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Cameron and Merkel fail to progress

The pair's smiles couldn't disguise the level of disagreement.

After this week's war of words over an EU Robin Hood Tax, David Cameron and Angela Merkel were all smiles at their press conference in Berlin. But their avowals of friendship ("we are very good friends," said Cameron, protesting rather too much) couldn't disguise the level of disagreement between the pair. On the Tobin tax itself, Merkel admitted that while they both favoured a global transactions tax they had made "no progress" on a European version. Unlike the German Chancellor, Cameron and George Osborne, who has described the proposed EU tax as "a bullet aimed at the heart of London", remain unwilling to introduce it without the agreement of China and the US.

Worse, Merkel restated Germany's opposition to the use of the European Central Bank as a lender of last resort. She spoke of the need for European leaders to use all available "weapons" to defend the single currency but added: "one should also not pretend to be more powerful than one is"

Cameron spoke simply of the need for all eurozone countries to show a "commitment to fiscal discipline", refusing to acknowledge that austerity has failed in Europe. As historian Richard J Evans argues in his magisterial essay in this week's New Statesman: "German-style fiscal discipline is all very well but it is not going to solve anything in the short run." But both Cameron and Merkel remain unwilling to grasp the nettle.

21 comments

SantosRenard's picture

You haven't even got the first idea what Cameron plan is, first he wanted the IMF to bail out the eurozone, now he wants the ECB too instead. If you are going to defend Cameron, please have the first idea of his policy. http://www.widecalfboot.org/

Dickie1's picture

Which of them looks more relaxed in this photo though?

Put it another way, which looks least constipated?

matthew fox's picture

Luddite, ignorant for the sake of it?

The right are hiding behind the eurozone, and as usually Cameron is floundering on the international stage.

How many meetings and summits is Cameron going to attend before we actually get action?

You keep telling me Cameron and Co know how to make tough decisions, yet the eurozone is still miles away from any sort of resolution?

Luddite's picture

"international stage" What the fuck would Labour do on the international stage.... I will tell you 1%.. Labour would sell this nation down the river.. you political retarded..

matthew fox's picture

Life is stage, and your being heckled and booed as usual, Luddite.

International stage, let me think?

Have you heard of Sierra Leone, Kosovo, The Gleneagles G8 summit - Debt relief and aid for Africa, the Economic Summit in November 2008.

Would you like me to continue Luddite, your ignorance must get you in heaps of trouble.

Graham's picture

Don't let Luddite get to you - he can't even write properly. When it comes to spelling and grammar he is a write winger!

matthew fox's picture

Graham, Luddite doesn't get to me, I feast on his stupidity.

C Baker's picture

I was quite surprised after reading the german newspaper Das Zeit, how sympathetic the readers comments were with the British situation. They understand that the banks need regulating, but a tax is not good for the UK financially. Some of the Germans are furious about more bail outs and also feel Merkel will be out soon anyway.

Germany is the one in trouble. They won't prop up the euro, but neither will they fund the ECB. So we are in limbo land. They know a collapse of the euro would harm their export market and also a return to the mark.

Let merkel have the Tobin tax. Let Merkel move money out of the city and in to Europe. This will help bail out Greece and Italy. It will prevent Germany having to pay more for the problems in the euro.Let our people work till 70 and cut more services.

Then we can have more austerity and cut public sector and pensions, even more. Then get the technocrats in to tell the people what they will be doing without! Like Greece and Italy.

Germany is going to come crashing down big time. Merkel knows this and is clutching at straws. The Germans are not as keen on her as our own press!

What agreement should David make? The Tobin Tax? Let us join the euro? Let the technocrats govern us? Tax the UK more to bailout Europe? People have no idea how dangerous Europe is becoming. I'm thinking of moving to Iran for some democracy!

We must have more austerity to pay for Germany and the euro and tax the city to send it over there!

Let's suspend all governments and let Merkel make all decisions for Europe.

I think the people in the UK have gone loopy. Where are the eurocrats now? What solutions have they got? What does Mandleson say? What does Clegg say? Where are they all? Running scared. So for once, I don't blame Dave.

Let's have more industry in the UK. Oh yes that will happen overnight in 24 hrs. So instead of trying to do this over years, let's just give the financial sector to Europe, to strengthen Germany's engineering more.

Germany is not that great and lags behind in many ways as the article in todays Guardian newspaper online shows. It has a lot less immigrants and gender equality and lower average wage. Sounds great for the far right.

