European commission delays decision on Spain and Portugal deficits

European economics commissioner Pierre Moscovici postpones potential action over countries breaking budget rules until July

The European commission has avoided handing a propaganda weapon to those campaigning for Britain to leave the EU by delaying a decision on disciplinary action against Spain and Portugal for breaking budget rules until after the EU referendum.

Brussels said the postponement of possible action, which could include fines, was due to the general election in Spain on 26 June, three days after the referendum on Britain's EU membership.