To ask the Chancellor of the Exchequer what assessment he has made of the implications for his ability to determine (a) direct, indirect and company taxation policy, (b) overall monetary policy and (c) public spending levels of the EU's draft Constitutional Treaty section which passes to the EU the co-ordination of EU economic policies; and if he will make a statement. [120936]

The draft Constitutional Treaty will form the starting point for the work of an Intergovernmental Conference (IGC). The Treaty produced by the IGC will be agreed unanimously. The Government will not agree to any changes which harm the UK's economic interest. We will preserve the ability of member states to conduct their own tax policy, and we will preserve the ability of member states to conduct their own economic policy, within rules agreed by member states in the Council.

To ask the Chancellor of the Exchequer what discussions he has had with (a) colleagues in the Foreign and Commonwealth Office and (b) counterparts in the European Union about the legislative competencies covered by the draft European constitution. [124777]

The Chancellor has regular discussions with colleagues in the Foreign and Commonwealth Office and his counterparts in the European Union on a number of issues.