This increasing reluctance to follow agreed rules and procedures eroded confidence in the EU fiscal framework and intensified criticisms of the Stability and Growth Pact that have been voiced ever since its inception. Against this background, political agreement was reached in March 2005 on the reform of the Stability and Growth Pact.
I will not deny that I am seriously concerned about the weakening of the Stability and Growth Pact and its implications on the future development of public finances and the confidence in the fiscal framework.