The bank said structural unemployment has jumped to 10.3pc and is worst in some of the crisis countries forced to shake up their labour markets. While couched in cautious language this is an admission that the supposed cure of “labour flexibility” imposed by the EU on southern Europe is not working as hoped, and may stem from a false diagnosis of Europe’s jobs crisis. It called for retraining and other “active labour market policies” to bring millions of marginalised people back into the workforce. This is exactly what critics have been saying all along.