Wednesday, December 5, 2012

Letter to several European Commission staff on the topic of the Internal market for Services

Dear sirs/madams,
I am writing to urge you to bring forward a proposal for a new services directive.
 
 
In particular, I am urging you to bring forward a proposal based on mutual recognition of services between member States -as is already in effect for Goods -and which unfortunately had to be removed from the previous services directive.
 
 
Despite that earlier setback, I believe that now is a politick time to bring forward such a proposal again -for 2 reasons. Firstly, unemployment levels across the Union have been climbing and jobs are a focus for most of the Governments across Europe.
 
 
Secondly, and more importantly, the escalating talk of a British exit from the EU gives other Member States a powerful incentive to make EU membership more attractive to the UK. I believe that any proposal for mutual recognition of services will benefit from the desire of the other Member States to entice the UK to remain within the Union. A decision to deepen the services market at this time would be a powerful incentive for the UK to remain within the Union to benefit from access to the emerging services market and also to retain a voice as the rules of the services market are developed.
 
 
Furthermore, those British who are upset by the proposed Banking Union would also be among the main beneficiaries of a services market -thereby giving some political cover for the British Government to cooperate with the Eurozone Banking Union proposals.
 
 
I would suggest a Directive with a strong and universal principle of mutual recognition for services -with a long implementation period, possibly staggered across different sectors. Such a proposal, would be less intimidating to the MSs than immediate universal opening of services.
 
 
In any event, I believe we should use the present angst over a possible British exit to develop the services market. Whatever the UK's ultimate choice, the uncertainty created by their possible departure will be a powerful motivational tool for agreement. Agreeing to launch the services market will never be easy, but right now is as good a chance as we are likely to receive -I think the Commission should seize the chance.

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