Notes Abbreviations used in notes CAB Cabinet Papers ES Ministerial Committee on Economic Strategy EUS Ministerial Committee on European Strategy FCO Foreign and Commonwealth Office FV Department of Trade and Industry PREM Prime Minister’s Office T Treasury TFIA Files released by the Treasury under the Freedom of Information Act Chapter 1 Introduction 1 Stephen George, An Awkward Partner: Britain in the European Community (Oxford: Oxford University Press, 1998). For the overview of British and French policy towards European integration, see Andrew Geddes, The European Union and British Politics (Basingstoke: Palgrave Macmillan, 2004); John W. Young, Britain and European Unity 1945–1999 (Basingstoke: Macmillan, 2000); Hugo Young, This Blessed Plot: Britain and Europe from Churchill to Blair (London: Macmillan, 1998); and Alain Guyomarch, Howard Machin and Ella Ritchie, France in the European Union (Basingstoke: Macmillan, 1998). 2 The Hague European summit of 1969 commissioned the Werner Committee to draw up a report on EMU. See Werner Report, ‘Report to the Council and Com- mission on the Realization by Stages of Economic and Monetary Union in the Community’, Supplement to Bulletin of the European Communities, No. 11, 1970. 3 European Council, ‘Resolution of the European Council of 5 December 1978 on the Establishment of the European Monetary System and related Matters’, Bulletin of the European Communities, No. 12, 1978. 4 Alec Cairncross, ‘The Heath Government and the British Economy’, in Stuart Ball and Anthony Seldon (eds), The Heath Government 1970–74: A Reappraisal (London: Longman, 1996), 132. 5 On EMU in the 1970s, see Loukas Tsoukalis, The Politics and Economics of the European Monetary Integration (London: George Allen & Unwin, 1978). For a historical account of the process which culminated in the establishment of the EMS, see Peter Ludlow, The Making of the European Monetary System: A Case Study of the Politics of the European Community (London: Butterworth, 1982). Kenneth Dyson and Kevin Featherstone, The Road to Maastricht: Negotiating Economic and Monetary Union (Oxford: Oxford University Press, 1999) is a monumental work on the entire history of European monetary integration after the Second World War and should be the starting point for a scholar of later generations. David Marsh, The Euro: The Politics of the New Global Currency (New Haven: Yale University Press, 2009) is also a very informative book on the history and prospects of the single currency. 199 200 Notes 6 Dean Acheson, ‘Extract from a Speech at West Point’, in Ian S. McDonald (ed.), Anglo-American Relations since the Second World War (Newton Abbot: David & Charles, 1974), 181–2. 7 Ernest Haas, The Uniting of Europe: Political, Social, and Economic Forces, 1950–1957 (Stanford: Stanford University Press, 1958); Andrew Moravcsik, The Choice for Europe: Social Purpose and State Power from Messina to Maastricht (London: UCL Press, 1998). 8 David Reynolds, ‘A “Special Relationship”? America, Britain and the Inter- national Order since the Second World War’, International Affairs, 62(1) (1986), 2. 9 Allan Bullock, Ernest Bevin: A Biography (new edn; London: Politico’s, 2002). For a revisionist view, see John W. Young, Britain, France and the Unity of Europe 1945–51 (Leicester: Leicester University Press, 1984). 10 Michael Charlton, The Price of Victory (London: British Broadcasting Corporation, 1983). 11 Wolfgang Kaiser, Using Europe, Abusing the Europeans: Britain and European Integration, 1945–63 (Basingstoke: Macmillan, 1996), 130; N. Piers Ludlow, Dealing with Britain: The Six and the First UK Application to the EEC (Cambridge: Cambridge University Press, 1997), 30. 12 Cmnd 4715, The United Kingdom and the European Communities (London: HMSO, 1971), paragraph 35. 13 John W. Young, International Policy (The Labour Governments 1964–70, 2; Manchester: Manchester University Press, 2003), 20. 14 Christopher Hill and Christopher Lord, ‘The Foreign Policy of the Heath Government’, in Stuart Ball and Anthony Seldon (eds), The Heath Government of 1970–74: A Reappraisal (London: Longman, 1996), 305. 15 For France’s European strategy during the early post-war period, see William Hitchcock, France Restored: Cold War Diplomacy and the Quest for Leadership in Europe, 1944–54 (Chapel Hill: University of North California Press, 1998); Michael Sutton, France and the Construction of Europe, 1944–2007: The Geo- political Imperative (Oxford: Berghahn Books, 2007). 16 Compare Frances M. B. Lynch, France and the International Economy: From Vichy to the Treaty of Rome (London: Routledge, 1997), 183 with Peter Mangold, The Almost Impossible Ally: Harold Macmillan and Charles de Gaulle (London: I. B. Tauris, 2006), 82. A more balanced account is available in Alan S. Milward, The Rise and Fall of a National Strategy 1945–63 (The United Kingdom and the European Community, 1; London: Frank Cass, 2002), 252. 