European Central Bank on trialFor two days in early June, Europe observers were gripped by events in Karlsruhe a small town in Germany which also happens to be home to the German Constitutional Court. On offer: the Courts hearing into whether the European Central Bank had overstepped its legal mandate in its response to the eurocrisis. The most hotly contended topic was the ECBs OMT-bond buying programme. The case is important because it highlights the tensions at the very heart of the eurozone, underlining the question of if Germany is willing and able (in terms of legal constraints) to do what is seen as necessary to save the eurozone.
Although unlikely, in the most extreme case the Court could rule that the ECBs actions are not in line with the German Constitution, thereby compelling Germany to withdraw from the euro. In reality, the court is not expected to rule against the ECB. However, the case still highlights how important it is for the ECB and other European Institutions to be transparent in their actions something that we continue to campaign for at Open Europe.
Our in-depth coverage of the hearing, which included a flash analysis, live blog, commentary and our twitter feed were cited widely in the international press, appearing in the Wall Street Journal, Guardian, Telegraph, Forexinfo and Handelsblatt. Our Head of Economic Research Raoul Ruparel also appeared on both the BBC World Service and Sky News discussing the case.
Bungled bailouts keep southern Europe in the eye of storm
Meanwhile, trouble rumbles on in Europes Southern peripheries, with headlines dominated by infighting and divisions among the political parties and EU institutions.
Since the IMF admission that the Greek bailout had been bungled (which the European Commission promptly denied), Greece has plunged deeper into the abyss. The government is falling well behind requirements to deliver savings by cutting the number of civil servants on the payroll, coming under increasing pressure from the EU/IMF/ECB Troika to deliver.
However, the Greek governments decision to deliver 2,600 layoffs overnight by closing its public broadcaster, ERT, led to significant fallout. And now, the already-fragile Greek coalition government looks set to implode, with the Democratic Left Party saying they are ready to leave.
Last week Cypriot President Nicos Anastasiades also showed his scorn for the EU/IMF/ECB Troika, by sending a scathing letter to the EU/IMF/ECB slamming the terms of its bail-out/bail-in package and calling for it to potentially be re-examined. The EU response has been firm and unequivocal: there is no alternative.
Open Europes coverage of eurozone troubles continues to feature heavily in the media: Vincenzo Scarpetta was quoted by SKAI discussing the closure of ERT in Greece; while Open Europe's blog on the Cypriot Presidents letter was cited by BBC News, City AM and the Guardian and Telegraph live blogs.
Dutch review of EU powers: European where necessary, national where possible
The Dutch government published its review of EU powers and EU influence on legislation today, arguing that "the time of 'ever closer union' in every possible policy area is behind us". This has important implications for David Camerons plans for EU reform, as the Netherlands is considered a vital British ally. If the Dutch can be persuaded to either lead or join with the UK on EU renegotiation then countries such as Sweden, Germany and Denmark may be more likely to follow suit. Open Europe is currently analysing the Dutch review, and will post our findings our blog later today.
First reading of Conservatives EU Referendum Bill
Conservative MP James Whartons EU referendum Bill received its first reading on Wednesday this week, with a new question reading Do you think that the United Kingdom should be a member of the European Union?" Open Europe continues to analyse the chances of the Bill as it progresses through Parliament, and now looks forward to its second reading on 5 July.
In other news
As Open Europe works to ensure transparency and accountability in the European Union, we continue to highlight nonsensical legislation that emanates from the EU (such as the ban on pictures of infants on packaging of baby formula). As always, we continue to maintain that the powers of national parliaments need to be strengthened to properly scrutinise and block unwanted EU rules.
To this end, our recommendations on how the UK can protect itself from voting caucuses in the EU institutions were included, for example, in a recent Foreign Affairs Select Committee report on EU reform.
Ultimately as our Research Director Stephen Booth writes in an article published in House magazine any EU federalist solutions on issues such as law-enforcement cooperation, will cause an increasingly sceptical public to reject the EU entirely.
Bron: politics.be
Although unlikely, in the most extreme case the Court could rule that the ECBs actions are not in line with the German Constitution, thereby compelling Germany to withdraw from the euro. In reality, the court is not expected to rule against the ECB. However, the case still highlights how important it is for the ECB and other European Institutions to be transparent in their actions something that we continue to campaign for at Open Europe.
Our in-depth coverage of the hearing, which included a flash analysis, live blog, commentary and our twitter feed were cited widely in the international press, appearing in the Wall Street Journal, Guardian, Telegraph, Forexinfo and Handelsblatt. Our Head of Economic Research Raoul Ruparel also appeared on both the BBC World Service and Sky News discussing the case.
Bungled bailouts keep southern Europe in the eye of storm
Meanwhile, trouble rumbles on in Europes Southern peripheries, with headlines dominated by infighting and divisions among the political parties and EU institutions.
Since the IMF admission that the Greek bailout had been bungled (which the European Commission promptly denied), Greece has plunged deeper into the abyss. The government is falling well behind requirements to deliver savings by cutting the number of civil servants on the payroll, coming under increasing pressure from the EU/IMF/ECB Troika to deliver.
However, the Greek governments decision to deliver 2,600 layoffs overnight by closing its public broadcaster, ERT, led to significant fallout. And now, the already-fragile Greek coalition government looks set to implode, with the Democratic Left Party saying they are ready to leave.
Last week Cypriot President Nicos Anastasiades also showed his scorn for the EU/IMF/ECB Troika, by sending a scathing letter to the EU/IMF/ECB slamming the terms of its bail-out/bail-in package and calling for it to potentially be re-examined. The EU response has been firm and unequivocal: there is no alternative.
Open Europes coverage of eurozone troubles continues to feature heavily in the media: Vincenzo Scarpetta was quoted by SKAI discussing the closure of ERT in Greece; while Open Europe's blog on the Cypriot Presidents letter was cited by BBC News, City AM and the Guardian and Telegraph live blogs.
Dutch review of EU powers: European where necessary, national where possible
The Dutch government published its review of EU powers and EU influence on legislation today, arguing that "the time of 'ever closer union' in every possible policy area is behind us". This has important implications for David Camerons plans for EU reform, as the Netherlands is considered a vital British ally. If the Dutch can be persuaded to either lead or join with the UK on EU renegotiation then countries such as Sweden, Germany and Denmark may be more likely to follow suit. Open Europe is currently analysing the Dutch review, and will post our findings our blog later today.
First reading of Conservatives EU Referendum Bill
Conservative MP James Whartons EU referendum Bill received its first reading on Wednesday this week, with a new question reading Do you think that the United Kingdom should be a member of the European Union?" Open Europe continues to analyse the chances of the Bill as it progresses through Parliament, and now looks forward to its second reading on 5 July.
In other news
As Open Europe works to ensure transparency and accountability in the European Union, we continue to highlight nonsensical legislation that emanates from the EU (such as the ban on pictures of infants on packaging of baby formula). As always, we continue to maintain that the powers of national parliaments need to be strengthened to properly scrutinise and block unwanted EU rules.
To this end, our recommendations on how the UK can protect itself from voting caucuses in the EU institutions were included, for example, in a recent Foreign Affairs Select Committee report on EU reform.
Ultimately as our Research Director Stephen Booth writes in an article published in House magazine any EU federalist solutions on issues such as law-enforcement cooperation, will cause an increasingly sceptical public to reject the EU entirely.
Bron: politics.be