Wednesday, October 15, 2008

Might Brown Be Having a Rethink on the euro?

Ben Brogan quotes this story from Bloomberg...
Oct. 15 (Bloomberg) -- Luxembourg Finance Minister Jean-Claude Juncker told German newspaper Rheinischer Merkur the U.K. will consider adopting the euro once the credit crisis abates. "The British prime minister had to beg to be let into the room in which the euro group was meeting,'' Juncker told the newspaper in an interview published today. "I'm sure that when the storm is over, the British will think about whether they shouldn't become an equal in all decision-making bodies.''

How humiliating. But I am less concerned about the Prime Minister's humiliation than by the assertion that we might now reconsidering the decision not to join the euro. Let battle recommence.

40 comments:

passer by said...

New Labour tripe tell the audience what it wants to hear.

Anonymous said...

More like Gordon wants the Euro countries to join the pound.

Oliver Drew said...

Well, to be honest it is the wrong time to be thinking about joining the Euro - I seriously hope that it is left well along until the economy is back on track...so a couple of years time...so after the next General Election hopefully!

If GB decides to bring it up now however, then I sense another referendum argument on the cards.

Tone made me do it - he's a bad influence said...

Brown is out of control
Telegraph headlines now
"Brown wants to rewrite the rules of capitalism"
http://www.telegraph.co.uk/news/

begging to get into meetings? He has no idea what he's doing and is way of of his intellectual depth
King Canute

He'll go barking mad as he realises his "plan to save the world" isn't actually working.

(see FTSE)

trevorsden said...

Oh dear, be afraid ... be very afraid.

After designing the UKs financial regulatory structure which has just failed so spectacularly, Brown is setting himself up to redesign the Worlds financial regulations another of his 'new world orders)

http://www.telegraph.co.uk/news/newstopics/politics/economy/3204286/Gordon-Brown-wants-to-rewrite-the-rules-of-capitalism.html

One wonders how short peoples memories are. presumably the structure being suggested by Brown is somewhat different than the one he was peddling last time he was lecturing Europe and the world - back in in June 2007 (his last as Chancellor - and wearing a lounge suit) -- as pointed out in a previous post but its worth picking out a couple of key points ...

"... And I believe it will be said of this age, the first decades of the 21st century, that out of the greatest restructuring of the global economy, perhaps even greater than the industrial revolution, a new world order was created...

... considering together the things that we must do - and, just as important, things we should not do - to maintain our competitiveness: enhancing a risk based regulatory approach ..."


So his first 'world order' having failed (why do megalomaniacs always want to create a new world order?) he wants another go.

BTW in 2006 his also said the following...
"I said that our new monetary and fiscal regime was founded on stability first, foremost and always, stability yesterday, today and tomorrow."
and
"stability through a predictable and light touch regulatory environment - a stability founded on our strength to make the right long term decisions"
.
Long term? he could not see 6 months...

But I repeat it all because I like the tag line from the 2007 speech ...

"The financial services sector in Britain and the City of London at the centre of it, is a great example of a highly skilled, high value added, talent driven industry that shows how we can excel in a world of global competition. Britain needs more of the vigour, ingenuity and aspiration that you already demonstrate that is the hallmark of your success."

high value added

vigour

ingenuity

aspiration


Could you make it up? I doubt it, but they are all dirty words to Brown now ...

DanielClarke said...

Oh my god this looks bad. Brown must be having a revival, if you are getting so obsessed with him that you have to put up three negative, personal posts about him in a row. The first sign that we were losing to Boris Johnson in London came when our activists started getting obsessed with him lol.

Anonymous said...

It is well known Juncker is a little prick who regrets that there are more than six members of the EU.

I'd take anything he says with several large pinches of salt.

Another Day said...

At a time when the very future of the Euro must be in some doubt, it beggars belief that joining the Eurozone is on the agenda now.

http://anotherdayblog.blogspot.com/2008/10/adieu-euro.html

Whatever the faults of Brown and Darling (and they are many), at least they were able to devise a plan and put it into action expeditiously. This is in stock contrast to what has been done in the Eurozone countries, where they have been limited by having to come to an agreement that suits every member country.

At times like this, it is vital we retain the powers to act in our own national interest and to act promptly.

Anonymous said...

Mildly OT but FFS what is this about (ex Telegraph) "As the first step, Mr Brown revealed that 30 of the world's biggest banks will now be supervised by what amount to global regulators.

The banks, understood to include RBS, Deutsche Bank and Credit Suisse, will each be overseen by a "college of supervision" taking in regulatory officials from each of the countries in which they operate. "

Anyone know what this is about? I believe there was some such arrangement agreed last year between countries such as Albania and Bulgaria but this is a bit different - doesn't anyone have to agree?

