According to an OECD report published on 15th July 2014 the recently launched reforms of the labour market in the UK have not yet produced any results. The UK is on the forefront of work undertaken in OECD countries to transform and modernise strategies to counter unemployment and inactivity, as noted with the two major initiatives launched recently - Universal Credit and the Work Programme. However further OECD study reveals that in order to achieve their ambition goals the reforms started in view of fostering a return to work should be implemented across the board and be fine tuned.

In 2013 there were nearly 10.5 million poor people in Italy, i.e. more than 16% of the population - a figure that rose in comparison with the previous year announced the National Statistics Institute (Istat) on 14th July. "In 2013 16.6% of the population were in a state of relative poverty, i.e. 10.48 million people," according to a report. In 2013 there were 9.56 million poor, i.e. 15.8% of the total population. "Absolute" poverty affected 9.9% of Italians, ie 6.20 million of them, whilst there were "only" 4.81 million (8%) in 2012.

The main holding of the Portuguese empire Espirito Santo, the leading shareholder in the BES bank went into receivership on 18th July. This announcement caused a shockwave in the country's financial sector. The group is unable to pay back a major share of its debt which is now due to reach maturity. Problems led to the fall of the CEO of the Ricardo Salgado group who has been replaced by Vitor Bento. The group is deemed to be one of the most important in the country and analysts fear major consequences as far as the country's financial stability is concerned.

The Slovenian Central Bank called on 17th July to step up reform in Slovenia, which is suffering a major economic crisis. This call comes four days after the victory of Miro Cerar in the general elections. "We are at a cross-roads, excessive confidence based on recent figures (economic) might prove to be a disappointment and take us back to a vicious circle," explained the governor of the Central Bank Bostjan Jazbec. The country's main economic institution is forecasting 0.5% GDP growth this year after a contraction of 0.8% in 2013.

The 6th round of discussions between the USA and the EU on the free-trade agreement ended on 18th July in Brussels to the backdrop of criticism over the lack of transparency in the negotiations. "We have had intense, technical discussions" but "political decisions will have to be taken at a later date," explained the head of the European delegation, Ignacio Garcia Bercero. "Many things have changed since we started negotiations in July 2013" stressed his American counterpart, Dan Mullaney. This issue was addressed by Jean-Claude Juncker on 15th July in the European Parliament. He stressed that he was not ready to accept all of the compromises. The issue of the negotiations' transparency has come under severe criticism. Karel De Gucht, the European Commissioner for trade called on the Member States to publish the negotiation mandate given to the Commission.

According to the European Commission the EU countries are about the remove the final impediments to the European single market. This is the conclusion it has made from observing the common market scoreboard which indicates the degree of implementation of European rules in the Union, as well as in the EFTA countries. The EU countries, particularly Finland and Estonia, have notably improved their results in comparison with the previous scoreboard published in February 2014.

Jean-Claude Juncker was elected President of the European Commission on 15th July by the European Parliament. His programme entitled "New Start for Europe: my agenda for Jobs, Growth, Fairness and Democratic Change" covers the EU's various priorities for the next five years ie: the fight to counter unemployment, the defence of the euro, and the promotion of American-style immigration. Jean-Claude Juncker also spoke of the importance of an ambitious economic policy oriented towards strengthening the common market and a Europe which will strengthen its diplomatic weight to the detriment of enlargement.

In a resolution adopted on 17th July 2014 the European Parliament firmly condemned the Islamic State's attacks on the Iraqi State and its citizens, notably summary executions and the imposition of a strict interpretation of the Sharia law. At the same time the text demanded that Iraqi security forces respect the international commitments made by Iraq concerning human rights and fundamental freedoms whilst fighting against the Islamic State and other terrorist groups. The idea is to forge open governance to put a halt to the fragmentation of Iraq. Security interventions must go together with a sustainable political solution that involves all of the components of Iraqi society. Moreover MEPs stressed the importance of an overall European policy for the Middle East that has to include Iran, Saudi Arabia and the other Gulf countries. MEPs also called for international cooperation to take adequate legal measures against hundreds of foreign mercenaries, notably European citizens, who have chosen to join the rebel movement of the Islamic State.

