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| Britain and Europe: the essential guide | Britain and Europe: the essential guide |
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| 1. The issue at a glance 2. Why is it being talked about now? 3. A brief history 4. What happens next? 5. The options – and key arguments 6. What does it mean for me? 7. Key players 8. Glossary 9. FAQ 10. Some key figures 11. In greater depth 12. One sentence killer dinner party lines | 1. The issue at a glance 2. Why is it being talked about now? 3. A brief history 4. What happens next? 5. The options – and key arguments 6. What does it mean for me? 7. Key players 8. Glossary 9. FAQ 10. Some key figures 11. In greater depth 12. One sentence killer dinner party lines |
| 1. The issue at a glance | 1. The issue at a glance |
| Nobody under the age of 56 in Britain has been given a vote on Britain's membership of the EU because the first – and only – referendum took place in 1975. Britain is now one of the least enthusiastic members of the 27-strong union after a series of measures which have led to deeper integration. A majority of voters in a recent Observer/Opinium poll said Britain should leave. The 17 members of the eurozone are likely to integrate even further over the coming years, raising questions about the position of the 10 members – led by Britain – that remain outside the currency. | Nobody under the age of 56 in Britain has been given a vote on Britain's membership of the EU because the first – and only – referendum took place in 1975. Britain is now one of the least enthusiastic members of the 27-strong union after a series of measures which have led to deeper integration. A majority of voters in a recent Observer/Opinium poll said Britain should leave. The 17 members of the eurozone are likely to integrate even further over the coming years, raising questions about the position of the 10 members – led by Britain – that remain outside the currency. |
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| 2. Why is it being talked about now? | 2. Why is it being talked about now? |
| David Cameron believes Britain's membership of the EU can only be stabilised by agreeing a "new settlement" in which some powers would be repatriated from Brussels back to Britain. He will seek a negotiating mandate in the Conservative general election manifesto. The new terms would be put to voters in a referendum. The prime minister believes he is acting in the national interest by achieving a goal that eluded Tony Blair – achieving a settled position on the EU. There is also a party interest – the vast majority of Tory MPs want a referendum. | David Cameron believes Britain's membership of the EU can only be stabilised by agreeing a "new settlement" in which some powers would be repatriated from Brussels back to Britain. He will seek a negotiating mandate in the Conservative general election manifesto. The new terms would be put to voters in a referendum. The prime minister believes he is acting in the national interest by achieving a goal that eluded Tony Blair – achieving a settled position on the EU. There is also a party interest – the vast majority of Tory MPs want a referendum. |
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| 3. A brief history | 3. A brief history |
| Britain initially spurned the European Economic Community, founded in the Treaty of Rome in 1957, on the grounds that the UK was a global power with horizons beyond the European continent. When Britain applied to join in 1963, the then French president, Charles de Gaulle, said "non" – a view he repeated in 1967 – on the grounds that Britain was hostile to European integration. Britain eventually joined the EEC in January 1973. | Britain initially spurned the European Economic Community, founded in the Treaty of Rome in 1957, on the grounds that the UK was a global power with horizons beyond the European continent. When Britain applied to join in 1963, the then French president, Charles de Gaulle, said "non" – a view he repeated in 1967 – on the grounds that Britain was hostile to European integration. Britain eventually joined the EEC in January 1973. |
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| 4. What happens next? | 4. What happens next? |
| The prime minister will have little room for manoeuvre until the next election because his coalition deputy, Nick Clegg, has described his plans to repatriate powers as a "false promise wrapped in a union jack". Cameron will therefore have to wait at least two and a half years before he can table demands to repatriate powers in the areas of social and employment law in future EU negotiations on a revision of the Lisbon treaty. This could be necessary if the 17 members of the eurozone move towards creating a fiscal union. Britain will have a power of veto even though it has a legal opt-out from the euro. | The prime minister will have little room for manoeuvre until the next election because his coalition deputy, Nick Clegg, has described his plans to repatriate powers as a "false promise wrapped in a union jack". Cameron will therefore have to wait at least two and a half years before he can table demands to repatriate powers in the areas of social and employment law in future EU negotiations on a revision of the Lisbon treaty. This could be necessary if the 17 members of the eurozone move towards creating a fiscal union. Britain will have a power of veto even though it has a legal opt-out from the euro. |
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| 5. The options – and key arguments | 5. The options – and key arguments |
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| 6. What does it mean for me? | 6. What does it mean for me? |
| Any eligible voter in the UK will be allowed to vote in a referendum – the first UK-wide vote since the AV referendum in 2011. | Any eligible voter in the UK will be allowed to vote in a referendum – the first UK-wide vote since the AV referendum in 2011. |
