HALF of UK businesses want the Chancellor to wait and see how the euro develops before joining, according to a business survey.

The British Chambers of Commerce (BCC) said 35 per cent of firms would give him the immediate go-ahead, while 13 per cent say the UK should never join the euro zone under any circumstances.

The telephone survey, conducted by Mori and sponsored by the REL Consultancy Group, covered 1,005 firms of all sizes and in all sectors.

It asked respondents to say what they thought the UK should do if the Government announces that the Chancellor's five economic tests have been met.

The findings of the Mori survey broadly support the views of the North-East Chamber of Commerce.

Chief executive George Cowcher said: "The real economic issues, such as the views of major businesses on Britain's euro position, should be explained and discussed outside the emotive and political implications which surround the single European currency.

"Whilst the survey shows that few businesses want to rule out euro entry altogether, we are urging the Government to establish a timetable for a full and thorough debate in which, through consultation with our members, we can play an active role in reaching an informed decision on UK membership."