Transcript Revision: European Union

www.hoddereducation.co.uk/businessreview
European Union
Hodder & Stoughton © 2016
What is the European Union?
As the UK prepares to leave the European Union, there are currently 28
member countries in the EU after Croatia joined in 2013:
Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark,
Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia,
Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania,
Slovakia, Slovenia, Spain, Sweden, the United Kingdom
The role of the EU is to ensure member countries work together to make:
 business between member countries easier
 the laws in each country the same
 living and working in the EU easier
 peace, prosperity and freedom for its 500 million citizens in a fairer, safer
world
Hodder & Stoughton © 2016
How does it work?
To make these things happen, EU countries set up bodies to
run the EU and adopt its legislation. The main ones are:
• the European Parliament (representing the people of
Europe)
• the Council of the European Union (representing national
governments)
• the European Commission (representing the common EU
interest)
Hodder & Stoughton © 2016
Timeline
1945 End of First World War
1951 Treaty of Paris; creation of European Coal and Steel
Community (ECSC)
1957 Treaty of Rome makes the European Economic
Community (EEC) common market/single market
1992 Maastricht Treaty comes into force, formally establishing
the EU and setting clear rules for future currency
2002 Euro banknotes and coins begin to replace national
currencies in member states
Hodder & Stoughton © 2016
EU: arguments for
The economy
Over half of the UK’s trade goes to the EU, bringing the country around
£400 billion a year. That dwarfs any savings from not contributing to the EU
budget. Over one-in-ten UK jobs are directly linked to EU membership and
studies show Brexit could wipe up to 10% from UK GDP. International
companies invest in the UK because it’s a gateway to the EU’s 500 million
consumers.
Trade deals
As the world’s biggest economic bloc, the EU’s leverage is unmatched in
global talks on climate change and deals on gaining low tariffs. The EU
guarantees equal rights and better labour standards.
Hodder & Stoughton © 2016
EU: arguments against
Less competition
It will be harder for EU countries to compete in the UK market. This will give
British firms a competitive advantage.
Bureaucracy issues
Overregulation by the EU has cost the UK economy over £125 billion.
Freed from Brussels red tape, the UK economy would thrive like Norway or
Switzerland — two of the most successful states in Europe. The UK could
negotiate its own trade deals with the likes of China, the USA and Russia
on terms tailor-made to suit the national interest. Trade with EU countries
would continue — it will be in their interests to maintain the UK’s access to
the European free market.
Hodder & Stoughton © 2016