UK banks told to rewrite employment contracts of staff on top-up payments

The UK’s banks have been told by the Bank of England that they need to rewrite the employment contracts of hundreds of staff receiving top-up payments alongside their salaries because of the European Union’s bonus cap.

Eurozone pins hope on long-awaited economic rebound

Eurozone politicians are hoping for glimmers of a long-awaited economic rebound this week, with growth in the single currency bloc forecast to beat both the UK and US.

Time is running out for Greece, says Eurogroup chief

Mounting tensions between Greece and other euro members have flared up at an acrimonious meeting in Riga, with finance ministers blasting the country’s leftwing leaders for failing to make more progress towards a bailout deal.

Poll: Poland seen cutting rates by 25 bps in October

(Reuters) - Poland is likely to cut interest rates by 25 basis points next week to a new all-time low and reduce them by a further 50 points by the end of the first quarter of 2015, according to a Reuters poll.

IMF warns further shocks would stall euro zone recovery

BRUSSELS (Reuters) - Any new shocks could halt the euro zone's economic recovery, spoil improving market sentiment and eventually tip the region into deflation, the International Monetary Fund warned on Monday.

France's odd couple push Europe to re-think growth

PARIS (Reuters) - One is a balding, bespectacled safe-pair-of-hands known for his negotiating skills; the other a firebrand orator of the French left who made his name riling big business, Brussels and Berlin.

Europe Mending as Markets Signal Even Portuguese Get Work

It took 11 months and the sale of his 2008 Ford Focus to pay the bills before Nuno Silva found a job as a supervisor at a food warehouse in southern Portugal.

Italian government in crisis as Renzi calls for change

ROME, Feb 13 (Reuters) - Italian centre-left leader Matteo Renzi called on Prime Minister Enrico Letta to step down on Thursday and said their party, the biggest in the ruling coalition, should choose a new premier to lead the government.

Italy's octogenarian president may be called to rescue again

ROME (Reuters) - Italy's 88-year-old president, Giorgio Napolitano, is an unlikely hero, but this week marks the third time in two years that he may be called to the country's rescue.

Euro zone could well be out of red but full recovery may take longer

The euro-area economy probably edged back to growth last quarter for the first time since 2011, ending the longest recession since the single currency union started 14 years ago.

Euro break-up risk falls by two thirds since Draghi pledge, survey finds

BERLIN (Reuters) - The number of investors who think a country will leave the euro zone soon has dropped by two thirds in the year since the head of the bloc's central bank promised to safeguard the currency, a survey published on Monday showed.

Italy economy seen shrinking at slower pace in Q2: Central bank

ROME: Italy's economy is expected to contract at a slower pace in the second quarter of this year and could stabilise in the second half, the deputy director general of the Bank of Italy Fabio Panetta said on Friday, citing analyst forecasts.

Down So Long, It Looks Like Up to the Euro Zone

FRANKFURT — This is what passes for good economic news in Europe: Spain just added 265 jobs.“Clearly encouraging,” the nation’s prime minister, Mariano Rajoy, said of the development.

Eurozone to shrink 0.6% in 2013, grow 1.1% in 2014: ECB

FRANKFURT, GERMANY: European Central Bank President Mario Draghi has announced a cut in the bank's growth outlook for the 17 countries that use the euro currency.

Eurozone crisis demands one banking policy, one fiscal policy – and one voice

It had all started to look quite promising. The US was picking up, China had avoided a hard landing and in Japan the early signs from the new government's anti-deflation approach were encouraging.

France to miss 2013 deficit goal: foreign minister

PARIS: France will probably miss its goal to cut the public deficit to 3 per cent of economic output this year, Foreign Minister Laurent Fabius said on Wednesday, the first government official to admit that analysts' doubts are valid.

ECB's Visco says markets watching Italy closely

ROME (Reuters) - Financial markets remain keenly focused on Italy's ability to control its public finances and pursue reforms to lift its stagnant economy, European Central Bank governing council member Ignazio Visco said on Saturday.

Italy output drop shows economy in mire as poll looms

ROME: Italian industrial output fell a bigger-than-expected 1.0 per cent in November, suggesting the economy remains deep in recession as the country braces for a national election next month.

Is this the year that the eurocrisis ends?

The European Central Bank has moved to shore up the euro, investors are more confident, and European leaders are surprisingly upbeat.But critics warn that Europe is not out of the woods.

Germany's austerity plans will beggar Europe

Has the eurozone crisis ended? Many politicians in Europe, including France's president François Hollande, seem to think so.