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Cameron's opportunity on Britain and Europe

David Cameron's outright victory in Britain's general election gives him the chance of a fresh start in Downing Street. On no matter should he grasp that opportunity more firmly than the UK's relations with Europe. Britain will hold an in-out referendum on its EU membership by the end of 2017 and the outcome of the poll cannot be predicted with certainty. The prime minister and his European partners therefore need to focus urgently on what it will take to keep the UK inside the bloc.

Throughout the past five years, Mr Cameron's relations with his European counterparts have been fraught. He has been under pressure to take a tough stance towards the EU because of the eurosceptic stance of many of his Conservative backbenchers. As he sets out to renegotiate the UK's membership ahead of his promised referendum, that pressure will grow - not least because of the government's wafer-thin majority at Westminster.

But Mr Cameron's hand should not be underestimated either. His unexpected election success means that, at this moment, he has more political capital within his own party than at any time in his premiership. And EU leaders know they dare not ignore him. With the EU already straining under the threat of Greece's exit from the eurozone, the bloc cannot afford a crisis over Brexit as well.

On Europe, Mr Cameron needs to take two decisions quickly. First, he must decide the timing of the referendum. Although it could be put off for up to two and a half years, it should take place as quickly as possible. The credibility of governments fades after they reach midterm; and the longer the EU vote is delayed, the more the issue will unsettle Britain's economic outlook. Mr Cameron should aim to have the renegotiation completed by Christmas with a referendum, if possible, taking place in the autumn of 2016. The second issue is what Mr Cameron willask for in terms of EU reform. While he has hitherto been vague on the matter, he can make justifiable demands in some areas.

He is right to examine ways of restricting the benefits paid to immigrants coming to the UK from the EU. It is neither unreasonable nor against the EU's fundamental principles. The UK's insistence on reforms to liberalise the bloc, in particular deepening the single market, should also be welcomed.

But Mr Cameron has to beware of making unrealistic demands. He may feel he needs to brandish some change to the EU treaties to symbolise a successful deal. But European leaders will not make a concession that requires some of them to hold referendums as well. The best Mr Cameron can hope for is a "promissory note" that sets out ideas for minor treaty changes at some point in the future.

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>When Mr Cameron sets out his stall, his EU partners should respond positively. Economically, Britain is the biggest champion of the EU single market and one of its major defence powers. Its departure would be a heavy blow to the EU as a global power. Europe's leaders should also accept that, while Britain is often derided as a spoiler in Brussels, the Cameron government is seeking reforms - on say "benefit tourism" - that their own citizens desire.

Ultimately, however, the main challenge is for the prime minister himself. In the weeks ahead, Mr Cameron must not only mount a far more concerted diplomatic effort in Europe than he has in the past. He also needs to start championing the case for continued EU membership to his own party and the British people, something he has left very late. Until that happens, Europe's leaders will remain unconvinced that he wants to keep Britain in the EU.

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