Virgin boss Sir Richard Branson is urging the government to start campaigning for the single currency immediately.

The millionaire tycoon warns jobs will be lost and interest rates will be higher without signing up.





When so much of our national prosperity depends on it, we should expect our political leaders to act

Sir Richard's intervention comes after leaks on two successive days of memos to the government apparently warning of the risks of staying out of the euro.

The leaks have sparked a furious political row, with Euro-sceptics accusing the government of more "spin".

'Let the fight begin'

Writing in Wednesday's Independent newspaper, Sir Richard says the next election will in effect be a referendum on the euro and it is time to start winning the public over.

He writes: "We cannot be members of the single market without being part of the single currency, the euro. We must fight the xenophobia that surrounds so much of the debate."

The chairman of the Virgin Group goes on: "Manufacturing industry is in a state of meltdown and there is a risk that this will spread to other areas of the economy.

"We cannot wait any longer for the fight to begin. In life, fighting for a minority view is sometimes dangerous and painful.

"But when you know you are right, and when so much of our national prosperity depends on it, we should expect our political leaders to act."

Rivals 'catching up'

He says Britain has become much more business-friendly in recent years but adds: "We risk throwing away those advantages as our rivals catch up.

"They simply cannot see why we fail to do so when so much of our prosperity is at stake."

On Tuesday, Sir Richard warned that jobs and investment will be lost in the long run if the UK remains outside the single currency.

He said: "We should stop messing around and get on with it. Britain will lose jobs in the long run. British people pay much higher interest rates than their European counterparts."

Four other major foreign investors in Britain have urged the government to make a clear commitment to the euro.

Top executives from Mitsubishi, NEC, Nestle, and Linde Hydraulics have warned that the high pound is making UK exports uncompetitive.

But Euro-sceptics point out that investment in Britain remains high, despite not joining up.