In the past, center-left and center-right coalitions were able to find win-win compromises out of this contradiction. But now that everyone has moved outward on the political spectrum and gone populist on both sides, it's a stalemate.
The pro-central planning folks are now anti-business and anti-growth since private capital represents a threat to their utopian authoritarian dreams (this truth will be masked with religious appeals to the poor and the environment of course).
The pro-business, pro-growth folks are conversely anti-central planning, since government represents a threat to their utopian libertarian dreams (central planners might kill the unfair arbitrage opportunities they've found, and central planners tend to overspend and expect the private sector to pay for it).
While central planners are terrible capital allocators, strong central planning is the only way to create well functioning markets. For example, the US Federal government wields total control over US state governments in basically everything.
What Europe needs is a center coalition of pro-business and pro-government wonks (basically what the neocons were), but the phrase 'neocon' has become a bizarre internet meme for conspiracy theorists and there exists very little interest in moderate viewpoints these days.
I'm guessing we'll all be dead before any of these issues are solved in Europe (if ever), absent a full-scale Russian or Chinese invasion forcing the EU to integrate.