○  PMTonyBlairsspeechtoEUParliament  ○

eitovernight.suchapositionwouldbeaurd.anychangemusttakeaccountofthelegitimateneedsoffarmingcommunitiesandhaenovertime.ihavesaidsimplytwothings:thatwecaotagreeanewfinancialperectivethatdoesnotatleastsetoutaprocethatleadstoamorerationalbudget;andthatthismustallowsuchabudgettoshapethesecondhalfofthatperectiveupto2013.otherwiseitwillbe2014beforeanyfundamentalchangeisagreed,letaloneimplemented.again,inthemeantime,ofcoursebritainwillpayitsfairshareofenlargement.imightpointoutthatonanybasiswewouldremainthesecondhighestnetcontributortotheeu,havinginthisperectivepaidbilliomorethansimilarsizedcountries.

so,thatisthecontext.whatwouldadifferentpolicyagendaforeuropelooklike?

first,itwouldmoderniseoursocialmodel.againsomehavesuggestediwanttoabandoneurope''ssocialmodel.buttellme:whattypeofsocialmodelisitthathas20munemployedineurope,productivityratesfallingbehindthoseoftheusa;thatisallowingmoresciencegraduatestobeproducedbyindiathanbyeurope;andthat,onanyrelativeindexofamoderneconomy-skills,r&amd,patents,it,isgoingdownnotup.indiawillexpanditsbiotechnologysectorfivefoldinthenextfiveyears.chinahastrebleditsendingonr&amdinthelastfive.

ofthetop20universitiesintheworldtoday,onlytwoarenowineurope.

thepurposeofoursocialmodelshouldbetoenhanceourabilitytocompete,tohelpourpeoplecopewithglobalisation,toletthemembraceitsoortunitiesandavoiditsdangers.ofcourseweneedasocialeurope.butitmustbeasocialeuropethatworks.

andwe''vebeentoldhowtodoit.thekokreportin2004showstheway.investmentinknowledge,inskills,inactivelabourmarketpolicies,inscienceparksandiovation,inhighereducation,inurbanregeneration,inhelpforsmallbusinees.thisismodernsocialpolicy,notregulationandjobprotectionthatmaysavesomejoforatimeattheexpeeofmanyjointhefuture.

andsincethisisadayfordemolishingcaricatures,letmedemolishoneother:theideathatbritainisinthegripofsomeextremeanglo-saxonmarketphilosophythattramplesonthepooranddisadvantaged.thepresentbritishgovernmenthasintroducedthenewdealfortheunemployed,thel

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