In a speech to the Greater Manchester Chamber of Commerce Annual Dinner tonight, Shadow Chancellor Ed Balls will say:

“Ed Miliband, Douglas Alexander and I are clear that there is no future for Britain and for the countries, regions and cities of the UK in walking away from our biggest market – the European Union.

"Britain is better placed to shape Europe’s future, fight for our national interest and back businesses and jobs here in the North West and across the country, if we are fully engaged rather than having one foot out of the door.

"Britain has always succeeded, and can only succeed in the future, as an open and internationalist and outward-facing trading nation, with enterprise, risk and innovation valued and rewarded.

"Backing entrepreneurs and wealth creation, generating the profits to finance investment and winning the confidence of investors from round the world.

"But at a time when most people in our country are seeing their living standards falling year on year, we cannot take public support for this open, global vision of a dynamic market economy for granted.

"The status quo isn’t good enough. We need to see change in Britain, but we also need to see real change in Europe too. Europe needs to work better to respond to public concerns, deliver better value for money for taxpayers and secure rising prosperity.

“The EU must be made to work better for Britain – and that is why Labour is setting out a clear agenda for reform.

 "First, we need the EU to be better focused on creating jobs and growth. An EU Commissioner focused on growth, and an independent audit of the impact of any new piece of EU legislation on growth, would be key to helping re-focusing the Union on this key task. And we need to drive forward the completion of the single market in digital, energy and services.

"Second, our reforms will help ensure that EU citizens seeking work here contribute to our economy and society. So we will extend the period of time that people from new member states have to wait before being able to come to the UK to look for work.

"We will work to stop the payment of benefits to those not resident in this country, consult on changing the rules on deporting someone who receives a custodial sentence shortly after arriving in the UK, and have called on the government to double the time that an EU migrant has to wait before being able to claim the basic Job Seekers Allowance.

"And third, any agenda for change in Europe must also address people’s concerns about how power is exercised at a European level.

"So we have called for national parliaments to have a greater role in EU decision making by being able to ‘red-card’ any new EU legislation before it comes into force; for serious reform of the EU Commission.

"We led the calls for a cut in the EU Budget and reform of the CAP and have urged a zero based review of spending on EU agencies to help ensure that any overlap, duplication or waste is addressed and tackled.

"As Douglas Alexander has said, Labour does not support a drive towards an ‘ever closer union’.

"We would hold an in-out referendum if there was a further transfer of powers – a prospect we believe is possible, but unlikely in the next Parliament.

"Not an arbitrary timetable for a referendum, which puts Tory party politics before the national economic interest, and is creating huge uncertainty for business.

"Because to walk away from our EU membership would be reckless, foolish and deeply damaging. It would be anti-investment, anti-jobs and anti-business.

"But we do need to see change in Europe. And we must reform the European Union to make it work better for Britain.”