Sajid Javid, the new business secretary, has declined to back continued UK membership of the EU until the government's planned renegotiation of its relations with Brussels has been completed.
Mr Javid, who was promoted from culture secretary, told the BBC early on Tuesday that business wanted an end to the uncertainty over EU membership rather than continuing at any price.
The negotiations and the in-out referendum the Conservatives have promised by the end of 2017 are likely to be near the top of the agenda when the first Conservative cabinet in 18 years meets on Tuesday morning.
George Osborne, the chancellor and one of David Cameron's two key negotiators, is also likely to be asked about London's position when he meets EU finance ministers in Brussels on Tuesday.
When asked by the BBC whether he would back continued membership, Mr Javid, said: "No one can answer this question before we know the outcome of the renegotiation process. Once the process is over, everyone, and especially the British people, can make their decision."
EU leaders have not ruled out altering the UK's relations with Brussels but oppose wholesale treaty change, particularly on the issue of free movement of labour.
In the run-up to the election, business groups such as the CBI employers' organisation insisted Britain was better off in the EU but Mr Javid told the BBC: "There's an awful lot of businesses that say 'can you end this uncertainty' and that's why the referendum is absolutely necessary."
Mr Osborne said in Brussels that he and Philip Hammond, the foreign secretary and fellow negotiator, would be "constructive and engaged" in the negotiations but also "resolute and firm". "No one should underestimate our determination to succeed," he said on arrival at the finance ministers' meeting.
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>The business secretary refused to say if he thought the referendum should be brought forward to bring certainty sooner. "In terms of timing, we will hold it before the end of 2017," he said. "There are many priorities we have to look at."These include Mr Cameron's intention to reposition the Tories as the natural supporter of working people through the creation of 3m apprenticeships and 2m jobs by 2020.
The Queen's Speech will also contain legislation to cut the annual welfare cap from £26,000 to £23,000 and double free childcare that working families with three- and four-year-olds receive to 30 hours.
Mr Javid was also asked about the government's plans for the BBC following the appointment of John Whittingdale, a critic of the corporation, as culture secretary.
Headlines in newspapers saying the government was going to war on the BBC contained "a bit of overexcitement", said Mr Javid. Mr Whittingdale, a former culture select committee chairman, would be guided by the BBC's charter renewal process that has started ahead of a 2017 deadline, he added.
"He will lead that process but it will be driven by evidence and contain input from many stakeholders," Mr Javid said of his successor. "It's a process that will happen over a number of months."
Mr Javid said he wanted to promote free enterprise, cut regulation and push through previously announced plans to toughen the law on public sector strike action.
The Tories plan to allow strikes only if supported by 40 per cent of those entitled to vote in a ballot in which at least half of those eligible to participate take part. Employers would be allowed to hire agency staff during a strike, Mr Javid added.
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