The European Parliament has adopted a report calling on Member States and the Commission to adequately assess the support given form public sector to financial institutions and big companies in response to the current economic situation. The report argues that these aids should be limited to what is strictly necessary for the maintenance and development of the European economy and not respond to purely national interests.

Expressing concern at the unprecedented level of instability in the European and world markets, the report drafted by MEP Donata Gottardi points out that the crisis in strategic sectors, and especially in the fields of finance and transport, is spurring public investment in takeovers, without care being taken to limit those rescue operations to what is strictly necessary for sustaining and developing the European economy or to ensure they do not respond to national interests only.

Therefore, in response to the difficult economic and financial situation currently affecting Europe and the world, public sector intervention is reassuming a "pivotal role, sometimes taking the form of outright nationalisation," says the European Parliament in a report adopted with 521 votes in favour, 47 against and 55 abstentions.

Although the State Aid Scoreboard published in November showed better targeted aid from Member States and the benefits of fast-track decision procedures to tackle the crisis, this report points out that it is in the interests of the public, the taxpayer and public budgets to ensure that every intervention and use of public funds for rescuing financial organisations is accompanied by appropriate supervision, concrete improvements in the governance and business conduct of the enterprise or institution, precise limits on the amounts paid to executives and clear accountability vis-à-vis the public authorities.
 
The European Parliament also believes that rescue packages from the wholesale public sector will have repercussions for public finances and personal incomes, making it necessary for the tax burden to be suitably and equitably spread among all taxpayers. This would entail, on the one hand, the imposition of an appropriate level of taxation on all financial players and on the other, provision for a gradual and sharp reduction in the tax burden on mid to low-level salaries and pensions.
 
There needs to be a common approach on wage policies, which provides for wage increases in line with actual inflation and productivity, says the report, "since fiscal and wage policies are powerful and effective levers on demand and for economic stability and growth".