Osborne: Failure of Spanish bailout is 'depressing' and 'frustrating'

The Chancellor George Osborne has told an event hosted by The Times that the failure of the Spanish bank bailout is "depressing" and "frustrating" as he warned that the banks needed to be recapitalised directly in order to convince the markets:

What is depressing ... is that everyone said to the eurozone that if you do not directly recapitalise these banks, if you do it via the Spanish sovereign, then you are not going to convince the market the Spanish sovereign is entirely credible... and yet they went ahead down this route.

The frustrating thing about all of this ...if we are always in our reaction to every problem is ‘too little too late, not quite enough,’ then we are going to have a long period of uncertainty and fragility within the eurozone.