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EU exit would harm Britain's economy, CBI chief warns
European Union ‘fundamental to UK’s economic future’ says CBI boss
(35 minutes later)
Britain's economic success depends on it remaining a full member of the EU, CBI director general John Cridland has said.
The head of the country’s biggest business group has claimed that Britain remaining a full member of the European Union is “fundamental” to the UK’s economic success.
Mr Cridland told the Observer EU membership supported jobs, growth and the UK's "competitiveness".
John Cridland, the director general of Britain’s biggest business group, CBI, told the Observer that the UK’s membership of the EU “supports jobs, drives growth, and boosts our international competitiveness”.
The comments come after Prime Minister David Cameron lost a vote on the next president of the European Commission.
He said the EU is the UK’s biggest export market and that it “remains fundamental to our economic future”.
He told The Observer: "The EU is our biggest export market and remains fundamental to our economic future. Our membership supports jobs, drives growth and boosts our international competitiveness."
Cridland’s comments come as David Cameron warned that Jean-Claude Juncker’s appointment as president of the EU Commission would make it harder to persuade the UK’s public to remain in Europe in the run up to the promised in/out referendum in 2017.
He dismissed the idea that Britain could be just as successful outside the EU with some form of associate membership status, a suggestion favoured by some Conservatives.
His warning came after being defeated in his attempts to stop Juncker being voted in as president.
He said: "Alternatives to full membership of the EU simply wouldn't work, leaving us beholden to its rules without being able to influence them. We will continue to press the case for the UK remaining in a reformed European Union."
The leader of the CBI, which lobbies on behalf of businesses, discarded the idea held by some Conservatives that an alternative to the UK’s full membership of the EU would still allow the country’s economy to thrive, with some form of associate membership status in place.
The Prime Minister also came under fire from the leader of the opposition Ed Miliband who warned Mr Cameron poses a "real and present danger" to the British economy.
Cridland said the idea “simply wouldn’t work”, and that it would leave the UK “beholden to [the EU’s] rules without being able to influence them.”
The Labour leader said the "debacle" over the arch-federalist's nomination had taken the UK closer to the "exit door" that could put three million jobs and tens of thousands of businesses at risk.
He added: “We will continue to press the case for the UK remaining in a reformed European Union.”
Health Secretary Jeremy Hunt accused EU leaders of "cowardice" for backing the former Luxembourg premier as the next president of the European Commission and insisted British voters would be "proud" of the Prime Minister.
Labour leader Ed Miliband claimed that Cameron’s failure to stop Juncker’s appointment as president of the Commission showed that the prime minister poses a “real and present danger” to the British economy.
But, writing for the Sunday Times, Mr Miliband claimed that Mr Cameron had demonstrated that he "is incapable of reforming Europe".
He said the "debacle" over Juncker's nomination had taken the UK closer to the "exit door" that could put three million jobs and tens of thousands businesses at risk.
"The lesson of the Juncker debacle is that David Cameron and the Conservative Party now pose a real and present danger to our economy," he wrote.
Writing in the Sunday Times, Miliband said Cameron is “incapable of reforming Europe”.
"He could not build alliances and his threats succeeded only in turning a Europe that was divided over the best candidate for commission president into a Europe united against him.
He said: “[Cameron] could not build alliances and his threats succeeded only in turning a Europe that was divided over the best candidate for the Commission president into a Europe united against him.
"There can be no better indicator of how a Conservative government would damage Britain's national interest and Britain's businesses if it were to win a second term next year.
“There can be no better indicator of how a Conservative government would damage Britain’s national interest and Britain’s businesses if it were to win a second term next year.”
"Mr Cameron blusters about bullying 27 other member states into agreeing fundamental treaty change before a referendum on withdrawal.
"But the isolation he achieved this week is not 'splendid'. It shows he is incapable of reforming Europe and his strategy of getting change by making threats to leave to get change does not work.
"All it does is take Britain closer to an exit door through which three million British jobs and tens of thousands of businesses could disappear.
"By contrast, it is a Labour government that would win the argument and build alliances for the reform that is much-needed and entirely possible: a budget and institutions that support jobs and growth, rules on immigration and benefits that recognise the needs for change and greater powers for national parliaments."
Mr Hunt attacked EU premiers for saying they would oppose the arch-federalist's nomination in private only to then support him publicly.
He said: "As a result of cowardice yesterday from other leaders who weren't prepared to stand up in public and say the things they had said in private, they're going to have to work a lot harder to persuade the British people that Europe can be trusted with a proper reform agenda that's going to make it strong and competitive in a very tough global economy."
After the defeat Mr Cameron conceded that he faces a tougher fight to persuade Britons to vote to remain in the EU.
But Nigel Farage said the drubbing showed Mr Cameron would not be able to renegotiate Britain's relationship with Brussels and claimed EU leaders would rather see the UK leave than thrash out a substantial new deal.
He told BBC Radio 4's Today programme: "In terms of the fundamental changes that the British people really want in this relationship, namely we want a trade deal and not membership of a political union, I would say this to you: the other European leaders and certainly the European Parliament would rather the United Kingdom left the EU than start to pick apart the treaties because if they do that they know there'll be half a dozen other northern European countries that will demand the same."
Sweden's prime minister Fredrik Reinfeldt said he was willing to "walk the extra mile" to address British concerns over the EU.
He said the strategic agenda agreement took into account UK concerns over an ever closer union.
"Just look into what we have written in our conclusions," he told Today.
"You will find references with text, which I think is very important for David Cameron, saying this ever-closer union perception is maybe not the best for everyone."
