With the single currency now operating across mainland Europe, UK businesses have been bracing themselves for its impact on the economy.

Experts are divided on the short-term implications but, overall, the expectations are positive, according to the chief executive of the Essex Chambers of Commerce, David Crozier. ALAN BROWN reports.

The reality of the euro means businesses in Essex must be properly prepared to trade with it as easily as with any of the traditional currencies.

David Crozier, chief executive of Essex Chambers of Commerce says: "What no business can afford to do is to ignore the euro.

"One would hope that all businesses in Essex that have serious aspirations towards expanding through international trade will have arrangements already in place to deal with the reality of the Eurozone.

But whether the UK should join the European Monetary Union (EMU) was, he says, a separate issue which should be considered apart.

In some cases, trading in euros was likely to make life easier and lead to improvements in customer service.

Companies which might have been deterred from accepting payment in many different European currencies might now find it simpler to accept a single one.

Mr Crozier pointed to some major department stores - such as Debenhams and Marks and Spencer - which had already agreed to accept euros. He pointed out the Government had urged smaller companies to follow suit.

He added: "The simplification of dealing with just one currency for most of mainland Europe should eventually persuade people of the benefits of accepting euros."

Europe, he said, was a major market for the UK and the ability to trade across "this important trading area" would be vital to ensure the economy of Essex.