Switzerland's high salaries, low unemployment, and stable currency are a magnet to Eurozone countries. Since the Swiss agreed to free movement of people, immigration from EU members has risen sharply, especially from Spain and Portugal, where unemployment is at crisis levels.
In Switzerland, there is tension. The right wing People's Party claims Swiss jobseekers are losing out; the Green Party says immigration is putting too much pressure on housing and public transport. Now the Swiss government has called a halt: being outside the EU means Switzerland has some flexibility, and from next month permanent work permits for EU citizens will be strictly limited.
Brussels has reacted angrily: EU officials have always told Switzerland it cannot cherry pick only those parts of European policy it likes best. Now, it's possible other deals the Swiss really need with Europe, on trade perhaps, could be in danger. Meanwhile, sceptical members of the European Union, like Britain, where many would like a less rigid relationship with the EU, will be watching Switzerland's move with interest.
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