Anonymous said...

Calm down chaps. Read the piece again. Juncker is just saying HE thinks Britain should reconsider joining the Euro, and he thinks that Brown having to beg to get in the room might be the thing to make him change his mind.

Pete said...

I used to think I lived in a democracy.

Can I have that referendum that was promised.

I suspect that dark undemocratic forces are at work and democracy is the last thing they want.

John Pickworth said...

I've been reading the 'Euro' into a lot of what Brown has been ponificating on recently....

All those comments about 'international regulation' etc, a hook on which to sell the Euro maybe? I can hear the Great Man now; "If only we'd have been able to work together (ie in the Euro) then the banking crisis, the crippled economy and the millions of unemployed could have been avoided. I blame the Tories."

John Pickworth said...

Another Day said...

"Whatever the faults of Brown and Darling (and they are many), at least they were able to devise a plan and put it into action expeditiously. This is in stock contrast to what has been done in the Eurozone countries..."

I'm not sure that's quite correct if I'm honest.

Brown was dithering a couple of weeks back and seemed desperate to hammer out a united European solution in response to the American's Poulson Plan (Mark 1).

I believe he was terrified to jump first after Ireland became european public enemy number one when they acted alone. I even suspect Brown deliberately crashed the Icelandic banks to hasten the European's into joint action. Clearly, the UK's position was much more urgent than the EU's but Brown wouldn't act until he got a green light from the other EU leaders.

Anonymous said...

Does anyone seriously think they were trying to exclude the second biggest economy in the EU from the meeting or is this just someone Finance Minister bitter the UK hasn't ditched the pound spouting off?

And anyone with the slightest grasp of the last 10 years of British politics knows that it was Brown who was the major force in stopping Blair making a serious attempt to join the Euro.

This post really is a desperate smear.

africanmum said...

Nu Lab has wanted to join the euro for a while. This is their golden opportunity. Sneak us in before the smoke and dust of the financial crisis settles.

Anonymous said...

Not at all surprised by this. In fact I posted a comment to this effect on a Times story this morning.

Brown managed to wheedle his way into the meeting. He then managed to get the European leaders to fawn over him. I smelt that he had done a deal, and suspected it would be on the Euro.

Brown may have been against it, but for the sake of his leadership he needed favours, and would happily sell the country down the river of the Euro to get them.

However Brown, having made an offer, will now dither and renege on the deal with his typical twisting.

Thankfully!

Lord Elvis of Paisley said...

Why is voting Labour like going with a prostitute? You know it's wrong, you know it's goona cost a few quid, and you know you're going to get f***ed!

http://lordelvis.blogspot.com/

Anonymous said...

I'm not a Tory but have been a long standing visitor to your blog. Despite your Conservative leanings (and protestation at not being a 'party mouth piece')I have stuck with it. The last few weeks you have failed to capture and convey the impact of the financial crisis. Disappointing - but the recent snide and petty party politics stuff [in such times should you give rumour as much weight?] really does read like Conservative HQ 'sandbagging'.

Anonymous said...

"Anonymous said...

I'm not a Tory but ...."

Give it a rest Derek.

Man in a Shed said...

Brown is out of control. Remember his record:

1) Tripartite banking reform - which gave us the current mess.
2) Tax credits and the general fiasco and wasting of millions of pounds.
3) The 10p tax rate abolition, then the £2.7 billion bung to save his skin.
4) The odds are that a clever treasury civil servant thought up the plan that Brown is taking credit for.
5) There is no need for an early warning system - plenty of people did warn. The problem was the chancellor and government not listening and putting narrow Labour party advantage in front of the interests of the country.

Somebody has to stop him before he does any more spectacular damage.

Lord Elvis of Paisley said...

I have aways been a Conservative voter but I must say the last few weeks have persuaded me that Gordon Brown is a bloody loon and I will never vote Labour. Ever. Never ever ever, not never. Not even if my testicles were on fire.

DiscoveredJoys said...

If the Prime Minister was a Project Manager...

Spend 10 years managing the project incompetently after a brief flashy start.

Just as you realise your incompetence is likely to be rumbled, the boss leaves and you step up into his job. Phew, a narrow escape.

You appoint a junior project manager to carry on with your mess. Hopefully he will get the blame, especially as a lot of the project costs have been 'off the books'.

The shareholders realise that your project has overpromised and underdelivered, so you do a lot of arm waving, blaming others, and by fast talking put a new set of emergency actions into place (without adequate debate, budgetary provision, or agreement of the Board).

You also assert that previous errors never happened and that you really said what you would like to have said, not what you actually said.

