Why Did the Macmillan Administration Choose to Opt for EC Membership - Essay Example

Establishment of the European Economic Community (EEC In 1955, The United Kingdom (U.K quit the deliberations of the six Western European s which had decided at the Messina Conference to expand their integrationist experiment. The U.K. decision was based on concerns over erosion of its sovereignty and scepticism about the ability of the six nations to match their aspirations (Greenwood 2004:1). In 1957, the European Economic Community (EEC) was founded by the signing of the Treaty of Rome between West Germany, France, Italy, Belgium, the Netherlands, and Luxembourg. The treaty attempted to establish a common market and economic unity which would be further developed into political unity. The treaty worked to free the movement of goods, services, capital and labor between its member nations. Establishment of the European Free Trade Association (EFTA): In 1960, as a result and in an attempt to destroy or absorb the proposed EEC common market, the U.K. and Sweden created the European Free Trade Association (EFTA). EFTA was an attempt to conserve Britains role and economic position which was remotely attractive to major Western European states. In 1963, the Prime Minister of U.K., Harold Macmillan, decided to change Britain’s foreign policy towards the European Community and attempted to join EEC. He suggested to unite the member countries of EFTA with ECC to incorporate all of Europe but France vetoed further talks. Macmillan saw that the exclusion from EEC was damaging to Britain both economically and politically. The following sections will presents the reasons why Macmillan’s administration chose to opt for European Community membership. Foreign Policy with the United States (U.S.) To maintain Britain’s world role in the face of economic enervation, Macmillan did not follow Anthony Eden’s policy of reliance on the United States. He evolved the British strategy to include a new relationship with Europe to complement the increasingly unreliable American proxy (Ruane & Ellison 2004:1). Eden’s administration saw that the maintenance of the British extended empire placed a burden on the countrys economy beyond its resources. They manipulated a foreign policy to ensure that the country’s strength was equal to its obligations. They aimed to persuade the U.S. to assume burdens of an international defence organization while retaining for Britain as much political control as possible. This was the only solution Eden came up with to spread the burden of two major obligations for which Britain currently bore primary responsibility. In January 1957, the Suez Canal crisis brought down Prime Minister Eden and caused his resignation to be succeeded by Harold Macmillan. The financial and political pressures exerted by Eisenhower’s administration on Eden’s government to abandon military action against Egypt in 1956 left Macmillan unsure of how far Britain could act independently of the United States in world affairs. Macmillan soon determined that Britain should not pursue her independent ambitions to the point that brought her into an open confrontation with the U.S. Macmillan attempted the inclusion of U.S. in the European Alliance when he met de Gaulle at Champs in 1962. He presented the idea of forming a European political union under the aegis of France, Britain and West Germany and in alliance on basis of equality with the United States. This alliance would draw up a defence plan that includes the use of nuclear weapons. De Gaulle refused the idea noting that only Europe could implement such a policy. He complimented Macmillan on the evolution of his policy. He quoted ‘But, you are not yet at the point of making it [i.e. Europe] because you remain attached to the world outside Europe and also because the idea of choosing between Europe and America is not yet ripe in your mind.’ (Warner 2002:7). The U.S. continued pressure on Macmillan’s administration to move away from European trade arrangements caused the alteration of his policy towards European Unity. This was first realized by the application for membership of the EEC in July 1961. Macmillan claimed that the application was to meet American pressure and thus strengthen Anglo-American relations against the power of the EC. On the contrary, the application was seen as not to fortify the Anglo-American relationship but to build an alternative power-base for Britain as leader of Europe. In the Christmas of 1960-61 Macmillan’s opinion of Britain’s position was evident in his words Britain - with all her experience - has neither the economic nor military power to take the leading Role’ (Ruane & Ellison 2004:17). Economic Reasons to join EC The growing status of EEC posed significant threat to Britain’s trade. A British policy review report in 1958 stated that A high level of exports will be vital to an adequate balance-of-payments surplus and the stability of sterling’ (Ruane & Ellison 2004:16). European economic association which discriminated against British exports threatened the long-term stability of the British economy and threatened to outstrip Britain economically and politically. In 1959, the U.K. Foreign Office warned that the European Community could completely out-class the U.K. in terms of economic importance. This economic threat was reduced by the establishment of EFTA. Macmillan noted in his speech in 1962 that joining the European common market would provide the large market needed to sell British Industrial products. He noted that British Industry must be developed to concentrate on more complicated and sophisticated goods. These industries require large investments of capital power stations, nuclear stations, computers, and advanced electronics which require a very large market to sell in at a competitive price. The united Europe would provide a