BBC News
December 9, 2011
Apart from its political and constitutional relationship with the eurozone, something else is at stake for the UK at the European Union council: whether we are propelled back into hideous and serious recession.
British jobs - lots of them - are at risk if the eurozone doesn't sort itself out.
And right now, it doesn't look as though eurozone leaders have come up with a sustainable solution to their debt crisis.
The implicit borrowing costs for Italy and Spain - two eurozone governments with very substantial debts - have risen sharply.
In the case of Italy, the yield or de facto interest rate on its five-year debt went through the punitive and unaffordable 7% threshold again early this morning and is now a high 6.9%.
As for Spain, its borrowing costs are lower: the yield is 5.9% for 10-year debt, but that represents a painful 0.7% jump over just two days.
Investors looked at what EU government heads agreed last night and see it as yet another example - the fifth - of measures that might have reassured a few months ago, but are now inadequate for the task at hand.
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