British Prime Minister Mr Tony Blair said the success of the European single currency being launched this week is "massively" in the UK’s interest even though it is not joining in.
"With so much of our trade and so many of our jobs tied up in business with the rest of Europe, it is massively in our interests that the euro succeeds," Mr Blair said in a New Year message.
He said it is vital "since so many companies will trade in it and it will affect our own economy, that we are prepared for it."
He reiterated his promise that once the euro had passed five economic tests set by his government, the issue of whether to join the euro will be put to a referendum.
He has already said the economic assessment will be made by mid-2003 at the latest. If positive, the referendum is likely to be organised before the next general election, which must be held by June 2006.
Mr Blair said the euro's arrival comes at a difficult time for the global economy, with growth slowing, world trade sluggish and unemployment on the increase.
But he said Britain is better placed than many other nations to weather the storm crediting its strong position on his government's rigorous economic policies.
PA
