PM'S PLEDGES ON EU 'UNRAVELLING

Labour said Prime Minister David Cameron's pledges on the EU were "rapidly unravelling" after a draft EU agreement suggested Britain could be left out of decisions affecting the single market.

The latest version of the proposed fiscal accord between the other 26 member states also said EU institutions would be involved in policing tough new deficit rules.

Mr Cameron will do "everything possible" to make sure the UK is in the decision making process of the EU

Mr Cameron vowed yesterday to do "everything possible" to prevent that happening after using the UK's veto last month to block the new rules being introduced across the EU.

But the document suggests he faces a tough battle with fellow leaders - who meet later this month for further discussions over the deal, which is due to be concluded by March.

It was reported that France was behind amendments to the developing text, designed to shore up the eurozone, which specifically talk about "deeper integration in the internal market".

It also envisages the new arrangements being brought within the EU as a whole within five years.

Yesterday, the Prime Minister said he would do "everything possible" to stop signatories to the treaty from using EU institutions such as the European Commission and European Court of Justice.

He conceded that there were "legal difficulties" but insisted any new treaty should be about fiscal union and not the single market.

Mr Cameron also made clear his opposition to the group - which could include every one of the other 26 member states - making decisions on areas around the single market or competitiveness.

"What we can't have is the single market being discussed outside of the European Union and we will do everything possible to make sure that doesn't happen," he told the BBC.

Downing Street said it would not offer a "running commentary" on the negotiations but the draft was seized on by critics as proof Mr Cameron's use of the veto had backfired.

Shadow foreign secretary Douglas Alexander said: "David Cameron's European guarantees are rapidly unravelling.

"In the last 24 hours he has admitted he secured no additional safeguards for Britain and now his claim we will not be excluded from discussions on the single market looks increasingly threadbare.

"When jobs and growth in Britain depend on an effective resolution to the eurozone crisis David Cameron's decision to walk away from the table is looking increasingly reckless."

UK Independence Party leader Nigel Farage said: "If this leaked document shows that Britain will be frozen out of the EU's future decision making process, yet still subject to its effects, then David Cameron really has no choice but to hold a referendum on the UK's continued membership of the EU in order to let the people decide if they want to be part of such a skewed relationship."

Pressure on Mr Cameron to agree a resolution will also come on Monday from Deputy Prime Minister Nick Clegg who is hosting a summit of prominent Liberal politicians from across the EU.

He is expected to use the high-profile gathering to press for the UK to use its "considerable clout in the heart of Europe" to find a solution that protects British interests.

Among those leading discussions alongside Mr Clegg will be the Dutch prime minister Mark Rutte and Olli Rehn the European Commissioner for Economic and Monetary Affairs.


PA 2012