| Any powers repatriated to Britain would be a matter for the UK parliament, rather than the institutions of the EU. | Any powers repatriated to Britain would be a matter for the UK parliament, rather than the institutions of the EU. |
| A question mark over Britain's future membership of the EU may threaten some jobs if inward investors are deterred from opening factories in Britain, which has marketed itself for 20 years as the "gateway" to the single market, in the words of the retired diplomat Sir Nigel Sheinwald. | A question mark over Britain's future membership of the EU may threaten some jobs if inward investors are deterred from opening factories in Britain, which has marketed itself for 20 years as the "gateway" to the single market, in the words of the retired diplomat Sir Nigel Sheinwald. |
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| 7. Key players | 7. Key players |
| David Cameron: The prime minister is an instinctive Eurosceptic who witnessed first-hand the dangers of European integration when he was special adviser to the former chancellor Norman Lamont on Black Wednesday – the day Britain tumbled out of the European exchange rate mechanism. Unlike some members of the cabinet, Cameron believes Britain should remain in the EU, but on different terms. | David Cameron: The prime minister is an instinctive Eurosceptic who witnessed first-hand the dangers of European integration when he was special adviser to the former chancellor Norman Lamont on Black Wednesday – the day Britain tumbled out of the European exchange rate mechanism. Unlike some members of the cabinet, Cameron believes Britain should remain in the EU, but on different terms. |
| Angela Merkel: In the end, the prime minister's European strategy will be decided by the leader of Europe's largest economy, assuming she wins re-election in September. The German chancellor likes and respects Cameron – they have bonded over DVDs of Midsomer Murders at Chequers – and appreciates the political pressures on the prime minister. But her patience is not finite, as she demonstrated in December 2011 when she pressed ahead with a eurozone compact treaty outside the EU when Cameron wielded the British veto. | Angela Merkel: In the end, the prime minister's European strategy will be decided by the leader of Europe's largest economy, assuming she wins re-election in September. The German chancellor likes and respects Cameron – they have bonded over DVDs of Midsomer Murders at Chequers – and appreciates the political pressures on the prime minister. But her patience is not finite, as she demonstrated in December 2011 when she pressed ahead with a eurozone compact treaty outside the EU when Cameron wielded the British veto. |
| Ed Miliband: The Labour leader will be a key figure in shaping the debate over the next two years even though he is not in government. He has rejected a referendum on the terms suggested by Cameron, citing Lord Heseltine who warned of an "unnecessary gamble" in calling a vote before negotiations have even started. But Miliband does not want to close off the option of a referendum because Labour could be vulnerable at the next election to Conservative attacks of denying people a say. | Ed Miliband: The Labour leader will be a key figure in shaping the debate over the next two years even though he is not in government. He has rejected a referendum on the terms suggested by Cameron, citing Lord Heseltine who warned of an "unnecessary gamble" in calling a vote before negotiations have even started. But Miliband does not want to close off the option of a referendum because Labour could be vulnerable at the next election to Conservative attacks of denying people a say. |
| Nick Clegg: The deputy prime minister is the single reason why the Tories cannot fulfil the commitment in their manifesto for the last election to repatriate powers on criminal matters and on social and employment legislation in the Charter of Fundamental Rights. The compromise in the coalition agreement was to guarantee that a referendum would be held the next time any powers are passed from Britain to the EU. The Liberal Democrats had said in their manifesto for the last election that an in-or-out referendum should be held if Britain signs up "for fundamental change". | Nick Clegg: The deputy prime minister is the single reason why the Tories cannot fulfil the commitment in their manifesto for the last election to repatriate powers on criminal matters and on social and employment legislation in the Charter of Fundamental Rights. The compromise in the coalition agreement was to guarantee that a referendum would be held the next time any powers are passed from Britain to the EU. The Liberal Democrats had said in their manifesto for the last election that an in-or-out referendum should be held if Britain signs up "for fundamental change". |
| Andrea Leadsom: The backbench MP and former banker is fast emerging as a key voice among Tory Eurosceptics who want to remain within the EU but on radically different terms. One of the main driving forces behind the Fresh Start group, Leadsom is taken seriously by ministers because she is not working to take Britain out of the EU. The prime minister will need to retain the support of the Fresh Start group in any renegotiations if he is to hold his party together. | Andrea Leadsom: The backbench MP and former banker is fast emerging as a key voice among Tory Eurosceptics who want to remain within the EU but on radically different terms. One of the main driving forces behind the Fresh Start group, Leadsom is taken seriously by ministers because she is not working to take Britain out of the EU. The prime minister will need to retain the support of the Fresh Start group in any renegotiations if he is to hold his party together. |
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| 8. Glossary | 8. Glossary |
