There are significant symptoms to indicate that the United Kingdom may be changing its tune as regards European integration. It is true that a number of obstacles subsist, and these are sizeable: the attitude of the general public, still reluctant due to influence brought to bear from a ferociously Eurosceptic press; the official position of the Conservative party, which has confirmed and even reinforced its Eurosceptic attitude ahead of the national elections. So what do I base these positive impressions on? On the attitude of the government, and also on the rigour and scope of the traditionally pro-European views of several British members of the European Parliament, such as Andrew Duff, Richard Corbett and a few others.
Two major developments. Reactions to the financial crisis have shown that London is becoming closer to the continent; indeed, a few signs of this had appeared previously. It would be absurd to imagine any kind of sudden doctrinaire conversion. London's tendencies are steered by the country's national interests and by its political beliefs. The tendency towards favouring European integration was already clear in the attitude of Tony Blair, who made his views a partial reality in the field of defence, but was unable to extend them to any further sectors due to the misgivings or downright negative responses of broad swathes of the general public and the press. The events in Georgia first of all and, later, the financial crisis triggered changes in two areas which have always seemed sacrosanct in the United Kingdom: the previously automatic alignment on American views for foreign policy issues and the sacred nature of the City of London. The former must be seen in the context of a better general balance in attitudes on the part of the European countries; no longer is the EU split into two groups, one of them lining up behind the American position and the other showing greater independence from the transatlantic link. These two positions have come closer together, and this is a positive thing for Europe and for the United States alike. This development is one to watch.
Developments in the financial sector have been confirmed by observations which are clear for all to see. Establish a link between the various elements and the conclusions will follow. In the row which shook the EU in 2002 and 2003 over the role of industrial production in the European economy, I remember that I heard well-qualified figures from the City of London defending such astonishing theses as: Europe should hang on to only the "noble part" of its manufacturing industry (technology, financial management of enterprise, trade policy), leaving the physical production of goods to be carried out in countries where labour is cheap; financial activities should not be subject to European rules because they are global by definition; the ownership of the capital being managed is irrelevant, what matters is having the management of it; and so on.
The production of goods is finding its place once again. The importance of the financial markets of London for the national economy was such that it was unthinkable that the British authorities could spontaneously take initiatives to limit their freedom of action. The international financial crisis, however, has changed everything. To face up to the problem, Gordon Brown retained ideas which largely took their inspiration from the euro zone. They represent a radical departure from the initial solutions which came to light in the United States; instead of the state buying up "toxic assets", the British prime minister from the very beginning favoured plans whereby any banks which receive public funding should cede to the state any shares or other title deeds and lose their exclusive management roles. Instead of a radical scheme of nationalisation, the conditions which the Brown government has imposed in return for public support were summed up by the specialist press as follows: no "bonuses" for the directors this year; no dividends to be paid to the shareholders until the sums received have been paid back in full; the presence of representatives of the Exchequer on their boards of directors. The financial circles protested against these conditions and some of them chose to turn down the funding; no doubt they would rather have received support whilst keeping hold of the ownership, the shares, the "golden handshakes". The changes underway will inevitably lead to the slowdown of the activities and profits of the City of London. The people of Britain ought to be Great enough to cope.
It is against a backdrop of having to fine-tune the national economy that Gordon Brown has moved closer to the idea of European integration. But nothing can be taken for granted. This column will return to the subject tomorrow.
(F.R./transl.fl)