Creating the NHS was the greatest act of modernisation ever achieved by a Labour government. It banished the fear of becoming ill that had for years blighted the lives of millions of people. But I know that one of the main reasons people elected a new Labour Government on May 1 was their concern that the NHS was failing them and their families. In our contract with the people of Britain I promised that we would rebuild the NHS. We have already made a start. The Government is putting an extra ��1.5 billion into the health service during the course of this year and next. More money is going into improving breast cancer and children's services. And new hospitals are being built. We have pledged to make real increases in health spending year on year. I don't just want to save the NHS, I want to give it a new lease of life. It will take time but with this government the NHS will get better every year so that it delivers a modern, dependable service - based on need not ability to pay. The White Paper we are publishing today marks a turning point for the NHS. It replaces the internal market with "integrated care". We will put doctors and nurses in the driving seat. The result will be that ��1 billion of unnecessary red tape will be saved and the money put into frontline patient care. For the first time the need to ensure that high quality care is spread throughout the service will be taken seriously. National standards of care will be guaranteed. There will be easier and swifter access to the NHS when you need it. Our approach combines efficiency and quality with a belief in fairness and partnership. Comparing not competing will drive efficiency. As we approach the fiftieth anniversary of the NHS, it is time to reflect on its huge achievements. But in a changing world, no organisation, however great, can stand still. The NHS needs to modernise in order to meet the demands of today's public. This White Paper begins that process of modernisation. The NHS will start to provide new and better services to the public. Services that make it more responsive to a more demanding public. Services never before provided by the NHS. For example, we will introduce a nurse help-line to provide advice to people in their homes 24 hours a day, 365 days a year. We will bring new technology to the centre of the NHS to provide better services to the public - linking GP surgeries to specialist centres, quicker test results, and direct booking of hospital appointments. In short, I will take on those who say the NHS has had its day and all we can do is preside over its slow decline. I have great ambitions for the NHS. Not just muddling through, or coping, but taking a bold and positive leap forward. I will work with you, the people who make the NHS so special, to make it a modern and dependable service of the future. We will provide the resources, but in exchange the NHS must modernise. It is a big challenge but I am confident that with the support of the public, the dedication of NHS staff such as yourselves, and the backing of the government, we can again create an NHS that is truly a beacon to the world. Today's White Paper is a central part of our plans to build a modern Britain. It follows yesterday's launch of the Social Exclusion Unit. The government is delivering on its pledges. There is more money to back our drive to raise standards in schools; tough new measures to reduce youth crime; a ��300m national childcare strategy; corporation tax cut to the lowest level of any major European country; ��50 to every pensioner on income support to help with winter fuel bills; a ban on all handguns; and the biggest ever programme to get the young and long term unemployed back to work. Today I launch our logo and themes for the British Presidency of the European Union. In January, I shall set out our vision for Europe a for the Presidency in a speech. Here at Waterloo Station, we can see the way the modern world has altered our relations with the rest of Europe. For most of this century travel to the continent was the privilege of an elite. In the 1960s came the mass-market package tour. This year this station alone has been the embarkation point for over 5 million journeys to France and beyond. The Channel Tunnel and Eurostar are powerful physical symbols of our ties to Europe. Our presidency logo sums up my message today. The children who produced the stars for the logo worked in teams. We want a Europe that works together as a team. A Europe in which our countries retain their distinctive identities, as the children do in our logo, but work together to tackle common problems for the practical benefit of all. In the coming year, as well as the EU Presidency, we will chair the G8 and the Asia/Europe meeting. This gives us a great opportunity to show the modern, vibrant, dynamic, new Britain to the wider world. I see this Presidency as a test. A test for Britain and a test for Europe. A test for Britain to show that we can and do offer strong leadership in Europe. A test for Europe to show that it can embrace the need for change and reform. The true Europeans today are those who believe in Europe cooperating and working closely together, but know Europe needs to reform. There is a global economic market in which Europe must compete. There are forces of social change that are altering the very foundations of community and family life. There is a Europe to the East knocking on our door, freed from the constraint of Communism and eager for entry into the EU. Britains Presidency comes at a time of immense challenge for Europe, needing every bit of leadership and purpose we can muster. 18 million people are out of work. Eight years after the collapse of the Berlin Wall, the formal negotiations to widen Europe to embrace the new democracies of central and eastern Europe have still to open. The cost and waste of the Common Agricultural Policy continue to grow year by year. We have as yet shown ourselves insufficiently effective in enhancing our common security at home and abroad - whether by not tackling effectively the cross border problems of the environment, drugs and international crime; or by failing to face up collectively to external threats such as those posed by Saddam Hussein and ethnic cleansing in former Yugoslavia. I want our Presidency to build on the work of our predecessors and lead the process of change and reform. Our joint mission is to make Europe work for the people. A Europe that is closer to the peoples priorities: peace and prosperity, progress and partnership. In outline, these are our Presidency themes: First, we must build support for what we call the third way in Europe. The focus for economic reform should be a social model based on improving the employability of the European workforce. This means education not regulation, skills an technology, not costs and burdens on business, an open competition and markets not protectionism. There is a way between old-style state intervention and laissez-faire and we must take it. The crucial tests will be in completing the Single Market and in labour market reform. Second, we will work constructively with our partners to ensure that Economic and Monetary Union is launched successfully. It is in all our interests that monetary union works, We will play our part to ensure it does. Third, we want to secure peace, democracy and security in a wider Europe by starting enlargement negotiations. I want to use our Presidency to ensure that the negotiations get off to a flying start. It is an historic mission on which prosperous Western Europe cannot turn its back. We will also press for the start of reform in the Common Agricultural Policy, Structural Funds and European institutions necessary to make enlargement a success. Fourth, we will take forward common action