Elsewhere in the European Union, they're declaring the ‘end of austerity'. For example Dublin says the next budget will be the last one to make cuts its centrepiece – from then on cash will be flat or even inflation adjusted.

Portugal has returned to the capital markets, borrowing under its own steam. Even Greece is making optimistic noises. According to the Spanish government official Jaime Perez-Renovales, speaking recently at a seminar on ‘post austerity' at the Institute for Government in London, Madrid sees clear road ahead.