Britain isn't ready to adopt the euro, treasury chief Gordon Brown told the country's Parliament yesterday, but the government would pursue reforms to make member-ship possible.

　　Brown, the chancellor of the exchequer, said that although Britain's economy was beginning to converge with that of the 12-nation euro zone, it had not yet done so sufficiently.

　　The British economy was not yet flexible enough to cope with potential economic shocks within the euro zone, Brown said. Dangers still remained, particularly to the housing market and inflation.

　　The chancellor said the "volatility of the housing market" and its potential to cause inflation was one of the key reasons why Britain could not yet join.

　　Brown said membership could increase Britain's political influence in the European Union and expand EU trade by 50 percent over 30 years.

　　He said the government would take "concrete and practical steps" to ensure that the five economic tests for membership could be met and to build a "pro-European consensus" in the country.

　　If the government had said "yes" to the euro, it would have faced a difficult campaign to persuade the public to give up the pound. It also would have faced stiff resistance from several national news-papers and the opposition Conservative Party.