LONDON (AFX) - Institute of Directors director general George Cox said the UK is unlikely to enter the euro "for the foreseeable future", given the strength of sterling and lack of economic convergence with the euro zone. "We're ... concerned about the economic impact and for the foreseeable future we just cannot see it being possible for us to go into the euro," Cox said in an interview with Cantos Communications. "You couldn't possibly go into it for example with the exchange rate the way it is at present. We'd lock ourselves into an unrealist rate which is damaging manufacturing at present and if you look at the economic cycles which are required to converge, will the interest rates get close together? Economic cycles aren't in phase," he said. While the IoD has no stance on the political aspect of euro entry, it is nonetheless "very cautious" on the economic considerations, Cox said. He said many members feel that, given the current uncertainty, they would prefer to see the UK economy remain in the hands of chancellor of the exchequer Gordon Brown and the Bank of England. "You know where you stand with (BoE governor) steady Eddie George than someone in Brussels. I think that's a fairly common feeling," he said. However, Cox said the majority of members believe a referendum on euro entry is inevitable within two or three years. He also suggested the economic growth projections in Brown's pre-budget report released last week are too optimistic. "The chancellor has upped his (forecast) since he last made one and he's a little bit ahead of what we say now, particularly in 2003. Once you get out there, there's quite a big margin for error," he said.