EU blueprint 'not totally dead'

The Journal
June 7 2005

EU blueprint 'not totally dead'

Prime Minister Tony Blair has signalled that some elements of the troubled European constitution must be salvaged if the EU is to function properly in the future.

Despite the Government's decision to respond to the French and Dutch 'no' votes by postponing indefinitely the legislation which would pave the way for the UK's own referendum on the document, Mr Blair indicated that the blueprint for managing the expanded EU is not totally a dead letter.

And in an interview with the Financial Times, Mr Blair appeared to offer an olive branch to France and Germany, acknowledging that the economic reform being championed by Britain could not fully dismantle the welfare systems cherished in Paris and Berlin.

In his interview with the FT, Mr Blair suggested that once Europe's peoples could see that its leaders were taking decisive action to tackle fundamental political and economic issues, then the question of the EU's management structures could be addressed again.

Mr Blair said: "I'm not saying I've suddenly woken up and decided the constitution is the wrong thing for Europe to do. It's a perfectly sensible way forward. And at some point Europe is going to have to adopt rules. You can't have a six-month rotating presidency, it's impossible to do that."

If Europe begins the debate on its economic future and achieves some consensus "you will find that people will then give us permission to take Europe forward in what is a necessary set of new rules for Europe. But if what we do is simply stand up and say well we are just carrying on regardless, I think people will rebel against that."

On economic reform, Mr Blair sought to assuage concerns that Britain is seeking to impose an Anglo-Saxon free markets model on her European neighbours.

Mr Blair said: "I don't believe that Europe should relinquish the social model. We should have a strong social model, but it has got to be one for today's world."

The Prime Minister was also asked about the argument over Britain's EU budget rebate. Mr Blair said: "The rebate is going to remain and I don't think anybody disputes that."

But he was not specific about the level at which it would be calculated - it is currently worth a little over £3 billion a year.