Government betting on Eurocreep

TONY BLAIR is banking on shoppers to swing the country behind the euro by stealth, it has emerged. In a process known as 'eurocreep' among the Prime Minister's advisers, scores of leading retailers are gearing up to accept payment in the EU's single currency in the New Year.

Once millions of Britons find they can offload spare euros brought back from continental holidays in their local High Street, 'one of the obvious advantages of having a single currency should start to become clear,' one well-placed Whitehall insider said.

Continental visitors to Britain will also be able to spend their euros - which replace national currencies in 12 countries from 1 January. Growing familiarity will then help change public resistance to ditching the pound and pave the way for a possible 'yes' vote in a promised referendum on monetary union, ministers hope.

More than half the UK's leading retailers, including Marks & Spencer, John Lewis, and WH Smith, will accept payment in euros from next year. Boots, Selfridges, Harrods, Dixons, and Virgin stores are ready to take purchases in the new currency as soon as notes and coins become legal tender in the 'euro-zone' from the beginning of January. Euros are already used for cheques and in bank accounts in countries that have signed up.

Supermarkets group Tesco currently accepts traveller's cheques in euros, while Orange, BP, General Accident and British Gas already offer customers bills in euros. Sainsbury's, B&Q, Asda, Somerfield, and Kwik Save have provided customers with trolleys with coin slots accepting euros.

Meanwhile, the BT Group plans to convert thousands of public telephone boxes to take euro coins, and Chester Zoo and the London Aquarium are among tourist attractions preparing to accept the new currency from next year.

'With 13 million tourists from the euro-zone expected in Britain next year spending more than £4 billion, it is no surprise that some of Britain's major retailers will accept euros,' said Simon Buckby, director of the pro-single currency Britain in Europe Campaign. 'It makes commercial sense for them to do so, while the big worry is that many shops which are not ready to take euros may lose out as a result. The anti-Europeans may try to keep Britain out of the euro, but they can't keep the euro out of Britain.'

With Britons expected to make 40 million trips to other EU states next year, most can be expected to return home with left-over euro notes and coins. This process of 'eurocreep' will be closely monitored in Whitehall by pro-euro ministers and officials - headed by Blair. They are keen to change public opinion, which remains doggedly opposed to losing the pound.

'All this will help boost public awareness of the euro, and we believe will play a part in breaking down resistance to the single currency,' a senior official said. Another declared: 'Eurocreep will display the reality of the single currency to people here in Britain, and it will become increasingly more difficult to argue that the new currency is a threat to our way of life when you can use it in our shops and supermarkets.'

Last week, the Prime Minister sought to accelerate Britain's membership of the single currency, warning in another keynote speech that the country cannot afford to be left on the sidelines of the EU.