on crime, drugs and the environment. Drug traffickers and money launderers do not respect borders. We must work together, if we are to have any hope of tackling these problems. We will judge the merits of proposals in these areas by the simple test of whether they work. On the environment, we need to ensure that Europe takes the lead. The EU has a pivotal role to play at Kyoto. We must use our influence to carry both the US and the developing world with us. We must ensure effective follow-up during our Presidency. Fifth, we will demonstrate that Europe can work together effectively and be a force for good in its relations with the outside world. Europe must play a major role on the world stage- a role that is open and outward looking, strong in its advocacy of free trade, human rights and democratic values. As the Presidency, we will work hard to build a stronger common foreign and security policy that is robust in the face of the threats that Europe faces. There will of course be many other issues on the table during our Presidency. Dealing with whatever is on the agenda with despatch and efficiency is the hallmark of an effective Presidency. One problem we will certainly not lose sight of is the ban on the export of British beef, where we have to see some practical progress soon. Finally, I want to involve the British people in our Presidency. A theme running through it will be greater openness and transparency: as part of this I am pleased to announce that our Presidency Internet Web Site is now on line. I also hope that during our Presidency we will be able to set up a system to allow EU Heads of Government to consult each other by means of video conference links. We can only make Europe work for the people of Europe, if in turn the people of Europe feel they have a stake in what Europe does. Our Presidency is an opportunity to demonstrate that Britain now has a strong voice in Europe. That the indecision, vacillation and anti-Europeanism of the past have gone. And that we can at last play our part in building a Europe that works for the people and the people's priorities. I am delighted to be here today to lend my personal support to the 'Campaign to help kick racism out of football'. Sport - and particularly football - is the international language. How many times have people all over the world found themselves in a foreign country forging friendships with strangers over a coffee or a beer as they discuss the latest exploits of the likes of Asprilla and Shearer - when they are fit! That is how it should be. Sport uniting nations and communities - not dividing them. In the past the cancer of racism has too often scarred our game - the sound of revolting monkey chanting whenever a black player got the ball. Bananas thrown on the pitch. Black players and fans verbally intimidated. That has now changed for the better and the Campaign is to be applauded for helping to make a difference. The racist's moronic chanting is no longer tolerated on the terraces. The campaign shows what can be achieved when clubs, the football authorities and the fans themselves unite in a common cause. But we would be wrong to think that racism has totally disappeared from the game. It may be less overt, but it is still there - outside grounds, in the pub or at park level. There is still more work to be done. We can never be complacent. Fascist parties with their vile views still see some football grounds as breeding places for their organisations. Just about every team in the country has a black player but there are still far too few black and Asian faces in the crowd. We may have done much to eliminate racism on the terraces but we have to ask whether they still do not come to matches because they feel the atmosphere is too intimidating. It is something that needs to be worked on. That is why today's schools initiative is so important. By educating our youngsters on why people become racist and teaching them how to tackle prejudice we can make them ambassadors of tolerance in the future. I am proud of the multi cultural society we live in where all have a part to play. I am proud to lead a Government that believes that nobody should be shut out from society's mainstream. A fairer, more tolerant, more inclusive Britain is in the interests of all of us. And there can be no better way to break down barriers than through sport. The project is an important part of this year's European Year against Racism. I look forward to hearing about the winning entries next year. It is also vital to the success of our World Cup Bid, which the Government is backing wholeheartedly, that we show the world the real face of football in this country - friendly, open, lively, entertaining. I am pleased that Patrick Vieira is able to join Glenn and me today. He has made a great impression here in England in the last 18 months. Patrick, I know you are fighting your way back from injury but as a Newcastle fan I'd be grateful if you could leave it another week. We don't want you scoring any more goals like the one against Manchester United when Arsenal play at St James's Park this Saturday, especially after last night's defeat at Bolton. But I thank you for the contribution you have made to British sport and to this campaign. Together, all of us, can make a difference and drive out racism at every level. I am delighted to be back in my constituency at such an exciting and important event. Sedgefield is one of the pioneers of the sustainable communities' project. Britain will never be a modern, forward-looking country if it is a place whose beauty, character, air, rivers, are polluted, defaced, and contaminated. To be modern is to be green. It is about seeking new solutions to new environmental challenges. Not just so that future generations have a planet that is still inhabitable but so that all of us going about our lives today can improve our quality of life. And it is about working with business to ensure that our companies and industry are able to take advantage of the huge opportunities that markets for new technologies offer. Many businesses already recognise that this agenda is an opportunity not a threat. It is also about recognising that we will only succeed if we work together. Individuals, business, communities and government must all act if we are to meet these new challenges. Communities such as Sedgefield are taking the lead. Today we have all seen examples of people and communities who have decided to take effective and practical action to change their lifestyles so that they benefit and the environment benefits. I am particularly pleased that so many different businesses and organisations have been involved, from Northumbrian Water, to the library, from Fujitsu to local schools, working together in partnership. I hope that many more local communities will take up the challenge. And I welcome Going for Green's "Eco-Cal" initiative - a computer based tool to help people measure how green their lifestyle is. It encourages people to recycle, to walk more, to turn their thermostats down, to wash their car with a bucket not a hose. It will help all of us save money on our energy bills, improve the quality of our local environment-in short how to live a more sustainable lifestyle. Small changes can collectively make a big difference to energy use. There are so many simple things that can be done when you realise the waste that occurs in our daily lives; Every nine months households generate enough waste to fill Lake Windermere. A third of household waste is packaging. Hosing a car for ten minutes uses almost 100 litres of water. Leaving a computer screen on all night uses enough power to print 800 pages of A4 paper. Lighting an empty office overnight is equivalent to making 1,000 cups of coffee. What these facts show is that