Tag Archives: ISDS

Did you hear the one about Labour and the Transatlantic Trade and Investment Partnership?

140115TTIP

Apparently somebody said Labour supported this hugely controversial scheme, and lots of people believed it.

In fact, the claim is doubly false. But first, a bit of background: You need to know that the Transatlantic Trade and Investment Partnership is a ‘free trade’ agreement being negotiated between the European Union and the United States of America. Unfortunately for most of us, the agreement as currently described would end democracy and put us at the mercy of international corporations.

This is because the agreement includes a device called ‘investor-state dispute settlement’ (ISDS), which allows corporate entities to sue governments, overruling domestic courts and the will of Parliaments. You would lose the ability to affect government policy – particularly on the National Health Service; after the Health and Social Care Act, the trade agreement would put every decision relating to its work on a commercial footing. The rights of transnational corporations would become the priority, health would become primarily a trade issue and your personal well-being would be of no consequence whatsoever.

Labour doesn’t want anything to do with an agreement that locks privatisation into the National Health Service, and TTIP – with the ISDS – would do exactly that. So Labour called for the NHS to be exempted from the conditions of the agreement, while remaining in broad support of the negotiations in the belief that the deal promised billions of pounds worth of jobs and economic growth.

The Conservatives and Liberal Democrats are fully behind TTIP and have ruled out any opt-out for the NHS. The Tories in particular see TTIP as an opportunity to lock-in the privatisation changes they have made to the NHS.

That is the situation that most people believe exists today. They are mistaken.

Labour’s National Policy Forum met at Milton Keynes recently, where a new stance towards TTIP was agreed. Members raised the question of other public services, besides the NHS, that a future Labour government might wish to return to public ownership. With the ISDS in its current form, it would be more or less impossible to return the railways, energy firms and water companies to public ownership in the public interest.

So the current policy is as follows (with thanks to @LabourLewis of the LabourLeft blog): “Labour believes that [the] key to an EU-US trade deal that we would encourage the rest of Europe to support, which avoids a race to the bottom and promotes decent jobs and growth, would be safeguards and progress on labour, environmental, and health and safety standards. Labour has raised concerns over the inclusion of an ISDS mechanism in TTIP. Labour believes that the right of governments to legislate for legitimate public policy objectives should be protected effectively in any dispute resolution mechanisms.” [bolding mine]

This is unlikely to be Labour’s final position as many members believe the party should be even more strongly opposed to the agreement in its current form, as these concluding comments from @LabourLewis affirm: “I believe TTIP represents a free market model of the world economy that has failed the vast majority of us. The last 30 years have shown such a model of capitalism increases inequality and insecurity and leads to more frequent financial crashes.

“Simply tinkering on the margins will not be sufficient. A tad more regulation there, a bit more transparency here, a regulation over there, some restraint on executive pay over here.

“It simply won’t wash and a growing number of us, including our leader Ed Miliband, instinctively understand this.”

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Buy Vox Political books so we can continue
bringing you the facts, rather than the fiction!

Health Warning: Government! is now available
in either print or eBook format here:

HWG PrintHWG eBook

The first collection, Strong Words and Hard Times,
is still available in either print or eBook format here:

SWAHTprint SWAHTeBook

Vox Political needs your help!
If you want to support this site
(
but don’t want to give your money to advertisers)
you can make a one-off donation here:

Donate Button with Credit Cards

Cameron has shown that protecting the NHS from corporate rape is the last of his concerns

What a bunch of... bankers: As mentioned in the article, government ministers are happy to spend your money defending bankers' bonuses in the European Union - but when it comes to defending your publicly-funded health service, they haven't squeaked.

What a bunch of… bankers: As mentioned in the article, the government is happy to spend your money defending bankers’ bonuses in the European Union – but when it comes to defending your publicly-funded health service, they haven’t squeaked.

Remember the Transatlantic Trade and Investment Partnership? Also known as TTIP? The proposed agreement between the EU and USA that – in its current form – would lock future UK governments into a legal framework that protects the privatisation of health services in this country?

