean_Union

Klaus, who stepped down after a decade in office, didn’t break much new ground — his remarks were essentially everything you’d expect from the famously euroskpetic former president, who was the last European Union head of state to sign the Treaty of Lisbon (and quite reluctantly, at that).

The great eurozone fight

In brief, Klaus has long argued that the eurozone is not an optimal currency zone, it’s a project that was implemented without sufficient democratic input from everyday Europeans, and the economic costs of monetary integration and centralization far outweigh the benefits, and those costs have become increasingly evident from the economic pain suffered today in Greece, Spain, Italy and throughout Europe.

Klaus’s diagnosis has become fairly uncontroversial — both on the left and the right, and for both intergovernmentalists and neo-functionalists alike.  A lot of European federalists would agree that the European Union needs more robust democratic institutions at the supranational level.  Many economists agree that the one-size-fits-all monetary policy has been incredibly harmful to many countries in southern Europe since 2008, and the painful internal devaluation forced upon many countries in the European periphery, from Latvia to Greece, has been a needless exercise in poor economic policymaking.

But whereas many economists would argue that the solution lies in greater fiscal harmony (especially through fiscal transfers from wealthier regions to poorer regions), looser monetary policy, a eurozone-wide borrowing capacity, debt forgiveness and a doubling-down on the more long-standing commitment to the free movement of goods, services and people throughout the European Union, Klaus’s solution is to unwind the eurozone.

Klaus would rather see a way for Greece — and other troubled economies — to simply exit from a eurozone that’s delivered now nearly half a decade of GDP contraction, painful downward pressure on income, and widespread unemployment and social rupture.

That’s not a crazy idea economically — if Greece could leave the eurozone tomorrow (or if Greece simply went bankrupt, thereby essentially forcing Greece out of the eurozone), it could conceivably pursue a much more aggressive monetary policy, devalue its currency, and take other steps to make its exports more competitive in global markets once it’s no longer yoked to a monetary policy that’s better suited for, say, the German economy.

But that’s not the entire story.  Greece might also suffer extraordinarily in the short-run while it makes that transition — starting with how it would reintroduce the drachma and how it would even finance basic governance outside the current eurozone regime, forcing perhaps even more austere budget-cutting in a country where the social safety net is already tattered.

And those are just the problems inside Greece — though the Greek economy is just a fraction of the European economy, it could set off a chain reaction of fear, bank runs and deep recession throughout the eurozone as investors pull out of not only the peripheral economies, but also out of the entire eurozone.  How would a massive Greek devaluation affect Cyprus? Would Spain and Italy withstand the inevitable bank runs and currency flight? The chain reaction of unraveling one of the world’s foremost reserve currencies could well be catastrophic.

Looking to national parallels: the Czechoslovak breakup and German reunification

Klaus related the current monetary union to the breakup 20 years ago of Czechoslovakia into two separate nations — a process that Klaus said was painful though necessary (though the Slovak economy is doing much better these days than the Czech economy).  But Greeks might be troubled by the more painful example of the breakup of the Yugoslav federation and the Soviet Union, both of which were also monetary unions as well as political unions.  The breakup of the ‘ruble zone’ led to massive hyperinflation throughout the Soviet Union and an economic shock that cut standard of living in half.  There’s simply no way to know what forces could be unleashed by the process — no matter what anyone says, there’s not a precedent for unraveling even a tiny part of the world’s largest currency union in an orderly fashion.

I would have liked to hear, in particular, Klaus’s thoughts on another contemporary experiment in currency union: German reunification.

Continue reading Václav Klaus, fresh from Czech presidency, discusses eurozone in Washington →