EU referendum: Out vote 'would risk jobs', say bosses

 
The prime minister says his only agenda is what is best for the country

Leaving the European Union would threaten jobs and put the UK's economy at risk, business leaders from some of Britain's biggest companies have said.

Bosses - including those of BT, Marks & Spencer and Vodafone - signed a letter published in the Times, saying an EU exit would deter investment in the UK.

However, Leave.EU said leaving would cut "unnecessary" regulation and costs.

On Monday, PM David Cameron told MPs leaving the union would hurt working people in the UK "for years to come".

In a move described by No 10 as "unprecedented", chairmen or chief executives of 36 FTSE 100 companies signed the letter backing the campaign to stay in the UK.

The FTSE bosses were among a total of 198 signatories from the business world, including the chief executives of Heathrow and Gatwick airports.

However, the BBC's economics editor Kamal Ahmed said there were some notable absences, such as the bosses of Tesco, Sainsburys, RBS and Barclays.

He said two leaders of US firm Goldman Sachs in Europe had signed the letter, which signalled wider concern among major American banks based in London.

But he pointed out that Brexit campaigners claim smaller businesses are "much more sceptical" about the advantages of staying in the EU.

The letter - organised by the Britain Stronger in Europe campaign and Downing Street - said the PM had secured a commitment from the EU "to reduce the burden of regulation, deepen the single market and to sign-off crucial international trade deals".

They wrote: "Business needs unrestricted access to the European market of 500 million people in order to continue to grow, invest and create jobs."

"Britain will be strong, safer and better off remaining a member of the EU," they added.
'Bullying'

Downing Street dismissed suggestions that far fewer FTSE bosses were willing to sign up than had been hoped, putting it down to the procedures which big companies must conduct before they can endorse a political campaign.

Richard Tice, co-founder of Leave.EU, said Downing Street had admitted using taxpayers' money and "applying pressure" on FTSE chairmen and chief executives to sign the letter.

"The truth is that despite the bullying of a prime minister who has no real business experience, it is other normal commercial factors which will determine the continued success of British businesses to invest and grow.

"Brexit will reduce unnecessary regulatory burdens and cost on business, which can be used to invest in more jobs, not less," he added. Image copyright Getty Images Image caption David Cameron has secured a commitment from the EU "to reduce the burden of regulation", business leaders said

Meanwhile, senior figures from both sides of the debate will also continue to campaign ahead of the referendum on 23 June.

Labour's former home secretary Alan Johnson is due to warn that two thirds of British jobs in manufacturing depend on demand from Europe and leaving could put up to 50,000 apprenticeships at risk.

The chairman of Vote Leave, Conservative peer Lord Lawson, is due to make a speech at Chatham House, while Mr Cameron will visit a firm in Berkshire.

The visit is the first in a series of "national tour days" during which the PM will set out his case to the public.

The BBC's assistant political editor Norman Smith said it was an effort to pitch the argument beyond Westminster and the internal tensions in the Tory party.

Sources say they believe Mr Cameron's key arguments on jobs, prosperity and national security will resonate more with voters, who are less interested in the detail of his European deal.
'Failed' body

Those divisions in the Conservative Party were laid bare during a debate in Parliament on Monday, when a succession of Tory MPs questioned the substance of the PM's agreement with EU leaders - announced on Friday.

More than 100 Conservative MPs want to leave the EU - including five full cabinet ministers and Mayor of London Boris Johnson. Image caption Labour's Alan Johnson will warn thousands of apprenticeships could be at risk in the event of Brexit

Mr Johnson asked how the deal negotiated would "in any way" return sovereignty to the UK.

The prime minister defended the deal - outlined in a new government document - insisting it would give the UK a "special status" within the EU and ensure it never became part of a European super-state.

But Tory backbencher Jacob Rees-Mogg said the EU was a "failed" body and the UK should "make our own path".

Labour leader Jeremy Corbyn said his party could make a "real" argument for the benefits of EU membership.

According to BBC research, 142 Tory MPs will campaign to remain in the EU, 120 to leave, while 68 have yet to make their positions clear.

The overwhelming majority of Labour MPs back continued EU membership as do the SNP, Plaid Cymru and the Liberal Democrats but the Democratic Unionists and UKIP are opposed.