A time-bomb is ticking away in the heart of Europe, carrying a label marked “Made in Italy.” It could yet be defused. But if it goes off, it would make Brexit look like a lot of fuss about nothing.
The time-bomb has been laid by Italy’s young, reformist Prime Minister, Matteo Renzi. The potential trigger is the referendum he has called for 4th December on reforms to the country’s constitution. The explosive content is that his fiercest and strongest opposition, the Five Star Movement, is also young, reformist, and wants a referendum held on Italy’s membership of the euro. And it is running neck and neck with Renzi’s party in national polls.