BAILED OUT
EU agrees risky coronavirus stimulus plan handing out £670 BILLION to combat savage recession ripping through continent
EU leaders have agreed a risky coronavirus stimulus plan worth more than £670billion after four nights of fierce talks.
The cash will be handed out to the 27-member bloc in bid to fight against a deep recession brought on by the pandemic.
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European Commission bosses have previously warned the EU economy will slump by 8.3 per cent in 2020.
Talks over the rescue package were some of the most bitter and fractious the union has seen in years.
Battle lines were drawn over the size of fund, whether it should be grants or loans, and the terms and conditions.
Much of the money is expected to go to the worst impacted nations such as Italy and Spain - who have suffered 244,624 and 311,916 cases of Covid-19.
Britain has no part in the deal because of Brexit and won't be paying into the plan.
French president Emmanuel Macron hailed the agreement as a "historic day for Europe", while German chancellor Angela Merkel said ";what counts is we all got together in the end".
Meanwhile, Belgian leader Sophie Wilmes said the EU had "never before decided to invest so ambitiously in the future".
Dutch prime minister Mark Rutte had been leading an attempt to resist the mammoth spending pledge.
The Netherlands, Austria, Sweden and Denmark were dubbed the "frugal four" as they urged the EU to slim down the budget and offer the cash as loans.
EU bosses will hand out £350 billion to member states hit hardest by the pandemic, and the rest of the cash will be available as low-interest loans to other states.
Rutte had been an ally of Britain in Europe, seeking to rein in spending, but was left without the voice of the UK to oppose France and Germany.
Merkel and Macron had been key in pushing for the costly rescue bill - alongside Spain and Italy.
Macron accused the "frugal four" of putting the European project in danger, and even accused Rutte of acting like Brexit Britain.
He slammed the Dutch leader for taking a hard line at the summit for domestic political gains - pointing out it "ended badly" for David Cameron - who resigned after being on the losing side in the EU referendum.
Rutte has been branded "Mr No" in European circles as he attempts to curb rampant spending in the bloc amid euro-scepticism at home.
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The Netherlands have argued they shouldn't have to share their prosperity with countries that seem to work less and have a lower retirement age.
Rutte and his allies argued for only £340billion in grants - while Germany and France pushed for £450 billion.
However, he has since welcomed the agreement after being won over by the promise of rebates on EU budget contributions.
Acknowledging the bitter talks however, he said: "We are all professionals, we can take a few punches."
The crunch talks of the package was the EU's longest since 2000 and saw more than 90 hours of talks.
Also agreed was the £990billion EU budget which will take the bloc from 2021 up until 2027.
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THe EU was ravaged by the coronavirus in the early days of the outbreak as the deadly infection spread to the continent from China.
Italy and Spain were the hardest nations hit, with Germany and France following with 203,487 and 176,754 cases.
Relatively small nations Sweden and Belgium have also been hit hard, with 78,048 and 66,213 cases.
However many nations are now reopening as the epicentre of the pandemic has moved from Europe to South America and the US.
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The package will now face further negotiations to work out the minutiae before being ratified by the European Parliament.
European Council president Charles Michel said: "This is a strong deal. And most importantly, the right deal for Europe right now.
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European Commission president Ursula von der Leyen added: "We've taken a historic step, we all can be proud of. But other important steps remain.
"First and most important: to gain the support of the European Parliament. Nobody should take our European Union for granted."
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