17 Mangold, Impossible Ally, 81–2. 18 Sutton, France, Chapter 4. 19 As for French policy towards NATO, see Frédéric Bozo, ‘Détente versus Alliance: France, the United States and the Politics of the Harmel Report’, Contemporary European History, 7(3) (1998). 20 Marsh, Euro, 41–4. 21 Uwe Kitzinger, Diplomacy and Persuasion: How Britain Joined the Common Market (London: Thames and Hudson, 1973), 38–9. 22 Edward Heath, Old World, New Horizons: Britain, Europe, and the Atlantic Alliance (Cambridge: Harvard University Press, 1970), 32 pointed out that Britain’s past applications to the EEC had failed because London and Paris had opposing visions on Europe. Notes 201 23 Haig Simonian, The Privileged Partnership: Franco-German Relations in the European Community 1969–1984 (Oxford: Clarendon Press, 1985), 5. As for the detailed explanation of the Ostpolitik, see Timothy Garton Ash, In Europe’s Name: Germany and the Divided Continent (London: Vintage, 1994). 24 Georges-Henri Soutou, ‘The Linkage between European Integration and Détente: The Contrasting Approaches of de Gaulle and Pompidou’, in Piers Ludlow (ed.), European Integration and the Cold War: Ostpolitik-Westpolitik, 1965–73 (London: Routledge, 2007), 26–9. 25 Jean-Pierre Corcelette and Frédéric Abadie, Georges Pompidou: Le désir et le destin (Paris: Editions Balland, 1994), 337. 26 Ibid. 27 For an instance of this view, see Tsoukalis, European Monetary Integration, 63–81. 28 David J. Howarth, The French Road to European Monetary Union (Basingstoke: Palgrave, 2001), 29. 29 Harold James, International Monetary Cooperation Since Bretton Woods (New York: Oxford University Press, 1996), 249. 30 Britain concluded the Basle Agreement with the United States and the other 11 countries, who offered a medium-term dollar credit for Britain. The British government also negotiated bilateral sterling agreements with the sterling area countries. Under the agreements, these countries were obliged to hold a cer- tain proportion of their foreign exchange reserves in sterling. In exchange, Britain agreed to guarantee the value of 90 per cent of their sterling balances in the US dollar. As a consequence of these developments, Britain became financially and therefore politically dependent on the United States. France was not a signatory of the Basle Agreement. 31 Milward, Rise and Fall, Chapters 7, 9 and 10. 32 Susan Strange, Sterling and British Policy: A Political Study of an International Currency in Decline (Oxford: Oxford University Press, 1971). See also Alan S. Milward, The Reconstruction of Western Europe 1945–51 (London: Routledge, 1984), 237–8; Kaiser, Using Europe, 41; Catherine R. Schenk, ‘The UK, the Sterling Area, and the EEC, 1957–63’, in Anne Deighton and Alan S. Milward (eds), Widening, Deepening and Acceleration: The European Economic Community 1957–63 (Baden-Baden: Nomos Verlag, 1999), 123–37. 33 Simonian, Partnership, 19. 34 Lynch, France, 186–209. 35 Charles de Gaulle, Mémoires d’espoir (Le renouveau, 1958–1962, 1; Paris: Plon, 1970), 23. 36 Douglas Hurd, Memoirs (London: Little, Brown & Company, 2003), 198; Jean- René Bernard, ‘Britain into Europe’, in Richard Mayne, Douglas Johnson and Robert Tombs (eds), Cross Channel Currents: 100 Years of the Entente Cordiale (London: Routledge, 2004), 171. 37 Tsoukalis, European Monetary Integration, 33. 38 Ludlow, European Monetary System, 159–61. 39 Moravcsik, Choice for Europe, 291. 40 As for the historical background of these hostilities, see Jack Hayward, ‘France and the United Kingdom: The Dilemmas of Integration and National 202 Notes Democracy’, in Jeffrey Anderson (ed.), Regional Integration and Democracy: Expanding on the European Experience (Lanham: Rowman & Littlefield, 1999); Sudhir Hazareesingh, Political Traditions in Modern France (Oxford: Oxford University Press, 1994), Chapter 5. 41 Tsoukalis, European Monetary Integration, 33, 37–8. 42 Philip Lynch, The Politics of Nationhood: Sovereignty, Britishness and Conservative Politics (Basingstoke: Macmillan, 1999), 39–41. 43 Anthony Forster, Euroscepticism in Contemporary British Politics: Opposition to Europe in the British Conservative and Labour Parties since 1945 (London: Routledge, 2002), 40. 44 Sudhir Hazareesingh, ‘Vincent Wright and the Jacobin Legacy in Historical and Theoretical Perspective’, in Sudhir Hazareesingh (ed.), The Jacobin Legacy in Modern France: Essays in Honour of Vincent Wright (Oxford: Oxford University Press, 2002), 6. 45 Andrew Knapp, Gaullism since de Gaulle (Aldershot: Dartmouth, 1994). 46 Michael Newman, Socialism and European Unity: The Dilemma of the Left in Britain and France (London: Junction