A DISPUTE has broken out between two senior Ulster Unionist politicians over a decision to form a European alliance with Sir James Goldsmith's Referendum Party.
The party's MEP, Mr Jim Nicholson, said he would be supporting Sir James' Europe of the Nations group in the European parliament.
The UUP's deputy leader, Mr John Taylor, said Mr Nicholson's decision had "come as considerable news to most of my colleagues".
However, the UUP leader, Mr David Trimble, said the party, including Mr Taylor, bad been consulted at all stages and at all levels, about the development.
He dismissed suggestions of any Westminster pact between the two parties. Some Ulster Unionists fear the decision will damage their relations with the Conservative party at Westminster.
Sir James, an Anglo French billionaire, is also an MEP. He is regarded as posing an electoral threat to the Conservative parry with his plans to run candidates in every seat where the main candidate is not committed to a wide ranging plebiscite on Europe.
Mr Nicholson is switching from the pro-European People's Party, which includes the British Conservative MEPs. He said he was concerned that this grouping's "determination to achieve a single currency and a centralised European government has started to outs run the wishes of the people in various member states".
The Alliance party claimed that the UUP's decision to join the Referendum grouping had seriously weakened Northern Ireland's position in Europe.
Sir James Goldsmith said yesterday that his party and the UUP were "singing from the same hymn sheet" on Europe, and would work, together to promote in Northern Ireland the idea of a referendum on the UK's future relationship with the EU.