Douglas Carswell's Blog

Debtors' Union is UK government policy. Why?

Belgium has joined Italy, Spain and the other Eurozone debtors in calling for Eurobondsdemanding that German taxpayers take on their debts.  France, too, whose biggest banks are up to their necks in some pretty worthless Greece government IOUs, also wants a fiscal union with Germany.

There is no mystery why Euroland's various debtor interests should want the German creditor to rescue them from their own fiscal ineptitude.  What is extraordinary is that the British government should be joining in this debtors' chorus, too.

It is in our national interest to have successful, prosperous neighbours throughout Europe.  Beggar thy neighbour economics is no recipe for success or prosperity.

Italian and Greek fiscal management undermines German's good practice.  The debtor prevails over the creditor.  Bad money drives out the good.   

Far from allowing each member state to emulate the more successful, we can see once again how the reality of the European project is the export of public policy failure and weakness from one country to another.

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