Prescott warning over EU policy

This Is Lancashire: Lord Prescott has warned that China will be discouraged from investing in the UK if ties with the EU are severed. Lord Prescott has warned that China will be discouraged from investing in the UK if ties with the EU are severed.

Investment in Britain will only remain attractive to China if the nation stays in the EU, former deputy prime minister Lord Prescott has warned.

The Labour politician accepted "fundamental changes" were necessary to prevent further descent into a federal Europe but he stressed the importance of access to the European market and its 450 million people.

He told the Murnaghan programme on Sky News that David Cameron was increasingly giving the impression Britain could leave, which he said would deter investors.

Lord Prescott, who was chairman of the Government's China task force, said: "They are going to say to him (David Cameron) 'what is the position of the European market?'

"Both the Japanese and the Chinese take the view that investment in Britain is good - only if you have access to the European market of 450 million people."

He said any prospect of an exit would make potential investors think: "'Am I going to put a long-term investment into a country that is probably going to leave Europe?' That is a major question businessmen will certainly be putting to him."

Asked if Britain was "cap in hand" to China, he replied: " Absolutely. Because the economy is desperately short of any investment.

"The private sector is not able to produce the investments necessary to get real economic growth so in desperation he (Mr Cameron) has been forced to turn to China and say 'come and give me the investment I can't get in my country' in order to be able to develop the economy.

"Relying on housing, we are beginning to see, and the Help To Buy is already causing a crisis and we are back onto boom and bust. So it needs real private investment, in this case state investment from China to get real growth in the British economy."

His comments come as the Government is expected to relax visa rules to encourage more Chinese businesses to invest in Britain following criticism by Beijing that it is too difficult for investors to enter the UK.

Last week Chinese ambassador Liu Xiaoming said the progress on making it easier for Chinese people to visit Britain had been "far from enough".

Chinese prime minister Li Keqiang is due to meet Mr Cameron and the Queen on his visit to the UK this week following reports he would pull out if an audience with the monarch was not scheduled.

Comments (4)

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4:22pm Sun 15 Jun 14

A Very Private Gentleman says...

Yep and quite right so!
The UK is the conduit of enterprise that amalgamates all the other continents with Europe.
The yanks know this and the intelligent know this, even though all Europeans know this as fact.
The problem is the Tory party do not know this.
Unless there is something in it for them of course:
Yep and quite right so! The UK is the conduit of enterprise that amalgamates all the other continents with Europe. The yanks know this and the intelligent know this, even though all Europeans know this as fact. The problem is the Tory party do not know this. Unless there is something in it for them of course: A Very Private Gentleman
  • Score: -6

4:23pm Sun 15 Jun 14

johnny_p says...

Oh hang on. Is that John Prescott the man who wanted to get rid of the House of Lords? Still, quite happy to accept a Lordship himself as he was going to "dismantle the place from within".

Why is he still around and why is anyone bothering to listen to him?
Oh hang on. Is that John Prescott the man who wanted to get rid of the House of Lords? Still, quite happy to accept a Lordship himself as he was going to "dismantle the place from within". Why is he still around and why is anyone bothering to listen to him? johnny_p
  • Score: 9

8:51pm Sun 15 Jun 14

spottycow says...

We dont need a lesson from this TWO FACED IDIOT
We dont need a lesson from this TWO FACED IDIOT spottycow
  • Score: -1

10:22pm Sun 15 Jun 14

25414nora says...

Forget John Prescott..even though CBI Director General John Cridland shares his views.
The Confederation of British Industry Council will be cringing with embarrassment at the stance David Cameron is taking on the issue of EEC UK membership, and his empty threats of referendum in 2017..
'It wont happen'.
The CBI speaks for all sectors :- agriculture, automotive, aerospace, construction, creative, education, financial services, IT, manufacturing, professional services, retail, transport, tourism, and utilities.
Together member organisations employ around a third of the private sector workforce in the UK....I repeat. It wont happen.... .
Forget John Prescott..even though CBI Director General John Cridland shares his views. The Confederation of British Industry Council will be cringing with embarrassment at the stance David Cameron is taking on the issue of EEC UK membership, and his empty threats of referendum in 2017.. 'It wont happen'. The CBI speaks for all sectors :- agriculture, automotive, aerospace, construction, creative, education, financial services, IT, manufacturing, professional services, retail, transport, tourism, and utilities. Together member organisations employ around a third of the private sector workforce in the UK....I repeat. It wont happen.... . 25414nora
  • Score: 0
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