FRANCE was expected to urge Britain last night to back deeper European integration in order to save the euro.
France say Britain risks facing catastrophe for its own economy if the currency fails.
French Prime Minister Francois Fillon told The Times he would take his message to his British counterpart, David Cameron, at talks in London that come after a day of respite for the embattled currency.
Portugal, the latest euro state under pressure after Greece and Ireland, successfully raised E1.25 billion ($1.64bn) from the markets, slightly easing its debt emergency.
“Europe finds itself at an historic turning point. The real question right now is whether we keep building on this adventure or whether we leave it at that,” Mr Fillon said.
“In order to consolidate the euro we will need gradually to harmonise our economic, fiscal and social policies, hence we are going to go towards greater integration. We are going to need to put in place an economic system of governance for the euro zone. Great Britain is not part of the euro zone; at the same time, the decision we will take will have great importance to Britain.”
Mr Fillon warned that the British must be careful not to find themselves left behind. “I am sure the UK has its own dynamics and history, I am sure it has its own culture, its own economic assets,” he said. “The question is: is the UK ready to accept or encourage greater integration of the euro zone or is the UK distrustful of that and will it create obstacles and make it more difficult to happen?”
Mr Fillon added that Britain was so closely tied to the EU’s internal market that “it would be a catastrophe and a disaster for Great Britain itself if the euro failed”.
Mr Fillon cast himself as a friend of Britain, speaking of his fondness for its history and traditions, from Winston Churchill to baked beans. France could do with British-style pubs, he said. His wife, Penny, is from Wales.
Mr Fillon’s message echoes the belief of President Nicolas Sarkozy that it is in Britain’s interest to put aside its doubts about the EU in order to help to keep the euro afloat and to bolster Europe’s global might.
“Great Britain is one of the major powers of this world. If it left the EU, the EU would be left much weaker and I do not believe Great Britain would have much to gain,” he said.
A former Eurosceptic, the conservative Mr Fillon said London and Paris could bridge their differences over EU spending, industrial policy and so on. “I am convinced that while remaining faithful to his own values, he will find a way for Britain not to pull out, but on the contrary to play a more proactive role,” he added.
Mr Fillon was clear that abandonment of the euro was unthinkable for France. “Turning back on the euro would . . . mark the end of Europe as a process for a very long time,” he said.
It was not a mistake to allow in Portugal and Greece because major crises would have emerged had the currency been limited to rich members, he added.
Momentum was building among the member states to defend the euro by all means, he added. In recent days, euro-zone leaders have intensified efforts to stem the crisis, with discussions focused on boosting the region’s E440bn ($578bn) rescue facility, the European Financial Stability Fund. Rates on existing crisis loans may also be trimmed amid concerns that the aid offered to Greece and Ireland was too costly.
After meeting Italian Prime Minister Silvio Berlusconi yesterday, German Chancellor Angela Merkel said her country “will do what is necessary so that the euro remains stable”. She added that the Portuguese bond sale “went really decently, and I think that is good news”.
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