In the Papers

6th July 2000

THE TIMES

The letter (July 4) from Willard Workman at the US Chamber of Commerce and others makes the case that the "EU, not America, is best for Britain". But it is clear that the argument is presented with the American interest at heart. Its transparency is laudable though its logic is fallacious. The penultimate paragraph states that "Britain is the gateway to Europe" and argues that for this reason we should remain with Europe.

Yet the ability for the US to trade with Britain, a fully paid-up member of the EU, is born of our membership of the World Trade Organisation. The US can trade with us through international treaty. But every EU member state is also a member of the WTO. America does not need us as a bridge or "gateway". It can trade with every EU member state as of a right.

However, as an MP my duty is to argue for the British interest. The UK is the biggest investor in the US and vice versa. We share a common language and legal system. Britain's visible trade with the dollar zone, albeit some in transit through Rotterdam, exceeds that with the eurozone. Sixty-nine per cent of all our foreign direct investment is with the US and Canada. Only 20 per cent is with the EU. So who are we kidding?

Gordon Brown's hesitation in committing to the euro lies in our economic asymmetry to the euro-territories and, irritating to the Government, our synchronicity to the US economy. Japanese companies will argue soon enough for Britain to stay out of the eurozone when, in due course, the economic cycle results in the euro becoming stronger than the pound.