Re: Why the EU call us Treasure Island
Originally Posted by
Twink55
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I am not sure I understand what you are saying here Solasch, are you saying that the UK was one of the strongest members in the EU?
If you are, I am wondering why the small players of the EU haven't supported the UK so well in the past.
I wonder how much damage accepting the euro, as their currency did?
Yes, that is what I am saying. Despite the loss of face due to the brexit scenario, it still holds true.
As to support. The UK has the most opt-outs of all EU members. After demanding an opt-out it has to be granted (similar to extensions to article 50). The members take a vote about granting opt outs. You don't think the other large players are in favour of your opt outs? Getting a majority on these vote depended on the small players.
Euro? In 2002 I paid fl. 1,- for a loaf of bread. Now I pay €1,-. That is 220% of what I paid 17 years ago. I don't know what you paid in 2002, but is it 2.2 times as much nowadays?
A quote:
https://www.euractiv.com/section/uk-...d-uk-opt-outs/
For both countries, this means monetary policy remains a domestic issue.
When the financial crisis broke out in 2008, this allowed the UK to introduce quantitative easing much earlier than the the eurozone. Britain is also allowed to run a much higher budget deficit than other member states, as it not subject to the Stability and Growth Pact, which caps public deficits at 3% of GDP.
Former Prime Minister Tony Blair was interested in joining the euro when he first came to power in 1997. But it failed the five economic tests to prove it was in the national interest as laid out by the then-Chancellor of the Exchequer, Gordon Brown.
While none of the major political parties currently want to join the euro, being out also has its downsides.
This became particularly obvious during the eurozone debt crisis, when leaders of countries using the single currency held regular meetings between themselves, leaving Britain outside of the room.
This fuelled concern in Britain that eurozone members would club together and skew the EU single market to their advantage, leaving the UK missing out on the benefits of what it regards as the most important aspect of EU membership.
Yet, this isolationism is also largely self-inflicted. On monetary matters, the UK is unbound by decisions made the European Central Bank or the European System of Central Banks. In return, the UK’s voting rights in the European Council are suspended for issues relating to eurozone matters.
Specifically, the UK has no say over the fixing of exchange rates, as countries join the euro. It also has no say on the appointment of the six executive members of the ECB board, including the president and vice-president.
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