working towards a greener country doesn't require a PhD in bio-chemistry merely a degree of common sense and thought. Well over half of all journeys are less than 5 miles and if we did more of them on foot or by bike rather than by car we would save ourselves money, avoid causing pollution and make ourselves a bit healthier - in short improve our quality of life. Our job as a government is to encourage local action of this sort but also to take a lead ourselves. Since May 1 we have done just that. In a few short months we have: Set tough targets on leakage for water companies to meet. Given ��3m to the Iwokrama rainforest in Guyana. Published a White paper on international development committing Britain to sustainable development. But I want to do more. I want to tackle head on the serious and growing pressures on the country's transport systems. We cannot carry on as we are. We know the problem. Congestion in our cities is increasing. At times there is complete log-gam. Pollution, noise, personal frustration, road rage, as well as extra costs and inconvenience is the result. That is why we are undertaking a fundamental review of transport policy so that we have an integrated transport policy that makes public transport a real and attractive alternative. Of course many people will always want to use their car. Often their livelihood depends on it. That is why we must take advantage of new technological advances to ensure that we minimise the adverse environmental impact of car use. Firstly we will provide ��5m of grant funding to be matched by industry funds to help industry and academia work together to develop vehicles that are more environmental friendly through the foresight Vehicle Link programme. I want us to find new ways of making car use greener. So I have asked Ian McAllister of Fords, president of the society of Motor Manufacturers, to join with Gavin Strang in setting up a partnership between government and the private sector to find ways of making it easier for the public to switch to greener vehicles, more fuel efficient vehicles. I want people to be able to make real choices, and choosing an environmentally friendly car should be a real cost-effective alternative. We need new attitudes, so that more drivers think green. We are also taking action on air quality. Our first step will be to put in place a National Air Quality Strategy. We will give local authorities the tools they need to assess air quality and devise strategies to deal with problem areas. Local authorities in seven areas are going to be given the powers to carry out roadside checks on vehicles to make sure that all vehicles are up to standard. If this is successful it will be extended throughout the country. Second, we are going to make information about air quality easier to understand, so that people will be able to judge us on the progress we make. And we will also use the opportunity of our Presidency in the EU next year to make progress on reaching agreements to ensure that cars, vans and lorries sold throughout the EU minimise their emissions. This government's lead is not just about what we can do in Britain but how we can influence the international community. The government is convinced of the need to tackle the factors which contribute to climate change. Many of you will be aware that Sir Robert May, the government's Chief Scientific Adviser published a report in October which showed the evidence is now clear. At current trends carbon dioxide will be present in the atmosphere at twice pre-industrial levels by the middle of the next century and still rising. The IPPC predict this would mean an average global temperature rise of about 2.5���� by the end of the next century. This could lead to a rise in sea levels of up to 50cm on average causing widespread flooding of low lying coastal areas. It is a global problem and needs a global solution. The Kyoto conference in December is an opportunity to show that we and other developed countries are serious about taking this challenge on. We are in the forefront of efforts to secure a successful outcome at Kyoto. John Prescott has done sterling work in the negotiations so far and will continue to play a key role in the next few weeks to press for progress. We are urging all developed countries to agree to take on serious targets to reduce emissions of greenhouse gases. I do not underestimate the challenges that we face in securing a meaningful agreement. But I also say that we should not underestimate the potential threat that climate change poses and it is vital that developed countries take the lead in reducing emissions. The message of today is that local action by individuals and national action by government can work together to make sure that progress today does not mean a degraded environment tomorrow. Britain is the country of Constable and Turner; of rural dreams and seaside holidays; of the Lake District and spectacular coastlines; the prettiest villages and the most vibrant cities. To be modern is to make our historic love of the countryside and of nature a modern day commitment to protect and sustain our environment. In Sedgefield today and Kyoto in December we see two ways in which we, the British people, can made an important start. Mr President, may I begin by congratulating you on your election as President of this Special Session. This is my fifth international meeting in eight weeks in office. My three young children in London complain I am never at home. But if there is one Summit they would want me at, it is this one. They know our decisions here will have a profound effect on the world they inherit. So I speak to you not just as the new British Prime Minister, but as a father. Our election campaign themes are particularly important to our approach to the environment. First belief in community, that we all owe obligations to each other. Second, the belief that rights and responsibilities go hand in hand - a right to a clean environment; and responsibilities to promote it. Three principles should guide us as we strive to protect the environment for future generations. First, we must give everyone a stake in the world's environment. That is why the fall in aid flows since 1992 is so worrying; why my Government supports the UN aid target; and why we are committed to improving further the quality of our assistance, reversing the decline in Britain's development assistance, and refocusing our efforts on combating poverty. We shall give priority to the poorest countries, including in Africa. At the Denver Summit, I committed the UK to raising by 50% our bilateral support for health, education and water projects in Africa. Reducing poverty is in our own interests. The poverty of landless and desperate people causes most of the destruction of the rainforests. And it is the reduction of the rainforest, the lungs of the world, that threatens the stability of our own climate. I hope this week we will agree to start negotiations on a Forest Convention. It takes less than an hour to fell a tree. It can take a lifetime to replace it. If we are serious about sustainable development, we must show we are serious about sustainable forestry management. Britain has long experience of the public and private management of forests. We are keen to share that experience. Today, I can announce that we intend to adopt a new Forest Standard to provide a benchmark for the regeneration of our forests. It may help provide a model for other countries. So I can also announce that Britain will be increasing our development assistance for forestry management to countries wanting to share our expertise. All of us, but particularly the industrialised world, must recognise that we have the opportunity and responsibility to combine economic progress with environmental