THE British government made major statements on defence and economy measures necessary to reduce the national deficit. The Royal Navy will get two new aircraft carriers; a decision on the Trident nuclear submarines was postponed for five years. Almost all government departments will take budget cuts of up to 20 per cent across four years.
IN France the government won Senate approval for its reforms on retirement age and pensions but trade unions and other organisations continued to block essential services and hold street demonstrations.
SOUTH African public service trade unions accepted a government offer of a 7.5 per cent wage increase, ending strikes which had closed schools and hospitals.
CHANCELLOR Merkel of Germany declared that multiculturism had totally failed. The comment was thought to refer to the reluctance of Turkish guest-workers to integrate with German society.