The Euro/The European Union

Growing from six Member States in 1952 to 15 by 1995, the European Union today embraces more than 370 million people. Though rich in diversity, the Member States share certain common values. By entering into partnership together their aim is to promote democracy, peace, prosperity and fairer distribution of wealth.

After establishing a true frontier-free Europe by eliminating the remaining barriers to trade among themselves, the Member States of the European Union have resolved to respond to the major economic and social challenges of the day; to establish a common currency, boost employment and strengthen Europe's role in world affairs.

The European Community was originally founded by six States; Belgium, France, Germany, Italy, Luxembourg and the Netherlands, which were joined by Denmark, Ireland and UK in 1973, Greece in 1981 and Spain and Portugal in 1986. In 1992 the Member States decided to form a European Union, which was enlarged in 1995 to include Austria, Finland and Sweden.

Since 01 January 1999 the Euro (�) has been in operation in financial/banking institutions. From 01.01.2002 Euro cash currency will replace all existing local currencies for 12 EU countries (Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxemburg, Netherlands, Portugal and Spain). From approximately 01.03.2002 it will no longer be possible to use any of the local currencies for these 12 participating countries. Other EU countries reviewing future membership of the EMU are Denmark, Greece, UK and Sweden (Poland, Hungary, Czech Republic). Further/additional information on the impact on the �Sterling can be found on the Bank of England's website: http://www.bankofengland.co.uk