The retention or withdrawal of Britain from the European Union has of late turned into one of the notable issues in Britain. Political figures and media pessimistic to the EU have once again discussed Britain’s interests in staying or withdrawing from the EU and spoken of a referendum. The conservatives’ policy of refraining to participate in measures, for strengthening the EU’s unity to rescue Euro Zone from crisis, has isolated London in the EU. Financial Times writes, “Since 20 years ago when Britain decided not to participate in the single currency talks in Maastricht, it managed through political skill and power to be both inside and outside the European camp. The decision made by David Cameron for leaving Britain’s seat empty in the talks clarified the end of this path.” Since very beginning, London was opposed to the formation of the EU and caused hurdles in this path. But the ample attraction of a single market did not let Britain to give up this market. Later on when it declared readiness to join the common market then French president Charles de Gaulle seriously opposed it. Just after de Gaulle’s death, the ground was paved for Britain’s membership in the single market. Over the past 40 years Britain has never sung to the tune of the European Unity and has created obstructions in many cases. Britain views its interests in a single Europe which has a very restricted convergence and does not undermine the powers of governments. This position has historical, cultural and political reasons. Britons have always considered themselves superior to other nations even European ones. In view of its record of colonialism for hundreds of years, Britain stills considers itself a power in the world level and believes that merger in the EU is tantamount to ignoring its historical, political and cultural status. That is why the British government has tried to keep aloof whenever it could not prevent the formation of an economic and political unity. Britain did not take part in the project of single European currency Euro and it shunned joining Schengen Agreement for free journey of EU citizens. Instead, by boosting trans-Atlantic relations, London tried to help increase political and security influence in Europe especially after disintegration of the Soviet Union and the end of the cold war to prevent turning the EU into a political and military power in the world. This British policy divided Europe into two blocs of Europe-oriented states and trans-Atlantic ones. The division became clear during the US invasion of Iraq. Some of the European sates were unified with the US in attacking and occupying Iraq in 2003; while others, led by Germany and France, vehemently opposed the attack. The financial crisis placed Britain in a new situation. London could push its policies ahead by political, security and non-economic obstructionism but the financial crisis immensely confined Britain’s maneuver power. Britain is not a member of the Euro Zone whereas Germany and France, as two big economic powers in Euro Zone, have a determining role in the pushing back the crisis. Meanwhile half of Britain’s trade is with the EU member states especially those of the Euro Zone. Intensification of crisis in Euro Zone will have a direct impact on Britain’s crisis-stricken economy. As a matter of fact, while speaking of economic issues, countries with trans-Atlantic tendencies take Germany and France as their role model. If there is a solution for the EU member states to get rid of the economic crisis it could only be given by Germany and France as the two main suppliers of the EU budget. Even Britain has no other option but to support Germany and France for countering financial crisis. But by raising the plan of forming a financial union, Germany and France have put the British conservative rulers in a bottleneck. A financial union increases the control of European organs especially the European commission over the policy-making of European governments particularly in budgeting and taxation. Formation of a financial union will reduce governments’ powers in budget issues. Many European governments have not agreed with this proposal but the financial crisis and the need to receive financial aid forced 25 EU members to agree with the formation of financial union. Now, besides formation of a financial union, Germany and France are seeking to implement the plan on taxation in financial transactions despite the opposition by Britain and some other states. Except a few north European countries, most of the EU members are grappling with financial crisis and try to accompany the two countries to overcome the crisis. But the pessimistic British conservatives preferred not to accompany Germany and France especially in creating financial union and taxation in financial dealings. This tendency has isolated Britain in the EU. If the European governments fail in their efforts to overcome the economic crisis and Euro remains at the verge of collapse, the British economy will sustain a serious blow. Shaping of a financial union paves the ground for strengthening European convergence in other spheres and this too will be detrimental to Britain. Britain is now in a paradoxical situation making the conservatives pessimistic to the EU call for holding a referendum on Britain’s stay in or withdrawal from the EU. Britain’s former defense secretary and the prominent member of the conservative party’s right wing Liam Fox said in the presence of a number of the conservative party members, “Britain should withdraw from the EU unless the conditions for the membership of this country are reviewed.” Liam added that Britain should not wait for the EU leaders’ failure in Euro. He stressed that the fate of Britain is not something to be determined by the leaders of other countries but it is the people who should determine their own fate. The outstanding leader of the conservative party said he believes that life outside the EU is not dangerous and Britain’s national interests will not be guaranteed by establishing such relations with the EU. In reaction to Liam Fox’s remarks, the British Prime Minister David Cameron said if relations with the EU harm Britain’s sovereignty, he will hold a referendum on the manner of this country’s relations with the EU. In response to the letter of one hundred conservative representatives at the House of Commons for holding a referendum on Britain’s staying in or withdrawal from the EU, Cameron raised his viewpoints in an article in Sunday Telegraph. In his article Cameron wrote that withdrawal from EU is not to the interest of the country but the British people are not content with the EU performance and that he, too, is discontent. He said, “What I want and most of the British people wish is to create a change in relations.” Cameron said that all European laws on social issues and internal affairs should be cancelled. But why should the British conservative premier seek to balance the radical position of the conservative party’s right wing for holding a referendum on Britain’s staying in or withdrawal from the EU? This should be looked for in the economic dependence of Britain on the EU. The survival of thousands of British companies depends on trading with the EU member states. About 3.5 million jobs in Britain depend on trading with the EU members. Deputy prime minister and the leader of Liberal Democrat Party Nick Clegg was asked whether Britain is seeking to take advantage of Euro crisis. He said, “We want a successful Europe which pushes forward powerfully. Any measure for keeping aloof from the EU for a long time will lead our economy to failure.”