Letter: EMU crisis is eroding our credibility

Mr Giles Radice,Mp
Wednesday 31 January 1996 00:02 GMT
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Sir: Malcolm Rifkind's fellow European foreign ministers could be forgiven for suspecting his motives in talking of a credibility crisis for European economic and monetary union ("UK fights for single currency review", 30 January) when this crisis has, in part, been generated by "unattributable" briefings given by government sources.

Germany's pact to create jobs and France's economic reforms are an indication of the seriousness of their intent to introduce the single currency, not a reason for delay or abandonment. Both countries are taking action to bring about a single currency, and we should not underestimate their willingness to do more to achieve it. The prize of low inflation, low interest rates and low employment in Europe which the discipline of the single currency would foster is not one they will easily give up. Nor should we.

Britain's track record of non-participation is well known among our continental partners. Sadly, the crisis of credibility that the present round of speculation is most likely to cause is a crisis of Britain's credibility in Europe.

Yours sincerely,

Giles Radice

Chairman

European Movement, UK

London, SW1

30 January

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