Europe and the UK: adopting the Euro as a currency

The European Union today is a political and economic entity that controls in a single market located mostly in Europe exploiting Euro as a single currency uniting the vast majority of its members. The market that all European Union members share provides free trade of goods and services as well as a common external tariff. One might argue that the European Union would not perceptible its current influence had it not been for the introduction of the Euro. Speaking of the benefits of the Euro, one can name the elimination of exchange rate problems, creation of a single financial market, providing price stability, low interest rates as well as being a political symbol of unity and commitment to the Union. Today, Euro is the second reserve currency in the entire world - a fact that clearly speaks for itself of its value in the global market.

British domestic politics over Euro:

However, there are many countries that have not yet adopted the Euro and have remained incredulous about it. Two countries that fit into this example are the UK and Denmark. The UK’s reluctances to adopt the Euro has begun with its opt-out of the Maastricht Treaty that was signed in 1992 by all members of the European Community and has led to the creation of euro. Within the Conservative Party John Major, who was at that time the Prime Minister of Great Britain, was considered “pro-Euro”, as he pledged to keep Britain “at the very heart of Europe”. However, as his government was endorsing the Treaty, he was faced with strong antagonism in the House of Commons that consisted mostly of the so-called Maastricht Rebels who were members of his own Conservative Party rather than the Labour opposition. The endorsement was voted down and Major’s authority in Parliamen...

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...with the dollar. He also points out that joining the Euro will boost up the inflation rates within the country, as the European inflation rates are currently higher than those of Britain. As for jobs, Browne believes that joining the Euro would destroy British jobs and would repel foreign investors, as it would be a profound shock to the economy and decrease Britain’s effectiveness in the business world. It would no longer be the country that has both - access to the European market and a separate secure currency closely tied with the dollar. The government of Tony Blair has heard many forecasts that multinational corporations will seek business elsewhere if Britain does join the Euro. Even the simple costs of retraining personnel, buying new machines and accounting systems would impose a burden on small businesses in the UK when changing the national currency.