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A POORER Iceland has decided to apply for membership of the European Union after the collapse of its financial system last autumn floored its currency and devastated its economy.

Voting in its parliament, the Althingi, was close – 33 in favour of opening negotiations with Brussels, 28 against and 2 abstentions. The left-wing coalition majority believes membership of the euro will protect Iceland from further financial turmoil. And its existing membership of the European Economic Area and Schengen system already commits Iceland to two-thirds of EU legislation, so there should not be too much trouble adapting. But the parliamentary divisions closely reflect those in public opinion between the 40 per cent who favour joining the EU, the 40 per cent who oppose it, and the 20 per cent who swing from one position to the other. While a majority currently favours opening talks, the same cannot be assumed when a referendum is held on the negotiated terms in several years time.