Kennedy says delays in Euro decision are costing mortgage payers £50 a month

12.04.08pm BST (GMT +0100) Tue 13th May 2003

Charles Kennedy, leader of the Liberal Democrats, made a call today for a clear timetable for a Referendum on joining the single currency.

Speaking to a Britain in Europe audience at the Institute of Civil Engineers in London, he said; 'If the Prime Minister and the Chancellor duck the issue of a referendum yet again, we will have lost more than a historic opportunity to join the single currency.

We will also have lost the chance to rebuild British credibility in Europe.'

Mr Kennedy said other EU nations were fed up with Britain:

'There is growing evidence that those in the eurozone are becoming impatient with the semi-detached approach. Up until now, the countries which have not adopted the euro have been taking part in the preparatory meetings for the monthly meetings of the eurogroup.

That is to stop this autumn. It is the sign of things to come: France and Germany on the inside track. Britain on the outside with Estonia and Slovenia.'

On the costs to British consumers of staying out of the Euro he said: 'Consider these facts. There are only four countries in the EU which are poorer (or more unequal) than the UK, measured by GDP per head; the UK is the rip-off capital of Europe with prices higher than anywhere else except Scandinavia; our manufacturing growth is the lowest in the EU; UK business investment in research and technology is the lowest in the EU; UK productivity is well below our main European competitors.

Because we are outside the Euro, UK investment has fallen faster than all our competitors, and British consumers pay higher prices on everything from cars to CD's. Delaying a decision on the Euro is not a neutral option – every year outside the Euro our share of investment has declined, costing prosperity and jobs.

Any delay in the decision would continue to cost an average mortgage payer £50 a month in higher interest, let alone continuing rip offs on our high streets. British shoppers are paying more for ordinary shopping than in France, Germany or Spain – the real cost of Labour's indecision to British consumers.'

Mr Kennedy urged the Prime Minister to act: 'The Prime Minister said of Iraq that he did not wish to be judged by history as the man who knew of a threat and did nothing. I sincerely hope that our PM will not be remembered as the man who saw a golden opportunity and did nothing.

I urge him today to go down in history as the Prime Minister who recognized Britain's destiny and seized the moment.'