Commissioner warns of 2012 recession

A RECESSION is now very likely in the EU next year, and the outcome of last week’s summit is unlikely to change this, according to Laszlo Andor, Commissioner for Employment, Social Affairs and Inclusion.

Mr Andor, has been critical of the emphasis on austerity measures and punishment for those who break the rules without a counter-balancing emphasis on transfers, growth and employment with the more active involvement of the European Central Bank (ECB) and eurobonds.

Ireland had set itself up as a hub for international business, he said, adding that “if Ireland can come out of this relatively well and sooner, the long-term balance can be positive”.