HC Deb 05 November 1996 vol 284 cc421-2W
Mr. Hain

To ask the Chancellor of the Exchequer what assessment he has made of recent progress towards European monetary union. [703]

Mr. Kenneth Clarke

[holding answer 30 October 1996]: The Florence European Council stated that economic and monetary union will start, in accordance with the EC treaty, on 1 January 1999, but it is too early to make realistic and certain assessment of progress and there are still considerable uncertainties. The decision on which countries are adjudged to meet the conditions to join EMU in 1999 will not be made by Heads of Government until early 1998, based on an assessment by the council of Economic and Finance Ministers, ECOFIN, at that time.

Mr. Malcolm Bruce

To ask the Chancellor of the Exchequer what is his estimate of the latest date by which the United Kingdom will need to make a decision on whether to participate as a founder member of European monetary union if the existing timetable is adhered to; and if he will make a statement. [811]

Mr. Clarke

[holding answer 31 October 1996]: The existing timetable is still based on the assumption that EMU will start on 1 January 1999 although that is open to considerable uncertainty in practice. Protocol No.11 to the EC treaty provides that in the event of EMU starting on 1 January 1999, the United Kingdom may notify its intention to move to the third stage before 1 January 1998.