Euro Beastly

North West Conservative Euro MP David Sumberg is urging the region's families to learn the painful financial lessons of joining the €uro after a senior Italian minister branded the currency 'beastly'.

The candid remarks were made by Italy's finance minister, Giulio Tremonti, who is also the current head of the group of EU finance ministers, on Italian television. Mr Tremonti told the interviewer: "The increase in the cost of living since the introduction of the €uro has been beastly. We moved to the €uro counting on a reduction in inflation and, in fact, the opposite has been the case."

Mr Sumberg said he is not surprised to hear such stinging criticism of the €uro as consumer associations estimate that each Italian family is €2,800 euro worse off since €uro notes and coins were introduced in January 2002.

"The reality is that there is a great deal of cynicism among Eurozone consumers generally who feel that shopkeepers and other retailers took advantage of the confusion surrounding the changeover to the €uro to raise their prices,' he said. "There has also been massive criticism of the huge costs of converting to the €uro - changing tills, retraining staff -and there is a real suspicion that retailers are still passing on these costs to the consumer. But let us be under no illusions if we joined the €uro -as Tony Blair wants to - UK consumers would see exactly the same problems happening here. Families balancing tight budgets would be worse off. There is no doubt that joining the €uro causes inflation."

ITALIAN MINISTER BRANDS €URO 'BEASTLY'