We take a look back at the top stories from around Europe this morning.

Brussels’ reaction to Italy’s budget would have been softer if it was dealing with a more mainstream government. That was the claim of Latvian MEP Roberts Zile, reacting on Euronews’ Raw Politics programme to the European Commission's threat of sanctions against Rome.

On Wednesday the European Commission might decide to take first steps on the opening of a procedure for excessive debt against Italy

Italy is expected to resubmit a high-spending budget to the EU on Tuesday. The Raw Politics panel discuss if austerity is the way to go to reinvigorate Italy's economy.

Rome has vowed it won’t back down over Italy’s controversial budget and said it should service as a recipe for the rest of the continent.

The tone was polite, but an escalation is likely over the coming weeks

 Italy's budget dispute with Brussels is likely to escalate in coming weeks unless Rome revises its free-spending plans

The UK’s Chancellor Philip Hammond has announced that Britain’s "era of austerity is finally coming to an end", provided the government secures a Brexit deal with the EU.

On this episode of Raw Politics, the panel discusses German Chancellor Angela Merkel's announcement that she will not be running for reelection while far-right Jair Bolsonaro wins in the Brazil election.

Parliament president says he disagrees with Italian budget but also the European commission's reaction.

After an Italian MEP rubbed his shoe on EU Commissioner Pierre Moscovici's notes as he held a press conference on the rejection of Italy's draft budget, Moscovici warned that when he laugh at such episodes, it banalises it leading to a deafening silence before we wake up to fascism.

This is the bizarre moment an Italian MEP expressed his contempt for the EU after its rejection of Rome's budget.

Today the European Commission has decided to formally ask Italy to revise and resubmit their budget.

Italy’s Prime Minister Giuseppe Conte has defended his plan to ramp up public spending, despite the country’s national debt reaching more than twice the European Union limit.

Rome goes ahead and defends its draft budget, opening a match with Brussels that could last a long time. Italy has replied to the letter sent by Commissioner Moscovici and Dombrovskis, asking for clarifications about the deviations from the European parameters.

Tensions between Italy and Brussels increase as the European Commission reviews the country's draft budget.

European Commission not to shy away from showdown with nationalist government in Rome