A part of the agreement called the Investor-State Dispute Settlement would allow any commercial organisation the ability to sue governments that acted in an anti-commercial way such as – for example – re-nationalising health services that the Conservative-led Coalition has sold off to firms in which many government MPs have shady personal financial interests.

David Cameron used to have a cabinet minister responsible for handling negotiations on the TTIP – Kenneth Clarke, the Minister Without Portfolio (aha! Now we know what he was supposed to be doing for a living).

But of course Clarke left the government in the July reshuffle. He gave every indication that he was delighted to be going, which suggests that work on the TTIP was not agreeing with him.

Perhaps it was the weight of all those people campaigning against the locked-in commercialisation of the NHS, in which treatment for particular conditions will depend on whether it is profitable where you live, coupled with the weight of Cameron’s determination to do nothing to prevent it – all obscured by the veil of secrecy that all involved have tried to draw across the negotiations.

Unite’s Len McCluskey told the Huffington Post: “First David Cameron claims there are no exemptions [so the NHS will be included in the deal – we should always remember that is Cameron’s default position], then EU Trade Commission[er] Karel De Gucht suggests that the NHS may have been exempted.

“Now civil servants are sending out statements claiming that the NHS was never in TTIP to begin with. It seems the government simply does not know what the world’s largest bilateral trade deal actually covers.”

Confusion! That’s an excellent way to slip in unwelcome changes – but it would mean the government was admitting its own incompetence.

McCluskey added: “David Cameron can choose to exempt the NHS if he’s prepared to fight for it. He was prepared to go to Europe to defend bankers’ bonuses.”

Good point. Despite the fact that bankers caused the financial crisis and many banks are still in debt, Cameron went to Europe to defend the ridiculously high bonuses they continue to award themselves. Then again, Cameron and his ministers have spent the last five years pretending that the crisis was entirely the fault of the previous Labour government. They must think we are stupid if they think we’ll swallow that – and we must bear that in mind when considering Coalition policy towards the TTIP.

Under the TTIP, a few other British standards will also suffer, according to the HuffPost:

  • We will be forced to accept other countries’ rules. UKIP voters take note that your party supports the TTIP.
  • Bosses will be allowed to reduce wages and hammer labour rights.
  • Food regulations will be weakened to allow banned products – like chlorine-bleached chicken and growth hormones in beef – into the country.
  • The UK could be forced to reverse its ban on asbestos in order to match US standards, leading to an increase in lung cancer and mesothelioma.
  • Private information about you could become public under e-commerce provisions – although it seems the Conservative-led UK government is already determined to publicise as much of your personal information as possible.

Put it all together and you can tell why the Coalition, the EU and the USA all want to keep this squalid deal secret!

The question is: Are you going to let them get away with it?

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Buy Vox Political books and help us
draw attention to attacks on your rights!

Health Warning: Government! is now available
in either print or eBook format here:

HWG PrintHWG eBook
The first collection, Strong Words and Hard Times,
is still available in either print or eBook format here:

SWAHTprint SWAHTeBook

Vox Political needs your help!
If you want to support this site
(
but don’t want to give your money to advertisers)
Y
ou can make a one-off donation here:

Donate Button with Credit Cards

TTIP on the rocks as UK faces up to threat of industrial litigation

140115TTIP3

“If Britain joined up to the Investor-State Dispute Settlement [system] in the current secret Transatlantic Trade and Investment Partnership (TTIP) negotiations, the UK would be exposed to an even greater number of disputes and costs than Canada suffered under the NAFTA [North American Free Trade Agreement], while being “highly unlikely” to bring in any additional investment.” – Michael Meacher MP.

Mr Meacher’s article on TTIP provides many examples of such litigation, that have taken place under already-agreed free trade deals. Why, he asks, would the UK want to sign an agreement that will immediately place it under threat of legal action, while gaining nothing in return?

