Mandelson makes case for EU economic agenda

Peter Mandelson has said that successful economic reform will be central to persuading Britons to back the Brussels agenda.

In an article for the FT on Thursday the trade commissioner and close ally of Tony Blair argued that ensuring the expansion of growth and jobs is necessary to ensure public support for the European Union.

He said that the EU "has to prove its relevance to the public's prosperity and living standards or risk a further loss of popularity".

The former Cabinet minister's comments came the day after the Commission launched its five-year economic strategy, putting the "Lisbon agenda" at the heart of its programme.

The Portuguese summit of 2000 prioritised economic growth ahead of social and environmental intervention and has been a pet European project of the UK government.

Mandelson said it was crucial for the Commission to deliver on its goals, in partnership with governments and the public, in order to improve confidence in its work and achieve wider aims.

Britain

He also argued that Britain particularly needed convincing of the EU's worth as it faces up to next year's referendum on its new constitution.

"This programme is one to which any modern social democrat should subscribe," he claimed. "'Yes' to open markets and making them work better to spur efficiency, innovation and productivity. 'Yes' to public investment to overcome Europe's knowledge deficit and infrastructure weakness. And 'yes' to social inclusion - removing obstacles to higher employment participation.

"This, in particular, is why Britain - traditionally hostile to 'Brussels' - should back the Commission. The UK economy will benefit from this programme, which will raise Britain's productivity and growth potential along with its partners'.

"If Europe cannot turn the corner on jobs and growth, the EU could jeopardise its credibility, even its legitimacy. Social cohesion will suffer because we will have an ageing population and no strong economic foundation for social protection. Investment in sustainable development will be squeezed as Europe's competitive edge is eroded.

"If Europe falls further behind the US, and is increasingly challenged by economies such as China, it risks losing the self-confidence that enables it to show leadership, not least in winning the case for more open international trade."

Brown

Meanwhile two of the most senior members of the traditionally anti-EU Murdoch-controlled press have made the case for Gordon Brown to accept the role of foreign secretary after the election.

Respected commentator Peter Riddell of the Times used his column to claim the chancellor, who is known to be cool on joining the euro, would be the right man to lead the "yes" campaign in the constitution referendum because of his high trust ratings over the economy.

He added that success in the poll would also avert "the worst possible start" to his own premiership of having to renegotiate the treaty.

And the Sun's political editor Trevor Kavanagh, typically one of the best informed men in Westminster, reported that Brown is prepared to swap the Treasury for the Foreign Office "on his own terms".