Europe's austerity anger grows

"Workers are on the streets today with a clear message to Europe's leaders," said John Monks, head of the European Trade Union Confederation. "There is a great danger that workers are going to pay the price for the reckless speculation that took place in financial markets. You have to reschedule these debts so that they are not a huge burden and cause Europe to plunge down into recession," he said, reflecting growing bitterness among ordinary people that they are bearing the brunt of austerity while bondholders have been shielded from losses.

Spain's car industry was entirely paralysed with the exception of the Mercedes plant in Vitoria, and transport stoppages caused severe disruption. Ignacio Fernandez Toxo, head of the country's CCOO trade union, said premier Jose Luis Zapatero was committing "political suicide" by carrying out harsh cuts while unemployment hovers at 20pc, or 41pc for youths.

Austerity fatigue is surfacing across a large arc of Eastern and Southern Europe, raising concerns that electorates may start to rebel. The Fidesz government in Hungary has already sent the EU and the International Monetary Fund packing, opting for "economic nationalism". Even the police joined demonstrations last week in Romania, hurling their kit at the presidential palace to protest public sector wage cuts of 25pc.

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