You’d have to be crazy to put the economy in the hands of the lunatic who suggested it, wouldn’t you?

The lunatic, in this case, would be David Cameron, leader of the political party most people in Britain seem to think is best at running the economy! Do you want to rethink that, Britain?

“The Cameron government as usual is the stooge that follows the US lead,” writes Mr Meacher, after pointing out that TTIP is an agreement designed to benefit US and EU transnationals seeking to expand their market access and to engineer the removal of regulations that restrict their profits. It is also “widely seen as an attempt to sideline emerging economies such as China, Brazil and India that are now challenging the hegemony of the core capitalist powers”.

But public resistance is growing (where people know what is going on, that is), and Mr Meacher writes: “The increasingly strident call from civil society is to stop TTIP altogether and replace it with an alternative trade mandate that puts people and the planet before corporate profit.”

Hear, hear.

Will there be a motion in Parliament any time soon?

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Vox Political needs your help!
This independent blog’s only funding comes from readers’ contributions.
Without YOUR help, we cannot keep going.
You can make a one-off donation here:

Donate Button with Credit Cards

Alternatively, you can buy Vox Political books!
The second – Health Warning: Government! is now available
in either print or eBook format here:

HWG PrintHWG eBook
The first, Strong Words and Hard Times
is still available in either print or eBook format here:

SWAHTprint SWAHTeBook

Will you give British sovereignty to a foreign business?

[Image: The Guardian]

[Image: The Guardian]

It is the eve of the European Parliamentary elections. How much do you really know about what your candidates would do – if elected?

Much of the debate so far has focused on personalities rather than policies – but does it really matter that Labour won’t commit to an in-out referendum on our EU membership (which is a UK Parliament issue in any case) if its MEPs do their job properly and defend the interests of the British people in the Brussels assembly?

Does it matter that the Conservatives are promising such a referendum, if they give away your right to a high-quality health service, along with your rights at work, to American companies?

These are the issues that really matter.

A few months ago, Vox Political was running articles on the highly controversial Transatlantic Trade and Investment Partnership, currently being negotiated between the European Union and the United States of America. Much of the groundwork has been carried out in secret, hidden from public scrutiny, but the information that has been made available has aroused serious concern that this agreement will weaken existing standards and regulations that protect workers and consumers in the EU.

In particular, the Investor-State Dispute Settlement (ISDS) would allow any foreign company operating in the UK to make a claim against the government for loss of future profits resulting from any regulatory action by the government, such as new legislation. Such claims would be considered by an unelected, unaccountable tribunal composed of three corporate lawyers whose decisions are likely to favour the corporations and would override national laws.

It is widely believed that the TTIP will be used by our Conservative-led government as a means of locking-in its detrimental changes to the National Health Service.

With this in mind, I wrote to three of the four current Welsh MEPs (the fourth is standing down), asking a few simple questions:

Do you want the health of your constituents to depend on a foreign company’s balance sheet?

Are you in favour of sales or the safety of your constituents?

Do you support attacks on workers’ rights?

Do you support the people who elected you – or are you a puppet of the corporations?

The response from Labour’s Derek Vaughan was characteristically short and to the point: “As you would expect, Labour MEPs oppose the ISDS in certainly anything which would allow the Tories/UKIP to argue for further privatisation of the NHS.

“You may also wish to take this matter up with those who really are the puppets of corporations.”

We’ll come to them shortly. Derek’s answer – though brief, tells you everything you need to know about Labour. They aren’t staying silent (as a recent Liberal Democrat letter asserted) and they aren’t pandering to corporate interests. Labour will defend British institutions against any European ruling or agreement that infringes on them. That’s a promise.

Jill Evans, for Plaid Cymru, had a little more to say: “I share your concerns regarding the TTIP as does the rest of my group in the European Parliament, the Greens/EFA group.

