Liberal and Conservative Euro MPs were today accused of undermining jobs and growth in the eurozone by forcing member states on to an economic starvation diet.The S&D group believes that the best way to control public finances is to re-establish strong growth as rapidly as possible.Said Group spokesman on economic and monetary affairs Udo Bullmann:
”Only rapid and sustained economic recovery will allow us to clean up budgetary problems in a socially acceptable way.
”French Socialist Liem Hoang Ngoc denounced his rivals for undermining a three-point report calling for support measures to be kept in place until the recovery was secure, keep an eye on structural deficits and evaluate tax levels.
The report was subjected to line-by-line amendment by right wingers during debate in parliamentary committee.
During a European Parliament debate today on the sustainability of public finances, Mr Hoang Ngoc said: ”Common sense is of no importance to Liberals and Conservatives – nor the social impact of the crisis, nor the fact that massive debts are the result of saving the banks.
”They have an unswerving, dogmatic believe in an outdated stability pact. They see no need for economic governance. A bread-and-water diet is all Europe needs, in their view. They want to put us on a forced march towards the pact’s criteria, without any guarantee of success and with every risk of ruining recovery.”
Mr Hoang Ngoc tabled amendments calling for flexible application of deficit rules, to avoid needless austerity measures, and the creation of a public ratings agency to avoid member states being at the mercy of the markets.
He warned his right-wing opponents: ”If you can no longer act in the general interest, you can be sure that the voters will take note. The future of the eurozone is at stake.”