Graham's picture

He is just one of those stupid right-wingers - average IQ amongst those who claim right-wing beliefs is 94.

Awake!'s picture

just so that it's clear, a tax on european based financial insytruments hurts UK cos that's where the trading is done- It WON'T rellocate to europe, it's opposed because the banks will pass those charges on to, er, you and me (as usual) and the money will go to Europe-
So if u want to hand over billions to pay for the failed eurostructure rather than have that money be generated and therefore taxed in the Uk and thus spent by the government here, then agree the tax- but that's the fact- Dave is fighting the british corner, and that's why there's no agreemnet.
on a wider note, its a non starter and makes no sense unless applied globally, which it can't. One thing brown was right tocall for (possibly the only insight he EVER had) was to call for global regulation standards- but in the inevitable left unpragmatic way, the calls were so severe they were made to be non starters. So for those who don't get what a negociation is (and Fox that's u really), the endgame, the desired resukt if u like, nust be one that is possible to be mutually agreed- entering a room and making impossible demands and then arguing isn't really a negociation, ot's another pointless meeting. Rather like talking to u fox, pointless, cos u know less than nothing

p j wall's picture

Flashman looked, and looks completely out of his depth, and lightweight around real leaders?, they must wonder who is this red faced poncy, snobby guy who always makes annoying hand gestures when he talks!!, Merkel and Sarkozy with Obama must all give each other that look?, the one they gave to each other when asked about Berlusconi!!, a sniggering look of derision!!, and when Gideon`s with him they probably think he`s Flashmans butler!!, how can the UK be taken seriously in Europe and the rest of the world, when we have lightweights like these going around lecturing everyone else?, no doubt their sycophantic groupie apoligists on here will differ!!.

Luddite's picture

matthew fox: Hello 1% how's dolly. She tells me your starving and looking at her in a strange and kind of way..

Graham: 1%'s bum-chum... Your the intelligent one.. Why didn't Labour invest in industry when it had the opportunity to do so.. And why did Labour squander billions on welfare and the unreformed and inefficient public-sector?

Luddite's picture

p j wall: up early shit the bed? it's that cheap cider... you say..
"One thing I will say about the Flashman looked, and looks completely out of his depth, and lightweight".....Mmmmmm... So the Dwarf, Mr Obama and the fat German aren't out of their depths? I'll tell you about the Germans, they are always perfectly willing to give somebody's land to somebody else another this about the German's they have created more evils than idleness ever did and you know all about idleness. p j wall:
If you don't have credibility about your plans to deal with your debts and deal with them, whether you like the markets are not, they won't lend you any more money, and let's not for forget German obstinacy led to a frosty exchange between President Barack Obama and the fat German leader.. or is it Fuhrer....

matthew fox's picture

As usual your floundering Luddite, we have had all these summits, whether they be G8, G20, European, and crisis.

Cameron and Osborne are barracking from the cheap seats, no leadership, no policy, just photo ops and excuses.

Luddite's picture

matthew fox: They are showing leadership they are saying NO!! matthew why are the Germans begging us for money don't they know we are sitting in the cheap seats? If they capitulate to German and French demands. That would jeopardise the future of the next generation. That is the treat that hangs over us.. by the way matthew, old mutton makes wonderful Lancashire hot-pot..

Awake!'s picture

er, fox- cameron said the IMF can't be used to bail out the eurozone, only individual countries, which it was actually originally set up for.
once again Fox u write here with no knowledge whatsoever...
So u can get up to speed with the adults currently the idea being discussed is the IMF making loans to the ECB.

Awake!'s picture

Fox
Junckers is warning that if france looses it's AAA credit rating status then EFSF won't be AAA. Do u get it? Do u get the scale of it?
Actually, do u know who Junckers is?

matthew fox's picture

Any fool can say no, that is the difference.

You haven't even got the first idea what Cameron plan is, first he wanted the IMF to bail out the eurozone, now he wants the ECB too instead.

If you are going to defend Cameron, please have the first idea of his policy.

swatantra's picture

Looks like Dave is still playing hard to get on FTT and Osbo still has to check with his paymaster the USA. Bullets don't always hit their target and sometimes there can be a lot of unintended consequences and collateral damage. But on the whole The Merkozy proposal for a FTT is a sound one. The City may fret but will get over it and pay up.

matthew fox's picture

Crisis management at its worst. DC walks away from crisis talks, with no agreement.

Luddite's picture

matthew fox: It's certainly crisis management.. no disagreement there. DC walking away from what? Another European fudge.....

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