“We are 100 per cent against ISDS as we do not believe that extra-judicial powers should be given to foreign investors. We have been working hard to lobby the Commission to get them to make changes to the TTIP… The TTIP will include a strong focus on … co-operation but the regulatory cultures and social and environmental standards on both sides of the Atlantic are very different; conflicts over GMOs and Hormone Beef are just two examples.

“The TTIP is also controversial from an industrial policy point of view. The two blocs are not complementary, but in fierce competition for global markets and the setting of global industrial standards. Transatlantic cooperation could, however, pave the way for higher global ecological standards and for a faster conversion towards a sustainable green economy. Both the EU and the US need to find new avenues to create social wealth. The task we are set with is trying to find the right balance.”

So Plaid and the Greens are as strongly-opposed to the ISDS as Labour, but acknowledge there are advantages to be had – if this agreement is negotiated by the right representatives. This is why it is so important that you use your vote wisely. A vote for UKIP might seem like a worthwhile protest against the UK’s Conservative government, but what good will it do when the Kippers, who support corporate power, wave through measures to strip you of your rights?

And then we have Kay Swinburne, representing the Conservatives. Her response was the longest of the lot, perhaps suggesting that she knew her party’s stance was harder to justify.

“Transatlantic trade flows (goods and services trade plus earning and payments on investment) averaged $4 billion each day through the first three quarters of 2011. In 2008 EU/US combined economies accounted for nearly 60 per cent of global GDP,” she stated.

“However, for all its value and importance, the EU-US trading relationship still suffers from numerous obstacles, preventing it reaching its full potential to provide growth and jobs. It has been estimated that the deal could bring an extra £10bn to the UK annually, which would give a huge boost to jobs in our economy at a time when we are still suffering with the effects of the economic crisis.”

There is little evidence for this, and even that is poor. The European Commission’s own impact assessment admits that a 0.5 per cent increase in growth would be “optimistic”, and independent research suggests that a meagre 0.01 per cent increase in the growth rate over 10 years is more likely. The North American Free Trade Agreement between the US, Canada and Mexico led to a net LOSS of almost a million jobs in the US. You have to ask why this MEP is arguing against the facts.

“That is an extra £400 to every UK household and while some reports criticise the economic focus, I would argue that this is exactly the kind of stimulus package we should be focusing on,” she continued. Again, this is inaccurate. Every household will not gain an extra £400 because of business deals carried out between very few, very large, corporations. In fact, much larger amounts of money will go to the kind of people who have too much of it already.

“ISDS is a system that allows investors to initiate proceedings directly against a government should they believe that their property has been expropriated illegally, that is, not in conformance with the laws of that country itself,” she continued, skimming over the possibility that a legal challenge could be mounted against changes in a country’s laws – such as Labour’s planned repeal of the Health and Social Care Act that allowed the creeping privatisation of the NHS, if the Conservatives are defeated in the 2015 UK general election.

“The Conservatives in the European Parliament support the inclusion of an ISDS chapter in the agreement, because even with developed countries it ensures certainty for our investors, including SMEs.”

She does not explain what that certainty may be. Is it the certainty that they can run roughshod over their workers? That their profits will take precedence over our health? What about certainty for our citizens?

“Rest assured that this is not a mechanism that will allow for fundamental laws of the EU, such as the REACH legislation on chemicals or the Tobacco Products Directive, to be overturned by a foreign company.” That does not offer any consolation if the laws of the UK do not remain similarly inviolate.

“The EU and its Member States will and must remain able to adopt and enforce, in accordance with their own and EU laws, measures necessary to pursue legitimate public policy objectives in the fields of social and environmental standards, security, the stability of the financial system, and public health and safety.” This seems encouraging, but is overshadowed by what this Conservative MEP has already stated.

“The European Parliament, as well as the UK Government, will also have to give final approval to the deal.”

This is why we need a sceptical European Parliament, and a critical UK Parliament when the deal comes to Westminster for ratification.

That is the information provided by the Welsh MEPs. Labour and the Green Party will stand up for you, while the Conservative Party and UKIP will stand up for the few.

