21Oct2002 UK: UPDATE 1-Irish EU vote seen holding euro lessons for Blair.

By Stephen Cunningham

LONDON, Oct 21 (Reuters) - Pro-euro campaigners in Britain took heart on Monday from the Irish government's success in turning around public opinion in favour of the EU Nice Treaty a year after rejecting it.

They argued that the manner in which Irish prime minister Bertie Ahern overturned public opposition to the treaty provides key lessons for Prime Minister Tony Blair as he gears up for a possible euro referendum.

Although surveys show the overwhelming majority of Britons would vote to keep the pound if the promised referendum were held anytime soon, pro-euro enthusiasts have been encouraged by the example set by Ireland over the weekend.

A first attempt by Dublin to ratify Nice last year ended in failure with a low voter turnout and a government campaign that was criticised for its lack of momentum. But a 63-37 percent vote in favour at the weekend removed a key hurdle in EU enlargement plans.

"The Irish reversal in just a year shows that public opinion can be changed when a powerful argument is put forward by an elected head of government who puts their leadership on the line," said Graham Bishop, a pro-euro campaigner.

Although the British government had set itself a deadline of June next year for making up its mind on whether the economic conditions are right to press ahead with euro entry, the public will have the final say in a referendum.

PREPARING GROUND

Bishop said that in recent months Blair had already started to prepare the ground for a euro referendum campaign, peppering speeches with references to Britain's national interest lying in throwing in its lot with the 12-nation eurozone.

"The prime minister is very good at explaining to people what is in the national interest - you only have to look at how he had the Labour party conference eating out of his hand when he was expected to get a hard time over private finance," Bishop added.

The Irish had rejected Nice the first time around because they feared they would lose out financially from the planned expansion of the EU to the east.

"The 'yes' voters realised this time that it was important for Ireland's position in Europe, even though there's likely to be some short-term pain in structural funds going elsewhere which they would have anyway lost," Bishop argued.

"When people understand clearly and unambiguously what is in the national interest they respond," he said.

After a new survey of public attitudes on European issues dubbed Britain the "don't know" capital of the EU, Labour's leader in the European Parliament complained that eurosceptics have been allowed to make the running for far too long.

"For those who believe Britain's future lies at the heart of Europe and at the centre of a successful single currency, the lessons from the Irish referendum are clear," said Gary Titley MEP.

"We must go on the offensive and make our case in ordinary language people understand - and make it our business to expose the scaremongering myths that have misled the British public on Europe for too long," he added.

However, the "no" campaign disagreed that public hostility would roll over as quickly as in Ireland once Blair launched his bid for euro entry.

"Unlike Ireland, we're not in the position where all the press is in favour of a 'yes' vote along with all the political parties and business," said James Frayne, a "no" campaign spokesman.

(C) Reuters Limited 2002.

Sources: REUTERS NEWS SERVICE , REUTERS NEWS SERVICE - UNITED KINGDOM , REUTERS NEWS SERVICE 21/10/2002

REUTERS Business Briefing , 29-10-2002