Gerhard Schröder, Ex-German Chancellor, Says 'Problem' Britain Blocking EU Progress

'The EU's Problem Has A Name, And That's Britain!'
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FRANCE - OCTOBER 05: French -German forum at Jean Jaures foundation In Paris, France On October 05, 2001 - Gerard Schroder. (Photo by Daniel SIMON/Gamma-Rapho via Getty Images)
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The European Union needs to integrate further politically in order to survive and should push aside Britain as the "problem" country risks blocking such a move, ex-German chancellor Gerhard Schröder has warned.

Schröder, who was Germany's Social Democrat chancellor until 2005, said that the City of London had derailed many of the EU's financial reforms that were needed in order to steady the eurozone after the financial crisis.

“The failure to implement steps that were decided four years ago by the G-20 in Pittsburgh to restrain the financial sector, has much to do with the City of London,” he told an economic forum in Bregenz, Western Austria.

“Those who are willing to have more integration should not be bound by those who are not.

"The problem has a name, and that's Britain. As long as the British block these moves, nothing will happen," according to reports.

The former Social Democrat chancellor's intervention is significant because current German chancellor Angela Merkel, although sympathetic to David Cameron's Euroscepticism, is in coalition talks with the Social Democrats, who are more hostile to Cameron's diplomatic stance.

Schröder went on: “We can assume that Britain is no longer willing to join the euro area. Countries that are not in the euro area cannot prevent greater integration. It’s tough but you cannot say ‘I will not be there but I want a say’.”

“The EU's political structure cannot remain static. We need to press ahead with Europe's political unity, towards a kind of European federation.”

Brexiters
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The Ukip leader and MEP is the most famous 'outer'. After his party took over a 100 council seats in May's local election's Nigel Farage is hoping to win the 2014 European elections and then gain MPs in Westminster in 2015. He has confirmed he will seek a parliamentary seat himself. (credit:PA)
Lord Lawson(02 of09)
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Margaret Thatcher's former chancellor and a true 'Tory grandee' revealed in The Times that if and when there is a referendum "I shall be voting out". He also stuck the boot into the David Cameron by saying the prime minister's attempts to renegotiate the terms of the UK's relationship with the EU would be "inconsequential". (credit:PA)
Backbench Brexiters(03 of09)
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There are quite a few Conservative MPs who would like to wave goodbye to Brussels. Ken Clarke has said the figure is as low as 30 despite the strong eurosceptic feeling on the backbenches. However the exact number is not clear. Mid-Bedforshire MP Nadine Dorries, who remains suspended from the Conservative Party, is currently talk tof the eurosceptic town amid rumours she may defect to Ukip. Other backbench Brexiters include Bill Cash, Douglas Carswell, Peter Bone and Philip Davies and former defence minister Sir Gerald Howarth. (credit:PA)
Labour's 'Let's Leave' Lot(04 of09)
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Media Moguls(05 of09)
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Of course no campaign is complete without a bit of star power. The pro-EU camp have Eddie Izzard, who do the Brexiters have?Joan Collins, a 'patron' of Ukip, wants the UK to leave. "The EU, controlled from Brussels, cares only about itself," she said in March. (credit:PA)
The Business Types(07 of09)
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Most business leaders do indeed seem content with what Lawson called the "warm embrace of the European single market", but there are a few dissenters. Private equity guys Jon Moulton and Edmund Truell are two and Next boss and Tory peer Simon Wolfson has said: "Britain should stay in Europe, but only on the right terms". (credit:PA)
The Commentariat(08 of09)
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Edging Towards Exit(09 of09)
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Several high-profile politicians appear to be on the verge of calling for the UK to exit the EU - but just are not there yet.Former defence secretary Liam Fox - pictured here with a big gun - has said "life outside the EU holds no terror" should David Cameron's hopes of negotiating a new treaty fail.Education secretary Michael Gove is said to have told friends the UK has "nothing to be scared of" by leaving Europe.And many other eurosceptic cabinet ministers, including Iain Duncan Smith and Owen Paterson are likely to share that view. (credit:PA)