BRITISH EURO ENTRY: POLITICAL REACTION:

BRITISH EURO ENTRY: POLITICAL REACTION:; ITN ENGLAND: London: Downing Street: Number 11: INT Gordon Brown MP (Chancellor of the Exchequer) interview SOT - what I said today is that we had five tests, but essentially it comes down to two major issues - can there be convergence that is sustainable and can we have the flexibility to withstand the shocks - the structures of the housing market vary greatly within European countries & between Europe and America / we've got to deal with the inflationary pressures that are generated through the housing market / we are looking at the fixed rate market / talks about what they are doing to the housing market / we will always have our unique distinctive housing market but we need to be able to deal with the inflationary pressures it provides - I've introduced a procedure which gives a degree of certainty & stability, nothing I do as Chancellor should put stability in our economy at risk / - we will do it in the Budget, and if the Budget says that there is progress, then we will trigger another assessment - we (Blair & Brown) have always been together on these issues - will people be better off under the Euro? Do people see Britain as part of Europe or do they see Britain as always having to fight off Europe - this underpins the whole debate on Europe - Europe is changing & having to adapt to the global economy and British values are now the dominant values in the debate about the future of Europe Clean feed tape = D0516133 or D0516134 00.08.58 to 00.13.54 FX Programme as broadcast tape = D0516132 Order Ref: T09060311