The British-Irish Council established under the Agreement reached in Belfast on Good Friday 1998 held its fourth Summit meeting today in New Lanark, Scotland. The meeting was chaired by the First Minister the Rt Hon Jack McConnell MSP.

The Irish and British Governments were represented by the Taoiseach, Mr Bertie Ahern TD and the President of the Council and Leader of the House of Commons, the Rt Hon Robin Cook MP respectively

The Welsh Assembly Government was represented by the Rt Hon Rhodri Morgan AM, First Minister.

The Isle of Man was represented by the Hon Richard Corkill MHK, Chief Minister of the Isle of Man Government, Guernsey was represented by Deputy Laurie Morgan, President, States of Guernsey Advisory and Finance Committee and Jersey was represented by Senator Pierre Horsfall OBE, President of the States of Jersey Policy & Resources Committee.

A full list of delegation members is attached.

The British-Irish Council is a forum for its Members to exchange information, discuss, consult and endeavour to reach agreement on co-operation on matters of mutual interest within the respective competencies.

The Council noted with regret the suspension of the Northern Ireland Assembly and Executive and looks forward to the restoration of the devolved institutions in Northern Ireland, established under the Agreement, as soon as possible in advance of the scheduled elections.

Social Inclusion

The main focus of today's meeting was the issue of Social Inclusion and, in particular, Financial Inclusion, on which the Scottish Executive and the Welsh Assembly Government take the lead within the BIC. The Council recognised that the problems of social and financial exclusion affect communities throughout all BIC Administrations and the meeting highlighted the range of strategies that Members are working on to combat these problems. Members reiterated their commitment to promoting social inclusion across the Member Administrations of the Council.

In order to address the challenges in this important area, the Council agreed that future work on Financial Inclusion will include promoting best practice by creating opportunities for practitioners and policy makers to share ideas and information on aspects of financial inclusion. This work would include the identification and promotion of practical financial inclusion measures at the community level, including, for example, the use of credit unions. Members agreed that there should be greater exchanges on promoting access to appropriate financial products and encouraging savings.

In addition, the Council agreed that the promotion of financial literacy is an essential element in tackling financial exclusion. In order to promote best practice, Members agreed to exchange information on the most effective methods of imparting basic skills and budgetary advice. Given the importance of the role played by intermediary organisations across the BIC, including those based in the community, the Council agreed that considerable benefit could be derived from the exchange of experience among members on how such organisations could best be supported.

The Council also noted that the Scottish Executive and Welsh Assembly Government hosted a conference on Financial Inclusion for practitioners and policy-makers in September of this year in Glasgow as part of preparatory work for this Summit.

Following the discussion on Social inclusion, the Council was updated on work being undertaken in other British-Irish Council areas by relevant Administrations.

Drugs

Ireland is the lead Administration within the Council on the Misuse of Drugs. Since the last Summit in June, a number of events have taken place including a seminar on the UK's Positive Futures initiative, which provides sporting programmes for youngsters at risk, and a conference on drug and alcohol strategies which took place in the Isle of Man. Following the successful conference on the exchange of information on Assets Confiscation in Guernsey in May of this year, a second conference on the issue is to take place in the near future. Scotland and Ireland are scheduled to host a seminar on education, training and employment opportunities for recovering drug misusers later this year. A further Ministerial meeting in Dublin is scheduled to take place in February 2003.

Environment

The UK is the lead Administration on the environment. Work has continued on waste management, climate change, Sellafield and radioactive waste. Since the June summit, the Waste Management Working Group has met to discuss a range of issues, share experience, exchange ideas and identify scope for co-operation. The sub-group on Climate Change Impacts and Adaptation met as part of their continuing exchange of information and experience. Technical work on the development of the new climate change scenarios covering all BIC members is underway. A public awareness seminar on the matter is scheduled to take place in November.

The UK Government will host a further meeting of Environment Ministers in the near future.

Transport

Northern Ireland is the lead Administration on Transport. Work on the initial priority areas identified by Ministers in Belfast in December 2000 is continuing. On integrated transport, the group is coordinating work looking at transport links between BIC Administrations, approaches to the development and implementation of environmentally sustainable transport policies and the integration of land use as well as transport policy and practice. The issues of the use of Public Private Partnerships in relation to transport infrastructure; co-operation on road safety issues and regional air links, of particular concern to a number of Members are also under consideration.

Knowledge Economy

The issue of the Knowledge Economy, on which Jersey is the lead Administration, was the main item on the agenda at the last BIC Summit in June 2002

Since then, officials have met to continue the development of the work mandated by the Council, focussing on broadband provision, the switchover to Digital TV and a range of internet access issues, including physical access to equipment and services, encouragement of public use of technology, and the skills and learning issues that might inhibit such practice. As proposed at the Jersey summit, a seminar on research issues, which allowed Members the opportunity to exchange information on matters of mutual interest was held earlier this month

Health: The Application of Telemedicine

The Isle of Man is the lead Administration on the application of Telemedicine and e-health. Officials have met on a number of occasions to share information on telemedicine initiatives in each Administration and discuss some of the issues encountered in getting e-health accepted in routine healthcare. There have also been BIC study visits and presentations on telemedicine facilities in Scotland and Wales.

The focus of the work in this area is on how Telemedicine and e-health projects can be most appropriately implemented, and on identifying successful projects and methodologies which it is hoped would prove of interest within BIC Administrations.

Tourism

Guernsey has taken the lead on tourism within the BIC. Officials have met on a number of occasions to discuss how best to take forward work in this area. The group is focusing on exploring issues of common interest and mutual benefit to all Administrations. Work to date has concentrated on methodologies for data collection within BIC Administrations. The environment and tourism, transport access, and staff training and recruitment issues, including the opportunities for exchange schemes, also form part of the work programme for the Group

Minority and Lesser-Used Languages

Further to the Council's agreement last BIC Summit meeting in June 2002 that the Welsh Assembly Government should take the lead on Minority and Lesser-Used Languages, a preparatory meeting of officials is due to take place shortly to discuss how to take work forward in this area

Future Summit Meetings.

The Council noted that Northern Ireland and Wales are scheduled to host summits in 2003

Membership of the forum is drawn from a wide range of organisations and members are being invited to a first meeting in the next few weeks. Copies of the draft terms of reference of the forum, including a list of the proposed members has been placed in the library of both Houses.

I do not consider that the transfer of London Underground Limited to Transport for London could take place against the background of threats of further legal challenge by the Mayor of London and/or Transport for London or while such proceedings were in progress.

When the Mayor withdrew his legal challenge to the PPP arrangements in July this year it was my intention that the transfer of London Underground to Transport for London should take place following the completion of the PPP Agreements. However, I do not think that it would be appropriate for the transfer to take place while the threat of a further legal challenge by the Mayor exists. As I result I do not propose to make any transfer under section 409 of the Greater London Authority Act 1999 of London Underground Limited to Transport for London, nor will I direct London Regional Transport to make any such transfer scheme until after the period for lodging any appeal against the Decision of the European Commission has expired without any such appeal being lodged; and if an appeal is lodged, the appeal having been finally determined.

The same position applies in relation to any legal challenge in the English Courts.

The Mayor of London's actions leave me no alternative but to take this course of action. The Tube needs investment— and the PPP means that £6 million a day, £16 billion over 15 years, will go into much needed improvements to the benefit of London.

In accordance with the guidance set out in Government Accounting, I am today notifying Parliament of the contingent liability arising from my decision to guarantee London Regional Transport's indemnity.