UK faces two-year recession if euro fails - papers

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A eurozone meltdown would plunge Britain back into a two-year recession and send unemployment soaring above 10%, the Institute for Fiscal Studies (IFS) has warned.

Should Greece, Portugal, Ireland, Spain and Italy all leave the euro, the UK economy would shrink by 1.7% this year and 0.9% in 2013, and unemployment would hit 10.7% - its highest level since its last peak in January 1993. MORE... Lloyds chief executive Antonio Horta-Osorio, who recently returned to work after taking two months off due to fatigue, has launched a major boardroom shake-up to take some of the pressure off his shoulders. MORE... The world's largest social networking site, Facebook, has announced plans for a stock market flotation. MORE...

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