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I think her point was that the EU imposed austerity at least as harshly as the UK government which reinforced the practice as being legitimate.
Every Labour MP should watch that video.
The right leaning ones should then defect to the Lib Dems and then we would probably get a lib-lab coalition at the next election. Either that or 620 Tory MPs.
Interesting, so austerity in the uk was due to the EU, you learn something new every day don't you.