improvement. The best, most successful companies worldwide realise that newer, cleaner processes and more attractive, greener products mean increased markets and more jobs. Yes, economic growth; but growth that is environmentally and socially responsible. We must make the process of Government 'Green'. Environmental considerations must be integrated into all our decisions, regardless of the sector. They must be in at the start, not bolted on later. There is a liquid more precious than oil. Water. Yet while some countries expect running water on tap, too many people in the same world get through the day on what they can carry back from the morning trip to the well. Britain will play its part in developing an action plan to ensure universal access to clean water and sanitation. I hope progress this week will lead to real results at next year's Commission on Sustainable Development. Five years ago, the Rio Summit launched Agenda 21. Since then 70% of our local authorities have been inspired to 'think global, act local' through Local Agenda 21. But we must do more. I want all local authorities in the UK to adopt Local Agenda 21 strategies by the year 2000. Action at the international level is just as vital - the world's environmental problems do not respect national boundaries. We need stringer global environmental initiatives and a vigorous United Nations. Perhaps the most worrying problem is climate change. If greenhouse gas emissions continue to rise unabated, by the year 2100 global temperatures will have gone up 1-3.5C and sea levels risen by perhaps as much as a metre. Some small islands are seriously at risk. So the EU has proposed the new and challenging target of reducing carbon dioxide emissions in developed countries to 15% below their 1990 level by the year 2010. In Britain we would be ready to go further to a 20% target. This target will require significant measures: * more efficient use of transport * improved energy conservation * and greater use of renewable sources of energy All of us in the UK - business, consumers, government, and individuals - will need to change our ways of living and doing, to achieve this target. New forms of energy. A new approach to transport, in particular the promotion of public transport. As evidence of our commitment I have merged our Transport Department with our Environment Department and put my Deputy Prime Minister in charge. A new approach to transport may mean sometimes not travelling at all. Who knows whether a future Earth Summit might be done through tele and video conferencing, with all of us staying at home? Many of you were at Rio. It was an exciting event. Environmental issues dominated politics and the media. Challenges were laid down, targets set. I attacked the last British Government for many things. But they did deliver on the greenhouse gas emission targets set at Rio. Some other countries cannot say the same, including some of the great industrialised nations. To them I say this: our targets will not be taken seriously by the poorer countries until the richer countries are meeting them. To be really effective, we must act globally. At Kyoto, industrial countries must agree legally binding targets for significant reductions in greenhouse gas emissions during the first decade of the next century. The biggest responsibility falls on those countries with the biggest emissions. We in Europe have put our cards on the table. It is time for the special pleading to stop and for others to follow suit. If we fail at Kyoto, we fail our children, because the consequences will be felt in their lifetime. And we must all deliver on the commitments we make. Setting new targets means little if old ones are ignored. At the same time, industrialised countries must work with developing countries to help them combat climate change, biodiversity loss and other global environmental challenges. We must live up to our side of the bargain and ensure that they have the resources to do this. So the United Kingdom supports replenishment of the Global Environment Facility. And we propose to enhance the United Kingdom's partnership with key developing countries in energy efficiency and climate change research and observation. We all need a clearer idea of the environmental hazards each country faces. We are all in this together. No country can opt out of global warming or fence in its own private climate. We need common action to save our common environment. This earth is the only planet in the solar system with an environment that can sustain life. Our solemn duty as leaders of the world is to treasure that precious heritage and to hand on to our children and grandchildren an environment that will enable them to enjoy the same full life that we took for granted. Like other nations, Britain is preparing to mark the coming millennium. But the millennium project on which we must all work is to rescue the global environment so that it can nurture life in all our countries for another thousand years. Let us show this week that we have the vision to rise to that task and the commitment to see it through. Fellow Heads of Government, Ladies and Gentlemen. I am grateful to President Chirac for hosting this historic event, and for once the word historic is indeed meritous. A new European landscape is being reclaimed from the battlegrounds of the 20th century and this agreement is part of it. My father fought in the last great European war. I was born in 1953, a child of the Cold War eara, raised amid the constant fear of a conflict with the potential to destroy all of humanity. Whatever other dangers may exist, no such fear exists today. Mine is the first generation able to contemplate the possibility that we may live our entire lives without going to war or sending our children to war. That is a prize beyond value and this agreement is a great contribution to it. The drawing of this new European landscape has not been easy, as many in this room know better than I. Stability and prosperity are never assured, they can never be taken for granted, but throughout central and eastern Europe political and economic miracles are being wrought. People raised on suffering and pain sense stability and prosperity can now lie ahead. We must encourage that, all of us, in every way that we can. NATO has served my country well, it has served Europe well, it remains the cornerstone of Europes defence. And now we can build on this agreement between NATO and Russia we have signed today. And I say that we must not stop here but must go on. I see three priorities. First, using the consultation mechanisms in the founding act fully and effectively. Success will be measured not by the number of meetings, but by the emergence of real mutual confidence and cooperation. Secondly, we must work together wherever we can on the military side. The political links between the countries of NATO and Russia are much stronger than those on the military net. Let us use this act to correct this. Generals who know each other and trust each other are more likely to understand each other and avoid mistakes. Thirdly, we must ensure we are not bound by the confines of this founding act. Its use can grow as that partnership deepens. Let us not be afraid of bold thinking about the new world in which we find ourselves today. Fifty years ago Europe was recovering from the devastation of war. Thirty years ago, east and west faced each other with mistrust across the Iron Curtain and a massive arms race was the result. Even ten years ago the tensions and divisions were palpable. In these last ten years so much as changed. The east has broken free from the yoke of totalitarian communist dictatorship in no small measure due to the bravery of men like President Yeltsin. For its part, NATO is still coming to terms with