Thursday’s European Council meeting has demonstrated that a monetary union cannot co-exist with a group of permanent non-members in unified legal framework. The EU with its current treaties and institutions has proved to be an insufficiently flexible framework to run a monetary union and a disastrous framework for a monetary union in crisis.
These latest developments have reaffirmed my conviction that the only way to save the eurozone is to destroy the EU. But European governments may, of course, end up destroying both. All they did in the early hours of Friday morning was to create a new crisis without resolving the existing one.
And BBC Europe editor Gavin Hewitt’s take
In the long hours of a bitter Brussels night Europe changed.
A major step was taken towards closer integration. It was not as a result of popular demand by Europe’s people. It came about because Europe’s leaders believed their project had “never been in such danger”.
Last night most of Europe’s governments gave up a chunk of their sovereignty. In the future, tax and spending plans will be shown to European officials before national governments.
There will be automatic sanctions against those countries that overspend. A monetary union has moved towards being also a fiscal union.
At least, that’s the plan…
Adds As ever, the Guardian is live-blogging the day’s events.
Living History 1968-74
A unique, once-in-a-lifetime 10-week course at Stranmillis University College Belfast featuring live, in-depth interviews with leading figures from this tumultuous era in Northern Ireland’s cultural and political history.
Live interviews with: Bernadette McAliskey, Austin Currie, Brid Rogers, Baroness Blood, Dennis Bradley, Baroness Paisley, Lord Kilclooney, Tim McGarry, Danny Morrison, Sir Kenneth Bloomfield and others…