Standard and Poors have downgraded Spanish debt, from the fairly rubbish A to the kind of credit rating you or I would get if we tried to auction off our own debt: BBB+. For the Eurozone’s fourth largest economy to be just a smidgen above junk is seriously bad news for austerity fans everywhere.
Spain elected a centre-right government last November. Their message was the typical austerity one, but in a country with unemployment nudging 25% and an economy going backwards, it’s hard to see what austerity is going to achieve other than ever-decreasing circles of recession. Sadly the only more lacking than their policy ideas is their political courage.

