Pressed by EU, Berlo inks pension deal

MILAN: Under pressure from the European Union, Italy PM Silvio Berlusconi averted a government collapse and reached a deal with allies on emergency growth measures in time for an EU summit on saving the euro.
Berlusconi and Northern League leader Umberto Bossi reached a compromise on raising Italy's retirement age in late-night parliament talks Tuesday— a point of disagreement that had threatened Berlusconi's leadership.
Italian media reported the measures include new infrastructure spending, with a push for more private investment for strategic projects, the privatization of public entities and property and simplifying rules for companies. Under the overnight deal, Italy will gradually raise the pension age for all workers to 67 by 2025.
Meanwhile, according to reports in two Italian newspapers — La Repubblica and La Stampa —Bossi and Berlusconi have drawn up a "secret pact" under which he will resign in December or January, paving the way for Italy to elect a new government in March. The reports were later denied by the main coalitions ally in the Italian cabinet.