BOE’s King Says ‘Very Clear’ That Euro Area Needs Fiscal Union

Bank of England Governor Mervyn King said it was “very clear” the euro area needs a fiscal union after members breaching the region’s deficit limits forced leaders to adopt a bailout package worth almost $1 trillion.

“Within the euro area, it’s become very clear that there is a need for a fiscal union to make the monetary union work,” King told journalists at a news conference in London today. “We rely on a prosperous European economy for us to rebalance our own economy.”