EU starts proceedings against Britain over deficit

Brussels  - The European Commission has launched disciplinary proceedings against Britain because its budget deficit is too large, diplomats said Tuesday.

They said Britain was unlikely to face a huge fine for breaching EU economic rules because it is not in the eurozone.

The European Commission expects the gap between spending and revenues in Britain to reach 3.3 per cent of gross domestic product (GDP) this year.

The maximum deficit allowed under the EU Growth and Stability pact is is 3 per cent of GDP.

Finance ministers meeting in Brussels also agreed to drop disciplinary proceedings against Poland, which is also not in the eurozone. (dpa)

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