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In a recent article Jürgen Habermas (1999) highlighted the potential for the European Union to act as a vehicle for the extension of democratic governance beyond the nation state, a project aimed at limiting the socially corrosive impact of globalisation. Yet this position appears paradoxical as the European Union itself exacerbates a major aspect of globalisation: the emasculation of national parliaments known as the 'democratic deficit'. This paradox can be understood by analysing the dynamics of post-war European integration through the lens of Habermasian social theory: EU evolution can lead either to the colonisation of the lifeworld by market and administrative subsystems (as with the democratic deficit), or to a process of lifeworld rationalisation conducive to pan-European solidarity and democracy. The latter of these tendencies could be encouraged through 'procedural democracy': this would institutionalise the conditions by which independent associations in European civil society, channelling their 'communicative power' through parliament, might reassert control over the two subsystems. In order to retain legitimacy, procedural EU democracy would have to link existing legislatures to the European Parliament, while citizenship would combine national and civic components. Hence the European Union would be more able than the nation-state to combine universal notions of justice with ethical pluralism.