CAB128-94_A1b — Page 179

ONFIDEN

CONFIDENTIAL

Page 179

The Cabinet

Took note.

-

IMMUNITY FFAIRS

eeting of

Foreign Affairs buncil

November

elecommuni- ations

There had

4. THE FOREIGN AND COMMONWEALTH SECRETARY said that the meeting of the Foreign Affairs Council on 6 November had been the first

portunity to present the United Kingdom's paper on an alternative approach to economic and monetary union.

earno substantial discussion, but it had been politely

eived and the Presidency and Commission had explicitly agreed that it would be taken into account in further work. Chancellor of the Exchequer would no doubt pursue the matter in more detail at the meeting of the Economic and Finance Council on 13 November. He would himself be pressing it during visits to the Hague and Bonn. Meanwhile, discussion at the Council showed clearl) that most Member States expected that the European Coun at Strasbourg would take a decision to call an intergovermental conference to amend the Treaty of Rome.

ONF

The

gati

THE SECRETARY OF STATE OR TRADE AND INDUSTRY said that the Commission, at the stigation of Sir Leon Brittan, had issued a Directive aimed at open up the telecommunications market in other Member States, an ective which the United Kingdom strongly supported. A number of Member States, led by the French, were pressing strongly for the Directive to be modified, but the indications were that the Commission would stand firm.

In a brief discussion it was noted that this was a further example of the United Kingdom play by the rules and other Member States resisting the creation of a genuine single market. The United Kingdom should not hesitate to give publicity to such cases, drawing attention, where appropriate, to our support for the Commission's line. Similarly the United Kingdom had respected the conditions imposed by the Commission at the time of the sale of Rover, but the French had disregarded the conditions attached to their supsidies to Renault and were now resisting the Commission's demand that the assistance should be repaid. It was to be hope that Sir Leon would ensure that the Commission remained firm is case as well and would take action in the European Court

necessary.

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