Mr Straw’s speech yesterday is the beginning of the end game as the Convention moves into gear.The British Government will submit its draft text within two months and Mr Giscard, or his deputy, Guiliano Amato, may also put a draft text on the table soon. Huge problems remain to be resolved, including how to define the competences of national and European tiers of government.Alain Lamassoure, a centre-right French MEP on the Convention, has produced a report suggesting that they are split into three categories: powers exercised as a matter of principle by member states; the EU’s responsibilities; and shared competences. Critics argue that the situation in several policy areas is so complex that this solution will not work.In general, Britain, backed by several big member states, is determined to preserve the power of national government while many members of the Convention and some of the smaller countries want to bolster the power of the European Commission and the European Parliament.Britain is also opposed to giving legal backing to the Charter of Fundamental Rights – which is now only declaratory – by making it a bill of rights within a new EU constitution. That is a battle Britain is likely to lose because many see the promulgation of rights as an essential way of making the EU relevant to the voters. And there will be disputes over other issues, too, including the powers of the European Court of Justice.Whatever the outcome, there is no mistaking the significance of Mr Straw’s statement yesterday. Sensitivity to Euro-sceptic opinion has given way to a realpolitik. The Union shall set itself the following objectives:To promote social and economic progress; To establish an area of freedom, security and justice; To enhance the environment of Europe and the world;To secure and defend the Union.2.

The Union is empowered to govern in accordance with its principles and in pursuit of its objectives as laid down in this Constitution.Article 3 – citizenship2. The Charter of Fundamental Rights of the European Union establishes as a Protocol to this Constitution. It is binding upon the institutions, bodies and agencies of the Union in its entirety. It is binding upon member states and political authorities within them when and in so far as they implement Union law and policy.Article 4 – governance1.

The Union shall fulfil its objectives in a manner demonstrating consistency, openness and solidarity. Decisions will be taken as closely as possible to the citizen without impairing the effective operation of the Union.2. The European Union shall respect the national identities of the member states. Its actions shall not go beyond what is necessary to achieve its objectives.Article 9 – institutions3. The Congress shall meet to elect or to impeach the President of the Commission. It shall comprise the European Parliament and an equal number of representatives of member state parliaments.Article 18 – amendment2.