In the brief respite before people work out what you have been up to, you persaude the Board to change the original project goals (Pounds) into new goals (Euros), thus breaking (you hope) the link between your previous incompetence and the current parlous state of the project.

If you are really lucky, the failure of the project will not stick to you... so you can take on a bigger project and make a bigger mess...

Auntie Flo' said...

The final straw, Brown, you and the corrupt EU just declared war on England.

We will never let you get away with this.

Auntie Flo' said...

I am so angry, how dare he do this!

Perhaps a national stike is called for?

Though, given the way Brown's messed up our economy, so may of us are already sitting idle that I don't expect anyone would notice.

Anonymous said...

Or maybe this was a Luxembourg minister trying to spin the fact that the euro countries haven't sorted this out themselves.

Silvio Palmer said...

You Will Have The Euro Weather You Like It or Not

When The Economic Conditions Are Right

That Is The Policy of Parliament Assembled

So You Can Expect To Be Swindled And Short-Changed Again Just As You Were By Decimalisation

Bambini

ASTA

Anonymous said...

You Will Have The Euro Weather ?
Better get a new raincoat then.

GB£.com said...

Brown may want to join the Euro, but it will be Cameron who delivers his wish!

Man in a Shed said...

On point 4 ( earlier ) it looks like 'the plan' was dreamnt up by Peter Sands over at Standard Chartered.

Does anyone remember Gordon Brown acknowledging this publicly ? Or did he just take credit for someone else work ?

Shame on you Gordon Brown.

Anonymous said...

Main danger of joining the euro will be after the next election - yes, with a government led by Cameron.

Anonymous said...

The Guardian reports this morning that it was the European Commission that insisted on the "no dividends" clause in Gordon's Big Plan to Save the Banks and the World which is now threatening to puncture said plan. Anyone know any more about that?

Desperate Dan said...

I want to join the euro. This is no time for sentimental support for the pound. I resent having to pay moneychangers everytime I go to or buy something from the rest of Europe.

Captain Haddock said...

I want to join the Euro.

GB£.com said...

"I resent having to pay moneychangers everytime I go to or buy something from the rest of Europe."

Lol. Giving up your country's ability to manage the economy by setting interest rates for the sake of a little inconvience changing up your holiday money.

What if you go to the US, China, Australia etc etc. You would still have to change up your euros to get dollars etc, but would have given away the right to manage your economy!

Tim Carpenter said...

This kind of playground gang mentality is precisely why the EU can recruit the petty, vain and insecure politicos that infest our lives.

It would be just like Gordon to chuck away one of the last chunks of our sovereignty just to soothe his febrile ego.

CMQ said...

One of the key bulwarks against the the whole EU/Euro thing was the position and dominance of the City of London and its importance to the UK national interest as an independent, competitive, world leading financial centre.

I'm sure most of the readers and posters on this blog and elsewhere will not have failed to notice that said bulwark looks like it could have been severely dented, if not fatally holed as a result of brown's so called rescue package.

Listening to the various left wing, euro, eu fanatics and sympathisers, you get the feeling that as a result of this crisis, they feel that all their May Day's have come at once.

These are dangerous times.

Desperate Dan said...

All right I just mentioned the moneychangers because they were the first thing I thought of. But actually I feel an emotional connection with the rest of Europe. I want to strengthen the UK's ties to Europe. I resent being forced into the position of being an isolated little offshore island for the benefit of people whose financial interests lie outside Europe. Laws dreamt up by Gordon to attract the world's crooks, fraudsters, money launderers and embezzlers in the past ten years would be illegal if Europe was looking after our finances.

Anonymous said...

discoveredjoys @12.23

you have correctly listed the various stages of project management as they apply in the 'real world'.

in the 'westminster village' all that is necessary is to be in post for max. 2 years before you are moved on. you are no longer answerable and your successor has no responsibility for what went before.

The Remittance Man said...

Besides being completely wrong in his belief that Britain's problems can only be solved by joining the euro, methinks Juncker is making the mistake of assuming Gordon is a rational human being.

Sadly Brown is anything but rational. To contemplate joining the euro he'd have to admit that the pound was poked and that it was he who oversaw the poking.

Can we honestly expect the Great Helmsman, the PM who wants the world to think he saved the world by saving the pound, to voluntarily go down in history as the last independent Chancellor exchequer and the PM who oversaw the demise of the pound?

beachhutman in Beijing said...

Joining the Euro won't stop the money changers - Euro credit cards issued in say Holland can still end up paying commission for transactions in say, Spain, but now it's called an interbank rate. And I don't think anyone will want to sail on a ship with "Titanic" painted on the stern. It's silly even discussing it; most Europeans would still go back to their former currencies.