The German government is not pursuing the idea of a smaller and more integrated Europe, according to Steffen Seiber, German Chancellor Angela Merkel's spokesman.

Italian Prime Minister Silvio Berlusconi denied media reports that he could resign within hours.

Italian Interior Minister Roberto Maroni declared Sunday that Prime Minister Silvio Berlusconi's centre-right coalition "has no majority in Parliament" as the government faces a key confidence vote Tuesday on emergency economic measures.

IMF is monitoring Italy over its long delayed plan of reforms of pensions, labour markets and privatisation, EU Commission President Josè Manuel Barroso said on Friday. Under pressure from financial markets and European peers, Prime Minister Silvio Berlusconi agreed to allow International Monetary Fund to oversight the country's progress to overhaul its debt crisis.

As world leaders struggle to resolve the eurozone debt crisis, the continent has a 30 percent likelihood of falling into recession, a new study warns.

Prime Minister George Papandreou's shock announcement Monday night that Greece's bailout plan will be put to referendum has been coldly received by German Chancellor Angela Merkel and French President Nicolas Sarkozy, bringing accusations the move will intensify the euro zone crisis.

The agreement between Eurozone countries has called for fiscal integration. But does that mean we will soon be seeing a United State of Europe soon?

As Europe’s leaders gathered for their second emergency summit in four days, news emerged that there was no concrete agenda for Wednesday’s crisis meetings.

Christopher Moran, a senior figure in the City of London and Conservative supporter has said: “Britain must support the Euro” to improve the ailing economic climate.

The prime minister, David Cameron, has brought forward a Commons vote on whether Britain should hold a referendum on the country’s relationship with Europe.

The downgrading of Spain's credit rating on Friday is likely to stoke fears of a Eurozone debt crisis at a summit of G20 financial chiefs in Paris.

Shares in British banks were broadly down on the FTSE 100 in morning trading as investors, unusually perhaps, awaited news from Slovakia.

Chancellor George Osborne will address the Conservative Party conference Monday, with a clear message for Britain: The economy is in safe hands under the coalition government's plans.

The BBC have apologised to the EU after Daily Telegraph columnist, Peter Oborne repeatedly called an EU representative an idiot.

The FTSE 100 bounced back Tuesday amid hopes that the International Monetary Fund is soon to agree a package to resolve the debt crisis.

Britain's FTSE 100 index opened sharply higher Tuesday, tracking strong gains in Wall Street and in Asia, as European investors are becoming increasingly hopeful that euro zone officials will find a way to stem Greece's debt crisis.

The Euro opened Tuesday away from its eight month low on the back of a report in Europe that leaders are considering 'beefing' up its bail out fund prompted short covering Reuters reports Tuesday.Asian currencies also rebounded after huge sales in the last two weeks, helping to ease the global worries of contagion from the Euro zone crisis. A group of the worlds 20 largest economies met this weekend to discuss the world's economic fears but were unable to offer anty concrete steps t...

A weak global economy will put downward pressure on Britain's high rate of inflation and as a result the sterling will have to remain weak, according the newest policymaker at the Bank of England Ben Broadbent.

UK unemployment claims increased the most in two years adding pressure on UK Prime Minster David Cameron and Chancellor of the Exchequer George Osborne to rethink the speed at which they plan public sector cuts.

Shares in European banks and leading financial services firms fell sharply on Wednesday after French and German leaders failed convince to traders concerned about the euro zone debt crisis and instead rekindled plans for a financial transaction tax.

Euro Crisis Divides British Government

fter months of hesitations, Germany has yesterday recognised Libya's rebels as "the legitimate representatives of the Libyan people", becoming the 13th country to do so after after Australia, Britain, France, Gambia, Italy, Jordan, Malta, Qatar, Senegal, Spain, the United Arab Emirates and the United States.

The daisy chain of events manifesting from the European fiscal crisis that initially consumed Greece then Ireland in its wake has skipped into Portugal. This is not being greeted by market participants as much of a surprise since this development had been foreshadowed for months. Portuguese bond yields had risen above 7%, roughly 4% higher than the benchmark 10-year German bund. This is the inglorious territory of Greek and Irish bond yields just as they were teetering on fiscal insolvency. ...

Trading in currencies is basically a zero sum game. Rather than a stock or bond that can increase or decrease in value in absolute terms, and might move directionally the opposite of the equity or fixed income markets, currencies are all about relative movement. So in handicapping what might be the fate of the Euro currency in 2011, the question one has to ask is "In relation to what?"