On 17th July 2014 Parliament asked for firmer measures to fight against youth employment, notably minimal common standards for training, as well as decent wages. European funding for programmes linked to employment is also due to rise in future budgets added the text. Sustainable economic growth will not be possible as long as inequalities are not reduced maintains the resolution adopted by 502 votes in support, 112 votes against and 22 abstentions. According to the text youth unemployment has reached unprecedented levels with an average of 23% across the EU and a rate over 50% in some Member States. In all 5.3 million Europeans aged under 25 are unemployed.

The number of MEPs making up the 44 interparliamentary delegations was approved in plenary session on 16th July. These delegations aim to maintain relations and exchange information with national parliaments which are not EU Members. The lists of MEPs making up the delegations were also approved on 17th July. For this new legislature the Parliament will have 44 interparliamentary delegations including a new one for relations with Brazil. The Chairs and Vice-Chairs of these delegations will be elected during constitutive meetings planned for 4th September (multi-lateral assemblies) and on 1st and 2nd October (interparliamentary delegations).

On 22nd July the 28 Foreign Affairs Ministers met in Brussels. They launched the EU's Consultative Mission for the reform of the Civilian Security Sector in Ukraine, a civilian mission under the Union's Common Security and Defence Policy. Moreover, given the seriousness of the situation in Syria, ministers stepped up the Union's restrictive measures taken out against the Syrian government. They also extended the EUCAP Missions in the Horn of Africa and in Niger.

German Chancellor Angela Merkel held a summer press conference on 18th July. Ms Merkel firstly spoke of the crisis in Ukraine, which in her opinion, has to be taken seriously with emphasis being placed on dialogue. From the beginning of the press conference the Chancellor said that she had spoken with Dutch Prime Minister Mark Rutte expressing her condolences following the tragedy of flight MH17 and stressed that an independent inquiry had to be set up as quickly as possible. The German Chancellor assessed the work of her government positively regarding the reform of the renewable energies law, the minimum salary as well as the retirement pensions programme. She welcomed the ongoing debate of Germany's greater responsibility in foreign policy, in order to live in peace and democracy in the long term.

The President of the Italian Council of Ministers Matteo Renzi started a four-day visit of Africa on 19th July 2014. He travelled to Mozambique, a first for an Italian leader. President Guebuza stressed that he deemed "the growing development in terms of economic cooperation and business relations" between the two countries with "immense satisfaction." Matteo Renzi announced that he intended to invest 50 billion euro in the drilling of natural gas that lies in Mozambique. Mr Renzi was then to travel to the Democratic Republic of Congo and Angola.

A Malaysia Airlines plane was downed on 17th July 2014 probably by an land-air missile as it flew over the war zone in which separatist groups are fighting the Ukrainian government in the country's east. On 18th July the Security Council met in an emergency to discuss this tragic incident and Ukraine's situation. "The conflict has gone over the red line and is now endangering everyone, including the lives of children from various countries," declared Rwanda's July representative within the Security Council, who like the other delegations in attendance, demanded the launch of an independent international inquiry regarding the circumstances of and responsibility for the accident.

According to Eurostat figures published on July 17th 2014, euro area annual inflation was 0.5% in June 2014, stable compared with May. A year earlier the rate was 1.6%. Monthly inflation was 0.1% in June 2014. The same month, negative annual rates were observed in Bulgaria (-1.8%), Greece (-1.5%), Portugal (-0.2%), Hungary and Slovakia (both -0.1%). The highest annual rates were recorded in the United Kingdom (1.9%), Austria (1.7%) and Luxembourg (1.2%). Compared with May 2014, annual inflation fell in ten Member States, remained stable in four and rose in fourteen.

