EURO BRIEF Out of the loop
Search archive	BRITAIN, Denmark and Sweden have chosen to stay outside Europe’s monetary union. (Greece is keen to join, but needs years to get its economy into shape.) The three voluntary “outs” all have a strong popular attachment to national sovereignty and a deep suspicion of “Brussels” and its ways. They fear that the single currency will bind them irrevocably into a process of European integration that will involve further surrenders of national authority, including “harmonisation” of taxation and economic policy across national boundaries. But they also hate the thought of being marginalised economically—and politically, if decisions start being taken within the “euro-11”. Sweden looks likely to crack first. Public opinion is shifting towards the euro. Last week the national bank was granted the statutory independence it needs in order to join the single currency. After last summer’s referendum on the Amsterdam treaty, Danish government ministers also made clear that they would like to join the euro—though winning a referendum on that would be harder. Britain may also join after its next election in 2001 or 2002, assuming that Tony Blair’s Labour government is re-elected. Mr Blair seems to be betting that public opinion will move in favour of the euro when (and if) the new currency is seen to be working, enabling him to win a promised referendum. But if the existing euro-11 press on too fast with deeper integration, say in the fields of tax or labour-market policies, that could make it harder for Britain—or other outs—to join, widening the gulf that EMU has created in Europe.