Local view for "http://purl.org/linkedpolitics/eu/plenary/1999-12-15-Speech-3-329"
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"en.19991215.12.3-329"2
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"I would like to commend this second reading to the House. It is very much about prosperity, and about creating jobs in the European Union, particularly for our small and medium-sized enterprises, by creating a better business climate for those businesses.
Paradoxically, I do not want this report to be used. In fact I would like to see it go out of fashion very quickly indeed. This sort of Directive should be changing the climate of our business economy, away from late payment to prompt payment. We actually want a culture in this European Union, in our single market, of prompt payment, not late payment.
I would like to place on record a number of thanks before I address the substance of our second reading: thanks to Parliament's services for working so quickly on this report; to the Commission for all its support; and to the Finnish Presidency for the courteous and careful advice it has given through this process. Thanks also to colleagues on the Committee on Industry, External Trade, Research and Energy with whom I have worked very closely, several of whom I see here in this Chamber this evening. In particular, thanks to UEAPME who are very much the voice of small businesses in the European Union and who have given wholehearted support to this proposal.
One further vote of thanks is also due, and that is actually to a ghost of this Chamber: that is, to my former colleague and good friend Lyndon Harrison, who was rapporteur at first reading, now Lord Harrison of Chester. It was Lyndon Harrison who, as rapporteur on 16 September 1998, said to this House: "It is time to outlaw cheating practices and give small and medium-sized enterprises the confidence to go boldly into the single European market knowing that they will be paid on time and in full." I could not agree more.
I have to say, from our position as a Parliament, that the Council's common position was a disappointment – especially when you consider that we share the same aim. Yet because we share the same aim, and because there is goodwill on both sides, I am confident that we will have an effective and efficient directive that will eventually be adopted.
However, it is important to point out that there are large areas of difference between us. These include the rate of statutory interest to be charged when a late payment occurs; the length of the trigger period for interest if no contract has actually stipulated a payment period; retention of title in the course of late payment; the role of the public sector and the treatment of public procurement; and compensation claims arising from late payment. All these areas are very difficult and could cause problems between Parliament and Council. Nevertheless, it is my belief that they are integral to our aim and are broadly safe and sound, and will help create a better business climate for small and medium-sized enterprises as they develop to realise their full potential within the single market.
Shortly after I was elected to this House, Mr President, one of my first pleasurable duties was to bring to the Parliament representatives from Dudley Chamber of Commerce and Industry, which was then in my constituency. They came to a hearing on late payments that was being organised in the Parliament and gave some very good expert advice, recognising that we had problems with late payment in the single market. Those problems have actually got worse, which is why we currently have a directive and a proposal before us this evening. The importance of this directive is that it will help us address that business climate, to have a cultural change so that we move away from late payment to prompt payment as the norm within the European single market and not, as it currently is, the other way around.
The small and medium-sized enterprises of the European Union are watching very closely to see how we react to this particular proposal and the common position. They will expect from this House tomorrow a strong vote backing the vote that was carried in the Industry Committee unanimously on Monday of this week. With those opening remarks, Mr President, I would commend our position to you."@en1
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