HM Treasury News Release
118/97                                       8 October 1997
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            IN OR OUT BRITAIN MUST BE READY FOR EMU
                                
           Helen Liddell takes EMU debate to Scotland


The decision to join EMU will centre round one simple question
 What is best for Britain?", Economic Secretary, Helen Liddell
said today.

Speaking to an audience of businessmen and women and local
authority leaders in Glasgow the Minister re-affirmed that the
Government's position had not changed and that there remained
formidable obstacles to entry in the first wave.

Mrs Liddell said:

     "We will keep our options open. Take the right decisions
     at the right time. Not weaken our negotiating position.

     "We must be confident that the single currency will
     deliver higher growth, stability and a lasting increase
     in jobs for the UK."

Britain's decision to join would be set against five key tests
- tests that would ensure that our best interests are
protected. The Minister went on to outline those tests:

     "What's best for Britain means what's best able to
     provide more jobs, secure jobs, greater prosperity,
     higher growth and economic stability, without ever
     weakening or damaging our democracy.

     "EMU must create better conditions for investment, have a
     beneficial effect upon our financial services, which are
     unrivalled in Europe, be flexible enough to deal with
     problems as they arise and ensure that the business
     cycles and economic structures of the UK and the rest of
     the membership of the EU look likely to remain
     compatible."

For countries to benefit from EMU there has to be genuine
convergence among the economies taking part. EMU must be built
on the strong foundation of long-term growth and jobs in
Europe, the Minister said.



She continued:

     "Every single country in Europe, whether or nor they
     intend to join in the first wave, has a strong vested
     interest in ensuring that EMU goes ahead on a sustainable
     basis and is good for prosperity, jobs and stability.

     "Currency union is not a  suck it and see' option."

The Minister also set out the measures which the Treasury had
taken to widen the debate on EMU. She said:

     "We want to make sure that the people, as well as
     business, have the maximum understanding of what a single
     currency will mean."

The measures include:

*    a summary of the Currie report on the pros and cons of
     EMU. 17,000 copies have been sent to businesses,
     universities, schools and the wider public;
*    a practical guide for businesses to inform them about
     preparations they need to make for EMU. 35,000 copies
     have been sent out; and
*    a new advisory group, appointed by the Chancellor, to
     examine the practical implications for business of EMU.

The Economic Secretary was also clear that flexible labour
markets are very important to creating and maintaining jobs
but she also stressed that flexibility means the right
conditions for workers and must not be a short cut to low
employment standards.

The Minister also said:

     "We are clear that we need to set a new agenda for
     employability growth, job creating adaptability and
     social inclusion in Europe."

In her speech Mrs Liddell went on to outline what the
Government means by  employability' - ensuring that people
have the skills, knowledge and adaptability to enable them to
get a job and keep it.

NOTES TO EDITORS

1.   Media copies of the Minister's speech are available from
the Treasury Press Office on 0171 270 5185. Other copies are
available from the Treasury Public Enquiry Unit on 0171 270
4558.

2.   If you have access to the Internet you can find this
information at http://www.hm-treasury.gov.uk. Material on
other Treasury matters can also be found at this address.