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The Socialist, the Tory, and the queen: Hollande visits UK

France's President Hollande is on his first state visit to Britain, where he is talking eurozone strategy with the prime minister and chatting 鈥 en fran莽ais 鈥 with the queen.

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Matt Dunham/AP
Britain's Prime Minister David Cameron (l.) greets French President Fran莽ois Hollande outside 10 Downing Street in London before their meeting Tuesday, July 10.

The French Socialist today meets the British Tory at 10 Downing. But President Fran莽ois Hollande also visits the queen and will help her practice some French.

Mr. Hollande, elected in May, is in London for his first state visit with Prime Minister David Cameron, a trip loudly touted as warm and cordial.

The latest chapter of the famed Franco-British 鈥渆ntente cordiale鈥 got off to a slightly rocky start at the G-20 in Los Cabos, Mexico, when Mr. Cameron told world leaders that Britain would 鈥渞oll out the red carpet鈥 for French citizens seeking a UK聽tax shelter in the wake of the Socialist victory. The remark stung in France where, despite Hollande鈥檚 promotion of 鈥済rowth鈥 initiatives to ease the euro crisis, he is readying the kind of deep cuts in public spending that Cameron has implemented in Britain.

Some 400,000 French live in London, making it the seventh-largest French city, as British foreign secretary William Hague recently noted. The French newspaper Liberation tweaked Cameron today for his earlier comments in a headline: 鈥淐ameron unfolds the red carpet for Hollande in official visit.鈥

Cameron and Hollande see eye to eye on the need for greater European fiscal integration in a debt crisis where Greece, Italy, and Spain are on the ropes. The two will stress engagement in areas of energy, defense, and foreign policy, including approaches to Syria and Iran.

鈥淒espite the comments at the G-20, Cameron wants relations with France to work,鈥 says Philip Whyte of the Center for European Reform in London.

What about 'less Europe'?

But the ardently pro-Europe Hollande arrives at a time when Cameron talks "less Europe" for his country, and has been 聽bullied by his Euroskeptic Tory back-benchers. The prime minister recently said, in something of a quiet shocker, that he would support a public British referendum on whether the UK should be part of Europe.

鈥淏ritain鈥檚 continued membership in the EU is unclear 鈥 momentum for a referendum in three to four year is becoming nearly unstoppable,鈥 notes Mr. Whyte. 鈥淓uroskeptic MPs now want a referendum whatever happens with the euro crisis.鈥

While Hollande advocates a 鈥渇inancial transaction tax鈥 for banks in Europe as a way to address Europe鈥檚 screaming debt crisis; for Cameron the idea is a non-starter that would put 鈥淭he City,鈥 or London, at risk as a financial hub.

France is also preparing to raise taxes on foreign-owned second homes, of which there are an estimated 200,000 British ones. The tax would affect both rental income (from 20 to 35 percent) and capital gains (19 to 34 percent) and is being labeled a 鈥渟ocial charge.鈥

Yet the relatively young leaders understand the need for a stable Europe, many analysts say, above and beyond their policy differences. While Hollande received Europe's most powerful woman on Sunday, German Chancellor Angela Merkel, in what appears to be a warming relationship, today he meets one of the world's most famous: Queen Elizabeth II.

At a press event after a working lunch, the vibes were better than the specifics. 鈥淲e may have different views on Europe but we see eye-to-eye on growth,鈥 Hollande said. "The relationship between France and Great Britain is fundamental not just for Europe but for the world."

Cameron described 鈥渄eep links and ties鈥 between the two: 鈥淲e export more to France than China, India, and Turkey combined.鈥

They said more聽cooperation is coming in聽civilian nuclear, space, and defense sectors, particularly drone technology. They called for a transition in Syria from Bashir al-Assad, and said they were monitoring Al Qaeda in northern Africa鈥檚 Sahel region.

When reporters repeatedly asked about Cameron鈥檚 鈥渞ed carpet鈥 comment, Hollande smiled and made light of it.

And then, there's the queen

鈥淓ntente cordiale鈥 atmospherics include Hollande鈥檚 visit to Queen Elizabeth at Windsor Castle for tea in the early evening. The queen is celebrating her Diamond Jubilee, 聽and earlier in the day will view the Olympic torch carried through Windsor grounds.

The queen has asked to speak French. Hollande鈥檚 partner, Valerie Trierweiler, will not make the trip to Windsor.

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