MATTHEW TAYLOR RESPONDS TO EURO STATEMENT

12.00.00am UTC (GMT +0000) Mon 9th Jun 2003

Matthew Taylor MP, Liberal Democrat Shadow Chancellor

Responding to Gordon Brown's statement on the Euro, Matthew Taylor MP, Liberal Democrat Shadow Chancellor, said: "Since 1997 we've had nothing but indecision. No wonder the Prime Minister looks so gloomy."

"2 assessments. 3 National Changeover Plans, 18 studies, 2000 pages, and endless spin. But no action."

"He said it was prepare and decide. Instead the Prime Minister has to wait and see. "

"Yet the Chancellor says he is in favour of the principle of joining. Today's studies show why."

"Joining the Euro means more and better paid jobs, on every range of assumptions."

"Joining the Euro could save an average mortgage payer £15,000 over a 25 year mortgage - £50 a month."

"Joining the Euro means lower prices - the end of rip-off Britain. TVs, computers, mobile phones, perfume, shampoo, toothpaste, ice cream - even chips, are cheaper in France and Germany."

"That is why 3 of 5 tests are clearly passed - jobs, investment and the city."

"As for convergence and flexibility isn't it the case that there are three possible positions on the Euro."

"- Never join, the Conservative position - which makes the"

"economic assessments irrelevant, since they admit they wouldn't join even if it was in Britain's interests."

"- Wait and see - the old Conservative position, and effectively the position of the Chancellor. But that makes it almost impossible to achieve the conditions for entry."

"- Or it's yes in principle - and that means taking action necessary to steer the economy to join."

"- The last is long the Lib Dem position and the Prime Minister's - we want the lower prices, higher growth, increased jobs and incomes the Euro can buy, so we want the Chancellor to take the action to get us there."

"- That is the real test for the Chancellor. Is the time for his indecision over? If it is a change of gear, is he going to take action to get it?"

"Staying out of the Euro already has a cost. Higher prices, lower investment, lower exports. He has set out some proposals for action today - but he did the same six years ago and nothing happened."

"So:"

"* Will the Chancellor today adopt a target exchange rate to join?"

"* Will he clarify the timetable for introducing legislation for a referendum?"

"* Will he enter negotiations with our EU partners on terms of"

"entry, particularly the exchange rate?"

"* Will he set a target date for a referendum?"

"* Will he agree action to end boom and bust in housing is"

"needed irrespective of whether we join the Euro - boom and bust is not a particular feature of the Euro."

"Just as in 97, today the decision is No, even if the words are warm. For 6 years, support in principle has been all talk and no trousers."

"The time for indecision is over. Warm words are not enough. It's time for action. On that, the jury is out."