home market of 200 million people just as strong economically and in every other way as the Soviet Union and the U.S The Relationship with the Commonwealth The joining of Britain to the EEC would shelf Commonwealth needs. Britain would not be able to honor its commitments towards the Commonwealth in response to European demands to accept Britain’s application to join the EEC. It was becoming increasingly difficult for the British government to maintain its Commonwealth identity. The British proceedings towards its EEC membership demonstrated the fragility of Commonwealth cohesion, the dominance of national interests, and the absence of trust on all sides. It also alerted Commonwealth countries to the risk of overdependence on the British market. They would have to find new markets and be prepared should Britain make overtures to Europe (OBrien 1996:1). The reasons why Macmillan preferred to join the European common market over developing a common market among Commonwealth countries were identified in Macmillan’s speech on Television in 1962. He stated that the new European market is different from the Commonwealth market because the countries that constitute the Commonwealth are countries that are scattered all over the world with totally different backgrounds, different races with different stages of development. The Commonwealth market does not provide a compact grouping (Macmillan 1962:9). Political Reasons to join EC On the political front, Macmillan opted for EC membership for a number of reasons. One reason was the fear of the diminution of Britains position and the domination of Western Europe by strong member countries of the EEC upon the exclusion of the U.K. Macmillan feared the domination of Germany over Western Europe which was evident in his quote “giving them on a plate what we fought two wars to prevent” He also feared the short term effects of the French policy towards the unity of Western Europe specially after the return of de Gaulle to power in June 1958 as evident in his quote in his diaries the French are making things very difficult, .., FTA was being strangled to death by the French (Greenwood 2004:3). In September 20, 1962, Macmillan announced that his administration has decided to join the common market for a number of reasons. One reason was the ending of traditional European quarrels that evolved through history by the new unity of Europe. He also pointed out the importance of being included in the European Union as not to weaken the influence of U.K in Europe. Declining influence of the U.K. in Europe would eventually lead to loss of U.K. world influence. (Macmillan 1962:8). Another reason that caused Macmillan to opt for EC membership was a response to the growing concerns that the U.S. would work with the EEC which would eventually cause the marginalization of Britain and the division of Western Europe into two blocks giving advantage to the Soviet Union in the Cold War. Britain could not stand alone in an increasingly globalised world. The British needed to form a larger grouping in order to maintain and augment their political influence (Parr 2006:10). Macmillan noted that not joining the European Community would yield a relatively weak state that failed to find its strengths and unable to exercise in a world of giants. From a political point of view, joining the European Community would preserve the power and strength of Britain in the world. Technological Benefits One reason Macmillan opted for EC membership is technological benefits from the collaboration with France and the reunified Germany to build a strengthened Europe would also enable the resistance to the American or Soviet technological domination. Conclusion In 1963 Prime Minister Harold Macmillan decided to change Britain’s foreign policy towards the European Community. The Suez Canal crisis in 1957 sparked the question of how far could Britain act independently of the United States in world affairs. A stronger relationship with Europe was needed to maintain Britain’s world. Economically, exclusion from the EC would deprive the U.K. from the large market needed to sell British Industrial products. EC provides a home market of 200 million people just as strong economically as the Soviet Union and the U.S which is far better than the scattered and diverse Commonwealth market. Politically, the U.K. feared the dominance of Germany and France over Western Europe. Declining influence of the U.K. in Europe would eventually lead to loss of U.K. world influence. In summary, Britain could not stand alone in an increasingly globalised world. The British needed to form a larger grouping maintain and augment their political and economic influence. References Greenwood, S. (2004). Not the "General Will" but the Will of the General: The Input of the Paris Embassy to the British "Great Debate" on Europe, Summer 1960. Contemporary British History, Vol.18, No.3, Autumn, 2004, pp.177-188. Bange, O. (2000). The EEC crisis of 1963, Macmillan, de Gaulle and Adenauer in conflict. Macmillan Publisher. Macmillan, H. (1962). The Common Market: Europe, Britain, and the Commonwealth. Delivered over Television to the Nation, London, England, September 20, 1962. OBrien, J. (1996). The British Commonwealth and the European Economic Community, 1960-63. Round Table, Oct96, Vol. 340 Issue 1, p479, 15p. Parr, H. (2006). Britain, America, East of Suez and the EEC: Finding a Role in British Foreign Policy, 1964–67. Contemporary British History, Sep2006, Vol. 20 Issue 3, p403-421, 19p; DOI: 10.1080/13619460500407111; (AN 20573483) Ruane, K. & Ellison, J. (2004). Managing the Americans: Anthony Eden, Harold Macmillan and the Pursuit of Power-by-Proxy in the 1950s. Contemporary British History, Vol. 18, No.3, Autumn 2004, pp. 147-167. Warner, G. (2002). Why the General Said No. International Affairs 78, 4 (2002), 869-882. Read More