Now Portugal needs a loan

[TheRedDevils]

Just on the news Portugal is asking the eu for help with a loan. Will Cameron be one of the first to other help.Have we any money left.

http://news.sky.com/s...uropean_Union_Bailout

[andy-hughes]

As I understand it, Britain is not required to loan the money, but ot underwrite the loan in the event of a default by Portugal - so we don;t actually part with any money - a fact glossed over by the media in an attempt to whip up some crisis ... again!

[ummmm]

Yes....I seen that today Andy. We are basically like a guarantor...

[Old_Geezer]

That's the point of the union isn't it ? We are all one big happy family so we share the pain and fund each other. And all do as we are told. If you don't like it petition to leave.

[ehtobel2]

Of course Cameron will help. As long as Greece, Ireland and Portugal do not default it is a great business (as long as the UK pays low interest on its own borrowing). If they default, some of these countries owe a lot of money to British banks. It is a question of bailing out an economy we export to or taking a loss on our banks...

[New Judge]

Of course the root cause of this is the Euro.

It did not take a degree in advanced economics to realise that linking the economies of such diverse countries as, say, Germany and Greece would only end in tears. I’m afraid, Bobbisox that prices already have rocketed in Portugal. Prices in all of the “PIGS” nations took a turn for the worse not long after they joined the Euro. Costs of touristy goods and services in those countries are about three to four times what they were ten years ago. Add into this the ridiculous exchange rate for the Euro and it’s easy to see why those countries are struggling.

The Euro needs to either undergo a radical transformation (with the lesser economies reverting to their own currencies) or fold up entirely. Economic union without political union is a recipe for disaster and it looks as if that disaster is already occurring.

I’m afraid, Old_Geezer, your idea of “petitioning to leave” is a non-starter. None of the major parties (the only ones likely to form a government) have any intention of allowing the UK electorate to even have a vote on the issue, let alone act on their wishes. The EU is so ingrained in their DNA that it would be like asking them to remove their brains.

[rov1100]

Whats wrong with our Prime Ministers? Blair was very successful in lining his own pockets. Cameron won't be happy until he has solved other countries problems.