Wealthy eurozone countries must back weak nations, George Osborne warns

[FarCenter]

"Eurozone countries must either stand behind their currency or face up to the prospect of Greek exit with all the risks that could involve," the Chancellor wrote in The Sunday Times today (£).

Mr Osborne, who watched the Champions League final with his German counterpart Wolfgang Schaeuble last night, warned of "enormous risks" to the UK economy if the crisis is not tackled.

He also said the British government is doing "contingency planning for all possible outcomes" to the eurozone crisis.

The Chancellor backed austerity plans for indebted nations but also put forward the idea of common euro-area bonds and more intervention from the ECB as ways to halt the immediate crisis.

http://www.telegraph.co.uk/finance/economics/9277732/Wealthy-eurozone-countries-must-back-weak-nations-George-Osborne-warns.html

Translation: UK wants Germany to make good on British holdings of Greek bonds.

[RB TexLa]

1. britain needs to actually join the common currency. Of course the the wealthier

member states support the weaker ones, but there has to be more central control over debt. It's the same problem we have had for the last 60 years, we sacrifice tomorrow for today.