Cameron to issue another stark warning on risks of leaving Europe

David Cameron is to travel to Iceland rejecting calls from eurosceptics to use the country’s detached relationship with the EU as a model for the UK. The Prime Minister will attend the two-day Northern Future Forum and hold further talks with European leaders as part of his bid to negotiate reform of Britain’s role with Brussels. But Mr Cameron is dismissing suggestions he should rebrand a new deal for Britain in the EU as “associate membership” ahead of his planned referendum in 2016 or 2017. "You’re either a member of the European Union or you’re not,“ said the Prime Minister’s official spokeswoman.

It’s not necessarily a land of milk and honey. People need to understand there are significant downsides.

No.10 spokeswoman on what leaving the EU could mean

No.10 also insisted a British exit from the European Union in favour of a looser arrangement like Norway’s would still mean handing over money to Brussels and do nothing to curb migration. The EEA is an agreement between the EU and three members of the European Free Trade Association (EFTA), Norway, Iceland and Lichtenstein, which gives the countries tariff-free access to the EU’s single market. In return, according to Downing Street sources, these countries have to accept all EU rules on goods, services, capital and people in addition to various other EU rules, including employment law, health and safety, competition, transport and environmental law.

Unlike the UK, Norway has no veto in the European Council, no votes in the EU’s council of ministers, no MEPs or votes in the European Parliament, and no European commissioner to help.

Downing St source