Put in that way, it isn’t a choice at all.

But is the electorate well-enough informed to make the appropriate decision?

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Vox Political needs your help!
This independent blog’s only funding comes from readers’ contributions.
Without YOUR help, we cannot keep going.
You can make a one-off donation here:

Donate Button with Credit Cards

Alternatively, you can buy the first Vox Political book,
Strong Words and Hard Times
in either print or eBook format here:

SWAHTprint SWAHTeBook

Miliband’s pledge on TTIP: ‘Labour will protect the NHS’

140115TTIP

This is critically important for the general election next year, because timing is everything.

If any of you were in any doubt about Labour’s position on the Transatlantic Trade and Investment Partnership between the USA and the EU, this Tweet from Andy Burnham should clarify:

“Crucial commitment from @Ed_Miliband today: ‘The next Labour government will work to make sure the NHS is protected from EU competition law’.”

This is important because the Investor State Dispute Settlement (ISDS) part of the agreement would allow any foreign company operating in the UK to make a claim against the government for loss of future profits resulting from any regulatory action by the government, such as new legislation. Such claims would be considered by an unelected, unaccountable tribunal composed of three corporate lawyers whose decisions are likely to favour the corporations and would override national laws – and it is widely agreed that the TTIP will be used by our Conservative-led government as a means of permanently locking-in its detrimental changes to the National Health Service.

Labour’s MEPs have already confirmed that they have no intention of supporting this part of the trade agreement; now we have confirmation that only a Labour government in the UK would protect the NHS from the irreparable harm being planned by the Conservative Party.

It is ironic that, if you go to the BBC News website and find their ‘politics’ page, you will see an article entitled Labour makes no sense on Europe, says David Cameron.

In fact, Labour is talking far more sense – in terms of protecting the people of this country – than the Conservatives. Leaving the EU won’t stop us having to conform with European standards, if we want to trade with those countries; and any decision to stop immigration will be met, undoubtedly, with the expulsion of our own 2.5 million expats from the EU countries where they have settled. We will be more crowded, not less.

If the British people want to vote on a way to stop European laws from harming us, then we need look no further than the 2015 general election.

Masochists can vote ‘Conservative’.

You know the sensible option.

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Vox Political really needs your help.
This independent blog’s only funding comes from readers’ contributions.
Without YOUR help, we cannot keep going.
You can make a one-off donation here:

Donate Button with Credit Cards

Alternatively, you can buy the first Vox Political book,
Strong Words and Hard Times
in either print or eBook format here:

SWAHTprint SWAHTeBook

My letter to MEPs over the transatlantic trade stitch-up

Corporate trade a-greed-ment: Notice that this image of the Transatlantic Trade and Investment Partnership has mighty corporations straddling the Atlantic while the 'little' people - the populations they are treading on - are nowhere to be seen. [Picture: FT]

Corporate trade a-greed-ment: Notice that this image of the Transatlantic Trade and Investment Partnership has mighty corporations straddling the Atlantic while the ‘little’ people – the populations they are treading on – are nowhere to be seen. [Picture: FT]

Your rights and freedoms have been under attack from all sides.

Not only has the government been able to pass the ‘gagging’ bill, preventing you from organising large-scale campaigns against repressive right-wing Conservative and Liberal Democrat legislation; not only are the police lobbying a sympathetic Home Secretary (there’s no restriction on their campaigning powers) for permission to use water cannons to suppress public on-street political protests; not only is the government hiding legislation to shackle news reporters and ignore the democratic process within a Bill that is supposed to be about cutting ‘red tape’; but negotiations to barter away your rights in the Transatlantic Trade and Investment Partnership are still taking place.

Now, dear reader, you have probably written to your elected representatives at the European Parliament already. You haven’t? In that case, please look them up here – MEPs are elected on a regional basis so you should write to everyone representing your constituency – and get writing.

For information, here’s the letter I wrote to my own MEPs. Do not copy this, paste it into your email program and send it as your own! You will be ignored. The best way to grab their attention is to put in your own words your concerns about this issue. Use what follows as reference, but say it your own way.

