PARIS — Prime Minister David Cameron of Britain on Thursday defended his decision to seek a referendum on his country’s membership in the European Union, saying his goal was to reform the 27-nation bloc, not to retreat into isolation.
“This is not about turning our backs on Europe, quite the opposite,” Mr. Cameron told an audience at the World Economic Forum in Davos, Switzerland, ““It’s about how we make the case for a more competitive, open and flexible Europe, and secure the U.K.’s place within it.”
On Wednesday, Mr. Cameron pledged to hold a referendum on Britain’s European Union membership within five years, assuming his Conservative Party is re-elected in the next national election scheduled for 2015. The proposal met with deep skepticism elsewhere in the European Union, but Mr. Cameron’s party — which has long struggled over the question of Europe — welcomed it.
In Davos, Mr. Cameron pointedly portrayed Britain mainly as a global force, independent of the E.U., emphasizing the role of more informal international bodies like the Group of 8 nations as a forum for action. And he noted that Britain had been the first E.U. nation to support France, providing logistical support after President François Hollande sent troops to Mali to thwart an Islamist takeover.
“We are a global nation, with global interests and global reach,” Mr. Cameron said. “If you think all this is an unashamed advert for the U.K. and U.K. business — you’re absolutely right.”
But it was in his remarks about Europe, that Mr. Cameron was most passionate.
“When you have a single currency you move inexorably toward a banking union and forms of fiscal union and that has huge implications for countries like the U.K. who are not in the euro and never will be,” Mr. Cameron said. Rather than ignore that “the club we belong to is changing,” he said, the right approach was to “negotiate a new settlement for Europe that works for the U.K. and then let’s get fresh consent for it.”
Mr. Cameron once again laid down Britain’s line in the sand on European integration, saying: “If you mean Europe has to become a political union, if there should be a country called Europe, I don’t agree.”
“Should we show political will? Yes,” he said, adding: “But a centralized political union? Not for me, not for Britain.”
Mr. Cameron also responded to suggestions that the referendum had increased the uncertainty for investors into Britain, arguing that it was better to be open and set out a clear path so businesses “can see that we have a plan” for resolving the question.
“There is a debate under way in the U.K. about E.U. membership,” he said, adding: “The riskiest course of all would be to sit back and do nothing.”
In Britain on Thursday, Mr. Cameron’s announcement of a referendum drew a mixed response from business leaders, 56 of whom signed a letter to The Times of London endorsing his decision and saying: “We need a new relationship with the E.U., backed by democratic mandate.”
Those whose names appeared below the letter included the heads of the London Stock Exchange, beverages giant Diageo and the engineering company Rolls-Royce.
But other business leaders and newspaper columnists said the prospect of a five-year debate about a possible British departure from the European Union introduced an element of economic uncertainty that would deter foreign investors.
The BBC quoted David Sproul, the head of accountancy firm Deloitte’s operations in Britain, as saying: “The Europe debate does not create certainty.”
He added:”There is no question it will impact Britain — it will hit investment into the U.K.”
Cameron Defends Decision to Seek E.U. Vote
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Cameron Defends Decision to Seek E.U. Vote
