Gordon Brown today announced Britain was not yet ready to join the European single currency, the Euro.

In a statement in the House of Commons this afternoon, the Chancellor of the Exchequer said that our economy had not yet converged sufficiently with those of the other European countries.

Mr Brown's analysis of the 'five key tests' for convergence found that the British economy passed the financial services test, but failed the convergence, flexibility, investment and employment and growth tests.

But Mr Brown reiterated the support of the Government in principle for joining the Euro.

The chancellor said the Government would report back on the five tests in the Budget next year, then decide whether to proceed with another assessment.

He said a referendum bill would be announced in the autumn with a possible referendum next year.

For Essex reaction to the Chancellor's Euro announcement, see tomorrow's Evening Gazette and Evening Echo

Published Monday, June 9, 2003