Let Greece default on its debts, demand top Tories as EU bailout set to hit £1trillion

Daily Mail
"Ministers were last night urged to allow Greece to default on its debts – amid warnings the cost of EU bailouts could soar to more than £1trillion.European stock markets tumbled in the wake of violent protests in Athens and growing speculation that Greece will default on its crippling debts despite last year’s £100billion bailout.Financial experts warned Europe was facing a ‘Lehman moment’ – a reference to the collapse of the giant investment bank which plunged the world into recession. ......Neil Mackinnon, an economist at VTB Capital in London and a former Treasury official, said: ‘The probability of a Eurozone Lehman moment is increasing.

‘The markets have moved from simply pricing in a high probability of a Greek debt default to looking at a scenario of it becoming disorderly and of contagion spreading to other economies like Portugal, like Ireland, and maybe Spain, Italy and Belgium.’