Commission calls for budget controls

The European Commission yesterday called for better budget discipline in the eurozone, saying countries had sometimes used one-off steps to keep their deficits below the EU limit.

“We have seen many instances where attempts to comply with the deficit ceiling have led to the adoption of one-off measures, ‘creative accounting’ or pro-cyclical policies,” said Klaus Regling, director general of the Commission’s monetary affairs division.

Mr Regling also reviewed the case for revamping the EU Stability and Growth Pact and said the improvements suggested by the Commission would bolster the credibility of the budget discipline rulebook.