Commission pledges temporary hold on pro-euro propaganda

Date: 19/06/03

By Peter Chapman

THE European Commission has vowed to hold fire on its pro-euro "propaganda" until the Swedes or, later, the British people have made up their own minds to ditch their national currencies.

Peter Blackie, head of the information and communications unit that sells the single currency to the European public, said the EU executive would be rightly criticized for interfering in domestic politics if it stepped in with pro-euro publicity such as leaflets, billboard adverts and TV commercials before the people have spoken.

Sweden's pro-euro lobby could probably do with a helping hand ahead of the country's 14 September referendum. An opinion poll showed "No" campaigners enjoy a 10.5-point lead.

But the aide to Finance Commissioner Pedro Solbes, who earlier reassured sceptical MEPs such as UK Tory Theresa Villiers, told European Voice: "We are not going to finance the information campaigns during the referendum debate in Sweden.

"In other words we are not going to intervene in the political process and neither would we in the UK. Neither would we expect them to ask for money before the results [of the referenda]. Most people recognize we would not be seen as neutral or unbiased in this particular issue."

However the finance official said the Commission is on standby to pledge millions of euro to inform people about the benefits of the single currency if and when they vote "Yes".

"If the Swedes say "Yes" on 14 September, the Commission would be ready to co-finance a communications campaign but the point is, we are not going to intervene even though there are some people who would like us to give factual information."

Blackie said the Commission already has a total euro promotion budget of around €2.5 million for next year, with some cash available for Swedish information efforts during the end of this year.

"We don't have a specific allocation for Sweden for this year, but we are quite convinced we could find it if we need to," he said.

It is likely more cash would be found, too, if the UK unexpectedly opts for euro membership during 2004, he added.

The euro politics pledge comes as the issue hits the top of the agenda in two countries.

Swedish Prime Minister Göran Persson is pinning his hopes on a referendum over joining the currency in September.

In Britain, Chancellor of the Exchequer Gordon Brown has just deduced that the economy is not yet ready to ditch the pound. He said the country had not met his self-imposed "five economic tests" designed to measure the convergence between the UK and continental economies.

That put the lid for now on one of the fiercest debates in British political history.

But the calm won't last long because the finance chief promised to run another health check early next year to see if the UK's economy is sufficiently in line with the eurozone. If he thinks the time is right, British voters will go to the polls.