The special European Council of 11 February 2010 was intended originally to provide the heads of state and government with an opportunity to reflect on the longer term problems of the European economy and begin to define a strategy to cope with them. In fact it was totally overshadowed by the Greek crisis.

The European Commission has launched a public consultation on further possible changes to the Capital Requirements Directive (CRD) aimed at strengthening the resilience of the banking sector and the financial system as a whole.

Are we about to enter a third, and this time fatal, leg of the financial crisis? The problems of euroland which have so unsettled markets this week – and in particular those of Portugal, Ireland, Greece and Spain (the "pigs", as they have become known in financial circles) – are worrying enough in themselves

European leaders said they were ready to support heavily indebted Greece to stave off a crisis in the euro zone, but disappointed markets by failing to offer any details on how aid would work.

Cushman and Wakefield published today their latest Economic Pulse report addressing Real Estate investors. There was in interesting figure on government debt.

Eurozone governments have borrowed a record €110bn from the markets so far this year, forcing up borrowing costs for those countries with the weakest public finances as they pay a heavy price for their ballooning debt levels.

Investors warned that the yields, or interest rates, they will demand to lend to Greece and other peripheral economies, such as Portugal, Spain, Ireland and Italy, will continue rising until they are convinced they have put their finances in order.

Despite Sweden having the Presidency these last 6 months, that was of no importance when the Brits promised away the Commissioner post for the Internal Market to Michel Barnier of France, while Sweden had to give up Jörgen Holmquist, the current Director General, DG Internal Market an

Introductory statement by Jean-Claude Trichet, President of the ECB,
Brussels, 7 December 2009

Dear Madam Chair,

Dear Members of the Committee on Economic and Monetary Affairs,

This is our first meeting since the entry into force of the Lisbon Treaty. The new Treaty is a reason to celebrate: in Europe generally, here at the European Parliament, but also at the ECB. It will make the Union stronger, more effective and more efficient.

UK's critique fails to address basic infrastructure challenges for banks and regulators.

The European Commission on Wednesday cleared Lloyds Banking Group's restructuring plan, which it said will leave behind a much more streamlined bank.

GDP increased by 0.4% in the euro area (EA16) and by 0.2% in the EU271 during the third quarter of 2009, compared with the previous quarter, according to flash estimates published by Eurostat, the Statistical Office of the European Communities. In the second quarter of 2009, growth rates were -0.2% in the euro area and -0.3% in the EU27.

EU finance ministers met in Brussels on Tuesday, with the Swedish Presidency strongly emphasising the significance of achieving a new financial supervisory infrastructure in December, as a prerequisite to financial stability and to further progress on exit strategies.

Almost every day, we have to make all sorts of payments.

Consumers are to be offered the services of three new high-street banks over the next few years under Government attempts to increase competition by breaking up the taxpayer-backed banks.

Alistair Darling, the chancellor, will this week outline plans to break up Lloyds Banking Group and RBS and sell-off the remaining “good” parts of Northern Rock.

European Central Bank Governing Council member Christian Noyer warned that banks are taking the same risks that led to the financial crisis and said they should preserve capital rather than pay it out to bankers and investors.

The DG Competition cast doubt on crisis-hit HSH Nordbank’s restructuring efforts on Friday, warning that it needed reassurances on the German bank’s long-term survival prospects and that it would step up scrutiny of its recent bail-out.

Europe’s controversial plans to regulate hedge and private equity funds were dealt a fresh blow on Thursday when the European Central Bank warned the proposals would put the industry at a significant competitive disadvantage.

The opposition voiced by the Frankfurt-based ECB, which feared a go-it-alone approach in Europe would backfire, is likely to be seized upon by the alternative investment fund sector – and influence the extensive re-writing of the proposals that is already under way.

Ecofin meeting was held in Luxembourg today where EU sets plan for fiscal exit strategies and delays deal over EU watchdog.

Following questions from market operators regarding the possibility for banks which are the subject of pending European Commission investigations regarding the grant of restructuring aid to repay bonds before maturity, the Commission would like to recall that its Communication on restructuring aid to financial institutions of July 2009 sets out that "banks should not use state aid to remunerate own funds (equity and subordinated debt) when their activities do not generate sufficient profits”.

Competition watchdogs are the new masters of European banking. RESCUE first, ask questions later. Over the past year bank supervisors, central bankers and national treasuries have queued up to bail out European banks’ shareholders and bondholders in a bid to avert panic.