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Europe Daily Bulletin No. 10918
EUROPEAN PARLIAMENT PLENARY / (ae) budget

Council criticised for reducing 2014 spending increases

Brussels, 10/09/2013 (Agence Europe) - During the presentation of the member states' position on the 2014 draft budget (see EUROPE 10913) on Tuesday 10 September, MEPs argued that the budget cuts proposed by the Council on research and employment broke the promises it had previously made. The Council is proposing a budget of €142.5 billion in commitment appropriations, €9 billion less (-6%) than in 2013 and commitment payments of €136.1 billion, a cut of €9.5 billion (-6.6%).

Despite recent commitments to prioritise job creation programmes, particularly for young people, growth, education and SMEs, it will be these areas that will suffer the harshest cuts worth €426 million (-3%), MEPs complained. The rapporteur, Anne Jensen (ALDE, Denmark) exclaimed that “the Council has decided to act as if it were nothing when cutting an already tight budget proposed by the European Commission. It is unacceptable that the Council is proposing harsher cuts in areas that seek to relaunch growth, such as in the research and innovation fields”. The Council also proposed cuts of €157 million in external action (-2.5%) and €153 million in administration (-1.8%). Structural funds and agriculture have been less affected.

The issue of payment appropriations that had not been made in 2013 still needs to be resolved. The Commission estimated that €11.2 billion was needed to rectify unpaid invoices but member states have for the time being agreed on €7.3 billion. The chairman of the EP budgets committee, Alain Lamassoure (EPP, France) said that, “as long as the formal agreement (on payments) has not been given by the appropriate authority at the Council, ratification of the 2014-2020 budgetary framework will not be put to a vote at the Parliament plenary. We had initially planned on this for this session. The date now envisaged is for the second session in October”.

The EP budgets committee will agree its position on the 2014 budget on 2-3 October. This will be subject to a vote at the plenary on 23 October. If the Council does not agreed to the amendments made by the European Parliament, the two institutions will have to begin 21 days of conciliation procedures. (LC/transl.fl)

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EUROPEAN PARLIAMENT PLENARY
SECTORAL POLICIES
INSTITUTIONAL
ECONOMY - FINANCE
SOCIAL AFFAIRS
EXTERNAL ACTION
BUSINESS NEWS NO 73