EU in crisis

The biggest banks in Europe have little to fear from the EU's new banking regulations. But the public does. Due to loopholes the new rules will not prevent costly bailouts in the future. The risks are made clear in a recent accounting sleight of hand by Deutsche Bank.

The European Commission's new proposal on Corporate Social Responsibility reporting has been weakened by industry pressure to the extent that it is now virtually meaningless. Business lobbies, with very active support from the German government, have successfully pushed for voluntary reporting with non-binding requirements that can be selectively interpreted and would not be enforceable.

After months of preparation, the days of action organised by the coalition For a European Spring erupted into life last week. However, here in Brussels the police tried to stop it: first banning a peaceful demonstration and then arbitrarily arresting people after a peaceful occupation of the European Commission’s ‘Austerity HQ’. But despite their efforts, the seeds have now been sown, and the pan-European movement against undemocratic and destructive austerity policies is growing.

The Commission is lashing out towards member states, such as Belgium, that haven't followed the desired course sufficiently. With the "two-pack" it will be easier to force them. They usher in stronger EU control of national budgets, a new type of adjustment programmes, and a consolidation of the Troika approach to indebted member states.