Blair warns of Europe 'paralysis'

The Tories accuse Blair of shifting ground on the EU

The European Union faces "paralysis" if it fails to agree a new constitution once it grows in May, says Tony Blair.

Updating MPs on the recent European summit, he said new decision making methods were needed once the 10 new members joined the EU in May.

The summit saw a mid-June deadline set for sealing a deal on the issue.

But Conservative leader Michael Howard renewed calls for a referendum and accused Mr Blair of trying to "bounce" Britain into a constitution.

Veto questions

Critics say a constitution, which now faces weeks of tough negotiations between EU leaders, is a step towards a federal Europe and the loss of British sovereignty.

But the government says it will not lead to the type of fundamental changes which would require a referendum.

Mr Blair promised not to give up the British veto on taxation, social security, foreign policy, defence and criminal justice.

The draft constitution's provisions on criminal justice were currently "not acceptable", he said.

The prime minister says trust him, we say trust the people Michael Howard Conservative leader

A constitution was vital to make EU enlargement work, he said, arguing that a Europe of 25 could not work on systems designed for 10 members.

"The result would be paralysis in Europe," he went on.

The Tories are planning to make the constitution a major issue in their campaign for the European elections on 10 June - exactly a week before the deadline set for agreeing a new constitution.

Dividing lines

The prime minister accused the Conservatives of peddling "fantasy rubbish" about the constitution.

He looked forward "with enthusiasm" to arguing for his path of constructive engagement in Europe against what he claimed were Tory plans to renegotiate Britain's membership of the EU.

If the new revised constitution does involve constitutional implications, then a referendum would be the right way to go Charles Kennedy Liberal Democrat leader

Mr Howard argued the constitution would give the EU "many of the trappings of statehood", including a president, a foreign minister and a new legal status.

The government offered referendums on whether areas wanted elected mayors but not on this historic issue, said the Tory leader.

"The prime minister says trust him, we say trust the people."

'No leadership'

Mr Howard accused Mr Blair of changing his mind on a spate of issues over the constitution, including his desire for an early deal.

He asked: "Could it be by chance something to do with your desire to bounce Britain into this constitution before the general election?"

Mr Blair had promised in 1994 never to let Britain be isolated in Europe, he said.

The Tory leader said: "Ten years later, we know what he meant by that - he meant never leading, always following in Europe."

EU power limits

Liberal Democrat leader Charles Kennedy welcomed new European cooperation against terrorism, but warned the right balance had to be kept between security and civil liberties.

Mr Kennedy stressed the need for a constitution, which he argued would make clear the limits of EU power.

"Surely if the new revised constitution which emerges from the sort of discussions which will now take place does, as the present one does, involve constitutional implications, then a referendum would be the right way to go," he added.

At the weekend, former Labour minister Frank Field claimed at least 30 Labour members were "deeply troubled" on the issue and wanted a referendum.

Mr Field, part of the cross-party group campaigning for a referendum, said public feelings ran so high on the issue that it could roll over into the general election campaign and cost Labour votes, he argued.

But other Labour MPs on Monday voiced their support for the constitution plan.