| Repatriate powers: The process by which Britain would return some powers to Westminster that have been ceded by previous governments over the last 40 years. | Repatriate powers: The process by which Britain would return some powers to Westminster that have been ceded by previous governments over the last 40 years. |
| Lisbon treaty: Signed in 2007, the treaty provides the legal basis for the functioning of the EU. This will have to be amended to provide a legal basis for greater fiscal co-ordination, giving Britain a chance to table its demands because all 27 members of the EU would have a power of veto. | Lisbon treaty: Signed in 2007, the treaty provides the legal basis for the functioning of the EU. This will have to be amended to provide a legal basis for greater fiscal co-ordination, giving Britain a chance to table its demands because all 27 members of the EU would have a power of veto. |
| European council: The leaders of the 27 EU member states meet in the European council at least three times a year (March, June and December) though they have held more frequent meetings during the eurozone crisis. Their consent is usually needed to amend any EU treaty. | European council: The leaders of the 27 EU member states meet in the European council at least three times a year (March, June and December) though they have held more frequent meetings during the eurozone crisis. Their consent is usually needed to amend any EU treaty. |
| Ordinary Revision Procedure (ORP): The lengthy way of revising an EU treaty which involves the convening of an inter-governmental conference (IGC) – the European Council in a special session – and in some cases a convention comprising representatives of EU leaders, the European commission, members of the European parliament and national parliaments. Unanimous agreement is needed in the IGC. | Ordinary Revision Procedure (ORP): The lengthy way of revising an EU treaty which involves the convening of an inter-governmental conference (IGC) – the European Council in a special session – and in some cases a convention comprising representatives of EU leaders, the European commission, members of the European parliament and national parliaments. Unanimous agreement is needed in the IGC. |
| Simplified Revision Procedure (SRP): A new way of revising EU treaties established in the Lisbon treaty. Unanimity is required in the European council, though a convention and an IGC are not needed under this procedure. It cannot be used to extend the "competences of the EU", boosting its powers. | Simplified Revision Procedure (SRP): A new way of revising EU treaties established in the Lisbon treaty. Unanimity is required in the European council, though a convention and an IGC are not needed under this procedure. It cannot be used to extend the "competences of the EU", boosting its powers. |
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| 9. FAQ | 9. FAQ |
| • Why did Britain join the EEC in 1973? | • Why did Britain join the EEC in 1973? |
| Ted Heath, the late Conservative prime minister who took Britain into the EEC, saw two broad reasons for joining an organisation initially spurned by the UK. First, he wholeheartedly agreed with the vision of Jean Monnet, the father of the EU, that political and economic integration was the best way of avoiding war on the continent. Heath also thought that Britain should anchor its economic future with its nearest neighbours. | Ted Heath, the late Conservative prime minister who took Britain into the EEC, saw two broad reasons for joining an organisation initially spurned by the UK. First, he wholeheartedly agreed with the vision of Jean Monnet, the father of the EU, that political and economic integration was the best way of avoiding war on the continent. Heath also thought that Britain should anchor its economic future with its nearest neighbours. |
| • Why was a referendum held in 1975, two years after Britain had joined? | • Why was a referendum held in 1975, two years after Britain had joined? |
| Harold Wilson pledged in the Labour manifesto for the February 1974 election, in which his party finished first, to "seek a fundamental re-negotiation of the terms of entry" after the Heath government made a "profound political mistake" in the entry terms. This was then to be put to the people in a general election or a consultative referendum. | Harold Wilson pledged in the Labour manifesto for the February 1974 election, in which his party finished first, to "seek a fundamental re-negotiation of the terms of entry" after the Heath government made a "profound political mistake" in the entry terms. This was then to be put to the people in a general election or a consultative referendum. |
| • What would withdrawal from the EU mean for Britain? | • What would withdrawal from the EU mean for Britain? |
| Britain would notice an immediate difference on the diplomatic stage. It would lose its membership of the quartet (US, Russia, UN and EU) which is the internationally recognised body for negotiating in the Middle East. But Britain would still retain its permanent seat on the UN security council. | Britain would notice an immediate difference on the diplomatic stage. It would lose its membership of the quartet (US, Russia, UN and EU) which is the internationally recognised body for negotiating in the Middle East. But Britain would still retain its permanent seat on the UN security council. |
| Britain would have the power to negotiate its own trade deals with other countries, rather than relying on the European trade commissioner. But Britain would enter such negotiations as a country of 62 million people and not as a member of a 500 million-strong bloc. | Britain would have the power to negotiate its own trade deals with other countries, rather than relying on the European trade commissioner. But Britain would enter such negotiations as a country of 62 million people and not as a member of a 500 million-strong bloc. |
| • Would Britain cease to have any relationship with the EU if it left? | • Would Britain cease to have any relationship with the EU if it left? |
