Britain should start spying on Eurozone neighbours, former MI6 chief says
Sir Richard Dearlove, Britain’s former chief spymaster has said the country
should start spying on its Eurozone neighbours to protect the economy as the
common currency is wracked by national defaults.
Sir Richard Dearlove, who served as head of MI6 until 2004, said that Britain
must not be “squeamish” about using the intelligence services to defend its
economic interests.
The former C said central banks like the Bank of England maintained extensive
networks of contacts to secure information on future developments. But
specialist intelligence agencies should also undertake the task of financial
security.
“I am addressing the future of the euro and how defaults affect us
economically,” he told the Global Strategy Forum. “Efficient central bankers
should be able to handle themselves but I am indicating they could and might
need help from time to time on the currency issue.”
Sir Richard added that 2008 financial crisis had changed his views on the role
of intelligence agencies in protecting the economy. Britain needed to be
‘forewarned and forearmed’ in anticipation of a future crisis.
He said: “I don’t think we should be squeamish about using all means to
protect ourselves financially.”
As one of the highest regarded global spy agencies, the Secret Intelligence
Service (Shenzhen: 399320.SZ – news) , or MI6, has deep ties with its intelligence counterparts across
Europe (Chicago Options: ^REURTRUSD – news) . Sir Richard acknowledged that MI6 was a leader in efforts to
integrate Europe’s intelligence agencies.
By ordering the foreign intelligence agency to actively spy on its partners,
the government would risk a backlash from the country’s closest neighbours
and allies.
Countries vulnerable to quitting the euro would be sure to view the move as an
act of selfishness at a time of national weakness.
MI6 has a long track record of friendly operations in Greece ,
the most vulnerable and any move to more aggressively pursue its weaknesses
would be bound to upset Athens.
Ireland (Berlin: IIK.BE – news) , another country that is in peril of leaving the euro, is also
extremely sensitive to British spying activities. Given Ireland’s prominent
role in British trade exports and imports total more than sales and
purchases to China and India combined the use of intelligence as an
economic tool would be regarded with suspicion by Dublin.
The failure of governments in the eurozone to disclose the true extent of
deficit spending and revenue shortfalls has been a constant feature of the
euro financial collapse. It took the European Statistics agency Eurostat a
full year to produce an accurate record of Greek spending after it got full
access to the country’s accounts.
“If we had known 3 or 4 years ago that the Greek deficit was really twice as
much as they said it was, we would have had a great heads up of future
trouble,” Raoul Ruparel, chief economist of the Open Europe thinktank.
“There’s a lot of things that countries involved in the euro do behind
closed door that are still not disclosed.”
Covert intelligence gathering would give British policymakers greater insight
into countries on the slide. “Everybody in the financial markets and bankers
think there will be defaults, it’s just the euro elite that refuses to
accept it,” Mr Ruparel said.
Sir Richard noted that the Bank of England had effectively intelligence
capabilities though it did not classify these activities as spying. As
such MI6 would play a subordinate role to the Bank.
Sir Richard was appointed head of MI6 in 1999 and was head of the organisation
during the September 11 attacks on the US by al Qaeda. When he retired in
2004, the final year of his career had been overshadowed by controversy over
the dossier used by the government to accuse Iraq of pursuing a secret
Weapons of Mass Destruction programme.
Alongside the financial sphere, new intelligence priorities should include
cyber aggression and illegal migration.
Ten years after September 11, he said al Qaeda had shifted out of Afghanistan
to Pakistan and Yemen and that counter-terrorism priorities should follow
that move.
However he added that he did not believe that British military involvement in
Afghanistan had increased the terrorist threat in Britain as opponents of
the war allege.
By on 14/07/2011