KATRINA THREAT TO EU ECONOMIES
HURRICANE Katrina could sweep Europe into recession, Gordon Brown warned yesterday.
The Chancellor said many European economies were already on the edge of a sharp economic downturn.
And he warned that spiralling oil prices caused by the US hurricane could be enough to tip them over the edge.
Brown said: "The economic effects of rising oil prices will probably hurt Europe more than other continents."
An EU-wide economic recession would mean increasing unemployment,more businesses closing and less Government money for schools and hospitals.
There are already fears Europe is falling behind boom countries like India and China.
Brown is expected to make a major speech to the TUC conference on Tuesday to signal action to ease pressure on petrol prices.
More articles:
|