| If Britain made a clean break, known as the World Trade Organisation option, it would not be bound by any rules, other those the EU imposes on trading partners. If it went for one of the three other options – the Norway, Swiss or Turkish options – it would have to comply with varying degrees of rules to gain access to the single market. It would also have to pay an associate membership fee. | If Britain made a clean break, known as the World Trade Organisation option, it would not be bound by any rules, other those the EU imposes on trading partners. If it went for one of the three other options – the Norway, Swiss or Turkish options – it would have to comply with varying degrees of rules to gain access to the single market. It would also have to pay an associate membership fee. |
| • Why does the US want Britain to be a member of the EU? | • Why does the US want Britain to be a member of the EU? |
| The US has believed that in the post-war period the best way to ensure stability on the European continent is for former warring countries to integrate. Washington also believes that Britain provides a special link into the EU. | The US has believed that in the post-war period the best way to ensure stability on the European continent is for former warring countries to integrate. Washington also believes that Britain provides a special link into the EU. |
| • Would there be job losses if Britain left the EU? | • Would there be job losses if Britain left the EU? |
| The Britain in Europe pressure group, set up in 1999 to lay the ground for British membership of the euro, faced embarrassment when it claimed that 3.5m jobs could be at risk if Britain left the EU. This was the number of jobs directly involved in, or related to, British trade with the EU. | The Britain in Europe pressure group, set up in 1999 to lay the ground for British membership of the euro, faced embarrassment when it claimed that 3.5m jobs could be at risk if Britain left the EU. This was the number of jobs directly involved in, or related to, British trade with the EU. |
| This number jobs would not disappear because the UK would continue to trade with its European partners. But the terms of trade would change: British firms would face new tariffs and overseas investors, who see Britain as the "gateway" to the single market, might take their investments elsewhere. | This number jobs would not disappear because the UK would continue to trade with its European partners. But the terms of trade would change: British firms would face new tariffs and overseas investors, who see Britain as the "gateway" to the single market, might take their investments elsewhere. |
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| 10. Some key figures | 10. Some key figures |
| • Amount of UK laws based on EU laws: From 1997-2009 in the UK 6.8% of primary legislation and 14.1% of secondary legislation was introduced to implement EU obligations. | • Amount of UK laws based on EU laws: From 1997-2009 in the UK 6.8% of primary legislation and 14.1% of secondary legislation was introduced to implement EU obligations. |
| Source: How much legislation comes from Europe? House of Commons research paper 10/62 | Source: How much legislation comes from Europe? House of Commons research paper 10/62 |
| • EU budget: The European commission would like to see the budget increase to €1,053.2bn in the next seven-year framework, due to run from 2014-20. The European council president has proposed cutting this to €973.2bn. | • EU budget: The European commission would like to see the budget increase to €1,053.2bn in the next seven-year framework, due to run from 2014-20. The European council president has proposed cutting this to €973.2bn. |
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| 11. In greater depth | 11. In greater depth |
| Articles on Britain leaving the EU: | Articles on Britain leaving the EU: |
| • Daniel Hannan MEP's Daily Telegraph blog on how leaving "should hold no horrors for Britain" if acceptable new terms cannot be negotiated | • Daniel Hannan MEP's Daily Telegraph blog on how leaving "should hold no horrors for Britain" if acceptable new terms cannot be negotiated |
| • Tory MP Douglas Carswell's blog on the advantages of leaving the EU | • Tory MP Douglas Carswell's blog on the advantages of leaving the EU |
| Pro-European case for a referendum: | Pro-European case for a referendum: |
| • Financial Times leading article, 10 January 2013 | • Financial Times leading article, 10 January 2013 |
| • Gideon Rachman's FT column on why the US was right to voice concerns about the UK's European strategy, 12 January 2013 | • Gideon Rachman's FT column on why the US was right to voice concerns about the UK's European strategy, 12 January 2013 |
| • James Forsyth's Spectator column on how Cameron could leave the EU by accident, 12 January 2013 | • James Forsyth's Spectator column on how Cameron could leave the EU by accident, 12 January 2013 |
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| 12. the One sentence killer dinner party line on: | 12. the One sentence killer dinner party line on: |
| Repatriation of powers and referendum: "The British people thought they were joining a common market in 1973 and have ended up in an organisation that has the characteristics of an undemocratic federal union." | Repatriation of powers and referendum: "The British people thought they were joining a common market in 1973 and have ended up in an organisation that has the characteristics of an undemocratic federal union." |
| Treading carefully over repatriation of powers and a referendum: "Britain cannot lecture France and Germany on the need to integrate the eurozone and then threaten to veto the treaty that would achieve that goal." | Treading carefully over repatriation of powers and a referendum: "Britain cannot lecture France and Germany on the need to integrate the eurozone and then threaten to veto the treaty that would achieve that goal." |
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