what this seismic change implies. Of course there are problems to overcome, that is inevitable, but now our common aim, east and west, is to make this new political world work. Today we have the opportunity in this agreement to do so. This agreement, born out of the vision and courage of nations determined not to repeat the past, is historys gift to our future. Let us guard it jealously and use it wisely. Lord Mayor, Late Lord Mayor, Your Grace, Lord High Chancellor, Your Excellencies, Lords, Aldermen, Sheriffs, Ladies and Gentlemen. It is a great pleasure for Cherie and me to be with you this evening. May I first of all congratulate you, Lord mayor, on your taking up this great office. Serving the City of London is a great national cause, which I wholeheartedly support. My own case to you tonight is simple. Britain is once again a great place to be. It has new optimism, confidence and self-assurance about its future. What it needs now is to turn that spirit into a clear definition of national purpose, not just what we want for Britain in itself, but the direction of the nation and how it deals with the outside world. The key goals of national purpose under this Government are these. To run a well-managed economy with low inflation and tough rules on public finances; where having got stability for the long-term in place we focus policy on using the creative talent of all our people to build a true enterprise economy for the 21st century. We compete on brains not brawn. To make a quantum leap in education, with high quality schools and universities open to all. To put our hospitals and welfare system on a sure footing for today's society (not the hand to mouth existence we live now). To tackle crime and its underlying causes of a social underclass set apart from society's mainstream. To reform our Constitution to end the era of big centralised government. And to allow Britains standing in the world to grow and prosper. These objectives are clear, right and achievable. They define our national purpose. They mean a politics no longer scarred by the irrelevant ideological battles of much of the 20th century. Most of the old left/right tags today are nothing but obstacles to good thinking. We have to concentrate on the things that really matter - what I call the big picture - not the periphery. The goal of our foreign policy - tonight's subject - is clear. We cannot in these post-Empire days be a super-power in a military sense. But we can make the British presence in the world felt. With our historic alliances, we can be pivotal. We can be powerful in our influence - a nation to whom others listen. Why? Because we run Britain well and are successful ourselves. Because we have the right strategic allianceS X the world over. And because we are engaged, open and intelligent in how we use them. And we can do this by using the strengths of our history to build our future. People sometimes misunderstand my emphasis on modernity. Of course I want Britain to be a modern forward-looking country. I also do believe we allow an old-fashioned image of Britain occasionally to obscure the new fashions of Britain to our detriment. But I value and honour our history enormously. Who could stand at the Cenotaph yesterday and not feel both moved and proud? I want us to make sense of our history. There is a lot of rubbish talked about the Empire. In my view, we should not either be apologising for it or wringing our hands about it. It is a fact of our history. It was, in many ways, a most extraordinary achievement and it has left us with some very valuable connections - in the Commonwealth, in the English language. So let us use them and be thankful we have them. There are other strengths. We have the institutions: strong armed forces, a world-respected Diplomatic Service, international companies, the City, the British Council, the World Service, our global charities and NGOs. We have the technology and inventiveness. Most important, we have the people: entrepreneurs, creative talent in every field, world-renowned scientists, a dynamic multi-cultural, multi-ethnic society. We also enjoy a unique set of relationships through the Security Council, NATO, the G8, Europe and the Commonwealth, not to mention our close alliance with America. We hold the Presidency of the European Union and the G8 next year, and are hosting the second Asia-Europe Meeting. By virtue of our geography, our history and the strengths of our people, Britain is a global player. As an island nation, Britain looks outward naturally. The British are inveterate travellers. We are the second biggest outward investors, and the second biggest recipients of inward investment, behind the US in both cases. Our task has to be to shape these strengths and give them definition within a foreign policy that is clear and stated. Tonight I will do so. I will set out, briefly but plainly, the 'guiding light' principles of a modern British foreign policy. First. Consistent with our national interest, we must end the isolation of the last 20 years and be a leading partner in Europe. Of course, if Europe embarks on a path that is wrong or repugnant to British interests, we would have to stay apart. But subject to that, there is no place for misguided little Englander sentiment. The world is moving closer together. The EU will continue to develop. Look at South America, with Mercosur and the Andean Pact countries. North Asia and ASEAN. Or the US and NAFTA. Britain is part of Europe. It must play its full part in leading it. Not because there is no alternative. There is: we could go. But because it is in British national interests to stay. And as we are staying - let us do so with effect. Then we can change Europe where it needs changing. Reform of the CAP. Enlargement. Driving through the single market. Greater flexibility in the EU economy. Making a single currency work. A successful single currency would be good for the EU. Our own position will be judged on a hard-headed assessment of the economic benefits. They must be clear and unambiguous. But it will affect us in or out. And influence not impotence must be our objective in shaping how it works. Europe wants us there as a leading player. Britain may need to be part of Europe but Europe needs Britain to be part of it. For four centuries, our destiny has been to help shape Europe. Let it be so again. Second principle: Strong in Europe and strong with the US. There is no choice between the two. Stronger with one means stronger with the other. Our aim should be to deepen our relationship with the US at all levels. We are the bridge between the US and Europe. Let us use it. When Britain and America work together on the international scene, there is little we can't achieve. We must never forget the historic and continuing US role in defending the political and economic freedoms we take for granted. Leaving all sentiment aside, they are a force for good in the world. They can always be relied on when the chips are down. The same should always be true of Britain. We face another critical test of international resolve today. Saddam Hussein is once more defying the clearly expressed will of the United Nations by refusing to allow UN inspectors to fulfil their task of ensuring Iraq has no remaining weapons of mass destruction. It is vital for all of us that they be allowed to complete their work with no suggestion of discrimination against our US allies. Only then can the question of relaxing sanctions arise. This Government's determination to stand firm against a still dangerous dictator is unshakeable. We want to see a diplomatic solution and will work with others to achieve this in the next few days. But Saddam should not take as a sign of weakness the international community's desire to find a peaceful way forward