Hain in retreat over the euro

EUROPE Minister Peter Hain today retreated over his calls for early British entry to the euro. Hain, who said last week it would be a 'tragedy' for Britain to rule out euro entry, backtracked after a telling-off from Chancellor Gordon Brown, whose aide Ed Balls warned that rushing in would damage the economy.

Today Hain told Radio 4's Today programme: 'Ed Balls was absolutely right, as was the Treasury, to try and calm things down...I fully support their position.' He added: 'We are going to conduct an economic assessment. Nothing I said or commented upon last week or the week before or today alters that policy. I'm fully behind it.'