§ Mr. CashTo ask the Chancellor of the Exchequer what assessment he has made of the economic benefits arising from membership of the Single Currency which would outweigh the constitutional costs to the United Kingdom of membership of EMU. [41344]
§ Mr. Gordon BrownThe Government do not accept that there is a constitutional bar that outweighs the economic tests as the decisive reason why we might join EMU. The constitutional issue is a factor in the decision, but it is not an overriding one. Rather it signifies that in order for monetary union to be right for Britain the economic benefits should be clear and unambiguous.
§ Mrs. LaingTo ask the Chancellor of the Exchequer what assessment he has made of the implications of the decision on which countries would enter EMU in the first wave for European political integrity. [40526]
§ Mr. Gordon Brown[holding answer 12 May 1998]The UK Government supported the Commission recommendation on membership of the single currency on 1 January 1999 on the basis of the considerable progress made towards economic convergence on the basis of the Treaty criteria; the framework for stability and discipline provided by the Stability and Growth pact; the progress made by high-debt countries in reducing their debt-GDP ratios in recent years and their commitments to reducing them in the future; and the declaration issued by Finance Ministers on 1 May reaffirming the commitment to fiscal discipline, economic reform and job creation. The UK Government agreed with other Member States that in light of the above the necessary conditions for the adoption of the single currency had been achieved for all 11 candidates.