However, a disappointed European Union and the British government put a brave face on the result. Tony Blair's Danish counterpart, Poul Nyrup Rasmussen, conceded defeat. According to USA Today he fought back the tears, and said "Democracy has spoken, our people have spoken. We will respect the result." Some felt that the result also heralded a "two-speed Europe," and that scenario more inevitable.

To begin with though the euro itself only felt a twitch on the financial markets. Intervention was welcomed, particularly when the European Central Bank (ECB) acted upon its own initiative. Yet the move represented only a minor success.

On November 3rd 2000, according to BBC Online, the euro traded at just four cents above its all time low of US$0.8230. Even so analysts believed at the time that this was more due to the slowing down of the US economy than the "no!" vote in the Danish referendum. As a result that the BBC correspondent, Jonty Bloom, will leave Denmark with "less influence over their own interest rates."

The British foreign secretary Robin Cook elaborated on BBC Radio 4's Today programme:

"If we conclude that there would be economic benefits for Britain; it is right to keep the option open and ask the British people to decide." He added: "The vote last night does not alter the fact that the Eurozone contains 250 million people who provide the market for the majority of our exports." No doubt Eurosceptics contest this view, arguing that the majority of our exports are with the rest of the world, and particularly with the United States.

However, the euro has continued to suffer inspite of several interventions by major central banks. Tony Blair even said that he would not vote for the beleaguered single currency, if there were a British referendum today. Michael Portillo welcomed the Danish result. The shadow chancellor of the exchequer argued that it has changed the nature of the debate in Britain.

Mr. Portillo believes that it shows that "we are not isolated." He feels the Danish people have proved that the single currency "clearly isn't inevitable." Mr. Cook admitted that Britain's membership of the euro would be left to the British electorate. The foreign secretary nevertheless mocked the anti-euro camp: "I find it rather odd that those people who stressed the sovereignty decisions, seemed to be suggesting that Denmark should decide for Britain."

The Danish anti-euro camp celebrated throughout the night after hearing the result. Eurosceptics across the European Union applauded the Danes' audacity to reject the single currency. A pre-referendum statement posted, and still available on the June Movement's Web site states: "By retaining the kroner, we ensure that we have an 'emergency exit' if things go badly wrong in Euroland." Defiantly it adds that Denmark "can afford to remain independent" and contested that the Euroland has a better economy than its own one.

Britain's Pro-Euro Conservative Party (PECP) dismissed the significance of the "no!" vote. "Denmark would have comprised only 2% of the Eurozone if it had joined, and for many years Denmark has anyway shadowed the D-mark and, latterly the euro", argued the PECP in a post-referendum statement. The PECP renewed its call for the government to put its weight behind the euro "with renewed vigour."

The PECP also said that no comparisons can be drawn between Britain and the Danish rejection of the single currency. The statement rejects the notion that the euro will lead to a "United States of Europe." The European Movement reflected the PECP's viewpoint: "The key factor in this result is that it bears little relevance to the debate on the single currency in this country. It is a matter for the Danes alone."

The European Movement considered two points, separating any future referendum from the Danish decision to keep their own currency. The first argument alike the PECP's own statement, cited the difference in population and economic size. "Denmark, unlike Britain, has not experienced the damaging effects on jobs and investment of currency volatility with its major trading partner," revealed a European Movement press release.

It also dismissed the Democracy Movement's recent march and claims about the Treaty of Nice as "fantasy." It reasserted the view that Britain would become isolated if the UK chose to copy the Danes, and reject the single currency. However, the statement seems to ignore the government figures on foreign investment.

Tony Blair has also suggested that Britain should play a more "active part" in the European Union. The Government is also arguing that it would be "patriotic" of Britons to vote for the euro in a future British referendum. Yet the Swedish electorate will decide first of all whether to accept or reject the single currency. Sweden's ruling Social Democrats voted in March 2000 in favour of a referendum. A Fox Market Wire Report believed at the time that for Sweden "the euro is still a long way from becoming reality in this Scandinavian country."

By Graham Jarvis, 13th November 2000