Cameron worried about spillover from Greek crisis
British Prime Minister David Cameron is expected to voice his concern about the Greek debt crisis having a spillover effect during a European Union summit meeting taking place in Brussels on Thursday and Friday.
According to The Daily Telegraph, Cameron will add his voice to non-euro G7 members who are increasingly concerned that EU agitation over how to deliver a second Greek bailout will affect a global economy already weakened by recession.
?Britain has joined non-EU G7 members in warning that the eurozone needs to stop fueling uncertainty by sending different, contradictory messages,» the paper quoted a senior source as saying.
?The euro area needs to decide on a clear plan, agree it and stick to it. There has been too much public speculation of Germany versus France. The eurozone has responsibilities to the wider world economy, especially nearby, close neighbors like Britain.?
The comments came after Germany and France disagreed over whether the private sector should be involved in sharing the Greek debt burden during an emergency meeting on Sunday.
Speaking at The Times CEO Summit on Tuesday, Cameron pledged that he would fight ?very hard? in Brussels to ensure that no British taxpayer money goes into a new bailout plan for Greece.
Meanwhile, the German government indicated on Thursday that Britain would need to contribute to the new EU bailout, according to The Guardian.
The paper noted that conflicting messages from Berlin and London were paving the way for a possible clash between the two countries in Brussels.
While the majority of funds for Greece?s bailout stem from a fund guaranteed by 16 eurozone member states, a separate fund, the European Financial Stability Mechanism (EFSM), which includes Britain, will be required in case of additional rescue efforts, according to top German government officials, The Guardian reported.
Speaking in the House of Commons, the British prime minister noted that the Greek crisis was a eurozone issue. ?We don’t believe the European Financial Stability Mechanism should be used for Greece. We have made it clear that’s not appropriate, and I don’t think it will happen,? Cameron said.
