Lord Callanan (Con)

I am sorry that my noble friend Lord Kempsell is not here to move his amendment, which I thought was a particularly good one. We debated some of the financial aspects of the treaty on the first day in Committee. The Minister at that time asked to delay her remarks on those amendments to the appropriate group. I assume this is the group that she was referring to, so we all look forward to the fuller answer on the finances that she promised then. The core contention of the Government is that the deal costs an average of £101 million a year and the present net value of payments under the treaty is therefore £3.4 billion. This has been challenged by my noble friends Lady Noakes and Lord Altrincham, but the Minister, rather than engaging in the substance of those challenges, has relied on the Government’s published figures and refused to explain why she believes those figures accurately reflect the cost of the deal. The Minister has relied on the approval of the Government Actuary’s Department and simply argued that consistency was essential. These are typical deflections that, no doubt, many Ministers have used in previous cases, but they do not address the concerns of my noble friends. We know that the payments are front-loaded at £165 million for the first three years, and then £120 million for the next 10 years. After that point, it is index-linked. As my noble friend Lady Noakes set out at Second Reading, that will see the cash payments hitting more than £650 million a year by the end of the 99 years, depending, of course, on what indexation you use. With all those additional considerations, it is our contention that the true cost of the deal is not £3.4 billion, as claimed by Ministers, but something more like £35 billion. So the question lands: why would the Government seek to play this down? If they are so delighted with the deal—if it is such a good deal for the British public that they keep claiming that they deliver for, as all government policies should surely be—then surely they would want to be open about the true cost of things. They brag about spending on every other area; they take every amount of money per year, cumulatively add it all up and then put it in a press release and brag to the British people about what a great amount they are spending in every area except for this one. Does the Minister think it is better that the country should know the full costings before the treaty comes into effect, or would she prefer that the UK tie itself into these vast annual payments first, before admitting what the true cost of the deal actually is? We are clear that the British people deserve to know what their Government are signing up for. Ministers should engage with the detailed costings laid out by my noble friends Lady Noakes and Lord Altrincham, and the points made by my noble friend Lord Lilley, rather than hiding behind their pre-prepared lines. If they have nothing to hide, what is wrong with producing a report that we can all see and study and get checked by independent financial experts? Once Ministers have admitted the true cost of the deal, then they can start justifying the so-called benefits of the treaty against what the true cost actually is. I do not think that people would be impressed by arguments justifying that figure, but Ministers should do the decent thing and justify the real numbers openly and in public.