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UK officials 'to observe negotiations' over EU deal UK officials 'to observe negotiations' over EU deal
(40 minutes later)
The UK has been asked to play a role in negotiations over a proposed EU-wide fiscal pact despite refusing to sign up to the proposed agreement. The UK has been asked to play a role in negotiations over an EU-wide fiscal pact despite refusing to sign up to the proposed agreement.
href="http://www.ft.com/home/uk" >The Financial Times reported that UK officials were likely to have "observer status" at talks starting next week. No 10 said the UK would participate in "technical discussions" over the accord since, although not an active participant, it wanted it to succeed.
The Financial Times reported that UK officials might have "observer status".
This would enable the UK to monitor discussions on the role EU institutions may play in enforcing the deal.This would enable the UK to monitor discussions on the role EU institutions may play in enforcing the deal.
David Cameron's decision to veto a treaty change led to a huge row between the Conservatives and Lib Dem partners. David Cameron's decision to veto a treaty change of all 27 EU members last week led to a huge row between the Conservatives and Lib Dem partners.
The UK declined to sign up to the agreement - which proposes central oversight of EU members' budgets, tougher sanctions for overspending and moves towards tax harmonisation - because of a lack of satisfactory safeguards on financial regulation.The UK declined to sign up to the agreement - which proposes central oversight of EU members' budgets, tougher sanctions for overspending and moves towards tax harmonisation - because of a lack of satisfactory safeguards on financial regulation.
'Right way forward'
Labour have said the outcome has left the UK isolated in Europe and unable to influence key decisions affecting the economy.Labour have said the outcome has left the UK isolated in Europe and unable to influence key decisions affecting the economy.
But the coalition government has insisted that it remains committed to being fully engaged in Europe and co-operation in a wide range of areas.But the coalition government has insisted that it remains committed to being fully engaged in Europe and co-operation in a wide range of areas.
According to the FT, the UK has been invited to sit in on negotiations over the coming weeks to formalise last week's deal on closer integration. The UK has now accepted an invitation to sit in on negotiations in the coming weeks to formalise last week's outline deal.
Although much of what is discussed is not likely to directly affect the UK, the paper said it would enable the UK to "keep tabs" on the key issue of whether the EU Commission and other EU-wide bodies can be used to enforce and monitor rules applying to the new grouping. Although much of what is discussed is not likely to directly affect the UK, the BBC's political correspondent Vicki Young said that with Treasury officials included in the European working group, Britain will be able to keep a close eye on deliberations.
The BBC's political correspondent Vicki Young said that with Treasury officials included in the European working group, Britain will be able to keep a close eye on what is being discussed by the Eurozone countries. No 10 said that, in a phone call with European Council president Herman van Rompuy on Thursday, the prime minister "reiterated he wants the new fiscal agreement to succeed and to find the right way forward that ensures the EU institutions fulfil their role as guardian of the EU Treaty on issues such as the single market".
'Boost confidence'
"That's why we have agreed to participate in technical discussions to take forward this work," a spokesman added.
Whether the EU Commission and other EU-wide bodies can be used to enforce and monitor rules applying to the new grouping is likely to be one of the most controversial points up for discussion.
No 10 also confirmed the UK would take part in an informal summit of all 27 EU members in January focused on boosting jobs, growth and competitiveness.
France and Germany want the new agreement to be concluded as soon as possible to help boost confidence in the eurozone but the nine other countries outside the single currency area have said they will need Parliamentary approval before they can agree to take part.France and Germany want the new agreement to be concluded as soon as possible to help boost confidence in the eurozone but the nine other countries outside the single currency area have said they will need Parliamentary approval before they can agree to take part.