HC Deb 01 March 1999 vol 326 cc527-9W
Mr. Maclean

To ask the Prime Minister, pursuant to his oral statement of 23 February 1999,Official Report, columns 179–84, what his definition is of the term "pooling sovereignty". [73597]

The Prime Minister

In his statement to the House on 27 October 1997,Official Report, columns 583–88, my right hon. Friend the Chancellor of the Exchequer said that to share a common monetary policy with other Member States represents a major pooling of economic sovereignty.

Mr. Maclean

To ask the Prime Minister if he will make a statement on progress made on passing each of the five economic tests for joining the euro; if deadlines have been imposed; and what staff have been tasked to monitor progress. [73596]

The Prime Minister

The Government have said that, barring some fundamental and unforeseen change in economic circumstances, making a decision during this Parliament to join the single currency is not realistic. The UK economy needs a period of stability in order to demonstrate sustainable convergence. The Government have put in place a new macroeconomic framework and introduced a series of microeconomic reforms which are both in the national economic interest and will help to deliver the stability required to demonstrate that convergence is sustainable. As I said in my statement to the House on 23 February 1999,Official Report, columns 179–84, we cannot say that yet.

Mr. Maclean

To ask the Prime Minister who will judge whether the five economic tests for United Kingdom participation in the EMU have been passed; and who will be consulted. [73594]

The Prime Minister

The Government have said that the determining factor in any decision to recommend membership of the single currency will be the national economic interest. In order to make the assessment the Government have set out five economic tests which must be met before the UK could join. The final decision on whether or not the UK should join is for Government, Parliament and the British people in a referendum.

Mr. Gibb

To ask the Prime Minister, pursuant to his oral statement of 23 February 1999,Official Report, columns 179–84, if he will list the Ministers in each department responsible for euro preparation. [73519]

The Prime Minister

The following Ministers have responsibility for departmental euro preparations:

Department Minister
HM Treasury Ms Patricia Hewitt MP
Department of Trade and Industry Lord Simon of Highbury
Ministry of Defence Doug Henderson MP
Department of Health Baroness Hayman
Department of Social Security Ms Angela Eagle MP
Ministry of Agriculture, Fisheries and Food Lord Donoughue
Department for Education and Employment George Mudie MP
Home Office Ms Kate Hoey MP
Foreign and Commonwealth Office Baroness Symons of Vernham Dean
Department for International Development George Foulkes MP
Department for Culture, Media and Sport Mrs. Janet Anderson MP
Department of the Environment, Transport and the Regions Alan Meale MP
Northern Ireland Office Paul Murphy MP
Welsh Office Peter Hain MP
Scottish Office Lord Sewel

Mr. Gibb

To ask the Prime Minister, pursuant to his oral statement of 23 February 1999,Official Report, columns 179–84, what estimate he has made of the cost to private sector business of conversion to the euro. [73520]

The Prime Minister

[holding answer 26 February 1999]The level of costs would depend on the approach adopted by individual companies. The Outline Changeover Plan should help businesses as they develop their thinking on this issue. Effective preparations undertaken in good time and with a clear planning lead by Government should reduce the total costs involved.

Mr. Gibb

To ask the Prime Minister, pursuant to his oral statement of 23 February 1999,Official Report, columns 179–84, what estimate he has made of the cost to the public sector of conversion to the euro. [73521]

The Prime Minister

[holding answer 26 February 1999]The cost to the public sector of conversion to the euro would depend on the detailed approach that the UK took to the changeover. The outline National Changeover Plan is a first step in planning how the UK would make the changeover to the single currency. A further plan will be published in around a year's time.

The cost to the public sector would also depend on the extent to which organisations are able to build in euro compatibility where IT systems are being upgraded or purchased for other reasons. Effective preparations undertaken in good time and with a clear planning lead by Government should reduce the total costs involved.

Mr. Gibb

To ask the Prime Minister, pursuant to his oral statement of 23 February 1999,Official Report, columns 179–84, what estimate he has made of Government expenditure necessary to inform the public of the facts regarding the euro. [73522]

The Prime Minister

[holding answer 26 February 1999]As outlined in chapter eight of the Outline Changeover Plan, if the UK were to join the single currency, there would need to be provision of practical and objective information delivered to the general public and consumers to enable these groups to deal with each of the phases of the changeover.

The cost of any such public information campaign would depend on the particular requirements of the audiences involved and would also be dependent on the extent to which other bodies (for example, banks and retailers) were themselves providing appropriate information. Effective preparations undertaken in good time and with a clear planning lead by Government should reduce the total costs involved.