Over the years, Britain has made her own, unique contribution to Europe. We have provided a haven to those fleeing tyranny and persecution. And in Europe's darkest hour, we helped keep the flame of liberty alight. Across the continent, in silent cemeteries, lie the hundreds of thousands of British servicemen who gave their lives for Europe's freedom.

The biggest danger to the European Union comes not from those who advocate change, but from those who denounce new thinking as heresy. In its long history, Europe has experience [with] heretics who turned out to have a point.

Countries are different. They make different choices. We cannot harmonise everything.

Britain is characterised not just by its independence but, above all, by its openness. We have always been a country that reaches out. That turns its face to the world.

Taken as a whole, Europe's share of world output is projected to fall by almost a third in the next two decades. This is the competitiveness challenge - and much of our weakness in meeting it is self-inflicted. Complex rules restricting our labour markets are not some naturally occurring phenomenon.

We cannot go on as we are with 2.6 million people on incapacity benefit, 500,000 of them are under 35. Are we really saying there are half a million people in this country under 35 who are simply too ill to work? I don’t think that’s right.

What you call austerity is what I might call efficiency.