UK business votes for staying in EU – but with reforms

Staying in the European Union is ''overwhelmingly'' in Britain's interest, although reforms are urgently needed, UK business leaders said on Sunday.

Ahead of its national conference, the Confederation of Business & Industry (CBI) said research found EU membership is worth £62-78 billion, or 4-5 per cent of the UK's economic output.

The business group, which is holing its national conference in London today, called for a number of reforms, including removing barriers to e-commerce, becoming more outward-looking, and re-focusing the work of EU commissioners.

The CBI said business also wanted a moratorium on legislation which could be made at national level, and a permanent UK opt-out from the Working Time Directive.

John Cridland, director-general of the CBI, said, ''We have looked beyond the political rhetoric to examine the pros and cons of EU membership, and British business is unequivocal - the Single Market is fundamental to our future.

''We are better off in a reformed EU than outside with no influence. Each year, membership is worth £3,000 to every household in this country.

''But the EU isn't perfect and there is a growing unease about the creeping extension of EU authority. Europe has to become more open, competitive and outward-looking if we are to grow and create opportunities and jobs for all our citizens.

''Contrary to popular myth, the UK is influential in the corridors of Brussels and will still be as long as we play our cards right. The Single Market is a great British success story and the best way for us to remain a leader on the world stage is from within the EU.''

Chief secretary to the Treasury Danny Alexander of the Liberal Democratic Party said, "This compelling report makes a powerful business case for the UK's continued membership of the EU. Membership of the EU is one of the reasons why Britain is an attractive place to invest, as businesses in India told me last week.''

Alexander further said, ''Liberal Democrats know that we are all better off with Britain in Europe. We can only build a stronger economy working together with our neighbours, exerting maximum influence in our continent and leading the reform agenda as the most liberal economy in Europe.''

Shadow minister for Europe Gareth Thomas said, ''The CBI's report clearly shows that the business community doesn't want to see Britain sleepwalk out of the EU.''

The UK government wants to negotiate a new deal with the EU. Prime Minister Davud Cameron has said the EU needs to change to allow Britain or other member states not to be bound by all its decisions.

If he can secure a new deal with the EU, Cameron has pledged a referendum on the UK's relationship with the union by 2017 should the Conservative Party win an outright majority.