David Cameron pledges referendum if EU demands more powers

Source: The Guardian

David Cameron has told Tory eurosceptics that he will call a referendum on Britain's relationship with the European Union if the country is threatened by further loss of sovereignty to Brussels.

The prime minister's move – a change of tone rather than actual policy – comes as former defence secretary Liam Fox prepares to tell Tory activists that a re-negotiation of the country's relations with the EU is necessary and "life outside the EU holds no terror".

Cameron is under mounting pressure from Tory backbenchers to hold a referendum as members of the eurozone move closer to a full fiscal and political union in response to the crisis engulfing the single currency.

The Tory right argues that the UK's relationship with the EU will be changed fundamentally as a new "core Europe" takes shape and that the community, and Britain's role in it, will be different from now on.

Read more: http://www.guardian.co.uk/politics/2012/jun/30/david-cameron-referendum-eu