During her speech at the 7th cohesion Forum on Tuesday, 27 June, the Commissioner for Employment and Social Affair, Marianne Thyssen, said that the allocation of structural funds on the basis of per capita GDP alone was “not an adequate system”.
The Commissioner illustrated her idea with the example of the Brussels region, which had the fourth highest per capita GDP of all European regions but which had at the same time an unemployment level of 17%.
On this basis, the Commissioner would like to introduce new indicators in the future that reflect more accurately “the strengths and weaknesses“ of the regions in the Union. One proposal contagion reflection document on the future of the Union’s finances, presented on Wednesday, 28 June, suggests the possible introduction of new indicators connected to demographic trends and unemployment (See other article).
The Commissioner put forward a number of possible areas of reflection. In this regard, the Commissioner proposed strengthening the link between the European Semester budgetary process and the use of structural funds by highlighting the regional level – a mechanism that is also mentioned in the reflection document.
She also highlighted the need to simplify structural and investment funds by introducing a default mechanism for being able to use simplified cost options. This latter mechanism would help beneficiaries receive repayment on the basis of a percentage of fixed costs, without having to present Proof of additional spending (Electricity bills, etc.) (see EUROPE 11626). The objective in this context would be to reduce the administrative burden.
A range of single rules, yes, but…. The commissioner also mentioned the possibility of putting a raft of single rules into place – this request has been formulated by the Commissioner for Regional Policy, Corina Crețu (see EUROPE 11782). Ms Thyssen highlighted the need to maintain specific rules, according to the political objectives pursued, the extent of the action undertaken and the actors involved. The Commissioner also said that this involved an “Option”. She added that such a change would only be able to bear fruit if the phenomenon of “gold plating” – excessive national regulation – was ended. (Original version in French by Pascal Hansens)