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4.
"In the light of this review the Government have decided
that a new high level approach must now be made to see
whether conditions exist or do not exist for
fruitful negotiations, and the basis on which such
negotiations could take place",
The Prime Minister then referred to the E.F.T.A. Heads
of Governments Conference (which took place on 5 December) and
added:
"Following that conference my right honourable Friend
the Foreign Secretary and I intend to engage in a series
of discussions with each of the Heads of Government of
the Six, for the purpose of establishing whether it
appears likely that essential British and Commonwealth
interests could be safeguarded if Britain were to accept
the Treaty of Rome and join the E.E.C."
5. The Prime Minister and Foreign Secretary have visited
Rome, Paris and Brussels. They will be going to Bonn (14-16
February), The Hague (26-27 February) and Luxembourg (8 March).
6. The following are some of the main points which the Prime
Minister and the Foreign Secretary are making:-
(1) Treaty of Rome The Prime Minister has said that
the Treaty of Rome is not in itself or necessarily
an impediment; it need not be an obstacle if our
problems can be dealt with satisfactorily, whether
through adaptations of the arrangements made under
the Treaty or in any other acceptable manner.
Capital Movements
(2)
The capital account is a vital
element in our balance of payments. We recognise
that the gap between our stringent controls on
capital movements and the liberal regime of the
Community will have to be closed. We shall need a
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