Partner Article

Eurozone creates “ great black cloud of uncertainty“

The Eurozone has created a “great black cloud of uncertainty” over global business, according to the Governor of the Bank of England.

Sir Mervyn King has accused European leaders of failing to deal with the root causes of the crisis, which has resulted in them “holding back from investment and spending”.

A lack of decisive action is resulting in the problem “getting bigger all the time”, and Eurozone nations must now focus on a way to restore competitiveness.

The Governor outlined concerns that the crisis could have on the UK economy, as Europe represents around 50% of UK international trade.

In his speech he also commented on the Bank’s quantitative easing programme, which has “not restored us to prosperity yet’. However, he did acknowledge that the £325 billion which has been pumped into the economy has prevented the UK from performing even worse.

This was posted in Bdaily's Members' News section by Ruth Mitchell .