Cabinet meets to discuss euro entry
The Cabinet is meeting today to discuss the Chancellor’s assessment of the five economic tests for euro entry.
Ministers are to discuss a strategy on the Treasury’s assessment on whether it is right to join the single European currency.
It is believed that the Chancellor’s five economic tests have not been met and the Government is expected to announce that Britain will not join the euro yet.
The Chancellor, Gordon Brown will announce the results of the five economic tests to the House of Commons on Monday.
Reports also suggest that Mr Brown will announce that no referendum will take place this year. The Chancellor is expected to want the referendum to be put off until the next General Election.
Responding to such forecasts, the Foreign Policy Centre called on the Government to end the ambiguity surrounding whether Britain is to join the single currency.
Speaking on behalf of the FPC, Geoffrey Howe, Former Chancellor and Foreign Secretary under Margaret Thatcher commented, ‘We’ve spent enough time trying to read the crystal ball. The most important thing is a clear affirmation from the government that it is unambiguously in Britain’s interest to join the Single Currency.’
The Government was warned that delaying the decision and not setting out whether the UK will join or not would damage the UK’s position in European politics.
Sir Michael Butler, Former UK Permanent Representative to the EU, stated, ‘The Government has to convince other European Governments as well as the British public that it is serious about preparing to join the Euro soon. Otherwise it will cease to get its way in the European Council and public opinion will not permit a positive referendum result.’
