'Business for Sterling' to campaign against euro

SENIOR business figures from blue-chip companies will today launch a pounds 1 million campaign to oppose the European single currency .

"Business for Sterling" is being launched in London by the former Labour Cabinet minister Lord Marsh with the backing of leading Euro- sceptic business chiefs, including Sir Stanley Kalms of Dixons, Sir Michael Edwardes, the industrialist, Lord Hanson, head of the multi-national conglomerate, and Sir Rocco Forte, the hotelier and entertainments chief.

Supporters of the euro said the majority of business in the CBI supported the Government's approach to the euro, but the Euro-sceptics claimed the backing of the Institute of Directors and the Federation of Small Businesses. Lord Marsh, a former transport minister, and chairman of British Rail, said the campaign would have headquarters in London with a full-time manager and a fighting fund of pounds 1 million, although more could be spent on the campaign.

Their aim is to counter the drive to entry into the euro, and to pave the way for a "no" vote in a referendum after the next general election.