‘Very real’ threat that Greek contagion could spread to Britain…(And AmeriKa)
Ratings agency warns UK banks are vulnerable to eurozone crisis
By Sean O’Grady, Economics Editor and John Lichfield in Athens
Friday, 7 May 2010
The UK was warned yesterday that it is among the European Union states that faces the risk of contagion from the Greek crisis, with “very real, common threats” to its financial systems.
As a stunned Greece, still struggling to come to terms with the deaths of three people in protests on Wednesday, approved cuts to address its financial crisis, one of the leading credit ratings agencies said British banks were “vulnerable” to shocks of the kind now reverberating around the eurozone.
The Greek finance minister, George Papaconstantinou, urged parliament not to flinch from passing a widely-detested €30bn package of tax rises and spending cuts, imposed as a condition for €110bn of loans from the EU and International Monetary Fund.