Readers of Vox Political have been accused of improper behaviour before, because they copied and pasted rather than using their own words. Let’s not allow that again.

Here’s my letter; see if you can improve on it:

May I draw your attention to the detrimental effects of the Transatlantic Trade and Investment Partnership. This agreement, currently in negotiation between the USA and the European Union, has as its stated aim opening up markets for services, investment and public procurement.

Much of the groundwork has been carried out in secret, hidden from public scrutiny, but the information that has been made available has aroused serious concern that this agreement will weaken existing standards and regulations that protect workers and consumers in the EU.

In particular, the Investor State Dispute Settlement (ISDS) would allow any foreign company operating in the UK to make a claim against the government for loss of future profits resulting from any regulatory action by the government, such as new legislation. Such claims would be considered by an unelected, unaccountable tribunal composed of three corporate lawyers whose decisions are likely to favour the corporations and would override national laws.

ISDS was set up to protect companies operating in countries with a history of political instability where the rule of law could not be guaranteed. This does not apply to either the US or the EU and you should interpret this mechanism only as a device for subverting our national and supranational legislation.

It is widely believed that the TTIP will be used by our Conservative-led government as a means of locking-in its detrimental changes to the National Health Service. I am sure I do not have to rehearse the arguments that introducing private companies to the health service in England is leading to a patchwork system in which care is provided entirely on the basis of profitability. There is now no obligation on the Secretary of State for Health to provide a high-quality service across the whole of the UK, and the new system encourages Clinical Commissioning Groups and medical practices to exclude from their lists patients with conditions that are expensive to treat. The TTIP will forbid the UK government from improving this system with legitimate public health regulation, health protection and health promotion policies as private health companies will be able to sue the state for loss of future profits. ISDS would make it impossible for CCGs to cancel contracts with private providers, even when those firms were providing inadequate standards of patient care, because they would then face a legal challenge for loss of earnings that they could not fund. It will also limit the government’s ability to regulate professional standards and qualifications regarded for healthcare workers and lower the quality of patient care. In short, it would be impossible to reverse the disastrous Health and Social Care Act 2012, and its marketisation of the NHS. Do you want the health of your constituents to depend on a foreign company’s balance sheet?

You may wish to take heart from comments by the British Medical Association that it believes the NHS will be exempt from the TTIP. There is no evidence to support this statement. In fact, David Cameron stated in reply to a Parliamentary question in June 2013: “I am not aware of a specific exemption for any particular area, but I think that the health service would be treated in the same way in relation to EU-US negotiations as it is in relation to EU rules.”

In fact, as comments from the chairman of the Liberalisation of Trade in Services Committee (LOTIS) and financial services pressure group TheCityUK make clear, no issue had been identified that would allow exclusion of any sector from the second round of TTIP negotiations in November last year. You should also note that the Lisbon Treaty provides no protection for the NHS, despite the arguments of some people.

Furthermore, evidence to the House of Lords European Sub-Committee on External Affairs has shown that public health measures such as warnings on food labels, pesticides and chemicals, and other potentially toxic or unhealthy products may be restricted to bring the EU in line with the narrow approach to risk assessment taken in America (that promotes sales) and away from the EU’s broader precautionary principle (that promotes safety). Are you in favour of sales or the safety of your constituents?

You will know that the USA has not implemented fundamental labour rights such as the rights to freedom of association and collective bargaining. Regulatory harmonisation brought about by the TTIP will lower European labour rights to American standards – the agreement will always bring standards down to the lowest common denominator. This means that workers in all sectors, including (again) health, will lose vital rights in their struggle for fair pay and conditions of work. Do you support attacks on workers’ rights?

To sum up: The TTIP is ill-judged in its entirety and neither the UK nor the European Union should have anything to do with it. It would give huge power to transnational corporations while stripping away member states’ rights to regulate them and, in that sense alone, represents an enormous threat to democracy. British people fought long, arduous battles to gain the few rights they have, and neither you nor anybody else in the European Union have a mandate to sign those rights away.

