This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/uk_politics/7779023.stm
The article has changed 8 times. There is an RSS feed of changes available.
| Version 4 | Version 5 |
|---|---|
| Brown hails EU recovery package | Brown hails EU recovery package |
| (30 minutes later) | |
| Gordon Brown has said European leaders have agreed to back an "ambitious and co-ordinated" recovery plan to help their economies through the downturn. | Gordon Brown has said European leaders have agreed to back an "ambitious and co-ordinated" recovery plan to help their economies through the downturn. |
| The package, negotiated at an EU summit in Brussels, will see 200bn euros of funding - equivalent to 1.5% of the EU total output, poured into economies. | The package, negotiated at an EU summit in Brussels, will see 200bn euros of funding - equivalent to 1.5% of the EU total output, poured into economies. |
| Mr Brown said measures would include "judicious" tax cuts and acceleration of public spending projects. | Mr Brown said measures would include "judicious" tax cuts and acceleration of public spending projects. |
| The PM's economic policy has come under fire from leading German politicians. | The PM's economic policy has come under fire from leading German politicians. |
| Finance minister Peer Steinbruck called his decision to cut VAT levels and raise borrowing to record levels to support the weakening economy as "crass" and "breathtaking." | |
| Steffen Kampeter, of Chancellor Angela Merkel's CDU party, described Mr Brown's £20bn fiscal stimulus as "a failure of Labour policy". | |
| UK complaint | |
| But Mr Brown said that "whatever comments had been made in the last few days", the agreement over the need for a huge stimulus package showed that the EU was "wholly united". | But Mr Brown said that "whatever comments had been made in the last few days", the agreement over the need for a huge stimulus package showed that the EU was "wholly united". |
| He described the agreement as "good news for the UK and good news for Europe". | He described the agreement as "good news for the UK and good news for Europe". |
| Europe has agreed unanimously and in a united way to take coordinated action that is substantial Gordon Brown | |
| The measures were a rejection of calls for politicians to "do nothing and let the recession take it course", he added. | The measures were a rejection of calls for politicians to "do nothing and let the recession take it course", he added. |
| The stimulus plan will include tax cuts, reduction in regulation, support for small business and anticipated further reductions in interest rates. | The stimulus plan will include tax cuts, reduction in regulation, support for small business and anticipated further reductions in interest rates. |
| However, it is understood that individual countries will be able to opt out of measures, such as specific tax cuts, that they don't agree with. | |
| The Foreign Office has confirmed that Britain's ambassador in Berlin, Sir Michael Arthur, telephoned the German finance ministry on Thursday to complain about Mr Steinbruck's comments. | The Foreign Office has confirmed that Britain's ambassador in Berlin, Sir Michael Arthur, telephoned the German finance ministry on Thursday to complain about Mr Steinbruck's comments. |
| A spokesman would not give details of the call other than to say that the ambassador had made it clear that "we fundamentally disagreed with the comments made by Peer Steinbruck". | A spokesman would not give details of the call other than to say that the ambassador had made it clear that "we fundamentally disagreed with the comments made by Peer Steinbruck". |
| US action | |
| Mr Brown said there had been a debate across the 27-member union in recent months about the kind of action needed to tackle the downturn and he argued that this agreement over the stimulus plan meant those discussions had "concluded". | |
| While cuts in interest rates were "crucial" to help consumers and businesses, these were not enough to support economic activity and employment at a time when thousands of jobs are being lost. | |
| He said the EU's plan brought it into line with action already taken in the US and with commitments by President-elect Barack Obama to pump billions more into the economy early next year. | |
| "Europe has agreed unanimously and in a united way to take coordinated action that is substantial. That means that Europe and America will be working together to create jobs and growth." | |
| Further details of the 200bn euros stimulus package will be released later with individual countries likely to prioritise different measures. | |
| The economies of several EU countries, such as Ireland and Denmark, are already officially shrinking and many others - including the UK - are expected to follow suit within the next few months. | |
| EU leaders hope the package will reduce the length and severity of the downturn, with a focus on helping businesses to survive during the next 18 months. | |
| A spokesman for the European Commission, the EU's executive branch, described the package as a "very solid result". |