Britain, the United States and the Common Market

July 19, 1961

Report Outline
Pressures on Britain to Join Common Market
Great Britain and European Unification
Obstacles to Entry into Common Market
Proposals to Broaden Present Market

Pressures on Britain to Join Common Market

Complexity of Problems Confronting Britsh

A momentous decision confronts Great Britain: Shall it break with ancient tradition to join the continental powers of Western Europe in an economic union that may one day become a political union? Or shall it hold fast to its position as an island nation, leader of a world-wide commonwealth whose members have close economic ties and close ties of sentiment, one with another? The question is growing urgent because Britain faces a deep-seated economic crisis. While the country is currently prosperous, the exports by which it lives are lagging and its industrial production is not expanding as rapidly as that of European rivals. Meanwhile, lively economic progress among member countries of the European Economic Community or Common Market emphasizes the disparity of the British position.

The seemingly obvious solution of the problem would be for Britain to join the Common Market and thereby put British manufacturers in position to compete for continental markets on equal terms with French, German, and other manufacturers. But the answer is not so simple. For nearly 30 years, members of the British Commonwealth have enjoyed trade preferences in the British market which, as matters stand now, would be lost if the United Kingdom went into the European Economic Community. Britain's subsidized farmers likewise would be adversely affected. And the British have commitments to other members of the European Free Trade Association, a group that was formed after failure of London's initial effort to come to terms with the Common Market.

Prime Minister Harold Macmillan's government cannot ignore the interests of these groups. The trouble is that leaders of the European Economic Community have not been disposed to make the compromises that would be needed to safeguard those interests. They have indicated that Britain must accept the Common Market as it is or stay out Whether the pressure of events, in Great Britain or elsewhere, will in time contribute to solution of the problem remains for the future to unfold. It has been suggested that the question, now or soon, may involve the unity of the West, and that to preserve that unity the European Economic Community should be expanded into an Atlantic Economic Community, taking in not only Britain but also the United States and Canada. However that may be, the factors involved in the more limited question of British entry into the Common Market are themselves so extensive and diverse as to make plain how difficult will be the ultimate decision.

ISSUE TRACKER for Related Reports
United Kingdom
Oct. 21, 2022  The United Kingdom's Future
Nov. 05, 2010  U.S.-British Relations
Jan. 30, 1998  U.S.-British Relations
Mar. 08, 1996  The British Monarchy
Sep. 15, 1995  Northern Ireland Cease-Fire
Nov. 17, 1978  New Prospects for Britain
Apr. 08, 1977  Britain: Debtor Nation
Sep. 26, 1975  Britain in Crisis
Jun. 10, 1970  British Election, 1970
Oct. 30, 1968  British Economy Since Devaluation
Sep. 27, 1967  Britain in the 1960s: Descent from Power
Sep. 10, 1964  British Election, 1964
Jun. 24, 1964  British Commonwealth in the Postwar World
Aug. 09, 1961  Socialized Medicine in Great Britain
Jul. 19, 1961  Britain, the United States and the Common Market
Sep. 16, 1959  British General Election
Mar. 13, 1957  American-British Relations
May 10, 1954  Political Trends in Britain
Sep. 13, 1951  British Social Services
May 24, 1950  Sterling Balances
Feb. 08, 1950  British Election, 1950
Jan. 12, 1949  British National Health Service
Mar. 28, 1946  Sterling Area and the British Loan
Jul. 14, 1945  British Export Trade
Jun. 22, 1945  British Election
Jan. 01, 1943  Food Rationing in Great Britain
Apr. 19, 1941  Convoys for Britain
Jan. 02, 1941  Financing Britain's War Requirements
Aug. 26, 1938  Anglo-American Relations
Apr. 28, 1938  Economic Recovery in Great Britain
May 12, 1937  Britain's Intra-Imperial Relations
Sep. 09, 1931  Unemployment Insurance in Great Britain
Aug. 09, 1930  The Protectionist Movement in Great Britain
Sep. 10, 1929  The British Task in Palestine
May 06, 1929  The British General Election of 1929
Jun. 12, 1926  The British Trade and Financial Situation
May 07, 1926  Background of the British Labor Crisis
Oct. 17, 1924  British Electoral System and Political Issues
Feb. 29, 1924  British and French Finances
Jan. 14, 1924  The British Labour Party
BROWSE RELATED TOPICS:
International Finance
International Law and Agreements
Regional Political Affairs: Europe