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Labour Business Launch Overshadowed By Row

Ed Miliband's business manifesto launch has been overshadowed by a row over Labour's use of business leaders' quotes in an advert for the party's stance on the EU.

The Labour leader faced a backlash over the advertisement in the Financial Times, published on the morning Mr Miliband warned voters that leaving the European Union was a "clear and present danger" to British business.

In a full-page advert under the Labour message: "The biggest risk to British business is the threat of an EU exit. Labour will put the national interest first. We will deliver reform not exit" were a number of quotes from the business leaders about Europe.

Company spokesmen were swift to issue statements making clear that they were not linked to Labour.

A spokesman said: "Siemens has profound concerns about a possible UK exit from the EU. We are also on record of expressing our concern about the uncertainty that a referendum would create - particularly as it is not clear what options would be presented.

"We are however very clear that a referendum might be called, and if it is, we will support efforts to get a better deal and stay in the EU. We do not, however, endorse any political party."

A statement from Kellogg's said the quote used by Labour in the advert was made over a year ago by its UK managing director.

It added: "What he was expressing was a concern about the insecurity which comes from the uncertainty about Britain's position in the EU – nothing more. Kellogg's is strictly non-partisan and does not endorse any political party."

However, SCM Direct founding partner Gina Miller said she was happy for her comments to be used and added: "I'm clearly aware of it because they told me it was happening last week."

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Mr Miliband said all the comments on the advert were made in public and the party was entitled to use them.

He said: "We've simply quoted public statements by these businesses about the place of Britain in the European Union.

"And I think lots of businesses all around this country are not necessarily going to be supporting Labour or the Conservatives but they do have a very strong view about our place in the EU."

With 38 days to go until the General Election, Mr Miliband was in the City of London setting out his pitch to business leaders with the launch of the first of the party's "mini manifestos".

He said: "There could be nothing worse for our country or for our great exporting businesses than playing political games with our membership of the EU. David Cameron used to understand that. But in the past five years our place in the European Union has become less and less secure.

"He used to say he would campaign to keep Britain in Europe. But now he won't rule out campaigning to leave."

David Cameron has promised a referendum by 2017 if he wins the election - something that Mr Miliband described as "a recipe for two years of uncertainty".

Lib Dem leader Nick Clegg joined in with the criticism of Mr Cameron's stance by saying he would never "play footsie" with Britain's membership of the EU.

Labour's 22-page A Better Plan For Business is an attempt to fight back against concerns that Mr Miliband would put the economic recovery at risk.

Business insiders have told Sky News they are faced with a difficult choice between a Conservative Party who would put Britain's EU membership at risk and a Labour Party perceived as anti-business.

Mr Miliband was sharply criticised by the Boots boss Stefano Pessina earlier this year, who warned a Labour government would be a "catastrophe" for Britain.

In an interview with The Daily Telegraph on Monday, Dr Assem Allam - who has donated £400,000 to the Labour Party - described the Conservatives as "the best party in Europe" to manage the economy.

He criticised Mr Miliband for wanting to "penalise" wealth creators with a mansion tax and a rise in the top rate of tax.

Speaking on Good Morning Britain, UKIP's Nigel Farage said Mr Cameron had been "forced into" promising a 2017 referendum on Britain's membership of the UK and that his party's job was to "hold his feet to the fire to make sure that the referendum is not a stitch-up".

He added: "I don't want this to be kicked into the long grass until the end of 2017. I think it should be before the end of this year."

It comes as Mr Cameron has visited the Queen to ask for Parliament to be dissolved .

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