This agreement may safeguard the profits of large multinational companies, ensuring that huge amounts of money go into their shareholders’ bank accounts (wherever they may be), but it will undermine the wages of everybody who works for them – again, according to the principle of the lowest common denominator. Yet it is workers’ wages that support national economies – by necessity they spend most (if not all) of their income as soon as they get it, on rent, utility bills, groceries and other vital supplies. The TTIP will harm national economies.

There is an argument that the TTIP will create growth and jobs – but there is little evidence for this, and even that is poor. The European Commission’s own impact assessment admits that a 0.5 per cent increase in growth would be “optimistic”, and independent research suggests that a meagre 0.01 per cent increase in the growth rate over 10 years is more likely. The North American Free Trade Agreement between the US, Canada and Mexico led to a net loss of almost a million jobs in the US.

Negotiations on the TTIP represent a test on where your loyalties lie. Do you support the people who elected you – or are you a puppet of the corporations?

As my representative, I am asking you to take all steps necessary to publicise this attack on democracy and on our sovereignty, and to take any action – individually or collectively – to put an end to it.

Please let me know what you intend to do.

Vox Political supports your rights.
But the site needs funds.
That’s why YOUR help is vital.
You can make a one-off donation here:

Donate Button with Credit Cards

Alternatively, you can buy the first Vox Political book,
Strong Words and Hard Times
in either print or eBook format here:

SWAHTprint SWAHTeBook

Public consultation on anti-democratic trade deal – a sham?

140115TTIP

The European Union’s trade commissioner, Karel De Gucht, reckons he’s going to consult the public over the controversional Transatlantic Trade and Investment Partnership – the EU/US free trade agreement.

He says he is determined to strike the right balance between protecting EU firms’ investment interests and upholding governments’ right to regulate in the public interest.

Bear in mind, this is for the investment part of the deal, which includes investment protection and the red-hot disputed subject of investor-to-state dispute settlement, where firms would be allowed to sue governments if regulations got in the way of their profits, as the deal currently stands.

A proposed text for the investment part of the talks will be published in early March.

“Governments must always be free to regulate so they can protect people and the environment. But they must also find the right balance and treat investors fairly, so they can attract investment,” said Mr De Gucht.

“Some existing arrangements have caused problems in practice, allowing companies to exploit loopholes where the legal text has been vague.

“I know some people in Europe have genuine concerns about this part of the EU-US deal. Now I want them to have their say… TTIP will firmly uphold EU member states’ right to regulate in the public interest.”

Do you believe him?

The European Commission wants to use TTIP to improve provisions already in place that protect investments by EU-based companies in the US, and vice versa.

In practice, we are told, there would be a require for this protection to defer to states’ right to regulate in the public’s interest.

There would also be new and improved rules, including a code of conduct, to ensure arbitrators are chosen fairly and act impartially, and to open up their proceedings to the public. This comes after significant unrest about arbitrators being chosen exclusively from big business, with a natural bias towards the interests of their employers.

It seems “no other part of the negotiations is affected by this public consultation and the TTIP negotiations will continue as planned”.

Is this the only part of the deal that affects the public interest, then?

I don’t know. The TTIP negotiations have been shrouded in mystery since they began last June. Can anyone outside the talks – and those taking part are sworn to secrecy – say they are an expert?

Since the talks began, the Commission has held three rounds of consultations with stakeholders – big businesses operating in both Europe and the USA “to gather the views and wishes of the public and interested parties across Europe”, it says here.

“The Commission has also done public consultations before the start of the TTIP negotiations.” Have you taken part in any such negotiations?

The rationale behind the talks is that the EU is the world’s largest foreign direct investor and the biggest recipient of foreign direct investment (FDI) in the world, so it must ensure that EU companies are well-protected when they invest in countries outside the EU. This involves reciprocal agreements to protect foreign companies.

