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Image header Agence Europe
Europe Daily Bulletin No. 10516
Contents Publication in full By article 20 / 35
SECTORAL POLICY / (ae) regions

CoR wants to maintain budget and combine it with own resources

Brussels, 14/12/2011 (Agence Europe) - Locally elected representatives have sent a clear message to those member states which would like to pare down the EU budget. The Committee of the Regions (CoR) says that the new multiannual financial framework 2014-2020, barely more than 1% of EU gross national income, is “modest”. This, it says, is the absolute minimum required if the EUROPE 2020 strategy is to be properly implemented. In adopting the opinion on the issue in plenary session on Wednesday 14 December, local representatives also backed more own resources for the EU.

Flexibility and no reduction in funding. The two days of plenary session began with the adoption of the opinion by Flo Clucas (ALDE, UK) on the cornerstone of EU planning, the multi-annual financial framework. Following the vote, Clucas hailed the unity of local representatives in their approval process and was delighted that a Briton could speak positively of the European budget, “an example to top-level politicians”, she suggested. In its opinion, the CoR says that the proposed EU budget, being the same as for the previous planning period, must not under any circumstances fall below 1.05% of EU gross national income as is being currently proposed. The CoR calls on the Commission and Parliament to resist any cuts called for during negotiations. It is deeply unhappy at the prospect of any kind of macro-economic conditionality which could suspend the funding that local authorities should enjoy, but it appreciates the ex ante conditions. The CoR urges greater flexibility in the budget and a full mid-term budget review in 2017, rather than the simple assessment in 2016 as proposed by the Commission.

Own resources. Given the budget, which it feels to be modest, and the reluctance of some member states to increase national contributions, the CoR supports initiatives that could reduce direct contributions through increasing own resources. It backs the Commission proposals, although they are ambitious, for a new value added tax and a financial transaction tax.

The CoR supports the general principles that underpin the Commission proposal on the EU budget, particularly the results-based approach. Local representatives want the budget to be seen more as an investment policy and want to use it to promote multi-level governance. (MD/transl.rt)

Contents

A LOOK BEHIND THE NEWS
EUROPEAN PARLIAMENT PLENARY
ECONOMY - FINANCE - BUSINESS
SECTORAL POLICY
EXTERNAL ACTION
INSTITUTIONNAL