if possible. He has made this fatal miscalculation before. For his sake, I hope he will not make it again. Third principle: we need strong defence, not just to defend our country, but for British influence abroad. Today, whether in Bosnia or the UN peace-keeping forces, or in any of the negotiations on disarmament and the reduction of weapons of mass destruction, sound defence is sound foreign policy. It is an instrument of influence. We must of course always look for efficiency in money spent on defence. But we must not reduce our capability to exercise a role on the international stage. Fourth Principle. We use power and influence for a purpose: for the values and aims we believe in. Britain must be a key player on major transnational issues: the environment, drugs, terrorism, crime, human rights and development. Human rights may sometimes seem an abstraction in the comfort of the West, but when they are ignored human misery and political instability all too easily follow. The same is true if we ignore the ethical dimension of the trade in arms. Again, we are well placed to push forward international action through our position in all the major international groupings, not least the Commonwealth. Environment and crime will be major themes of our EU presidency. Next year's Birmingham Summit will have international crime as one of the two or three critical issues on its agenda. Development was a preoccupation of the recent Commonwealth Summit. Fifth, Britain must reinforce its position as a champion of free trade throughout the world. We are, above all, a trading nation, open to the world and ready to compete on a level playing field with all comers. We must also be champions of free investment, inward and outward. No-one gains in the end from protectionism. Which brings me back to the starting point: national purpose. Foreign policy should not be seen as some self-contained part of government in a box marked 'abroad' or 'foreigners'. It should complement and reflect our domestic goals. It should be part of our mission of national renewal. In the end I am, simply, a patriot. I believe in Britain. But it is an enlightened patriotism. Patriotism based not on narrow chauvinism but on the right values and principles. I believe in Britain because, at its best, it does stand for the right values and can give something to the world. Tonight I have set out the guiding light principles of a modern British foreign policy. Properly followed, they do allow Britain to escape from the legacy of the past and shape an exciting future for ourselves. A new confidence in Britain is not about style - though don't ignore the impact on the outside world of presenting a modern, professional face. It is of course about substance. It's about knowing where we are going. That's what gives us the confidence. We do. And with the right blend of intelligence and determination, we will get there. It is no accident that this is my first official visit outside London. I said before the election that Northern Ireland was every bit as important for me as for my predecessor. I will honour that pledge in full. In his more than six years as Prime Minister, John Major came to Northern Ireland many times and talked to countless people. I know the respect in which he was held here. After only a few days as Prime Minister, I also begin to appreciate fully the scale of his effort and of his devotion to peace and a political settlement. We offered him bi-partisan support in doing so, because it was the right thing to do. But if there is a new opportunity for progress now, it is in large part thanks to him. People often ask me if I am exhilarated by our election victory. Of course I am excited by it. But most of all I feel the most profound humility at the trust put in me; and with it, an equally profound sense of responsibility. I feel it, perhaps especially, about Northern Ireland. This is not a party political game or even a serious debate about serious run-of-the-mill issues. It is about life and death for people here. An end to violence and there are people, young men and women particularly, who will live and raise families and die in peace. Without it, they will die prematurely and in bloodshed. It is a responsibility that weights not just upon the mind, but the soul. We know the situation here is fragile and fraught. There may be only one chance given to a new government to offer a way forward. Our very newness gives possibilities. But governments are not new forever. There are times when to calculate the risks too greatly is to do nothing; there are times too when a political leader must follow his instinct about what is right and fair. Our destination is clear: to see in place a fair political settlement in Northern Ireland - one that lasts, because it is based on the will and consent of the people here. It is a long march, and every footstep has its pitfalls. But where there is not movement, hope falters and we are left surrounded by the ancient grievances returning to destroy us. I am convinced that the time is right finally to put the past behind us and meet the deep thirst of the people of Northern Ireland for peace, normality and prosperity. My message is simple. I am committed to Northern Ireland. I am committed to the principle of consent. And I am committed to peace. A settlement is to be negotiated between the parties based on consent. My agenda is not a united Ireland - and I wonder just how many see it as a realistic possibility in the foreseeable future. Northern Ireland will remain part of the United Kingdom as long as a majority here wish. What I want to see is a settlement which can command the support of nationalists and unionists. That is what the people of Northern Ireland rightly demand of me and of their political leaders. We should not forget there has been progress. Fair employment legislation and equality of opportunity have improved the lives of ordinary people. More change must come. But Northern Ireland in 1997 is not the same place as it was in 1969. The benefits of economic growth and investment have also begun to make themselves felt. During the last ten years, unemployment in Northern Ireland has fallen significantly. Though Northern Ireland still lags behind the rest of the UK in many ways, again the situation is better than for years. The quality of life has also improved immeasurably since the 1970s, particularly in the period after the IRA ceasefire of August 1994. The opening of the Waterfront Hall earlier this year symbolised a new determination to get on with living life as it should be. The prospects for Northern Ireland are excellent if we can get the politics right. If. I concede it is a big if. But confidence about the future is heavily masked by continuing divisions, and by feelings of great insecurity in both communities. People on each side fear for their identity. They still react instinctively, and retreat into the comforting certainties of tradition. We saw this in full measure after the dreadful and depressing events of Drumcree last year. Many have been tempted to conclude that the gulfs cannot be bridged, that one side or the other does not really want a settlement, or at least is not ready to make the compromises necessary to achieve one. It is a counsel of despair and I am not prepared to accept it. I believe the forces pushing us all towards a settlement are stronger than those that stand in our way. I aim to harness those forces more effectively than in the past. And I want to assure both communities that they have nothing to fear from a settlement and everything to gain. The Union Northern Ireland is part of the United Kingdom, alongside England, Scotland and Wales. The Union binds the four parts of the United Kingdom together. I believe in the United Kingdom. I