“Investment is essential for growth, for jobs and for creating the wealth that pays for our public services, our schools, our hospitals and our pensions,” the argument goes. But who gets the wealth? The people who work to make it – whose living and working conditions are likely to be reduced dramatically to lowest-common-denominator terms? Or the company bosses who are ironing out the terms of this agreement while most of us are being told to look the other way?

Let’s look at an example of this in action. According to OpenDemocracy.net, the TTIP talks “could see England’s NHS tied into a privatised model semi-permanently.

“A US/EU Free Trade Agreement… will ‘dismantle hurdles to trade in goods, services and investment’ and ‘make regulations and standards compatible on both sides’.

“The EU has already stated that ‘certain “sensitive” sectors will require more negotiation’ but that ‘no sectors would be excluded from the deal completely’. David Cameron has stated such an agreement is one of his key aims during the UK’s leadership of the G8 group this year.

“The Health and Social Care Act’s Section 75 is an example of legislation guided by the principles of this overarching trade agreement. It breaks the NHS up into little parcels (the CCGs) that must offer their contracts to any willing provider. If a private provider feels they have been unfairly excluded from a contract, they can use Section 75 to take legal action… This legislation may have been written specifically to pave the way for international free trade involving the NHS.

“The idea [is] that the Health and Social Care Act was developed to allow foreign transnational corporations to profit from NHS privatisation.

“Even worse is the idea that, once passed, an international trade agreement will leave us irreversibly committed to privatising the NHS. Even with a change of government and the repeal of the Act, we’d be facing the insurmountable obstacle of international competition laws.”

The article demands that the government must be clear with the public – will our health service be opened to multinational business as part of this trade agreement?

Leftie politics sheet the New Statesman agrees: “This will open the floodgates for private healthcare providers that have made dizzying levels of profits from healthcare in the United States, while lobbying furiously against any attempts by President Obama to provide free care for people living in poverty. With the help of the Conservative government and soon the EU, these companies will soon be let loose, freed to do the same in Britain.

“The agreement will provide a legal heavy hand to the corporations seeking to grind down the health service. It will act as a Transatlantic bridge between the Health and Social Care Act in the UK, which forces the NHS to compete for contracts, and the private companies in the US eager to take it on for their own gain.

“It gives the act international legal backing and sets the whole shift to privatisation in stone because once it is made law, it will be irreversible.

“Once these ISDS tools are in place, lucrative contracts will be underwritten, even where a private provider is failing patients and the CCG wants a contract cancelled. In this case, the provider will be able to sue a CCG for future loss of earnings, causing the loss of vast sums of taxpayer money on legal and administrative costs.

“Even more worrying is that, once the TTIP is enacted, repealing the Health and Social Care Act in the UK will become almost impossible.”

The public has the democratic right to contest the agreement, and fight for a health service that protects them, the Statesman says, “but how can they when MEPs do nothing to inform opinion or gather support back home? The NHS is in a very precarious position. It seems that soon, with the help of Brussels, its fate will be sealed.”

Would you like your MEP to speak up for you – in other words, to do what he or she was elected to do and actually represent your interests? Then why not get in touch and ask why they’ve been so quiet about this for so long? It’s easy – you can find their contact details here.

The EU has released a ‘factsheet’ summarising how it would like you to understand changes to existing investment protection rules and the ISDS system.

The previous Vox Political article about TTIP is here.

Follow me on Twitter: @MidWalesMike

Join the Vox Political Facebook page.

Vox Political needs your help!
This independent blog’s only funding comes from readers’ contributions.
Without YOUR help, we cannot keep going.
You can make a one-off donation here:

Donate Button with Credit Cards

Alternatively, you can buy Vox Political books!
The second – Health Warning: Government! is now available
in either print or eBook format here:

HWG PrintHWG eBook
The first, Strong Words and Hard Times
is still available in either print or eBook format here:

SWAHTprint SWAHTeBook