UK and the European Union

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Since its creative activity, the EU has seen a gradual enlargement in its composing. Several East European states have become members. Other states such as Turkey are taking to go portion of the EU community. The enlargement has assorted effects on the member provinces. Write a study researching the effects of the enlargement of the EU on the UK and other member states. In your study, guarantee you take into consideration the demands of your local Chamber of Commerce members with respects to the EU.

This study sets out the examine the history of European Union expansion and the effects of continued EU expansion to the UK and other EU meneber provinces.

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The European Union ( EU ) was formed through the inclusion of member provinces, which began with the Inner Six, who formed the European Coal and Steel Community ( ECSC ) in 1952. Recently, the EU ‘s rank has grown 28 and completed with Croatia who joined the EU in 2013. The EU has the possible to spread out farther with other states interested in rank such as the Turkey, Kosovo and other former Soviet brotherhood provinces. The map below shows the expansions and possible hereafter expansions of the EU.

EU neighboring states including North Africa states through their historic ties to European states may in the future want to hold closer ties to the EU. The Treaty of Maastricht ( Article 49 ) , prescribes that anyEuropean statethat respects the rules of the European Union has the possibility to bespeak consideration for rank. Widening rank to non European states is non mentioned, though an exclusion has already been made for Cyprus and has been seen by some for provinces as puting a case in point. EU Neighbouring contries are shown on the map below.

Some non-European states have different makings of integrating with the EU specified by understandings, which allow a certain sum of trade with the EU but do supply rank to the EU.

To obtain rank to the EU, the state needs to follow economic and political status which refered to as the Copenhagen standards, that require stable political under democratic authorities and regard to regulation of jurisprudence, its corresponding freedom and establishments. Sing to the Maastricht Treaty, each current EU member and the European Parliament must agree to any enlargement.

Sing to the EU pacts, the EU ‘s rank is unfastened to any European State which respects its values and is committed to advancing them. The values include “ respect for human self-respect, freedom, democracy, the regulation of jurisprudence and regard for human rights, equality, which include the rights of individuals belonging to minorities. ”

The Madrid European Council has revise the rank standards and included a status for the member state integrating to allow of its administrative constructions in December 1995. It is important that European Community statute law is automatic in state statute law, it is of import that the revision is implement effectual through appropriate administrative and juridical constructions.

Given the conditions setforth for rank of the EU it is improbable that the bulk of non-european states would be able to run into the demands and therefore it is likely that the bulk of EU neighboring states would non qualifiy for EU rank if this option existed.

Expansion of the EU has been one of the its most successful foreign policies, supplying economic streght to the brotherhood and leting political influence in states whishing to obtain rank. However expansion has been the topic of resistance from its origin with Gallic President Charles de Gaulle opposed to British rank fearing that this would take to act upon from the USA. French President Francois Mitterand was ab initio unsupportive of the Greek, Spanish and Portuguese applications for consideration for rank, fearing that the states would non be able to run into the rank criterea and he feared that the EU would merely go a free trade country.

The pemise for constitution of the EEC and its initial enlargement was by and large considered to be soley economic. The 2nd and subsequent expansions were more political every bit good as economical and included inclusion of the southern Mediterranean states and former Soviet axis states which had adopted demoracy which the EU whished to promote. Due to the recent big expansions to the EU, the general public sentiment of a figure of EU states including the UK has turned against farther enlargement.

The universe is progressively and spliting into trade axis. Economic human dynamos such as the European Union, and the United States, have each established trade axis with neighbouring states and deny trade entree to challengers. Exporting states in Asia Pacific have besides established trading axis which prodiminatley dressed ore on agricultural merchandises.

Free trade zones and trade axiss have the possible to make increased trade between the member states and this may be seen as a positive. Trade blocs nevertheless may make protectionist markets and may really impede international trade.

The chief ground for increasing the figure of member provinces of the EU is to set up a larger market combined with economic stableness. This will offer companies the chance to merchandise in a larger market and cut down the trade barriers presently faced between EU and non EU members by increasing the figure of EU members.

Presently, EU is considered to be the most powerful planetary trading brotherhood. The creative activity of the European individual currency adopted by the bulk of EU member provinces has led to closer economic links. Not all member provinces have signed upto the individual currency such as the UK which does non see the benefit of the individual currency. The EU has demonstrated protectionist policies with respects to agriculture, as it appears to keep the ideal that the EU should stay self-sufficing in agribusiness and therefore imposes bounds on agricultural imports from non-EU states. The European Union Trade Flow: exports $ 813bn, imports $ 801bn.The possible to merchandise with increased figure states with trade barriers removed, may ensue in increased trade for the current EU member provinces with positive economic affects.

The inclusion of farther provinces in European individual currency, which removes the hazard of exchange rate fluctuation for the member provinces which adopt the individual currency, may either stabilise or destabilize the EU individual currency. In the current universe fiscal state of affairs destabilsation is likely more likely.

Expansion of the EU to neighboring states may promote democracy and attachment to EU statute law in the neighbouring states, which inturn may better security within the EU.

Expansion of the EU to neighboring states would increase the figure of migratory workers able to go to the bing EU member provinces. This may heighten the accomplishment pool within the EU or could potentially drench bing labour markets.

Given the current security concerns the expansion of the EU and the free travel of it members may increase insecurity with the EU states.

The demand for international trade:

  1.  The demand for exchange of capital, goods and services.
  2.  Import and exports a important portion of GDP.
  3.  Industrialization, advanced transit, globalization, transnational administrations and outsourcing influence international trade.
  4.  Importing and exporting goods from factors of production.
  5. The effects of comparative advantage.
  6.  The effects of absolute advantage e.g. crude oil non available except by import.
  7.  Supply and demand factors.
  8.  Cheaper Imports

Benefits to companies within the EU

  1.  The free motion of goods
  2.  The free motion of individuals
  3.  The free motion of services
  4.  The free motion of capital.

Expansion of the EU would potentially convey economic benefits to the UK and the current other EU member provinces. However enlargement may convey farther in-migration, instability to the EU individual currency and potentially farther insecurity to the EU.

If the EU does non see further enlargent so viing merchandising axis will go on to be formed which may promote protectionism and may ensue in a negative impact on international trade. To contradict this the EU or single member provinces may hold to follow single free trade understandings with viing trade axis.

The findings of a British Chamber of Commerce study of over 7500 companies concluded that UK concerns value free trade with other EU provinces. They are nevertheless likely to be doubting or diffident about the current degree of integrating in the EU and if it is good to their chances.

The BCC study covered little, medium and big companies associating to their type of trading relationship with other EU member provinces. The companies surveyed when questioned on the type of trading relationship they would wish with Europe, over 50 % of the companies surveyed expressed no sentiment. The companies which did respond, 51 % of the exporting companies favour a ‘free trade area’ . Merely 31 % supported an ‘economic union’ . Over half ( 55 % ) of all companies which responded to the study were diffident which trading relationship with Europe would be of most benefit to them.

In drumhead it would look that farther expansion of the EU would non look to be favorable with British companies and free trade understandings with non EU states would look to be the preferable option.


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UK and the European Union. (2017, Jul 23). Retrieved from

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