British PM David Cameron caved in to the Euro-skeptics and the City (the U.K.’s Wall Street) but his partners in government, the Liberal Democrats, who happen to be pro-Europe, are not happy about the vote in Brussels last Friday. The rift could split the government.
The Laborists are waiting in the wings, taking pot-shots at Cameron who indeed has placed Britain in the most isolated position the country has been since the fall of France in June 1940.
But in 1940, Britain had the empire. There is no empire today.
Without the LD, the conservatives would not have a majority in parliament.
The response of Europe to Cameron’s stubbornness was: “Don’t let the door hit you on the way out.” Without Europe, Britain would lose a great part of its standing in the world.
For the last three decades, British policy has been designed to prevent Franco-German dominance of the continent. But that is exactly what is happening now. And everybody is blaming the PM.
My prediction is that the Cameron government will not last very long in power.
On the other hand, if Germany agrees to the ECB buying more Euro debt, I believe the Euro would sail through calmer waters.