value the Union. I want to see a Union which reflects and accommodates diversity. I am against a rigid, centralised approach. That is the surest way to weaken the Union. The proposals this government are making for Scotland and Wales, and for the English regions, are designed to bring Government closer to the people. That will renew and strengthen the Union. I support this approach for Northern Ireland too, with some form of devolution and cross-border arrangements which acknowledge the importance of relationships in the island of Ireland. This is what the negotiations are about. We must of course devise arrangements which match the particular circumstances of Northern Ireland. Domination by one tradition or another is unacceptable. But let me make one thing absolutely clear. Northern Ireland is part of the United Kingdom because that is the wish of a majority of the people who live here. It will remain part of the United Kingdom for as long as that remains the case. This principle of consent is and will be at the heart of my Governments policies on Northern Ireland. It is the key principle. It means that there can be no possibility of a change in the status of Northern Ireland as a part of the United Kingdom without the clear and formal consent of a majority of the people of Northern Ireland. Any settlement must be negotiated not imposed; it must be endorsed by the people of Northern Ireland in a referendum; and it must be endorsed by the British Parliament. Of course, those who wish to see a united Ireland without coercion can argue for it not least in the talks. If they succeeded, we would certainly respect that. But none of us in this hall today, even the youngest, is likely to see Northern Ireland as anything but a part of the United Kingdom. That is the reality, because the consent principle is now almost universally accepted. All he constitutional parties, including the SDLP, are committed to it, which means a majority of the nationalist community in Northern Ireland is committed to it. The parties in the Irish Republic are committed to it. The one glaring exception is Sinn Fein and the republican movement. They too, I hope, will soon come to accept that vital principle. So fears of betrayal are simply misplaced. Unionists have nothing to fear from a new Labour government. A political settlement is not a slippery slope to a united Ireland. The government will not be persuaders for unity. Unionism should have more confidence in itself and its future. The wagons do not need to be drawn up in a circle. Instead we offer reassurance and new hope that a settlement satisfactory to all can be reached. A Political Settlement This government is fully committed to the approach set out in the Downing Street Declaration. I believe the Joint Framework Document sets out a reasonable basis for future negotiation. We must create, through open discussion, new institutions which fairly represent the interests and aspirations of both communities. The challenge, simply put, is to arrive at an agreement with which all the people of Northern Ireland can feel comfortable, and to which they can all give lasting allegiance; one which reflects and celebrates diversity and the traditions and cultures of both communities; which can provide the opportunity for local politicians of both sides to take local decisions as they should. This is achievable. I know it is. And it can be combined with sensible arrangements for co-operation with the Republic of Ireland, practical and institutional, which will be significant not only on the ground, but also politically for the nationalist community. If such arrangements were really threatening to Unionists, we would not negotiate them. Any fears would of course be much reduced if the Irish Constitution were changed to reflect their Governments strong support for the consent principle. That must be part of a settlement, and would be a helpful confidence-building step in advance of it. Nor should nationalists fear for their future. Agreement to any settlement must be clear on both sides. There can be no question of their views being ridden over rough-shod. Their involvement must be complete and full-hearted. The British and Irish Governments have worked together in the past to make progress. This is a key relationship. I have every confidence we can work together closely in the future, whatever the result of the Irish elections. ] Democracy and Violence These political issues should be addressed in the talks which are due to resume in just over two weeks. Many will share my deep frustration that they have not already been addressed. Discussion has not progressed beyond questions of procedure and participation. The parties have been unable to agree on a way of dealing with decommissioning. We continue to support the parallel approach proposed by George Mitchell. But why has decommissioning been so difficult to tackle successfully? The truth is that there is no confidence on either side about the motives and intentions of the other. The procedural problems are a product of this deep distrust. Each part often seems utterly convinced of the duplicity of all the others. What gives these suspicions their uniquely corrosive character, on both sides, is the current prominence of violence in the equation. Violence has no place in a democratic society, whatever the motivation of those practising it. Terrorism, republican or so-called loyalist, is contemptible and unacceptable. The people here have stood up to terrorist violence for 25 years. They have not been destroyed by it. But the legacy of bitterness has made normal political give and take difficult, at times virtually impossible. In Britain too we have had our share of terrorist violence from the IRA. But what struck me about their attempts to disrupt the elections above all was the pathetic futility of these actions, real or hoax. These words are perhaps not new. But they more than ever accurately describe current terrorism in Northern Ireland: not just abhorrent, but pathetic and futile. What today is the aim of IRA violence: * Is it a united Ireland? Violence will not bring a united Ireland closer, because now all the parties in Northern Ireland, save Sinn Fein, and the parties in the Republic of Ireland agree consent is the basic principle. * Is it to defend the nationalist community? It is hard to see, to put it no higher, how killing people and damaging the Provinces economy and local services helps the nationalist community from any point of view. * Is it to force a way into talks? This is manifestly absurd, since the only obstacle to Sinn Fein joining the talks is the absence of a credible and lasting halt to the violence, * Do the hope a loyalist backlash or a security crackdown would justify their violence and lead to communal trouble where republican aims might have more chance of flourishing? Such an approach would be the height of cynicism. I hope the Loyalists will not fall for it. The Government certainly wont. Any shred of justification terrorists might have claimed for violence has long since disappeared. Not only does this violence achieve nothing. There is nothing it can achieve, save death, destruction and the corruption of more young lives. Progress can only be made through genuine negotiation and agreement. Violence makes both more difficult and more distant. Since last June we have had multi-party talks in being - talks which Sinn Fein above all others pressed for, where all parties are treated equally, with a comprehensive agenda, and no predetermined outcome. But the IRA broke their ceasefire just at the point when the conditions for getting everyone round a table were coming together. That violence automatically excluded Sinn Fein from the talks. They could still have joined on 10 June by declaring a