According to Eurostat figures published on July 18th 2014, the European Union seasonally adjusted external current account recorded a surplus of €25.4 billion (0.8% of GDP) in the first quarter of 2014, down from a surplus of €32.7 bn (1.0% of GDP) in the fourth quarter of 2013 and from a surplus of €32.9 bn (1.0% of GDP) in the first quarter of 2013. In the first quarter of 2014 compared with the fourth quarter of 2013, based on seasonally adjusted data for the European Union, the surplus of the goods account fell (from +€7.7 bn to +€1.8 bn), while the surplus of the services account grew (from +€43.5 bn to +€45.9 bn). The income account surplus moved into deficit (from +€1.9 bn to -€1.8 bn) and the deficit of the current transfers account increased slightly (from -€20.3 bn to -€20.5 bn).

According to the Commission's annual report on the protection of financial interests published on 17th July 2014 Member States must step up work to prevent, detect and report any fraud that affects the Union's funds. The report draws up detailed recommendations in areas to which national authorities must lend particular attention in this respect. According to the report fraud detected in Union spending comprises under 0.2% of all funds. The Commission believes however that more work must be done nationally to counter and detect fraud. The annual PFI report recommends therefore, amongst others, that Member States review their monitoring devices to ensure that they focus on risks and that they are well targeted.

Giverny, together with the Ixelles Museum in Brussels, is running an exhibition until 2nd November 2014 entitled "Brussels, Impressionist Capital". The centre of the European avant-garde, Brussels stood out brilliantly due to its cultural effervescence at the turn of the 19th and 20th centuries. The exhibition presents around one hundred pictures on loan from some major European museums as well as from major private collections.

As each year, since it was created in 1838, the Bayreuth Festival will begin on 25th July (25th July-28th August). This music festival, which is entirely devoted to Wagner, takes place in the town of Bayreuth, Franconia (Bavaria), where the German genius lived and built a "temple" devoted to his music. After having celebrated the bicentenary of Wagner's death in 2013 this year's festival will open with Tannhäuser, a 2011 production by Sebastian Baumgarten.

The 2014 Jazz Festival of Marciac will be taking place from 28th July to 17th August in Marciac in the Gers, France. Created in 1978 on the initiative of a handful of amateurs Jazz In Marciac, devoted originally to traditional jazz, the festival diversified under the impetus of Jean-Louis Guilhaumon, the head of the Secondary School of Marciac. In the last few years it has become one of the most important and most frequented festivals in Europe. The line-up this year includes Jeff Beck, Jamie Cullum, Gregory Porter and many more.

The 2014 Hungarian Festival in Sziget will take place from 11th to 18th August on Freedom Island (Obuda) in the centre of Budapest. It has now finally unveiled most of its programme. This year the line-up will include Queens of the Stone Age, Placebo, Madness, The Prodigy, Blink 182, Outkast, Korn, NOFX, Skrillex and Calvin Harris. The programme will also include some rising stars like The Bloody Beetroots, Triggerfinger, Band of Skull and even the pearl of Russian punk, Leningrad. The festival will also have Lily Allen as its guest, as well as the Belgian singer Stromae. The electro-pop scene will be represented by La Roux, whilst Bombay Bicycle Club should create a lively atmosphere.

The 60th Puccini Festival will take place from 25th July to 30th August 2014 in Torre del Lago in Italy. The theme this year is love and operas written by the famous Italian composer Giacomo Puccini will be produced. With four or five lyrical productions per season, the Festival attracts around 40,000 spectators to its open-air theatre, the Teatro dei Quattromila (named after its seating capacity). The four productions this year are Madame Butterfly, La Bohème, Turandot and Il Trittico.

The Edinburgh Festival 2014 will be taking place from 3rd to 31st August. Since its beginnings in 1947 it has become a tradition in terms of the town's events and offers visitors dance, theatre, music and opera as well as conferences and workshops. The inaugural concert on 8th August will be performed by the Scottish National Orchestra, which will play Schoenberg, Stravinsky and Debussy.

From 15th to 31st August the Helsinki Festival will be opening its doors - this is the biggest festival in Finland. It will occupy the entire town and offer a varied programme - with classical and pop concerts, theatre performances and modern dance, plastic arts exhibitions, films and events for children.