ceasefire. They did not do so. They have continued to miss every opportunity since then. I want the talks process to include Sinn Fein. The opportunity is still there to be taken, if there is an unequivocal IRA ceasefire. Works and deeds must match, and there must be no doubt of commitment to peaceful methods and the democratic process. I want the talks to take place in a climate of peace. If there is an opportunity to bring this about, I am ready to seize it. This Government will respond quickly to genuine moves to achieve peace. But we will be correspondingly tough on those who will not make this move. The IRA and Sinn Fein face a choice between negotiations and violence. Violence is the failed path of the past. I urge them to choose negotiations, once and for all. If they do not, the talks cannot wait for them but must and will move on. And meanwhile the police and armed forces will continue to bring their full weight to bear on the men of violence. I am ready to make one further effort to proceed with the inclusive talks process. My message to Sinn Fein is clear. The settlement train is leaving. I want you on that train. But it is leaving anyway, and I will not allow it to wait for you. You cannot hold the process to ransom any longer. So end the violence. Now. I want to hear Sinn Feins answer. And to make sure there is no danger of misunderstanding, I am prepared to allow officials to meet Sinn Fein, provided events on the ground, here and elsewhere, do not make that impossible. This is not about negotiating the terms of a ceasefire. We simply want to explain our position and to assess whether the republican movement genuinely is ready to give up violence and commit itself to politics alone. If they are, I will not be slow in my response. If they are not, they can expect no sympathy or understanding. I will be implacable in pursuit of terrorism. Loyalist terrorism is equally contemptible, equally unacceptable, just as futile and counter-productive. The Loyalist paramilitaries have so far maintained their ceasefire in formal terms. I welcome that signal of restraint, as far as it goes, and urge them and those with influence on them to hold fast to it. The Loyalist parties participation in the talks has been welcome and constructive. But let us have no illusions. Commitment to democracy means no violence or threat of violence. There can be and will be no double standards. The last few weeks have seen an appalling rush of killings, beatings, arson and intimidation. The vast majority are horrified by these dreadful acts. But they continue in your midst. They are crimes against humanity, which must be stamped out. The police have my full support in taking the firmest possible action against those responsible. And I appeal to the people of Northern Ireland to give their full-heated support too. Parades Lurking behind these terrible deeds is the shadow of this summers marching season. This is where the clash of identity and allegiance can so easily emerge most directly and most brutally; where the conflict of rights is hardest to resolve: the right to march and the right to live free of disruption and apparent intimidation; where the rule of law is most difficult to uphold, as it must be. Local agreements solve the vast majority of problems over marches. With minimal goodwill and flexibility, they could solve the rest too - as long as neither side insists on using a particular parade to make a broader political point. That is a dangerous game to play, as last summer showed only too clearly. The North Report recommended changes to the way marches are handled. We will implement those recommendations quickly, although the new arrangements cannot be in place this summer. The legislation will be able to take account of any lessons from this summer. But the key remains in the hands of the local people on both sides. No-one with any sense wants more Drumcrees. I call on all with any influence on the process to use it for reconciliation, not confrontation. Security Forces Those in the front line this summer are not only the marchers and local residents. The police and armed forces will be there to hold the line if necessary, to uphold rights, saves lives and protect property. They get precious little thanks from any quarter. All too often, their reward is to be vilified and attacked from all sides. So I thank them for their resolution and professionalism, and assure them of my support for the job they do. And I look forward to the day when Northern Ireland no longer needs troops and the police can focus exclusively on ordinary police work. The Future I have said Northern Ireland has a bright future if only we get the politics right and the gun out of the picture. You all know that to be true. Look at the advantages you have: * dynamic and enterprising businesses and businessmen: * a record of success on inward investment, despite the violence * a workforce ready to take every opportunity * a potential quality of life second to none in the United Kingdom * huge tourist potential This Government will be building on that potential. The raising of education and training standards, and measures to put the unemployed back to work, will be particularly relevant here. We will be introducing further measures to promote equality of opportunity in the labour market. We are also determined to build trust and confidence in pubic institutions. Incorporation of the European Convention on Human Rights into United Kingdom law will help protect basic human rights. We want to increase public confidence in policing through measured reform based on the Hayes Report on the complaints system and last years consultation paper on structural change. All this will help to make Northern Ireland a more prosperous, more democratic part of Britain, where opportunities really are equal for all. Yet governments cannot deliver without the help of the people themselves. Overcoming violence and prejudice, and learning to compromise and live together, is your responsibility as much as it is ours. The politicians of Northern Ireland, who show great courage in accepting positions of prominence, will have to show leadership and vision. They need and deserve your support. The business community of Northern Ireland have a vital role to play. Some are already doing so. But too many hang back and blame the politicians rather than helping them find a way forward. It is no good just hoping peace will come. Everyone in a position of authority or influence will need to use that authority and influence in the direction of reconciliation and co-operation. Let me add a word on BSE, an issue bound to be of huge concern to many of those here today. I will not promise you progress I cannot deliver. It is a grim inheritance from the previous government. I am fully aware of the importance of the beef industry in Northern Ireland and the desperate need to get the export market re-opened. As you all know, Northern Ireland is better placed than other parts of the United Kingdom, because of your foresight and efficiency, to benefit from any relaxation of the export ban. The certified herds proposal before the Commission and our partners is one way forward which can bring early cheer to Northern Ireland. There may be others. We are looking at the options. What I can say is that I will leave no avenue unexplored. I know how vital this is. Conclusion Northern Ireland is safe in the hands of this Government. But I want to see it peaceful and prosperous as never before. You all remember the 17 months of the ceasefire, and the joy of calm and normality they brought. That is what I want to recreate, this time for good. I and my Government have five years ahead of us to do this. With your help, we can. The chance is there, for now. It will not be there forever.